Renewable Energy Sources in Finland 2002

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OPET Finland
ENERGIE
Renewable Energy Sources in
Finland 2002
OPET Report 9
OPET FINLAND
Jyväskylä 2002
PRO2/T6509/02
Renewable Energy Sources
in Finland 2002
OPET Report 9
Eija Alakangas
OPET Finland – VTT Processes
JYVÄSKYLÄ 2002
Copyright ©OPET FINLAND 2002
PUBLISHERS
Technical Research Centre of Finland (VTT), Processes
Koivurannantie 1, P.O.Box 1603, FIN–40101 Jyväskylä Finland
phone internat. + 358 14 672 611, fax + 358 14 672 598
Motiva Oy
Information Centre for Energy Efficiency and Renewable Energy Sources
Urhokekkosenkatu 4-6, P.O.Box 489, FIN-00101 Helsinki
Phone internat. +358-9-8565 3100, fax +358-9-8565 3199
National Technology Agency, Tekes
Kyllikinportti 2, P.O. Box 69, FIN-00101 Helsinki
Phone internat. +358-10-52151, fax +358-10-521 5905
This publication is available as PDF-format at Internet: www.tekes.fi/opet
KOPIJYVÄ, JYVÄSKYLÄ 2002
Alakangas, E. Renewable energy sources in Finland, 2002, OPET Report 9. OPET Finland. Jyväskylä
2002, 51 p. + app. 20 p.
Keywords
renewable energy sources, Finland, solar energy, bioenergy, hydropower, heat pumps,
biogas, wood fuels, wind energy
Abstract
Approximately 30% of Finland’s total energy consumption is met by using indigenous
energy sources. Wood, hydropower and other biomass accounted for roughly 25% of
Finland energy supply in 2000 (1 318 PJ). This is one of the highest figures among the
leading industrialised nations (EU average being 6%) and makes Finland the leading
country in the use of biomass.
Bioenergy is accounting for 85% of renewable energy sources (328 PJ) in 2000. In
Finland, the main provider and user of wood-based energy is the forest industry, which
obtains wood fuels at a competitive price in connection with raw material procurement
or as a by-product of wood processing. About 35 million m3 solid of wood (271 PJ) is
used annually in Finland for energy production, covering 20% of the total consumption
of primary energy. Most of the wood-based energy is recovered from liquid and solid
industrial wood residues. Forest fuels comprise only a modest share.
Increasing the use of renewable energy sources is one of the main objectives of the
National Climate Strategy. Measures aimed at achieving this goal are presented out in
the framework of the Action Plan for Renewable Energy, and should culminate in
approximately one quarter of the total reduction target of Finland’s greenhouse
emissions in 2010. The objective in energy use is to bring an increase of about 50% in
the use of renewable energy by 2010 compared to that in 1995. The Action Plan for
Renewable Energy given by the Finnish Ministry of Trade and Industry in 1999. In
2002 revised Action Plan for Renewable Energy for 2003 – 2006 the working group sets
the objective of increasing the use of renewable energy sources by another 7% by 2010.
The greatest potential in this regard lies in the increased use of wood for heat production
and for combined heat and power production in both industry and the municipal districtheating sector. Key promotion measures are development of technology and
commercialising of new technology, energy taxation, investment subsidies, and
dissemination of information. Investment subsidies are targeted primarily at production
plants employing new technology solutions.
This report is a summary of the current situation and future plans of renewable energy
sources in Finland.
4
Preface
This report is a summary of the current situation and future plans of renewable energy
sources in Finland, published by OPET Finland. OPET Finland is a part of the OPET
Network - Organisation for the Promotion of Energy Technologies. It operates under the
EU 5th Framework Programme for Research and Development, as part of the Energy,
Environment and Sustainable Development Programme. More than 100 organisations
from 48 countries, both in Europe and elsewhere, are participating in the network. The
aim is to promote the application of new energy technologies by various measures.
OPET Finland is a co-operation organ of National Technology Agency, Tekes, Motiva
Oy, and VTT Processes.
VTT has prepared this report based on the material and comments received from the
following experts: Ms. Marjatta Aarniala, Tekes (R&D funding), Mr. Ilari Aho, Motiva
Oy (heat markets), Ms. Satu Helynen, VTT (bioenergy), Mr. Jussi Hirvonen, Finnish
Heat Pump Association SULPU (heat pumps), Mr. Kari Hämekoski, Electrowatt-Ekono
(green electricity), Mr. Ville Kuittinen, Joensuu university (biogas), Ms. Päivi Laitila,
Motiva Oy (information and dissemination), Mr. Pentti Leino, Electrowatt-Ekono
(energy prices), Mr. Aleksi Lumijärvi, Electrowatt-Ekono (green electricity), Mr.
Tomas Otterström, Electrowatt-Ekono (green electricity), Mr. Esa Peltola, VTT (wind
energy), Mr. Mika Pohjola, Electrowatt-Ekono (RES legislation), Mr. Johan Wasberg
Arctic OPET (solar energy), and Mr. Pertti Väisänen, Electrowatt-Ekono Oy (biogas).
Mrs. Eija Alakangas, VTT, and Ms. Irmeli Mikkonen, Motiva Oy, collected the lists of
renewable energy organisations in Finland.
Jyväskylä, 2002
5
Contents
Abstract..............................................................................................................................4
Preface ...............................................................................................................................5
List of symbols and terms..................................................................................................8
1. Introduction................................................................................................................10
2. National energy policy...............................................................................................11
2.1 Energy economy in Finland..............................................................................11
2.2 Targets of energy policy...................................................................................12
2.3 Measures to implement energy policy..............................................................15
2.3.1 Research and development .........................................................................15
2.3.2 Energy taxation...........................................................................................16
2.3.3 Investment grants........................................................................................18
2.3.4 Support for forestry and agriculture sector .................................................19
2.3.5 Information dissemination and training......................................................20
3. Renewable energy sources in the Finnish energy markets ........................................22
3.1 Bioenergy – significant renewable energy source in Finland ..........................22
3.1.1 Use of renewable energy sources................................................................22
3.1.2 Wood fuels..................................................................................................24
3.1.3 Agricultural biomass...................................................................................26
3.1.4 Waste to energy ..........................................................................................28
3.2 Electricity markets in Finland ..........................................................................30
3.3 Use of renewable energy sources in electricity production..............................33
3.3.1 Biomass in electricity production ...............................................................33
3.3.2 Hydropower ................................................................................................36
3.3.3 Wind power ................................................................................................37
3.3.4 Green electricity and green certificates in Finland .....................................39
6
3.4
Heat markets in Finland....................................................................................40
3.4.1 District heating............................................................................................41
3.4.2 Use of wood fuels in space heating ............................................................43
3.4.3 Heat pumps .................................................................................................43
3.4.4 Solar heat and power...................................................................................44
4. Summary....................................................................................................................47
References .......................................................................................................................48
APPENDICES
App. A. List of renewable energy organisations in Finland
App. B. Legislative references
App. C. Use of wood in Finland in 2000
App. D. Competitiveness and costs of biofuels in Finland.
App. E. Wind turbines in Finland in 2002.
