Minister of Finance: financial impact of the storm is estimated to be approximately EUR 17 million – ESO initiates the compensation process
A preliminary assessment of the consequences and financial impact of the storm that hit the country was presented to the Minister of Finance Taurimas Valys. The overall financial impact is estimated to be approximately EUR 17 million. The information was presented by AB Ignitis Group and its subsidiary company Energijos skirstymo operatorius (ESO).
“Preliminary calculations allow the assessment of the scale of the disaster and its financial impact. The most important thing now is to complete the restoration of the electricity supply as soon as possible and to ensure that the compensations due to customers are promptly paid out. ESO informed that it plans to process the submitted applications for direct losses and pay compensations within one month”, Minister of Finance T. Valys said.
It is estimated that the restoration of the electricity network will cost about EUR 10 million, and another EUR 5 million will consist of legal compensations for customers (for exceeded 72-hour time limit). An additional EUR 2 million (for food, fuel, generators, etc.) is planned for compensation of direct losses on ESO’s own initiative. These calculations will be further refined as the damage assessment and network restoration work is still ongoing. On Tuesday morning, there were still 17 thousand consumers without electricity.
Two types of compensation are foreseen for customers
Customers to whom, due to the consequences of the storm, electricity supply was not restored within 72 hours, shall be entitled to legal compensation for exceeding the time limit foreseen for the resumption of electricity transmission. Customers do not need to apply for this compensation, as ESO will calculate it on the basis of the data available on the time of interruption and recovery of the transmission of electricity for the specific facility and on the basis of the transmission service charges.
Moreover, private customers for whom the electricity supply has not been restored within 72 hours will also be compensated for direct losses caused by the electricity supply disruption in a simplified manner. Applications for these losses from 1 September can be submitted via ESO self-service, by electronic or ordinary mail.
The application will have to be accompanied by documents justifying the costs or damage, e.g. documents for the rental or purchase of an electric generator, fuel purchase receipts, photographs of damaged food products, refrigerators or freezers and other evidence justifying the damage. The application will have to be submitted by the owner of the facility where the power supply was disrupted.
A specific network resilience plan is pending
Last week, the Ministry of Finance officially applied to AB Ignitis Group with a request to prepare and submit a plan of measures to strengthen the resilience of the electricity distribution network to ESO. It will provide for preventive measures to protect physical and technological infrastructure against extreme natural events.
Ignitis Group is also requested to assess whether the current volumes of replacement of overhead power lines with underground cables are sufficient, what additional or alternative protection measures could be applied in forested, hard-to-reach and high-storm risk areas, also to assess the need for funding need for these measures.
AB Ignitis Group and ESO must submit a detailed report and long-term solutions and their implementation plan to the Ministry of Finance on 9 September.
Last updated: 01-09-2026