Extra support for solar/heat pumps (“RES subsidy”)

Extra support for solar/heat pumps (“RES subsidy”)

More information

Duration

2020 was the first year. The programme is yet to become permanent; up to €2 million funding foreseen in the 2021 climate change support programme budget. First call opened 28 May, 2020. The call is open and the programme is ongoing while funds last.

Geografic scope

National

Recipients

Lithuanian households

Managing body

BETA (Housing Energy Efficiency Agency) www.betalt.lt/en

Other stakeholders involved

  • Environment Committee of the Lithuanian Parliament
  • Ministry of Environment
  • Lithuanian Solar Energy Association

Volume of funding

€2 million total per year (sufficient for 5-8 multi-family houses, dependant on size/number of flats), financed from climate change programme

Funding method

Climate change funding programme is financed by emissions trading scheme surpluses and amounts to €100-200 million per year in available funds. Maximum amounts to be involved, if this (still in pilot, or rather ‘in the making’) scheme is successful, can be increased substantially from the current €2 million p.a.

Own contribution

30% subsidy in addition to the 30% specified in another renovation scheme, under “Multi Apartment Building Renovation (Modernisation) Programme”. This brings the total subsidy to 51%.

Target housing situation

Multifamily apartment buildings

Eligible energy efficiency measures

The decentralised carbon-intensive heating (coal, peat, heating oil) should be replaced by a combination of solar photovoltaic self-generated electricity in combination with heat pumps.

Targeted energy performance

  • The scheme provides a cost-efficient solution to reach near-zero carbon emissions in the house
  • In the long run, the combination provides a way to (self-)produce energy/heat and cut energy bills

Process of application

Applications may be submitted by managers of common use objects of multiapartment building, persons providing administration services for the
implementation of a multi-apartment building renovation project, municipal energy efficiency improvement programme implementation administrators, as well as other persons authorised by owners of multi-apartment buildings and other premises.

Details

Own contributions. Why 51%? Applicants get 30% “ordinary” subsidy already, leaving only 70% to be covered by their own funds. The additional 30% “RES subsidy” is applied to this remaining 70%, not the whole project amount. This makes the effective subsidy rate (1-0.3)*0.3 + 0.3 = 0.51, or 51%. More: bit.ly/34Z3fjL (in Lithuanian).

Best practice cases

There are already four funded projects:
1. M. K. Čiurlionio g. 112, Druskininkai project No. AEI2- ALJS60389K. Two-storey house, 6 flats in total. Building year 1988, brick, 385 sq. m, district heating.
2. Klaipėdos g. 4, Priekulės m., Klaipėdos r. sav. project No. AEI1- KLJS70784.
3. J. Basanavičiaus g. 18, Varėna project No. AEI3- ALJ50366. Four-storey house, 14 flats in total. Building year 1984, brick, 699 sq. m, district heating.
4. Jonavos g. 3, Bukonių k., Jonavos raj. project No. AEI4- KJS70976. Two-storey house, 6 flats in total. Building year 1987, panel house, 351 sq. m, local heating.

Limitations

Under the terms of the call, the compensation is granted to those beneficiaries who have already implemented a multi-apartment building renovation project and have reached at least 40% calculated energy savings and energy efficiency class C at least. Currently running projects which plan to achieve at least 40% calculated energy savings and energy efficiency class C at least are also eligible for state support. Exceptions apply only to those buildings for which the Law on Construction of the Republic of Lithuania does not establish minimum mandatory energy performance requirements.

Pathways for improvement

Lithuanian Consumer Alliance is confident that the scheme will carry over to 2021, 2022 and beyond. However, additional advocacy work is needed to make it long-term, increase funding, and accomplish and widely communicate the success of fifirst pilot projects financed by this scheme.

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