Finland – Fortum and the National Emergency Supply Agency (NESA) signed an agreement aimed to reserve the production of the Meri-Pori coal condensing power plant for severe disruptions and emergencies. This strategic move is designed to ensure the security of supply in Finland’s electricity grid during critical times.
The agreement, set to be in effect from March 1, 2024, until December 31, 2026, empowers NESA to have a standby power source for extreme situations. Operating the Meri-Pori power plant, located in Tahkoluoto, Pori, Finland, will be primarily reserved for instances where energy security is at risk. Fortum, the energy company behind the plant, will maintain ownership, while Caverion Industries will handle the operation and maintenance. Importantly, this arrangement is not anticipated to impact the plant’s workforce; the 40 employees are expected to continue their roles unaffected.
Energy crisis preparedness
The significance of this agreement becomes more apparent when considering the broader energy landscape and Fortum’s new strategic direction. The company has committed to delivering clean energy and driving decarbonization in Nordic industries. This includes an ambitious goal of completely phasing out coal-based power generation by the end of 2027.
The Meri-Pori power plant has operated within Finland’s peak-load reserve system between 2017 and 2022, reflecting its lack of commercial viability over the years. However, its contribution during the energy crisis of the past winter, when Finland’s Olkiluoto 3 nuclear power plant was initiating commercial operations, underscores its role in enhancing the resilience of Finland’s energy system.
National security
The agreement extends beyond the business perspective and aligns with Finland’s commitment to national security and preparedness. Finland is focused on addressing significant changes in security threats and preparing for large-scale hybrid threats to the country. By ensuring significant electricity production capacity in case of severe crises and disturbances, this initiative plays a crucial role in safeguarding Finland’s energy security.
It’s worth noting that Meri-Pori plant’s deployment and participation in the spot market have been primarily driven by high electricity prices, making it an asset reserved for emergencies and peak demand. The plant, operational since 1994, is the last coal-fired condensing plant in Finland, with a power generation capacity of 565 MW.
