Estonia's Environmental Board has granted temporary exemptions to two heat producers, allowing them to replace natural gas with shale oil from November 1 to April 30, 2027.
What happened
The exemptions were granted to Enefit Power in Narva and Utilitas in Tallinn, enabling them to use shale oil as a cheaper alternative to natural gas, which has seen elevated prices on the global market.
Shale oil is expected to reduce costs, but consumers will still bear the costs of procurement, transportation, and handling, which may offset the savings.
The Environmental Board has attached conditions to the exemptions, requiring producers to monitor quantities and operating hours, notify the board when they start and stop using shale oil, and carry out additional checks and sampling.
Producers are seeking to ensure continuity of district heating and reduce the risk of gas supply disruption, while the government aims to keep the oil-shale sector alive despite EU emissions trading rules.
