AS “Latvenergo” has acquired “Laflora Energy”, a subsidiary of the peat extraction and processing company “Laflora”, which is developing a wind farm project in Kaigu bog in Jelgava municipality. Construction of the wind farm, with a total capacity of 108.8 MW, will begin this month and will continue to be managed by “Laflora”. The expected construction costs of the wind farm are put at approximately 185 million euros. Electricity generation will begin in June 2026.
The wind farm is being built on former peat extraction areas in Kaigu bog, providing for their recultivation. The wind farm will have 16 of the most advanced “Nordex” wind turbines in the Baltics, each with a capacity of 6.8 MW and a height to the highest point of the blade of 266.5 m. Each year the wind farm will generate more than 350 GWh of electricity, or approximately 5% of Latvia’s total annual electricity consumption.
Mārtiņš Čakste, Chairman of the Board of AS “Latvenergo”: “At the very top of “Latvenergo’s” growth strategy priorities are both increasing the value of the state-owned group and stimulating the growth of Latvian households and businesses. And the leading energy company can primarily deliver these goals through a substantial expansion of its electricity generation assets.”
Uldis Ameriks, Chairman of the Board of SIA “Laflora”: “The transaction with “Latvenergo” is a significant stage in implementing “Laflora’s” sustainable business strategy. Renewable energy is a precondition for creating “Laflora’s” green industrial zone, whose aims include drawing in circular economy and high value-added sectors that foster green growth and help both the company and the state meet their targets on the path towards climate neutrality.”
Viktors Valainis, Minister of Economics of the Republic of Latvia: “I am pleased with this project on several counts: first, a renewable energy power plant on this scale will have a positive, that is, downward, effect on the price of electricity; second, this is an excellent example of resource use, as several industries create outstanding synergy; and third, this wind power project is in a place that is traditionally industrial and economically active for Latvia, where a quality electricity supply is vitally important to other business sectors.”
A Latvian project
The “Laflora” wind farm is a Latvian project in the renewable energy sector – it is being developed on its own land by the Latvian peat extraction and processing company “Laflora” in cooperation with the local wind farm developer SIA “Windy”, the owner of “Laflora Energy” is the state-owned company “Latvenergo”, and all construction of the wind farm infrastructure will be carried out by the Latvian construction company “UPB Nams”. The towers of the turbines themselves will also be partly manufactured in Latvia, as two thirds of each tower will be made of reinforced concrete.
Aleksejs Mitušovs, head of SIA “Windy”, the developer of the “Laflora” wind farm: “I am glad that we managed to adapt to changing market conditions and, in such a short time, adjust the project to the most efficient turbines on the market. And it is particularly gratifying that the turbine manufacturers are able to arrange for the towers to be produced in Latvia. Given the construction companies we have brought on board, we are confident that the project will be built in record time.”
The wind farm will use the latest generation of innovative hybrid tower technology from the German company “Nordex”, built in a combined form – reinforced concrete and steel – which, compared with steel towers, reduces the carbon footprint by almost 40%. For the first time, the reinforced concrete tower sections will be produced locally in Latvia – by SIA “Consolis Latvia”, the Latvian partner of turbine supplier “Nordex” – thereby ensuring that a considerable share of the added value stays in the Latvian economy.
Kaspars Rožkalns, Chairman of the Board of SIA “UPB Nams”: “The project is rather complex and its implementation will be on a grand scale; for example, the height of the wind farm’s turbines to the highest point of the blade will reach 266.5 m – twice the height of St Peter’s Church tower. Even so, this is an excellent opportunity to demonstrate our expertise in both design and construction by providing a full-cycle service. We are pleased to be part of this important project, which will strengthen Latvia’s energy independence – so essential to our economic development and security.”
“Laflora’s” green industrial zone in Kaigu bog
Once the wind farm is commissioned, “Laflora” will purchase part of the renewable energy for the development of the green industrial zone in the company-owned Kaigu bog. The green industrial zone, covering 127 ha, will be developed gradually over the next ten years. This will make it possible to offset the GHG emissions generated by peat extraction and processing and to implement “Laflora’s” climate neutrality strategy through to 2050. Moreover, the same opportunity will be offered to other emissions-intensive companies operating in the industrial zone.