Estonian power plants get free emission credits

By a decision published on Wednesday, the European Commission approved the allocation of free carbon dioxide emission quotas to Estonian power plants during a transitional period to help modernise the sector. A similar transitional free allocation was endorsed for Cyprus.

The Commission concluded that certain provisions of Cyprus’s and Estonia’s development plans for the electricity sector allocating carbon emission trading allowances free of charge are in line with EU state aid rules. The Commission found that the funds granted, 371 million euros for Estonia and 194 million euros for Cyprus, will be used to modernise the production infrastructure, diversify the energy mix, and build new installations to replace capacity. This will contribute to liberalising energy markets, reducing greenhouse gas emissions, and increasing the security of supply, which is in line with EU objectives, the Commission said.

According to information published earlier, the bulk of the free emission allowance in Estonia will go to the state-owned Eesti Energia, which is building a new power plant working on oil shale and biomass.

Source: Estonian Review

About these ads

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

%d bloggers like this: