The EU is refusing to provide support for the building of a new cogeneration plant in Kaunas saying Lithuania already has enough of these facilities.
Lithuanian authorities claim that heating price in Vilnius and Kaunas could fall by 25% if new cogeneration plants were built in both cities but the European Commission is reluctant to support the project in Kaunas.
Environment Minister Kęstutis Trečiokas said that the Commission believes Lithuania already has enough waste incineration capacity and only supports the plan to build cogeneration plant in Vilnius.
However, Prime Minister Algirdas Butkevičius disagreed with the Commision saying: “Our position remains the same - Lithuania needs two power stations, because we see it as a further way to reduce the price of heat both for Vilnius and Kaunas residents.”
He said the Vilnius power plant could be built by the end of 2018 and the plant in Kaunas – a year later.