Transitioning to a climate-neutral electricity generation in Estonia

This fact sheet, published by the Stockholm Environment Institute, provides a detailed FAQ regarding the transition to climate-neutral electricity generation in Estonia. It evaluates various energy pathways, the feasibility of nuclear and CCU technologies, the necessity of dispatchable capacity for energy security, and the regulatory reforms required to accelerate renewable energy deployment by 2030 and beyond.

• Current renewable auctions are insufficient to meet 2030 objectives, leaving a gap of 2.7 GWh to 7 GWh of renewable electricity. To attract the necessary private investment, the document suggests risk reduction instruments such as public co-investing and state guarantees.
• Investing in nuclear power is considered a high-risk strategy due to historical cost overruns, long delays, and negative public perception influenced by projects in France, Finland, and the UK. Even in optimistic scenarios, nuclear power would likely not be available until the mid to late 2030s.
• To ensure energy security during periods of low solar and wind availability in the mid-2030s, Estonia will rely on a mix of dispatchable capacity—including oil shale (later fuelled by biomass), gas, hydro, and biogas—alongside batteries and imports via interconnectors.
• Offshore wind deployment by 2030 is feasible if three priority actions are taken: reviewing the planning process for a single application procedure, providing government-funded baseline studies (e.g., geological and wind resource assessments), and defining technology-specific price support mechanisms.
• Retrofitting Carbon Capture and Utilization (CCU) at Auvere and TG11 is technically feasible for approximately €1 billion, but the investment would yield negative returns without external CO2 storage sites outside Estonia.
• All examined pathways are projected to achieve net zero by 2050 using direct air capture for remaining emissions. By 2030, all pathways are expected to exceed the 40% renewable energy target, reaching over 70% RES and reducing emissions by 95%, which exceeds the Fit for 55 requirements.
• To accelerate renewable and storage projects, the document recommends streamlining the legal framework through a single approval procedure, providing more administrative resources to local authorities, and creating financial incentives for municipalities to benefit from local energy investments.
• The 'All technologies' and 'Renewable + Storage (offshore wind)' pathways are identified as the most balanced options regarding costs, risks, and feasibility, although the RES + Storage scenario faces challenges due to high costs.

APA

Stockholm Environment Institute (n.d.). Transitioning to a climate-neutral electricity generation in Estonia. https://www.sei.org/wp-content/uploads/2023/03/transitioning-to-a-climate-neutral-electricity-generation-in-estonia-frequently-asked-questions.pdf

Chicago

Stockholm Environment Institute. Transitioning to a climate-neutral electricity generation in Estonia. n.d. https://www.sei.org/wp-content/uploads/2023/03/transitioning-to-a-climate-neutral-electricity-generation-in-estonia-frequently-asked-questions.pdf.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Transitioning to a climate-neutral electricity generation in Estonia |url=https://www.sei.org/wp-content/uploads/2023/03/transitioning-to-a-climate-neutral-electricity-generation-in-estonia-frequently-asked-questions.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitutendtransitioning, author = {{Stockholm Environment Institute}}, title = {{Transitioning to a climate-neutral electricity generation in Estonia}}, institution = {Stockholm Environment Institute}, url = {https://www.sei.org/wp-content/uploads/2023/03/transitioning-to-a-climate-neutral-electricity-generation-in-estonia-frequently-asked-questions.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }