Lithuania is working towards achieving its vision for a secure, sustainable, and affordable energy future, as highlighted in a new Energy Policy Review by the International Energy Agency (IEA).
Lithuanian Energy Minister Žygimantas Vaičiūnas said: “Energy independence is the foundation of Lithuania’s energy policy.”
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The report underscores the country’s swift actions to attain energy independence, particularly after it ceased energy imports from Russia and the recent synchronisation of its electricity grid with the continental European system.
Lithuania has nearly doubled its electricity generation from renewable sources between 2022 and 2024, spurred by enhanced permitting and support schemes.
These policy shifts have also led to a rise in residential solar photovoltaic (PV) installations and grid-scale battery storage.
Despite these advancements, Lithuania’s energy consumption still heavily depends on imported fossil fuels, especially within the transport sector, and a considerable portion of its electricity demand is met through imports.
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By GlobalDataLithuania’s updated National Energy Independence Strategy outlines a move towards an electrified energy system and hydrogen production from renewable electricity by 2050, which could result in a sixfold increase in power consumption by mid-century.
To ensure electricity security amid this expected surge, the IEA emphasises the need for extensive coordination among stakeholders and an accelerated development of grid infrastructure.
Lithuania’s decarbonisation goals necessitate a swift deployment of additional renewable energy capacity, particularly wind power.
The report advises continuous monitoring of market conditions and policy action if they become less favourable, as well as increased system flexibility through clearer price signals and net-metering system reform.
IEA executive director Fatih Birol said: “The IEA is proud to support Lithuania’s journey towards energy independence, which it has established as a major policy priority. We applaud the important progress made towards this goal so far, including the successful decoupling of Lithuania’s energy system from Russia’s.
Lithuania’s transport sector, accounting for 40% of total energy consumption and 75% of oil demand, presents another challenge with its significant emissions.
The report identifies electrification as the primary solution for decarbonising road transport, which complements the expansion of renewable electricity generation.
However, the high cost of electric vehicles (EVs) has hindered their uptake in Lithuania. The IEA suggests targeted incentives, infrastructure investments, and regulatory support to boost EV adoption and maintain affordability.
The report underscores the importance of regional cooperation for policy harmonisation, sharing effective approaches, and strengthening energy supply chains.
Vaičiūnas added: “We have taken bold steps to strengthen our security, from strategic infrastructure investment to full synchronisation with the continental European electricity grid.
“Now, our focus is on building a cleaner, smarter and more resilient energy system – one that is powered by renewables, electrifies transport, and delivers affordable energy for our citizens. The IEA’s review confirms we are on the right track and offers valuable guidance as we implement our long-term strategy.”
