Latvenergo of Latvia evaluates acquisition of 250 MW wind or hybrid projects

en.Wedoany.com Reported - Latvian state-owned utility Latvenergo is evaluating the acquisition of up to 250 MW of wind or hybrid generation projects to expand its Baltic asset portfolio. The portfolio currently includes a completed 265 MW solar park and a growing pipeline of battery energy storage assets.

Latvenergo said the acquisition search, advised by PricewaterhouseCoopers, is part of its medium-term strategy, with goals including scaling up renewable generation, diversifying its power mix, and enhancing energy security in Latvia and the wider Baltic region. The evaluation covers shovel-ready projects as well as wind assets that have been in operation for no more than five years, after which the company will enter acquisition negotiations with the developers of the most suitable projects.

On the organic side, the company completed the 265 MW Aizpute solar park in Latvia in 2025, which began generating by the first quarter of 2026. According to its half-year results, as of the end of June, seven battery storage projects were in development, totaling 233.4 MW and 551.2 MWh, while two smaller battery energy storage system (BESS) projects had been completed, totaling 10.6 MW and 21.9 MWh.

Latvenergo also mentioned a smaller hybrid project in Priekule, which includes an 11.5 MW wind farm under construction, a 9 MW solar plant, and an operational 2 MW battery energy storage system. The company did not disclose the battery's storage capacity, commissioning date, or how the project will participate in the market.

The group said its long-term development potential ceiling is 2,300 MW, but this ceiling applies beyond 2030 and is not a near-term target. Its current medium-term strategy calls for adding 600 MW of wind and solar by 2026; its approved Baltic renewable portfolio had reached 1,144 MW by the first half of 2026, of which 937 MW was newly built and 207 MW was under construction.

In May 2024, Latvenergo acquired the 124 MW Telšiai wind farm in Lithuania from developer Utilitas Wind. The project uses 20 Vestas turbines, has a construction cost of approximately EUR 200 million (USD 231.7 million), and will be paired with a 28.51 MW/57.02 MWh battery energy storage system.

The company also acquired the 147 MW Pienava wind farm in Latvia from Swedish developer Eolus. According to Latvenergo's half-year report, as of the end of June, all foundation construction at the site had been completed, and installation of the substation, electrical infrastructure, and wind turbine components was underway. Corporate reports show that the 109 MW Laflora Energy wind project began generating during the same period.

Latvenergo's acquisition push comes as the Baltic renewable energy market sees a wave of utility-led consolidation, with state-backed utilities acquiring projects from private developers. KPMG data shows the Baltic countries recorded 62 M&A transactions in the most recent 12-month period, a slight decline from the previous period.

The Baltic countries disconnected from the Russian-controlled grid in February 2025 and synchronized with the continental European grid. This shift has heightened the strategic importance of domestic and regional generation capacity in the region, and Latvenergo has explicitly linked its expansion strategy to this energy security context.

In addition, Latvenergo said on September 3 that it had joined with 13 other energy companies and organizations from nine Baltic Sea countries to form the Baltic Energy Initiative, with participants including Vestas, Siemens Energy, and Enefit, a subsidiary of Estonia's Eesti Energia. The cross-border platform aims to promote regional cooperation in offshore wind, hydrogen, carbon transport and storage, and energy infrastructure security.

The Riga-based group first set out its goal of becoming a leading participant in the Baltic BESS market in February 2025, when it announced plans to install 250 MW/500 MWh of storage at its existing hydro and combined heat and power sites by 2030, with the first installations at its CHPP-1 plant, Riga HPP, and CHPP-2. The latest acquisition push also extends this storage and generation expansion to third-party wind and hybrid assets.