The power system is undergoing a big change that affects everyone and often affects us in many different roles — as household consumers, electricity producers, planning and permitting authorities and, for example, as funders of investments.
The current questions relate to climate change mitigation, emissions reduction, electricity production and consumption, transport and heating electrification, land use, nature values, competitiveness and vitality of the regions.
The production of clean electricity and investments based on its utilisation have been identified as important in the construction of Finnish economic growth and well-being at the local and national level.
Electricity production has been rapidly cleaned up thanks to new wind power and additional nuclear power. Last year, the share of zero-emission production in Finland was 95%.
Based on the connection surveys received by Fingrid and the estimates made, Finland’s electric future looks bright. The increase in consumption has been minor so far, but last year there was finally a turn towards a slight increase.
Municipalities play a key role in enabling the energy transition and the necessary investments, as they are responsible for town planning and the necessary permits. Electricity production and industrial investments are important sources of tax income and also employment for municipalities. They also bring rent, salaries and other income to the municipalities.
Power production and industrial investments require a connection to the grid and sufficient transmission capacity. The rapid growth in connection and transfer capacity needs has exceeded previous estimates. The reason is a significant difference in the time horizons of network construction, manufacturing and industrial
investments. Network construction takes an average of 7–8 years, while battery energy storage facilities or electric boiler investments only take 1–2 years to complete.
The vicinity of electricity networks is one competitive advantage when looking for locations suitable for production or industrial investments. Often investments require the development of the grid, and due to the long-term nature of network projects, early contact is of paramount importance.
At Fingrid, we work for customers and society. Together, we can find the best alternatives for locating projects and enabling investments based on clean energy.
Asta Sihvonen-Punkka
CEO
Fingrid
