Latvia puts ban on electricity trade with Russia into law, will continue exchange for balancing

RIGA. May 26 (Interfax) - Latvia's parliament on Thursday passed amendments to the law on the electricity market that enshrines the ban on transactions to trade electricity with Russia and Belarus.

The amendments also ban supplies for electricity for trade using the energy systems of Russia and Belarus. The bill was drafted in line with international sanctions that prohibit further financial cooperation with a number of companies registered in Russia.

However, in order to ensure the safety, balance and stability of electricity supply in Latvia's power grid until synchronization with European energy systems, the operator of the transmission system will be allowed to exchange balancing electricity with the operator of the Russian transmission system or a trader from Russia without carrying out financial settlements.

The system operator will have to ensure that the amount of balancing electricity received from Russia does not exceed the amount of balancing electricity transmitted to Russia.

Energy Ministry officials said earlier at a meeting of the parliamentary commission for the economy, agricultural and regional policy that there is now essentially no trade in electricity with Russia and Belarus based on a Latvian government decision dated October 11, 2022.