7
List of symbols and terms
Gigajoule (GJ)
Megawatt hour (MWh)
1 m3 solid
1 m3 loose
Unit referring to heat, 1 TJ= 1 000 GJ
1 PJ=1 000 TJ
Unit referring to electricity, 1 MWh=3.6 GJ, 1 TWh= 1000 GWh
unit referring to wood as solid cubic meter, » 7.2 GJ, » 2.5 m3 loose
unit referring to wood as loose cubic meter » 2.5–3.2 GJ
Bioenergy
Bioenergy refers to energy derived from biofuel /41/.
Biomass
Refers to the biodegradable fraction of products, waste and residues from agriculture (including vegetal
and animal substances) and forestry and related industries, as well as the biodegradable fraction of
industrial and municipal waste /13/.
Biofuel (=biomass fuel)
Fuel produced directly or indirectly from biomass. The fuel may have undergone mechanical, chemical or
biological processing or conversion or it may have had a previous use. Biofuel refers to solid, gaseous and
liquid biomass-derived fuels /41/.
Black liquor
Alkaline spent liquor obtained from digesters in the production of sulphate or soda pulp during the
process of paper production, in which the energy content mainly originates from the content of lignin
removed from the wood in the pulping process /41/.
CHP
Combined Heat and Power (CHP) or cogeneration is defined as an energy conversion process, in which
electricity and useful heat are produced simultaneously in one process. CHP is generated by several types
of CHP plants, such as conventional backpressure power plants, extraction condensing power plants, gas
turbine heat recovery boiler plants, combined cycle power plants and reciprocating engine power plants
/5/.
Green certificate system (GC)
Electricity from renewable energy sources is divided into two different products that can be sold
separately. Firstly, a supplier of electricity from renewable energy sources is able to sell this electricity on
the normal electricity market. Secondly, the supplier can sell the green certificates – or “embedded
characteristics” – on the green certificate market /33/.
Green electricity
Electricity produced by environmentally sound meathods. Green electricity often refers to electricity from
renewable energy sources. Electricity from combined heat and power (CHP) production is also usually
regarded as green electricity /33/
Firewood
Cut and split oven-ready fuel wood used in household wood burning appliances like stoves, fireplaces and
central heating systems. Firewood usually has a uniform length, typically in the range of 150 mm to
500 mm /41/.
Forest fuel
Wood fuel, in which the raw material has not previously had another use. Forest fuel is taken from the
forest and processed directly for energy use. Forest fuels can be fuels from logging and thinnings /41/.
Forest residues
Woody residues consisting of branches, tree tops, brushwood and small trees not harvested or removed
from logging sites in commercial wood stands, as well as material resulting from forest management
operations /41/.
Fuel wood; energy wood
Wood fuel, in which the original composition of wood is preserved /41/.
8
Logging residues
Woody biomass residues created during harvest of merchantable timber. Logging residues include tree
tops with branches and can be salvaged fresh or after seasoning /41/.
Log wood
Cut fuel wood, in which most of the material has a length of 500 mm or more /41/.
Peat
Peat is a material formed by decomposition of dead plant parts under very moist conditions. Peat material
is thus of biological origin. It is continuously formed in wetlands and decomposed in varying degrees by
biological and chemical processes with limited oxygen access. Peat is a local, indigenous, solid fuel,
which is used as milled or sod peat /23/.
Pellet
Fuel in the form of short cylindrical or spherical units. Fuel pellets are usually produced from cutter
shavings, dried sawdust and powder. Pellets are usually 8 - 12 mm in diameter and 10 - 30 mm in length,
with moisture content of less than 10% /23, 41/.
Pyrolysis oil
Liquid biofuel, which is produced in flash pyrolysis by heating wood (moisture content less than 10%) up
to 500 – 600 oC in a very short time. The organic particles are transformed into gas that is then converted
to a liquid (oil). Generally, the bio-oil yield is about 70 wt% /23/.
Recycled wood fuels
Recycled wood fuels include post-society wood fuels like demolition wood, wood casings and other
waste wood /23, 39/.
Refined fuel
Biofuel that has been treated mechanically or chemically to homogenise its properties. E.g., pellets,
briquettes and pyrolysis oil are refined fuels /23, 41/.
Renewable energy sources (RES)
Refers to renewable non-fossil sources (wind, solar, geothermal, wave, tidal, hydropower, biomass,
landfill gas, sewage treatment plant gas and biogas) /13/.
Sawdust
Fine particles created when sawing wood. Most of the material has a typical particle length of 1 to 5 mm
/41/.
Solid recovered fuel (SRF), recovered fuel (REF)
Fuels made of pre-sorted municipal, industrial and construction and demolition waste, excluding
industrial waste utilised by industry itself in energy production /38, 18/.
Wood chips
Chipped woody biomass in the form of pieces with a defined particle size produced by mechanical
treatment with sharp tools such as knives. Wood chips have a subrectangular shape with a typical length
of 5 to 50 mm and a low thickness compared to other dimensions /41/.
Wood fuels, wood based fuels, wood-derived biofuels
All types of biofuels originating directly or indirectly from woody biomass /41/.
Wood processing industry residues
Woody biomass residues originating from the wood processing as well as the pulp and paper industry,
like bark, cork residues, cross-cut ends, edgings, fibre board residues, grinding dust, particle board
residues, plywood residues, saw dust, slabs, and wood shavings /41/.
Wood shavings; cutter shavings
Shavings from woody biomass created when planing wood /41/.
Woody biomass
Biomass from trees, bushes and shrubs. Forest wood, wood processing industry residues, fibre board
residues, particle board residues, plywood residues, and used wood are woody biomass /41/.
9
1. Introduction
Finland is located in northern Europe. Almost its entire national territory is located
between 60 and 70 degrees northern latitude, and a quarter of its surface area lies north
of the Arctic Circle. One third of all people living north of the 60th parallel are Finns.
The mean annual temperature in Southern Finland is 4 to 5 oC, in Lapland –2 to +3 oC.
In January, the mean annual temperature in the northern two thirds of the country is –10
and –15 oC, in southern Finland it is –5 to –10 oC. Even in southern Finland, 30% of the
annual precipitation stems from snow, which remains on the ground for about four
months. In the winter season, there is a very limited amount of full daylight,
necessitating electric lighting until late morning and as of early afternoon. The growth
season is four months long. Correspondingly, the population-weighted average number
of heating degree days for Finland is 5 000, much higher than the figure for Sweden and
Norway (4 000). Thus, Finland has the coldest climate in Europe /9/.
Finland is large and sparsely populated: with 338 145 km2, it is the fifth largest country
in Europe and has a population of 5.2 million, i.e. 17 people per square kilometre. More
than two thirds of Finns live in urban areas; only 1.6% north of the Arctic Circle. More
than three-quarters (68%) of the country is covered by boreal coniferous forests, and
10% by lakes and other water systems; only 9% is cultivated area. Productive forestland
is the most valuable natural resource of Finland. The only indigenous energy resources
in the country are hydropower, wood, peat and wind energy. The forest and paper, metal
and engineering and chemical industries represent about 80% of Finland’s industrial
production. These industries are very energy-intensive, and the forest and paper industry
alone accounts for 63% of industrial energy consumption /9/.
Finland has one of the highest energy intensities in the EU, both per capita (6.03
toe/capita) and per unit of GDP. In 2000, GDP totalled 175 € billion, i.e., 25 337
€/capita, of which services (other industry) 62.1%, secondary production 34.2% and
primary production 3.7% /57/.
