Population and demographic structure

Viru-Nigula municipality, presents a demographic profile that reflects its position as a rural municipality with some industrial characteristics due to its coastal location and proximity to larger towns like Kunda.

As of the latest available data, the population of Viru-Nigula municipality is: 5535 inhabitants. This figure reflects the ongoing demographic trends affecting many rural areas in Estonia, including a gradual population decline over recent decades.

Viru-Nigula has a slow but steady decrease in population over the past few decades, a trend common to many rural municipalities in Estonia.

Based on demographic data, the Total Dependency Ratio (TDR) for Viru-Nigula municipality stands at 78.7%.

Economy

Viru-Nigula shows moderate employment indicators, with an unemployment rate of 3.75%. As of 2024, the municipality has 211 registered unemployed persons out of its working-age population of 3,151. This unemployment rate is higher than many municipalities in our study group but remains moderate for a rural municipality.

The economic development of Viru-Nigula Municipality reflects a pattern of growth and resilience, consistent with regional and national trends. Between 2010 and 2018, Viru-Nigula experienced a steady increase in its Gross Domestic Product (GDP), achieving cumulative growth of approximately 18%. This outpaced the 12% growth observed in Lääne-Viru County and the 10% growth at the national level during the same period.

The Gross Disposable Income (GDI) of Viru-Nigula Municipality has demonstrated mixed trends over the past two decades. Between 2002 and 2014, GDI in the municipality declined by 20%, reflecting broader regional economic challenges. However, from 2014 to 2020, GDI grew by 14%, driven by recovery efforts and industrial diversification. This growth rate aligned closely with that of Lääne-Viru County (13%) and slightly exceeded the national average (12%). The pandemic in 2020 caused a temporary dip in GDI by 5%. Despite this, Viru-Nigula’s income per capita remained competitive within the region, standing at approximately 11,200 euros in 2020—slightly above the county average of 10,900 euros but below the national average of 12,300 euros.

Energy resources

Viru-Nigula Municipality is a leader in Estonia’s transition to renewable energy, leveraging its natural resources to produce significant amounts of wind and solar power. The municipality has established itself as a hub for sustainable energy production, contributing to regional and national goals for energy independence and reduced carbon emissions.

The wind energy sector in Viru-Nigula is a cornerstone of its renewable energy strategy. The municipality boasts an installed wind power capacity of 120 MW, distributed across 38 modern wind turbines strategically located in its coastal areas. These turbines generate an estimated 320,000 MWh of electricity annually, enough to power tens of thousands of households. Viru-Nigula’s wind farms account for approximately 6% of Estonia’s total wind energy production, underscoring its pivotal role in the national energy landscape.

In addition to wind energy, Viru-Nigula has invested in solar energy infrastructure. Several solar parks within the municipality contribute to the diversification of its renewable energy portfolio. By 2023, these installations had a combined capacity of 15 MW, with an annual production of approximately 18,000 MWh. This growth reflects the municipality’s commitment to adopting cutting-edge technologies and optimizing the use of its available land and resources.

In 2023, electricity consumption in Viru-Nigula Municipality totalled 21,500 MWh. Of this, households accounted for 8,200 MWh, while the service sector consumed 5,600 MWh. Industrial facilities, particularly those in manufacturing and logistics, accounted for the remaining 7,700 MWh. The municipality’s renewable energy production vastly exceeds local consumption, making it a net exporter of green energy to other parts of Estonia.