BluOr Bank grants EUR 1.3 million financing for modernization of district heating infrastructure in Ogre Municipality

BluOr Bank has provided EUR 1.3 million in financing to MS Siltums Ltd., a municipal utility company owned by Ogre Municipality, to support the construction of a new district heating pipeline in Lielvārde. The financing will cover construction and construction supervision costs, contributing to the development of sustainable district heating infrastructure and improved energy efficiency in the municipality.

MS Siltums is responsible for heat generation and supply across Ogre Municipality, relying primarily on renewable energy sources. As a key operator of the municipality's district heating network, the company is systematically modernizing its infrastructure by replacing outdated natural gas-based boiler houses with more environmentally friendly technologies. These investments help reduce both environmental impact and heating costs for residents.

The project will involve the construction of a 2,735-metre district heating pipeline connecting the biomass boiler plant at 16 Edgara Kauliņa Avenue with an area of Lielvārde that is currently supplied by individual natural gas boilers. The new connection will enable five major heat consumers to join the centralized district heating network, optimize the utilization of the biomass boiler plant, and significantly reduce the use of fossil fuels. According to project estimates, CO₂ emissions will decrease by approximately 70% following the project's completion.

"Investment in municipal infrastructure is a long-term investment in residents' quality of life and the competitiveness of local communities. We are committed to supporting projects that improve the quality of public services, accelerate the transition to sustainable energy solutions, and generate lasting economic benefits for municipalities. We are pleased to partner with Ogre Municipality and MS Siltums on this project, which will deliver tangible benefits for both residents and the environment," says Dmitrijs Latiševs, Chairman of the Board of BluOr Bank.

The project builds on previous investments in the modernization of Lielvārde's district heating system, which have already enabled a transition from fossil fuels to renewable energy sources. The new district heating pipeline will further improve the efficiency of the existing infrastructure, reduce heat losses, and strengthen the long-term sustainability of the municipality's centralized heating system.