Finland’s general aim is to divert away from the export of primary products towards
more high-tech, high-value added exports. At present, the value of energy technology
exports amounts to some € 3 billion. Successful domestic export products include
equipment used in energy use, such as frequency converters and electric motors and
electric motors as well as products representing power production technology such as
diesel motors and steam boilers. Exports of wind power technology have also grown
swiftly /6, 33/.
10
2. National energy policy
2.1 Energy economy in Finland
One of the strengths of Finland’s energy economy is the variety of the production
structure. Increasing the use of renewable energy sources is an explicit goal of the
Finnish energy strategy. Renewable energy sources are important both in limiting
carbon dioxide emissions and for ensuring the security of Finnish energy supply.
Moreover, utilisation of renewable energy sources especially bioenergy has positive
effects on employment on the local level. In 2000, renewable energy sources accounted
for about 25% of all energy consumption in Finland (Fig. 1). The percentage of wood
energy was more than 20%, the rest of the renewables being mostly hydropower (Fig.
7). The share of renewables in energy consumption in Finland is the third highest
percentage in the EU, and as regards bioenergy, the highest one /3, 17/.
Coal
11.4%
Oil
26.8 %
Natural gas
10.7 %
Hydro power
3.9 %
Wood fuels total 20.5 %
Nuclear
power
17.9%
Black liquors 10.9%
Ind. wood residues 6.2%
fire wood 3.4%
Heat pumps 0.2%
REF 0.2 %
Others 0.5 %
Net imports of electricity 3.2 %
Peat
4.7 % Wind energy 0.021 %
Figure 1. Primary energy sources in Finland in 2000 (1 318 PJ) /17/.
In Finland, the world’s most northern industrialized nation, energy consumption per
capita is high. This is due to the severe climate, long distances, the high standard of
living and the structure of the industry. Industry consumes about half of all energy, the
bulk of which is used by the forest industry. Transport and space heating consume about
one fifth each. The final share includes domestic, agriculture, and construction business
(Fig.2) /14/.
11
Other 15 %
Industry
52 %
Transportation
14 %
Space heating
19 %
Figure 2. Total energy consumption by sector in 2000 (1 318 PJ)/17/.
2.2 Targets of energy policy
The National Climate Strategy, launched by the Finnish Government in 2001, highlights
the targets and measures to meet the Kyoto commitments in Finland. Annual emissions
during 2008 and 2012 should not exceed those in 1990, when they were equivalent to
around 76.5 million tons of carbon dioxide. In order to meet the climate change targets,
it is necessary to implement an energy conservation programme and a programme for
promoting renewable energy sources (reduction by RES 4 – 5 million CO2 tons).
Together these two programmes may account for about half of the targeted emission
reduction (Fig. 3). /1, 21, 33, 53/.
The Finnish Action Plan for Renewable Energy Sources was launched in 1999 and is to
be revised by a working group in end of the year 2002. It has the vision of doubling
utilisation of renewable energy sources by 2025, as compared to the situation in 1995.
By 2010, the use of renewable energy sources should be 50% higher than in the
reference year 1995. Their proportion will be roughly 30% of the total consumption. For
reaching the targets, wood-based fuels and recycled fuels play a leading role in Finland.
The increase in use of renewable energy sources will be obtained almost entirely from
bioenergy /1, 2/.
12
100
Mt CO 2 -ekv.
All greenhouse gases
80
60
Energy saving +
Increased used of renewables +
Other incentives in reduction
of greenhouse gases
Greenhouse gas from
coal and peat burning
Incentives in reduction of
greenhouse gases by
coal /natural gas /
nuclear energy
40
20
Statistics
Emissions 1990
0
1980
1985
1990
1995
2000
2005
2010
2015
Figure 3. Targeted emission reduction in Finland and role of renewable energy sources
and energy conservation /33/.
The total target of renewable energy use by the year 2010 has been increased by a third,
i.e., by 100 PJ compared to that in 2001. Compared to the present programme, the use
of renewable energy in 2010 would be more than 7% higher. The target for the year
2025 includes an increase of 2/3 compared to the present use of renewable energy /1/.
Development in the volume of spent liquors from wood-processing industries and of
wood fuels is not directly included in the Action Plan, as the volumes are dependent on
the production and production structure of forest industries. Hence, the development
assessments of their use are based on the development defined in the basic scenario of
the Ministry of Trade and Industry. Measures are neither focused on large-scale
hydropower (> 10 MW) in the new programme, but development estimates are included
in the targets of the programme /1/.
As regards the production and use of bioenergy, the essential object of the Action Plan,
targets have been set separately for small-scale use, forest chips, recovered fuels, biogas
and agricultural biomasses. In addition, targets are also proposed for the use of biofuels
in transports /1/.
The target set for power generation from renewable energy sources has been increased
to meet the target of RES-E Directive /13/, according to which the share of electricity
generated from renewable energy sources should be 31.5% in 2010. The target (29.3
TWh) has been raised by about 2 TWh. The targets of different modes of electricity
generation are in conformity with those of the present programme /1/.
13
Table 1. Targets for renewable energy sources in Finland in 2005, 2010 and vision for
2025 according the proposal of the working group for revised Action Plan for
Renewable Energy /1 /.
1995
PJ
209
267
2005
Increase
from
year
2001,%
305
14
156
8
45
202
16
49
215
30
59
6
88
21
230
44
72
14
175
46
268
61
76
33
4
55
208.6
267.2
304
14
349
31
414
55
109.0
133.7
143
7
154
15
167
25
51.8
43.7
3.1
0.36
0.65
0.00
0.00
76.6
45.8
9.4
1.01
0.75
0.00
0.00
80
50
22
5
2.3
0.9
1.4
4
8
133
5 times
3 times
84
54
38
10
4.2
2.1
3.1
9
19
4 times
10 times
6 times
92
59
63
10
8
5
9
20
28
7 times
10 times
11 times
46.0
41.8
4.2
0.04
46.9
42.8
4.1
0.25
49
44
6
1.2
5
2
39
5 times
52
45
8
4.0
58
46
11
17
SOLAR ENERGY
0.013
0.021
0.16
8 times
0.33
PV
0.004
0.008
0.08
10 times
0.17
12
4
88
16
times
16
times
20 times
Solar heat
0.008
0.013
0.08
6 times
0.17
147
16
23
8
175
70
times
200
times
200
times
6 times
1.84
2.73
4
55
7
147
16
6 times
BIOENERGY BY
SECTORS
Industry
District heating
Firewood (households)
Transport
BIOENERGY TOTAL BY
FUELS
Spent liquors from forest
industry1
Industrial wood residues
Firewood (excl. forest chips)
Forest chips
REF2
Biogas
Agrobiomass
Liquid biofuels (for transport
sector) 3
HYDROPOWER
of which >10 MW4
of which < 10 MW
WIND POWER
HEAT PUMPS
2001
PJ
PJ
2010
Increase
from
year
2001,%
349
31
PJ
2025
Increase
from
year
2001,%
414
55
PJ
3.3
1.7
TOTAL
256
317
359
13
412
30
508
60
1 not included in the Action Plan, estimation of the Finnish Ministry of Trade and Industry
2 Number includes only a biodegradable share of recovered fuels, which is estimated to be about 60%. Demolition and
construction wood is not included in REF. They are part of the industrial wood residues. Numbers are not targets, only estimations
of the energy recovery that waste management targets will achieved.
