LVM to hold additional auction for heating wood and wood chips

AS "Latvijas valsts meži" (LVM) has announced an additional auction offering wood and wood chips for heating purposes. The auction is planned for the fourth quarter of 2026 and aims to reduce strain on the local fuel market.

Climate and Energy Minister Jānis Vitenbergs (NA) met with LVM representatives to discuss preparations for the upcoming heating season and the availability of fuel resources. It was decided that LVM would conduct additional sales to help stabilize the market.

LVM offers two types of raw materials used in pellet production: industrial wood and energy wood chips. Energy wood chips are a byproduct of forestry that would otherwise remain in the forest or ditches. Since the fuel price shocks of 2022, LVM has been working to efficiently convert logging residues into local fuel.

Demand for LVM's raw materials is unusually high. A large portion of the resource has already been allocated in semi-annual auctions, and favorable weather conditions have allowed the company to meet its extraction plans. LVM plans to offer one of the historically largest volumes of energy wood chips in the auction, along with firewood supplies.

The Ministry of Climate and Energy emphasizes that the availability of local fuel is crucial for Latvia's energy security. The ministry will continue to monitor the situation and, if necessary, implement additional measures, including the possibility of emergency regulations.