Norway and Latvia Sign MoU to Develop Green Hydrogen Production Facility in Liepāja
Source：fuel cells works
On 1 December, at the Embassy of the Kingdom of Norway, in the presence of the Minister for Climate and Energy Kristaps Melnis, representatives of the Ministry of Economics, the Prime Minister’s advisor, and officials of the Liepaja municipality, a Memorandum of Understanding was ceremonially signed between the hydrogen producer and terminal operator CIS Liepaja Ltd. and the wind energy producer Vindr Latvia Ltd. Its aim is to explore long-term renewable energy supply possibilities through the national electricity grid for the new green hydrogen production facility in Liepaja. It appears to be an important step towards one of Northern Europe’s largest and most advanced green hydrogen initiatives –creation of a renewable energy complex and green hydrogen plant in the Liepaja Special Economic Zone territory.
A long-term agreement between an electricity producer and a buyer for the supply of green energy over a specified period and at a pre-agreed price would provide stable and predictable energy deliveries to the buyer. At the same time, it would allow the producer to ensure long-term returns on investments in renewable energy projects and provide significant support for renewable energy development, strengthening Latvia’s energy independence and helping companies achieve decarbonization goals.
As previously reported, CIS Liepaja Ltd., which brings together Norwegian and Latvian companies, plans by 2030 to build one of the largest and most advanced green hydrogen production facilities of the Northern Europe in the Liepaja Special Economic Zone, investing more than EUR 550 million and creating at least 100 new jobs. The plant is expected to produce around 150,000 tons of green hydrogen annually. A significant share of this will be exported to Germany and other EU Member States, supporting Europe’s transition to a carbon-neutral economy. CIS Liepaja aims to attract more than EUR 1.2 billion in EU investment, while projected revenues upon full project development will exceed EUR 600 million per year.
“Green hydrogen is not just an energy carrier – it is becoming one of the cornerstones of the green transition. Global interest in renewable resources is growing, and this opens opportunities for Latvia to play an important role in the future clean-energy economy. In projects of this scale, close cooperation among all participating parties is crucial. We greatly appreciate both local and national support for the implementation of this project. Predictable regulations, stable governance, access to renewable resources and proximity to continental European markets, combined with an industrial strategy for the use of green hydrogen, create an attractive environment to develop one of Europe’s most competitive and sustainable hydrogen sectors here,” emphasizes Tor Arne Pedersen, CEO and Board Member of CIS Liepaja.
“Vindr is proud to support Latvia’s transition to clean, locally produced electricity. Our wind parks in Kurzeme and Latgale will provide reliable, certified renewable energy, create new jobs, and promote regional economic development, while strengthening energy security and reducing import dependence. We are currently developing a renewable energy project portfolio of 900 MW in Latvia, and this is the first agreement in the country providing for a 150 MW supply for green hydrogen production. Through long-term cooperation with CIS Liepaja, we are helping to develop new industries, such as hydrogen production, and contribute to a stronger, greener, and more competitive Latvia. Together, we are transforming renewable energy into a driving force for sustainable growth and prosperity,” says Jan-Olav Øderud, CEO and co-founder of Vindr.
“The green transition is a crucial global challenge, and green hydrogen plays a key role in it. Norway is proud to be one of Europe’s leaders in green hydrogen production, and projects like the cooperation between CIS Liepaja and Vindr in Liepaja vividly demonstrate the strong partnership between Latvia and Norway. This is a remarkable joint project between both countries, full of energy and potential to promote innovation, sustainability, and economic growth across the region,” says Ine Måreng, Ambassador of Norway to Latvia.
New technologies, closely linked with renewable energy resources, open unprecedented opportunities for the growth of Latvia’s economy, strengthening international competitiveness and independence. The green hydrogen plant will establish Liepāja as a strong partner and an important hub on Europe’s economic map.
“Energy independence and energy security are important strategic priorities for our government. It is essential to develop energy production projects with reliable partners committed to operating in Latvia for decades. We value energy independence and affordable energy for residents and businesses, which is why we support the joint project of CIS Liepaja and Vindr,” adds Kaspars Melnis, Minister for Climate and Energy.
Liepaja was chosen as the location for the green hydrogen plant after evaluating the advantages offered by the port, recommendations from the Norwegian Embassy in Latvia, and the high-quality business environment. Liepāja offers a unique combination of advantages: stable infrastructure, access to renewable electricity, fresh water, and industrial land, and a political climate supportive of sustainable industry.
“We are pleased that this project is being implemented in Liepaja – a city that is rapidly developing and moving towards its ambitious goal of becoming climate-neutral by 2030. We have been working together on this project for several years and much has been accomplished. The signing of the Memorandum of Understanding is a significant step toward project implementation,” says Uldis Hmieļevskis, Member of the Liepaja City Council and CEO of the Liepaja Special Economic Zone.
About the Memorandum Signatories
CIS Liepaja Ltd., which brings together Norwegian and Latvian companies, is a member of the Norwegian Latvian Chamber of Commerce and the German Latvian Chamber of Commerce. Its goal is to facilitate the supply of CO₂-neutral energy to the EU internal market, including Latvia. The CIS Liepaja hydrogen production project in the Liepaja Special Economic Zone has been recognized as a nationally significant strategic investment project.
Vindr was founded in 2019 with the aim of developing wind energy projects in Norway and Sweden and becoming a leading renewable energy producer in Northern Europe. Since then, it has expanded its operations across the Nordic and Baltic regions. Vindr Latvia Ltd. is developing a more than 900 MW onshore wind energy project portfolio, focusing on long-term cooperation projects and bringing international experience and financing to them.