3 Preliminary target, which will be specified later.
4 New investments to large scale hydro are not included in the Action Plan, estimation of the electricity producers.
1 PJ = 0.13 million m3 solid for wood
The Energy Conservation Programme was first launched in 1992 and revised and
intensified in 1995 and 2000. The revision of 2000 was made as a part of preparing the
National Climate Strategy. The Energy Conservation Programme is being updated in
December 2002. The key elements of the programme are development and
commercialtion of energy efficient technology, economic means of steering, building
14
regulations and other statutes, development of voluntary energy conservation agrements
and energy audits as well as information, training and motivating activities. The
Ministry of Trade and Industry monitors the implementation of the programme and
reports the development as a part of monitoring and reporting of the National Climate
Strategy.
2.3 Measures to implement energy policy
Implementation of the Climate Change Strategy calls for financial support measures
/31/. Technology R&D and implementation of new technologies are the main measures
in aiming to economically competitive solutions for the open energy market. Also,
taxation, investment aids, regulations and norms support the fulfilment of the target. In
addition, the administrative barriers to the use of renewable energy will be removed,
voluntary agreement schemes introduced, and information dissemination and the
efficiency of education and training improved /33/.
2.3.1 Research and development
The competitiveness of renewable energy sources will be promoted through investment
in long-term technology research and development. The thresholds hampering the
getting of the R&D findings and results onto the market will be lowered by supporting
projects aimed at the commercialising of new technologies /6, 33/.
The National Technology Agency Tekes is the main public financer of the technology
R&D. Renewable energy technologies, belonging to the sustainable development
solutions, are in the strategic focus of Tekes. Various national technology programmes
and projects have involved RES technologies, the main focus being in bioenergy. Tekes
funding for the renewable energy R&D amounts to € 10 million annually. The ongoing
technology programmes in 2002 involved with RES are the Wood energy, Waste
management and recycling, Fine particles – technology, environment and health,
Modelling tools of combustion process development and Technology and Climate
change /58, 59/.
Research on renewable energy sources is carried out by governmental contract research
centre, VTT and several universities in Finland (App. A). VTT Processes has
established in 2002 a special service on Renewable Energy Sources, VTT Renewables
portal. VTT Renewables offers a gateway with 140 experts to all R&D services of
bioenergy, REF and wind technologies and market opportunities.
15
2.3.2 Energy taxation
Taxation is one of the main instruments related to climate change and environmental
policy in Nordic countries. Finland was the first to impose a carbon-based environment
tax in 1990 by introducing a CO2 tax on fossil fuels. In heat generation, solid biofuels
like wood fuels, biogas and REF fuels are not taxed. Fossil fuels have tax, which is
based on the carbon content of the fuel. In the generation of electricity, i.e., the tax is
levied on electricity generated/consumed and not on the fuels used for the generation of
electricity. A tax subsidy for electricity production by renewable energy sources was
introduced in 1997. Unlike in some other countries, industry in Finland was not entitled
to deduct the carbon/energy tax, but has lower electricity tax than private consumers and
public sector (Fig. 6) /6/.
In CHP the tax was split into two components in combined generation of electricity and
heat production. The fuels used for heat generation are calculated by the amount of heat
produced. The consumption of heat fuels is calculated by multiplying the heat amount
generated by the factor 0.9. The tax paid by the consumer on the electricity produced
with wood-based fuel and for peat fuelled CHP (<40 MVA) was refunded as subsidy to
the producer € 4.2 per MWh. Likewise the support for the producers of wind and smallscale hydro power (<1 MW) and producers of electricity by forest residues is € 6.9 per
MWh (Fig. 5 and 6). In heat generation, no tax is levied on wood fuels, biogas and REF.
The new CO2 tax as of the year 2003 is € 18.1 per one tonne of CO2 (Fig. 4) /6, 53/.
Peat, which in Finland is considered slowly renewable biomass fuel, is taxed at a lower
rate (€ 1.5 per MWh, 23%, Figure 5) and if consumption of fuel peat in heat production
is less than 25 GWh it is tax-free /53/. Also for natural gas the CO2 tax is lower (50%,
Figure 5) than its CO2 factor specifies.
16
EUR/MWh
8
Peat
Peat with primary product deduction
Coal
Natural gas
Natural gas with deduction of import fee
Heavy fuel oil
Light fuel oil
7
6
5
4
Energy tax only fuels used in heat production
Light fuel oil
Coali
Heavy fuel oil
3
Natural gas
2
Peat
Peat
1
0
1990
-1
-2
1992
1994
1996
1998
2000
2002
Natural gas with deduction of import fee
Peat with primary product deduction
Year
Figure 4. Development of energy taxes in Finland as of the year 1990 /53/.
8
EUR/MWh
7.08
Precautionary stock fee
Basic fee
Excise tax
7
6
6.28
5.25
5
4
100 %
3
2
100 %
1,59
1.91
50 %
23 %
1
0
100 %
0
Peat
Wood
Heavy
fuel oil
Light
fuel oil
Natural gas
Coal
Figure 5. Energy taxes in 2003. Electrowatt-Ekono and MTI /53/. Peat (23%) and
natural gas (50%) have lower CO2 taxation rate than based on their CO2 factor
specifies.
17
WIND POWER
No excise taxes
HYDRO POWER
MULTIFUEL CHP
Excise tax for "heat" fuels
< 1 MW
Wood
Wood 0 EUR/MWh
Coal 6.28 EUR/MWh
Peat* 1.59EUR/MWh
Natural gas 1.91 EUR/MWh
Heavy fuel oil 5.25 EUR/MWh
No excise taxes
Coal
Peat
Natural gas
Heavy fuel oil
No taxes
for
"electricity
fuels"
Electricity
production
support
6.9 EUR/MWh
* if consumption is >25 GWh
** if electricity production by
renewable energy sources
is >100 MWh
Application within
6 months **
Electricity
production support
4.2 EUR/MWh
LOCAL
CUSTOMS
HOUSE
Heat
Electricity
Application within 6 months **
Electricity production support 6.9 EUR/MWh for forest chips
and 4.2 EUR/MWh for other wood and REF
Figure 6. Examples of implementing energy taxation in different type of plants. /6/.
2.3.3 Investment grants
Subsidies granted for energy investments, development projects and energy conservation constitute an important means of implementing the National Energy and Climate
Change Strategy. A particularly important function of the subsidies is to promote use of
renewable energy sources, and to reduce the environmental impacts arising from energy
generation and use /6, 21/.
The Council of State’s new decision (625/2002, App. B) sets the following maximum
percentages for the assistance granted to different types of renewable energy projects /6,
47/:
· Wind and solar energy investments, 40%
· Other investments in renewable energy, conventional technology (renovation and
modernisation projects) 25 – 30% and for innovative projects 40%
· Energy conservation auditing and other assessment studies, 40%
Projects involving innovative technology have the priority, when energy support is
granted. Investment grant is allotted for companies and communities, not for private
18
persons or state organisations /3, 6/. In 2000, in total € 19.5 million was available for
energy supports /6, 53, 1/. In 2002 support will be about € 29 million /1/.
The Ministry of Trade and Industry supports energy audits and analyses of the
companies that have acceded to a voluntary energy conservation agreement as well as
the energy conservation investments observed in an audit.
