JSC "Augstsprieguma tīkls", "Litgrid" and "Elering", the Baltic states electricity transmission system operators, have signed the Baltic system operation region operational agreement, which describes the principles of cooperation after joining Continental Europe Synchronous Area (CESA). Simultaneously, the final “Siemens Energy” synchronous condenser planned for the Baltic region was delivered to Latvia this week to enhance system security.
The agreement will enter into force from the moment of synchronisation of Baltic power systems with Continental Europe, which is planned on 9 February 2025.
“This week, the third synchronous condenser for Latvia was unloaded at the Port of Riga – another important step towards synchronising the Baltic states' energy system with the European energy system in just 72 days. This is the region's most ambitious energy independence project. By working in close cooperation with neighbouring countries’ transmission system operators on the implementation of the Baltic synchronisation project, we aim to continue this close partnership in the future for the coordinated management and technical development of the Baltic states’ energy systems. Despite the administrative borders between countries, the energy systems of the three Baltic states will be operated as a single Baltic energy system, enhancing system stability and the security of electricity supply,” says Gatis Junghāns, Member of the Management board of JSC "Augstsprieguma tīkls".

The Baltic system operation region operational agreement establishes the rights and obligations of the Baltic states transmission system operators with respect to the synchronous operation of Baltic power systems with CESA. 
The agreement was signed to conduct and promote the cooperation between transmission system operators with the aim of ensuring a reliable operation, optimal management and technical development of the Baltic states power systems. It will create a legal framework for agreeing on specific operational issues relevant for the Baltic states transmission system operators that are not regulated directly through the Network Codes and Synchronous Area Framework Agreement.

Baltic system operation region is one of five system operation regions according to EU Agency for the Cooperation of Energy Regulators ACER. The others are Nordic, Central Europe, Southeastern Europe and Southwestern Europe. System operation regions are established in accordance with Article 36 of the Regulation (EU) 2019/943 of the European Parliament and of the Council of 5 June 2019 on the internal market for electricity.
Until now, Estonia, Latvia, and Lithuania operate in the IPS/UPS system, in which the electricity frequency is centrally controlled by Russia. Synchronisation with Continental Europe Synchronous Area will allow for independent, stable and reliable frequency control of the Baltic states electricity grids and will increase energy security in the region. 

Synchronisation will enable better EU transmission system interconnectivity and market integration, allowing Baltic electricity systems to operate under common and transparent European rules to the benefit of all the consumers. It will also foster the development of renewable energy in the Baltic states and Poland, as newly installed power lines, substations and synchronous condensers will increase the ability of transmission grids to support higher share of renewable sources in overall electricity generation. The synchronous condenser delivered to Latvia this week will be installed in Līksna. All three synchronous condenser stations in Latvia (Grobiņa, Ventspils, and Līksna) are scheduled to be commissioned in 2025.

Synchronisation is supported by the EU with combined CEF Energy funding of around €1.2 billion, which is expected to provide up to 75% of project eligible costs. Investments for the implementation of the synchronisation project in Latvia reach 500 million EUR, with over 300 million EUR secured by EU structural funds. This includes financing from the Connecting Europe Facility (CEF) and RePowerEU funding under the Recovery and Resilience Mechanism.

About JSC "Augstsprieguma tīkls"
AST, the Latvian electrical power transmission system operator, ensures uninterrupted and secure transmission of electricity throughout Latvia. Its vision is to become the leading transmission system operator in the region through the efficient and successful implementation of development-oriented changes. AST has 68.46% shareholding in the capital of the operator of the natural gas transmission and storage system AS “Conexus Baltic Grid”.
Further information:
Līva Jēgere
Head of Communications
Ph: +371 26151344
Email: liva.jegere@ast.lv