Estonia plans up to €5 million for municipalities permitting wind farms

Estonia plans to offer municipalities up to €5 million each to encourage wind farm development, ERR reported. Energy and Environment Minister Erkki Keldo has sent a draft regulation for review establishing the support scheme, called the Wind Boost bonus.

Municipalities could apply for the first part of the support after adopting a plan for a wind farm, and the second after construction permits are issued for the turbines. Eligibility requires an adopted plan providing for at least five turbines.

The funding could be used for local projects, including renovating schools and other public buildings, building cycle paths, developing local energy and storage solutions, and improving crisis preparedness.

The scheme is planned to have at least €12 million available in 2027 and 2028. It would be financed through the sale of emissions allowances, with up to €12 million coming from that source, and from the state budget.

The bonus would not require a municipality to adopt a wind farm plan or issue construction permits. Existing requirements, including necessary studies, environmental impact assessments and public consultation, would remain in place, the ministry said.

The scheme would not replace the wind turbine fee, which provides municipalities and residents with annual income throughout a wind farm’s operating life. The bonus is intended to provide local benefits earlier, during the planning and permitting stages.

Keldo said onshore wind was among the least expensive ways to generate electricity in the coming years and could help reduce reliance on imported fossil fuels. He said the bonus was intended to help ensure that wind farm development brought practical benefits to local communities.