The voluntary agreements are gradually expanded to cover climate issues as well. The
first new energy conservation and climate agreement was signed in public sector in
October 2002. Renewable energy sources are being integrated into energy audits in
2003.
2.3.4 Support for forestry and agriculture sector
In the Act of Financing Sustainable Forestry, non-industrial, private forest owners are
entitled to seek governmental grants for the afforestation of understocked areas, for
prescribed burning, for tending of young stands, for harvesting of energy wood, for
forest recovery, fertilisation etc. Loans can be granted for joint ventures involving
improvement ditching and forest road construction /6, 7, App. B/.
In October of 1997, Ministry of Agriculture and Forestry (MAF) launched a Campaign
promoting the tending of young stands from 1998 to 2003. MAF has proposed in state
budget annually € 20 million for years 1998 – 2003. The state is supporting about
50 – 70% of the harvesting costs of thinnings from young stands /6, 7/.
From year 1997 to year 2000 in total 444 754 hectares were in the campaign. In year
2000, the total public support for young stands amounted to € 25 million, of which
harvesting of energy wood accounted for € 1.8 million. The support to forest owners for
forestry operations ranges 126.5 – 294.7 €/ha when employing outside harvesting
services, and 84.5 – 189.0 €/ha for own work, and for wood fuel harvesting (3.5 €/m3
solid) and forest transportation (3.5 €/m3 solid), the total support being 7 €/m3 solid
(about 3.5 €/MWh). In 1999 subsidisation of harvesting and use of fuel wood was
improved. In the end of year 1999 a new support scheme was introduced by the MAF to
cover also the chipping costs. This “chipping support“ (1.7 €/loose m3, about 2 €/MWh)
is paid for chips produced from trees harvested from young stands and to the
organisation or the farmer delivering the chips to the plant. This support has been about
€ 0.3 million in year 2000 /6, 7, 56/.
The Finnish Ministry of Agriculture and Forestry finances development projects that
promote the use of wood energy and gives investment, start-up and development
19
support to enterprises, part-financed by EU (EMOTR) through the Regional Rural
Development Programme (ALMA), Objective 1 Programmes and to some extent also
Leader+ Programme. The aim of financing is to put in order the whole energy
production chain from the forest to the production plant. Primary beneficiaries of these
projects are farm enterprises and so-called chain enterprises co-operating with farms
(employment not more than 5 person-years) /1/.
During the present EU financing period 2000 – 2006, in total € 35 million has been
granted for different development projects. The support granted to energy enterprisers,
mainly as investment aid, amounted to about € 9 million and that granted to farm
heating stations amounted to about € 15 million. The supports granted from national
funds for heating station investments of farms has been on average € 5.3 million/a
/1, 56/.
2.3.5 Information dissemination and training
Information, education and motivation hold the key position especially to effect on
attitudes. It is easier to carry out other promotion measures if they are supported by
information activities and guidance /1/.
The Finnish Ministry of Trade and Industry has channelled the main part of funds to
energy information through Motiva Oy. The financing by Motiva in 2002 amounted to
about € 2.4 million, of which about a fourth is used for promoting the use of renewable
energy sources. In addition, Motiva has co-ordinated the implementation of two
separate operations concerning bioenergy information under the Action Plan for
Renewable Energy Sources, the total financing being about € 165 000. Promoting of
heat entrepreneur activities and pellet heating have been crucial sub-fields of these
projects. Furthermore, promotion campaigns and single information projects have been
carried out. An information action on renewables other than bioenergy was also
prepared for implementation in late 2002 /1/.
The Ministry of Trade and Industry also finances a two-year (2002 – 2003) project on
networking energy agencies through Motiva. The network of energy agencies will
promote the use of renewable energy sources regionally and locally. The activity in the
bioenergy sector focuses on the use of chips, on heat entrepreneur actions, and on pellet
heating. The agencies also participate actively on wind power surveys in their regions
and on promoting solar heating systems. Information on successful experiences is
disseminated to the regions of other acengies /1/.
20
Finland has also trained advisors on wood energy. These advisors are working, i.a., in
all forest centres by project funding. The Ministry of Agriculture and Forestry will
require in the result agreements of forest centres for the year 2003 that the activities of
energy advisors shall be continued. The operation of the network has been encouraged,
i.a., by organising theme days and by producing a service package for Internet /1/.
A national technology and climate change programme (Climtech), governed by the
National Technology Agency Tekes, focuses on disseminating technology data related
to combating climate change. Surveys concerning renewable energy sources have been
published during the programme, and brochures will be published on results /1/.
As a part of the Organisations for the Promotion of Energy Technologies OPET,
included in the Framework Programme of EU, the OPET Finland Consortium (Tekes,
Motiva and VTT Processes) has concentrated on wood energy. Examples of successful
projects and reports, i.a., on market actors and technologies have been published both in
Finnish and English. A number of seminars, especially on pellets and small-scale use of
wood, have been organised in Finland, and study tours abroad and to Finland have been
arranged. The main part of information material was published in Internet /1/.
The Ministry of Education has nominated a committee on training in energy field for the
period of 1 February 2001 – 31 January 2004 for operating as a specialist organ in the
development of vocational basic and advanced training for young and adult people, and
of training and education at polytechnics and universities. The committee has initiated a
project on surveying the training needs and development in the energy field with the
aim of integrating the topics of renewable energy sources and energy saving to training
and education programmes /1/. RES training is given as a part of energy technology
studies in technical universities or institutes or in universities with forestry (see App.
A). For example the Polytechnics of North Carelia, Jyväskylä and Satakunta offer
training courses with specialisation in bioenergy.
Information on RES is also disseminated by different associations and research
organisations (listed in App. A). Information material of RES and energy conservation
has been produced also in ALTENER and SAVE projects.
21
3. Renewable energy sources in the Finnish
energy markets
3.1 Bioenergy – significant renewable energy source in Finland
3.1.1 Use of renewable energy sources
Wind 0 %
276 TJ
Solar energy 0 %
9 TJ
TJ
16.7%
Hydro power 16 %
46 865 TJ
REF
1 180 TJ
Biogas
857 TJ
Heat pumps
2 140
Firewood
45 300
30.4%
Bark
45 882
Sawdust etc.
17 914
Forest chips, ind.
5 451
Ind. Wood residues
4 511
Demolition wood
1 080
Pellets and briquettes 353
Not specified
6 959
53.0%
Black liquor
Wood 84 %
270 997 TJ
143 541
RES in total 327.5 PJ
25 % total primary energy
Figure 7. Use of renewable energy sources in Finland in 2000 /17/.
Bioenergy is the most important renewable energy source in Finland, accounting for
85% of renewable energy sources. In Finland, the main provider and user of woodbased energy is the forest industry, which obtains wood fuels at a competitive price in
connection with raw material procurement or as a by-product of wood processing.
About 35 million m3 solid of wood (271 PJ) is used annually for energy production in
Finland, covering 20% of the total consumption of primary energy. Most of wood-based
energy is recovered from liquid and solid industrial wood residues. So far a modest –
but fast growing - share comes from forest fuels (Fig. 7 and App. C) /11, 23, 59, 60, 62,
63/.
