Existing Policy & Strategy as well as new tendency in renewable energy sources (RES) use in Latvia will be presented in the paper. The main directions of the energy policy are aimed at improving the security of energy supply of the country by encouraging diversification of supplies of primary energy resources. Creation of competition conditions, promotion of use of renewable and local energy resources and environmental protection also play a substantial role. In accordance with the Latvian “Law on the Energy Performance of Buildings” environmental and economic considerations, as well as binding regulations of the local government and other regulatory enactments, shall be taken into account in designing buildings, in order to evaluate the possibility to use as an alternative solution in these buildings systems, in which RES are used. Paper will describe good experience and practice of this Policy and Strategy. Papers will describe the geothermal energy and solar energy using opportunities in Latvian conditions. Recommendations for new legislation on RES effective and rational use will be presented. The main directions of the energy policy are aimed at improving the security of energy supply of the country by encouraging diversification of supplies of primary energy resources. Creation of competition conditions, promotion of use of renewable and local energy resources and environmental protection also play a substantial role. The main objectives of the energy policy are to ensure sustainable accessibility to necessary energy resources and security of supply in order to foster economic growth and improve quality of life; to ensure environmental quality retention and meet the objectives set in the Kyoto protocol of UN FCCC and Latvian Climate Change Program on GHG emissions reduction for years 2005 – 2010.