OREANDA-NEWS. August 31, 2010. The European Commission made a decision to support the construction of a power transmission infrastructure in Latvia, granting co-financing for the Kurzeme Ring project. The funds will be granted as part of the NordBalt project, which envisages the development of power line and tie line network in the Baltic countries.

After this decision to grant funds, Latvenergo will be able to commence the construction of a power transmission infrastructure, which will occur in three stages. Phase 1 of the project envisages the laying of a 330 kV cable link between Riga TEC-2 and the Imanta substation. This will increase the stability of power supply in Riga, as well as ensure a more stable connection of the grids and generation capacities in the central part of Latvia to the Kurzeme Ring. Once this stage is completed and the Kurzeme Ring is constructed, the power connection “bottleneck” between the central and Western parts of Latvia – which occasionally restricts power transit flow due to insufficient capacity – will be eliminated.

Phase 2 will include the construction of a high-voltage 330 kV Grobina – Ventspils line. The design stage was already begun this year, with works set to complete by 31 December 2013. The total costs of Phase 2 are estimated at 65 million euros.

Finally, Phase 3 envisages to conclude the construction of the Kurzeme Ring with the Dundaga – Tume – Imanta section. This will make the basis for a stable and secure power supply section. The entire Kurzeme Ring project is scheduled for completion at the end of 2018.

During the implementation of the Kurzeme Ring project, the existing 330 kV grids from Riga to Broceni, Liepaja and Lithuania would be reinforced, both increasing the security of power supply to consumers in Kurzeme and providing much more extensive opportunities for utilising wind generation capacities. Presently, the reliability of power supply in Kurzeme is low due to the grid “bottlenecks” and emergency outages.

The NordBalt project envisages the development of the Kurzeme Ring and the Baltics-Sweden tie line. The European Commission is planning to invest 131 million euros in the construction of this tie line, whereas 44 million euros will be allocated for the improvement of the grid infrastructure in Latvia within the framework of the Kurzeme Ring project. All these improvements are necessary for the success and mutual integrity of the Nordic and Baltic electricity markets.