The availability of different biomass resources is estimated in 15 areas of Finland for six
types of biomass-based fuels that have different cost levels. Two different scenarios
were created. The Basic Scenario introduces the situation with continuation of the
present policy including promotion activities of RES (Fig. 8). The Maximum Scenario
is connected with the improvement of competitiveness of bioenergy that could allow a
cost increase of 50% on fuel compared to the present situation (Fig 9.). The availability
22
of peat is also introduced, because it can smooth variations in the availability and
quality of biomass based fuels /28/.
300
250
Peat
Agrobiomass
200
PJ/a
REF
First thinnings
150
Final fellings (pine)
100
Final fellings (spruce)
Industrial by-products
50
Need for domestic fuels
Possibilities of wood
0
1999
2005
2010
2025
Figure 8. Availability of wood and peat fuels by employing conventional technology and
based excluding black liquor and firewood on Basic Scenario /28/.
300
Peat
250
Agrobiomass
REF
200
PJ/a
First thinnings
150
Final fellings (pine)
Final fellings (spruce)
100
Industrial by-products
Need for domestic fuels
50
Possibilities of wood usage
0
1999
2005
2010
2025
Figure 9. Availability of wood and peat fuels by employing conventional technology and
based excluding black liquor and firewood on Maximum Scenario /28/.
Biomass resources are not located evenly geographically. Residues from the forest
industry are naturally adjacent to mills, harvesting residues to forests and their logging
operations, agrobiomass to the fields and waste to urban areas. Another important factor
23
is the close distance between biomass resources and heat demands, such as district
heating networks and industry /28/.
Import and export possibilities are most viable in the coastal areas of Finland. The
market volumes have so far been rather limited, less than 1 TWh annually, but are
increasing. Especially refined fuels, such as pellets, allow longer transportation
distances and long-term storage. About 80% of pellet production is exported to Sweden,
Denmark and other European countries. Wood chips are imported by trucks from
Russia, where cheap return transportations have been utilised /28/.
3.1.2 Wood fuels
The Finnish Forest Research Institute (METLA) has studied the sufficiency of Finland's
wood resources. Finland’s forestry land area is 23 million ha, i.e., 86% of Finland’s
total area. Private persons own more than 70% of the Finnish forests. The total growing
stock is estimated at 2002 million m3 solid, and the annual growth of the above-ground
forest biomass at about 130 million m3 solid per annum. When harvesting raw material,
about 29 million m3 of forest residues is left in the forests. The annual harvestable
potential of forest residues is estimated at about 10 – 16 million m3 solid. Currently, the
annual total use of solid wood fuel amounts to 13 – 15 million m3 solid, of which the
use of forest residues is 1.3 million m3 solid. National Forest Programme has set an aim
to increase the annual use of wood for energy production by 5 million m3 solid by year
2010, which is also the target in the Action Plan /2, 3, 19, 22, 24, 55, 62, 63/.
A forest certification system has been established in Finland. It is known as the FFCS
(Finnish Forest Certification System). FFCS certification indicates impartially and
reliably that Finland's forests and forest ecosystems are being sustainably managed. 22
million hectares of forests certified in Finland until March 2002. The Finnish system
includes requirements for forest management, wood chain of custody certification, and
external auditing. These requirements are set out in standards /7, 62, 63/.
In Finland, the bioenergy markets are mostly local. There are few diversified
companies, which operate on national level like Biowatti Oy and Vapo Oy. Some forest
industry companies like UPM Kymmene are also supplying wood fuels through their
forest departments. These companies work on energy, wood processing and also
biofuels business. They can exploit industrial wood residues from their own mills for
production of wood chips or pellets. They can integrate harvesting of logging residues
into timber or pulp wood harvesting and in this way keep fuel prices competitive. The
most important of these are listed in App. A. The price of wood fuels has decreased as
of 1980s until year 2000, when the average price for forest chips was 2.5 €/GJ. In 2001
and 2002, the price has increased due to limited availability of the woody biomass in
24
certain areas of Finland (App. D). At the same time, a lot of new CHP capacity based on
biomass has also been built (Table 3). Pohjolan Voima Oy has currently invested about
€ 620 million to new biomass CHP plants in Finland. These plants produce 559 MWe
electricity and 1038 MWth heat for pulp and paper mills /11/.
In small-scale heating of municipal buildings like schools and small district heating
plants, a heating entrepreneurship model has been used in fuel procurement and also in
the operation and maintenance of the boiler plants. Usually plants are invested by
municipalities or industry and there are renovated from oil to wood fuels. The heating
entrepreneur is a single entrepreneur, co-operative, limited company, or entrepreneur
consortia, who sells heat. Usually these entrepreneurs are farmers and harvest smallsized wood on their own woodlots or purchase industrial wood chips or cutter shavings
from local wood processing industry. The number of these entrepreneurs in Finland has
increased to 135 using annually about 200 000 – 250 000 m3 loose wood chips /4, 11/.
In large-scale wood fuel procurement, different kinds of modern information technology, like mobile phones and Internet are used for, e.g., positioning fuel storages and
logging sites or for ordering chippers or alarming boiler plants malfunctions. Several
electronic firewood market places (e-trade) have also been established in Internet for
local, national and even international consumers to select log or pellet suppliers /11/.
Wood pellet market is fairly young in Finland. The first wood pellet plant was
commissioned as late as 1998, and at first nearly the whole production was exported to
Sweden. Penetration of pellets in the Finnish heating market did not start properly until
in 2000 due to the low price of oil /10/.
The annual pellet production capacity is about 200 000 tons in 2002 in Finland, while
the pellet production in 2002 will amount to about 110 000 tons, of which only
10 – 20% will be used in Finland. The rest will be exported to big power plants in
Sweden, Denmark and the Netherlands. Growth in pellet use in Finland is one of the
highest in Europe /10/.
There is an abundance of raw material in Finland. By-products of mechanical woodprocessing industry amount to 13 PJ. According to Vapo Oy, it is possible to produce
1 million tons pellets annually from this readily available dry material and the rest from
wet raw material. Availability of dry wood material is for production of 200 000 tons
pellets /10/.
Pyrolysis oil is a new biofuel product ideal as a substitute for fuel oil and future diesel
power applications. In Finland, Fortum Oil and Gas, Vapo Oy and VTT have developed
pyrolysis oil process concepts for sawdust and forest residue applications. R&D started
25
in 1980´s and the first pilot plant started production of pyrolysis oil in late 2001, and the
commercial-size production plant should be completed in 2004. The aim of research is
to improve the heating value of pyrolysis oil (16 – 18 MJ/kg), being at the moment only
half that of petroleum products, and making pyrolysis oil miscible with petroleum
products. The liquid contains varying quantities of water (15 – 40 wt%), depending on
how it was produced and subsequently. Recent years have seen significant improvements in production quality and stability /23/.
The quality assurance guidelines for solid wood fuels (wood chips, bark and sawdust)
were developed in 1998 in co-operation with fuel producers and users, and are now used
by major traders. In 2002, FINBIO has published quality guidelines for wood pellet for
trial use. Finland is also actively participating in the CEN solid biofuel standardization
work (TC335) /20/.
3.1.3 Agricultural biomass
The total area of agricultural land in Finland is 2 million hectares. It is estimated that
maximum 0.5 million ha of Finnish agricultural land will be set-aside from conventional
farming over the next few years. This offers potential for alternative land use, e.g., for
non-food production. In 2000 the set-aside area was 180 000 ha. Non-food production
was carried on about 860 ha in 2000, mainly turnip rape being cultivated for lubrication
oil /3, 56/.
