Utilitas starts operations in Paide and Valka

After approval from the Estonian and Latvian competition authorities, Utilitas acquired renewable energy-based district heating businesses in Paide and Valka from Enefit Green. The transaction was completed today, March 1, 2024.

Utilitas is the largest producer of renewable energy in Estonia. In addition to producing green electricity, it now offers district heating services in nine Estonian cities: Tallinn, Maardu, Haapsalu, Rapla, Valga, Keila, Jõgeval, Kärdla, and Paide. In Latvia, Utilitas is the largest producer of wind energy and is expanding its energy production portfolio there with the production of green electricity and heat in the city of Valka.

“In our climate, district heating is the most efficient and environmentally friendly way of heating in cities. It is a great pleasure to expand our operations to Paide and Valka, where we will continue to produce renewable electricity and heat. In Paide, we also deliver heat to our customers. The cogeneration of electricity and heat plays an important role in our region’s energy supply, both today and in the future. Our priority is also the renewal and expansion of networks, which will allow new customers to join the convenient and secure district heating service,” explained Robert Kitt, the CEO of Utilitas district heating companies.

The acquired Paide and Valka district heating companies are in good condition and fit very well into the Utilitas district heating portfolio, as these are based on renewable sources. In Paide, electricity and heat are produced from local biomass in a cogeneration plant and a boiler house, and solar energy is also used for electricity production. The company has 21 employees, and heat is sold to 226 buildings. Valka’s district heating company includes a biomass-based cogeneration plant and reserve boiler houses. The company has ten employees, and heat is sold to customers by a company owned by the city of Valka.

“We received well-maintained companies with highly competent staff from Enefit Green. All services will continue in both cities, and all employees will continue their careers in Utilitas. As an important step, we will install a remote reading system on the heat meters of all our customers’ buildings in Paide. This will end the manual transmission of readings and helps to better control the district heating system,” added Kitt.