Enefit Power to use shale oil at Narva power plant under certain conditions — ERR News

Estonian company Enefit Power will begin using shale oil in the backup boiler house of the Balti power plant in Narva from November 1 if generating unit No. 11 is not operating or is uncompetitive on the electricity market. This was reported by ERR News.

Environmental authority’s permit

Enefit Power CEO Reine Pajo informed the head of the environmental authority, Rainer Vakra, and Climate Minister Erkki Keldo of the company’s intention to use the exemption granted by the authority on October 21.

The order allows the preventive use of shale oil if there is a risk of interruptions or restrictions in natural gas supplies, as well as if district heating may become unaffordable for Narva residents.

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Risks to gas supplies

According to Pajo, price fluctuations, rising winter demand and the risk of new disruptions threaten both the security of natural gas supplies and the affordability of district heating. He noted that heating could become unaffordable for city residents even without an actual halt in gas supplies.

The head of Enefit Power also referred to lower-than-usual gas reserves in Europe, high natural gas prices and winter supply risks. He mentioned the crisis in the Middle East, which, he said, pushed European gas prices to a four-year high in October.

Pajo described the use of shale oil as a temporary and preventive measure intended to reduce Narva’s dependence on unstable imported gas and help maintain the affordability of heating. The volume of fuel use will depend on gas supply conditions and the city’s heat needs. The company officially notified the environmental authority of its plans.