According to Elering, the Estonian transmission system operator, refurbishing existing oil shale power plants is currently more economical than constructing new gas plants. The government plans to announce a new gas plant tender in two to three years, aiming to add 1,000 megawatts of dispatchable electricity generation capacity to Estonia over the next decade. However, until then, Elering believes that operating the older oil shale plants will be less costly compared to establishing new gas facilities.

This situation reflects the ongoing energy transition in Estonia, where the government is weighing its options in balancing environmental concerns with economic viability. The delay in gas plant developments may have implications on Estonia's energy independence and security as it continues moving away from fossil fuels.

The cost dynamics of renewable energy projects versus traditional fossil fuel infrastructures will be critical for policymakers. The insights provided by Elering regarding the cost-effectiveness of oil shale versus gas power are essential for informing strategic decisions that could lead to sustainable energy solutions in Estonia, considering both financial and environmental factors.