Latvia
Member country
Energy system of Latvia
Renewable energy sources dominate its electricity mix, in particular, accounting for around three-quarters of domestic generation. Other sectors, notably transport and buildings, continue to consume large amounts of energy and rely on dated infrastructure that hinders stronger reductions in energy consumption and greenhouse gas emissions. Therefore, energy efficiency and fuel switching in these sectors will require greater focus.
Latvia’s hydro-dominated electricity system provides a favourable starting point to use clean electricity to decarbonise other economic sectors. Moreover, given Latvia’s historic dependence on energy imports from Russia, its transition to clean energy sources offers an important opportunity to bolster energy security and lower energy prices.
Policies
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Key recommendations
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Issue detailed sectoral roadmaps across energy sectors to 2030 and 2050 that clarify longer term decarbonisation pathways.
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Ensure sufficient financial backing, regulatory structures and government staff to support the implementation of policies and measures outlined in the National Energy and Climate Plan (NECP).
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Prioritise efforts to streamline permitting and modernise energy infrastructure.
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Accelerate plans to overhaul the taxation system to support clean energy transition outcomes.
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Closely monitor security of supply across the electricity, natural gas and oil sectors during the shift away from Russian imports.
Latvia 2024
This Energy Policy Review was prepared in partnership between the Government of Latvia and the IEA. It draws on the IEA’s extensive knowledge and the inputs of expert peers from IEA member countries to assess Latvia’s most pressing energy sector challenges and provide recommendations on how to address them, backed by international best practices.
