In August, the Ministry of Climate told ERR that the planned terrestrial wind power auction was awaiting government approval. But by October, it emerged that Eesti 200 had been holding it back. Party leader Kristina Kallas said the government first needs to agree on how to support electricity storage and offshore wind development before moving forward with land-based subsidies.

Minister of Energy and Environment Andres Sutt (Reform) said on ERR's "Uudis+" program Friday that, since wind park zoning has stalled in many municipalities, it will now be necessary to review — post-elections — how many local councils are willing to support such projects.

"A renewable energy auction can only move forward once we're confident that local councils are open to supporting wind energy development," Sutt said.

Asked whether this means there is currently no set date for the auction, Sutt confirmed that he could not name one.

"I can't tell you today how many municipalities in Estonia are actually willing to support wind development in their area. We need to clarify that first, hear what the councils think and then make decisions based on that," he said.

Meanwhile, work continues on what's known as a loan guarantee scheme for energy projects, which Sutt previously discussed with ERR in early October. The latest draft of the National Energy and Climate Plan (ENMAK) also includes a provision to establish "long-term financing solutions" from the state to ensure investor confidence for those planning offshore wind farms, nuclear plants or pumped-storage hydropower facilities in Estonia.

"We're moving forward with that," Sutt said. "We're not creating a state guarantee scheme tailored to any one company — whether it's a pumped-storage project, a nuclear plant or an offshore wind farm. What we're developing is a general framework that any of these could benefit from. But there are a few conditions. First, developers have to secure co-investors. Once they do, they can approach banks for financing."

"There's still a lot of homework for developers to do before we reach the point where a state guarantee is even on the table," he added. "And once we do, the entire scheme must also get project-specific state aid approval from the European Commission."

The draft subsidy scheme for terrestrial wind was completed by the Ministry of Climate in June but has been awaiting cabinet approval ever since. The planned auction would cover 1 terawatt-hour of wind energy, with the option to expand to 2 terawatt-hours if there is strong interest. Production must begin no later than December 31, 2029. The support period would last 12 years from launch, with a cap of €20 per megawatt-hour.

The government has already scrapped its offshore wind subsidy scheme, a decision made earlier this year.

Under the new ENMAK, the state will end operational subsidies in the energy sector altogether. The land-based wind auction is expected to be the final major support measure.

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