Figure 10. Reed canary grass (Phalaris Arundinacea). Source: Vapo Oy.
26
The greatest interest at present is in reed canary grass, which is perennial and renewable
grass. Finnish Agricultural Research Centre and VTT are studying reed canary grass
cultivation in peat sites. Studies have shown that reed canary grass provides a better
yield than any other grass grown for energy purposes (6-8 tons dry matter per hectare).
In 2000, reed canary grass (Phalaris Arundinacea) was cultivated on an area of about
2 000 ha (Fig. 10). Most of the yield was used in seed production, and about 500 ha
have produced biomass for combustion (40 TJ). The target is to use reed canary grass in
heating plants in a multifuel boiler in conjunction with peat and wood fuels, as shredded
reed canary grass alone is too light. There are already dozens of heating plants in
Finland with combustion technique suitable for burning reed canary grass. Vapo has
also plans to use reed canary grass as a raw material for pellets /56/.
According to FINBIO the annual use of straw is about 6 000 tons (70 TJ). The
theoretical annual potential of cereal straw is about 1.8 million tons. About 10 – 20% of
this potential could be used as energy (6 PJ). The expert group of FINBIO has estimated
that about 9 PJ solid agro-biomass could be used in year 2010 (Table 2). Target of the
Action Plan for Renewable Energy is 2.1 PJ /1/ (Table 1).
Table 2. Targets for agricultural energy crops by the expert group of FINBIO and
Action Plan for Renewable Energy. Source: FINBIO and /1/.
Energy crops
Agrobiomass in
Action Plan /1/
FINBIO
Reed canary grass
- energy use
- total area
FINBIO
Straw
- energy use
- total area
Current
use
0.0 TJ
2003
2004
2005
2006
40 TJ
500 ha
280 TJ
3 000 ha
790 TJ
8 000 ha
1 470 TJ
15 000 ha
2 450 TJ
25 000 ha
7 300
75 000 ha
70TJ
72 TJ
3 000 ha
210 TJ
8 000 ha
430 TJ
15 000 ha
720 TJ
25 000 ha
1 760 TJ
60 000 ha
900 TJ
27
2010
2 100 TJ
3.1.4 Waste to energy
PRELIMINARY SORTING AT SOURCE
Glassware,
Waste aluminium- Biopaper and tin cans waste
Combustible
Hazardous and miscellawaste
neous waste
Biogas
Recycling Recycling
Hazardous
waste treatment
Composting Biowaste
Compost
products
Recovered
fuel
(REF)
Waste
processing
Heat
Electricity
CHP plant
Ashes
Landfill
Non-combustible
residual waste
Metals for
recycling
Figure 11. The Finnish waste treatment system based on source separation /18/.
In Finland, the waste management is based on source separation of waste in order to
produce raw materials for material recycling, and for the production of recovered fuels
(REF) for energy production (Fig. 11). Local authorities decide on sorting/collecting
systems for source separation, and hence, the systems differ a lot in different areas of
Finland. Paper and biowaste are today nearly always source-separated at households in
Finland. Other fractions like glass, scrap metals, board, etc., are source-separated in
different bins at households or in kerbside collection. Companies must recycle/sourceseparate different fractions, depending on the amount of waste produced. Usually the
companies producing, e.g., over 20 or 50 kg/week paper, board, glass, scrap metal, and
biowaste must source-separate these fractions. The dry source-separated fraction from
households and companies is processed to fuel in a REF plant. The process usually
comprises preliminary crushing, when larger items are also removed, magnetic
separators, screening, secondary crushing and normally, second magnetic separator and
an eddy current for non-magnetic metal. Today five REF processing plants are in
operation for processing household waste to REF fuels, two – four processing plants for
commercial waste (mostly waste from small industries and supermarkets) and one
processing plant for construction and demolition waste. The governmental aim is 70%
recovery of waste by 2005 (Waste Management Plan to 2005) /18, 31, 40/.
28
In Finland, the waste-to-energy concepts are based on cofiring of recovered fuels
(processed from source-separated waste, quality controlled) in existing CHP plants. The
total amount of combustible waste is 3 – 5 million t/a. Today, 300 000 t/a of dry,
commercial packaging waste-based solid recovery fuels (SRF) is co-combusted in
Finland. This is about 1% of the primary energy use. The potential of REF is estimated
to be 1 million tons REF(17 – 21 PJ/a).
There are only one mass-burn incinerator in Finland in Turku with a waste burning
capacity of 50 000 t (15 MW district heat). One unit, Ewapower Company in
Pietarsaari, produces pellets from RDF (5 000 t/a). Today, REF and pulp and paper mill
sludges are cocombusted in Finland. Usually less than 10% REF mixed with peat, bark,
sawdust, etc., is co-combusted in about 40 fluidised boilers and also in one gasification
plant in Lahti. When the new EU Directive on waste incineration /12/ comes into force,
many of these usually small waste to energy plants must reconsider the use of REF due
to the investments needed for flue gas cleaning and measurement costs. About 20 new
or retrofitted waste to energy plants are needed in order to reach 1 million tons use of
SRF volume and 70% MSW recovery rate /40/.
Reliable operation of boilers requires REF with a low content of noxious constitutes and
impurities, efficient source-separation and an appropriate production process. These
requirements also support the recycling of materials. Finland published a standard for
solid recycled fuels, Quality Control System - SFS 5875 in late 1999. This standard
defines the procedure and requirements, by which the quality of recovered fuel,
produced for energy production from source-separated waste, can be controlled and
reported unambiguously /39, 46/.
Currently about 150 landfills are in operation and this number will reduce to
50 – 80 by 2005. The first Finnish biogas plant was built in 1986 for research purposes
at the Vuosaari landfill site in Helsinki. There is a decision of Council of the State from
year 1997 (861) that landfill gas should be collected for use from landfills. This
encourages also the energy use of landfill gas /30, 52/.
In Finland, altogether 15 biogas were in operation at different municipal wastewater
treatment plants and 13 landfill gas plants since 2000. There are 39 reactors at the
biogas plants and the total volume of anaerobic digesters is about 117 000 m3. In 2000
there were five biogas plants operating at private farms, and in 2001 a new type of
biogas plant for farm slaughter wastes was constructed. In 2000, the output from landfill
gas plants was 45 MW, 1.3 MW being electricity, 17.3 MW heat and 28.5 MW flare
combustion. The total potential is estimated to be about 100 MW (200 million m3 of
biogas) /30, 52/.
29
VTT has estimated that the economical biogas potential is 8 – 13 PJ, and the electricity
potential is estimated at 65 – 105 GWh/a /40/. The University of Joensuu has estimated
that the theoretical potential of biogas is 1 300 million m3 for energy use. At present
about 70 million m3 of biogas is collected and about 720 TJ energy produced (Fig. 12).
In the Action Plan for Renewable Energy the target for biogas in 2010 is 4.2 PJ /1, 30/.
80
60
Landfill gas
Other reactors
Waste water treatment plants
40
20
0,0
1997
1998
1999
2000
Figure 12. Biogas production in Finland 1987 – 2000. Source: Electrowatt-Ekono.
