The Baltics’ first renewable fuel plant
The Port of Riga, in partnership with Ukrainian investors, is set to build the Baltic region’s first renewable fuel plant, which will produce hydrotreated vegetable oils (HVO) and sustainable aviation fuel (SAF). The facility, expected to be finished in the next 20 months and aligned with EU Green Deal goals, will create 120 jobs, support Latvian farmers by ensuring a stable demand for crops, and reduce dependence on imported renewable fuels, benefiting airBaltic with cost-effective fuel supplies.
The renewable fuel plant represents a significant step towards energy independence in Latvia and its capital, Riga. While HVO and SAF are hailed as promising alternatives to fossil fuels, critics, such as the environmental NGO Deutsche Umwelthilfe, claim that crop-based biofuels can be as harmful to the climate as fossil fuels because they require vast croplands, which could otherwise be used for nature restoration. The industry disputes this claim, citing the strict EU standards under the EU Renewable Energy Directive and benefits to their use such as reduced reliance on imported animal feed, a biofuel by-product.