On January
17, the European Commission adopted two funding decisions to support the
construction of a combined heat and power plant in Vilnius designed to produce
electricity and heat out of biomass and municipal waste.
According
to the Commission, the plant will help diversify the Lithuanian capital’s
energy sources and support the transition towards a circular economy in the
region.
Over €139
million from the Cohesion Fund is now invested in the plant, in addition to a
€190 million European Investment Bank (EIB) loan backed by the European Fund
for Strategic Investments (EFSI), the heart of the Investment Plan for Europe,
signed in December 2016.
“In
Lithuania, the EFSI and Cohesion Policy funds are joining forces to support the
circular economy; an innovative financing solution for equally innovative
projects, turning waste to energy,” said European Commission Vice-President
Jyrki Katainen, responsible for jobs, growth, investment and competitiveness.
For her
part, Regional Policy Commissioner Corina Crețu said, “This additional support
from the EU won’t simply give the inhabitants of Vilnius a cleaner, greener
environment to live in; they will also inspire new business ideas as the
circular economy sector is abundant with opportunities for growth and
innovation”.
According
to the Commission, the Cohesion Fund grants are split into €90.8 million to
build the biomass unit and €48.5 million for the municipal waste-to-energy
facility. These projects, which should be completed in the course of 2019, will
contribute to reducing greenhouse gas emissions generated by the waste sector
in the country by roughly 10% as well as waste landfilling in the region.
In line
with the EU waste hierarchy, when waste cannot be recycled, recovering the
energy embedded in it and injecting it back in the economy is the next best
environmental and economic option while avoiding landfilling. Investments in
treatment facilities for residual waste should nevertheless be granted in
limited and well justified cases, where there is no risk of overcapacity and
the objectives of the waste hierarchy are fully respected.
https://www.neweurope.eu/article/waste-energy-eu-backs-construction-lithuanian-heat-power-plant/