Latvia’s state-owned electricity distribution system operator, AS Sadales tīkls, announced plans on February 26, 2026, to invest 163 million euros in upgrading the nation’s power grid by 2030, aiming to increase capacity by 200 megawatts (MW). The expansion is intended to accommodate a projected surge in electricity demand driven by the increasing adoption of electric vehicles and renewable energy sources.
The investment, largely funded by European Union support, will focus on both recent infrastructure and modernization of existing facilities. Current projects slated for completion in mid-2026 include the construction of a new 110/20 kV substation in Launkalne and upgrades to existing substations in Dobele, Olaine, Valmiera, Jēkabpils, and Acone. According to a procurement notice, the construction of the Launkalne and Saldus substations is the subject of a current contract.
Beyond these immediate projects, Sadales tīkls intends to install 285 remotely controlled switches to improve fault localization and reduce outage durations. The company also plans to deploy solar panels on 700 transformer buildings, contributing to its own renewable energy generation and potentially reducing operational costs. A significant portion of the investment will be directed towards establishing 2,060 new connection points to support the growing electric vehicle charging infrastructure and the integration of microgeneration facilities, such as rooftop solar panels.
The grid modernization will also involve the construction of over 300 kilometers of new power lines. These upgrades are designed to align with the Trans-European Transport Network (TEN-T) initiative, facilitating the development of high-capacity charging corridors for electric vehicles across the region.
According to Sandis Jansons, Chairman of the Board of Sadales tīkls, the planned expansion is a response to anticipated shifts in energy consumption patterns. “European energy development trends suggest that by 2050, the share of electricity in total energy consumption will triple — from 20 per cent to approximately 60 per cent,” Jansons stated. “This, of course, means purposeful and extensive investments in infrastructure.”
Jansons further indicated that the current investment is only a preliminary step, estimating that Latvia will require approximately 430 million euros in funding for electricity grid development during the next EU funding planning period. Sadales tīkls, established in 2007 as a result of EU directives aimed at liberalizing the electricity market, is wholly owned by AS Latvenergo. The company is responsible for maintaining and developing the electricity grid throughout Latvia, serving a wide range of customers from households to industrial facilities. Customers can manage their accounts and submit meter readings through the Sadales tīkls customer portal, e-st.lv.
The company recently issued a warning regarding fraudulent activity, alerting customers to individuals falsely claiming to be Sadales tīkls employees who are demanding cash for meter replacements. The operator also recently launched a skiču konkursu (sketch competition) for Latvian art schools to design artwork for its transformer substations.