3.2 Electricity markets in Finland
Finland was the third country in Europe after Britain and Norway to initiate the
opening-up of its electricity market to competition. The liberalisation of the electricity
market in Finland started in 1995 and was completed in 1998. Through the new
Electricity Market Act, all consumers can freely purchase their electricity from the
power company of their choice. This new competition environment has given the
energy utilities an incentive to establish trademarks and develop brands. Environmental
aspects have been one factor in branding of electricity products /8, 15, 32/.
Electricity makes up 25% of Finland’s total energy consumption (79.2 TWh), the
industry consuming more than half of this amount. Finland’s total domestic electricity
production amounted to 67.3 TWh in 2000 (Fig. 13). Of this amount, some 23.5 TWh
was electricity from renewable energy sources and 24.4 TWh CHP electricity. These
figures are, however, partly overlapping: approximately 8 TWh of electricity was
produced in biomass CHP plants. Most of the electricity from renewable energy sources
consists of hydropower (14.4 TWh in 2000) and biomass CHP. Most of the biomassbased CHP was produced in industrial power plants, especially in forest industry
(Fig.14). The total amount of wind power in 2000 was 77 GWh. The share of electricity
30
from renewable energy sources in Finnish electricity production is shown in Fig. 13.
/13, 17, 32/.
Other import 1 %
Electricity imports 15 %
Black liquors
8%
Natural gas 10 %
Wood 3%
Oil 2 %
Indigenous
fuels 34%
Coal 11 %
Peat 5%
Wind 0.1%
Solar 0.0001%
Biogas 0.04%
Forest chips 0.2%
REF 0.05%
Hydro power
18%
Nuclear power 27 %
Figure 13. Primary energy sources in electricity production in Finland in 2000. /17/.
The Finnish peak power of gross electricity was 13 310 MW and total capacity 15 540
MW in 2000. Power generation in Finland is based on a wide variety of production
forms, each with its own distinctive cost structure. Power generation is highly
decentralised, and 120 generation companies or utilities own about 400 power plants.
Fortum Oyj produces about 40% of Finland's electricity. Industry and its electricity
producers like Pohjolan Voima Oy have a share of approximately the same size. The
share of the local and regional energy companies is about 15%. In addition, Finland
imports electricity from Russia, Norway and Sweden to satisfy its remaining energy
requirements.
According to the VTT’s estimation, the demand for new electricity generating capacity
would be about 3000 MW in 2010, and about 7 500 MW in 2020. According to the
National Climate Strategy, electricity consumption would increase to 99 TWh/a by 2020
/13, 18/.
The target set for power generation from renewable energy sources has been set that it
can meet the target of RES-E Directive /13/, according to which the share of electricity
generated from renewable energy sources should be 31.5% in 2010 (29.3 TWh) (Table
3) /1/.
31
Table 3. Targets for electricity production by RES specified in the proposal of the
working group for revised Action Plan for Renewable Energy. /1/.
BIOENERGY
HYDROPOWER
of which
> 10MW
of which
< 10 MW
WIND
POWER
SOLAR
POWER
TOTAL
Share of total
electricity
consumption
1995
TWh
MW
6.1
2 000
TWh
2001
MW
8.9
NA
2005
TWh
MW
11.0
2 500
2010
TWh
MW
13.6
3 050
2025
TWh
MW
22.7
4 700
12.8
2 770
13.0
2 926
13.7
3 100
14.5
3 300
16.0
3 670
11.62
2 460
11.88
2 623
12.1
2 675
12.4
2 730
12.9
2 840
1.170
310
1.150
303
1.6
425
2.2
570
3.2
830
0.011
6
0.07
39
0.33
150
1.1
500
5.1
2 000
0.001
1
0.002
2.8
0.02
19
0.05
40
0.5
500
18.9
27.4%
4 777
22.0
27.1%
NA
25.1
29.2%
5 768
29.3
31.5%
6 890
44.3
41.6%
10 870
In Finland no licence is required for generating or selling electricity. In distributed heat
production, biomass is already widely used in Finland, though there are no specific
regulations promoting distributed production in the Electricity Market Act. Distributed
electricity generation is basically competing in the same conditions as any electricity,
but there are some tax relieves for electricity generated from renewable energy sources
(see Fig. 4 and 5, App. B) /8, 35/.
In Finland, an environmental licence is required for power plants of thermal output of 5
MW or more. The environmental licensing procedure takes approximately 6 – 12
months. In addition, every project requires a building permit, which is granted within
3 – 12 months depending on the project. An Environmental Impact Assessment (EIA) is
required for all larger-scale projects (thermal output of 300 MW or more), and also for
smaller-scale projects case-specifically. EIA is also required for hydropower projects, if
the project affects significantly the discharge and/or water level, when the annual main
discharge of the watercourse exceeds 20 m3/s /35, App. B/.
Wind power projects are so far not listed as projects requiring EIA. Usually, the
environmental licence is neither required. According to the Land Use and Building Acts
a wind power development must be justified by a land plan, before the building permit
can be approved. The legal framework of especially off-shore wind power projects,
partly also of projects located on mainland or on islands, is relatively complicated. This
is a clear adverse effect on wind power development in Finland, because licensing
procedures may last a long time /35/.
32
Finland has no special regulations for small or large-scale hydropower; only some
watercourses are protected from construction. A permit in accordance with the Water
Act is required practically for every project. The permitting process is time-consuming
and results often in compensation measures and environmental monitoring obligations,
which are costly in proportion to the project size. At present, the hydropower
installations seem to be feasible only as replacement investments, when placing a new
turbine in an existing dam without changing the flow regime or surface levels of the
watercourse /35/.
3.3 Use of renewable energy sources in electricity production
3.3.1 Biomass in electricity production
For years, Finland has employed combined heat and power (CHP), which operate at a
high power-to-heat ratio. The proportion of combined generation is among the highest
in the world (33% of electricity consumption). The first industrial cogeneration plants
were built at the turn of the 1920s and 1930s. Cogeneration is the natural choice in
Finland, since both heat and electricity are required in industrial as well as in municipal
energy production /5, 9, 17/.
During the recent five years more than 100 district heating plants and 500 MWe of new
additional capacity for electricity production from wood-based fuels have been
commissioned in Finland (total capacity more than 2 000 MWe). Most of electricity
production based on biomass comes from forest industry (Fig. 14). Total use of
electricity in forest industry is 26.3 TWh, which means that share of own production is
43%. /11, 17, 28, 43/.
In larger CHP plants, FBC technology, developed in Finland in the 1970s for the
combustion of biomass and other low-grade fuels, has become a dominant technology.
Simultaneously, fuel-handling technologies have been developed. Also a lot of effort
has been focused on utilising wood residues from the forest industry. In recent years,
use of forest residues has been increasing. Integrating the fuel and raw material supply
chains has decreased the costs of forest fuels (App. D). One the methods used in
harvesting of forest residues is bundling technology (Fig. 15) /23, 24/.
The production system of forest chips is based on the use of chippers, and different
chipping systems are defined on the basis of the location of the chipper. The production
costs are primarily due to moving and transports of biomass /24/.
33
In chipping at the site of use, biomass is transported direct to the site of use, where the
biomass is chipped in a stationary crusher. Due to the high capacity of crushing, the
operation cost is low. Biomass is transported from the forest as loose material, whole
trees, or in bundles (Fig. 15). Transport of bundles is the most cost-effective and
feasible alternative with regard to process management. Bundling technology of logging
residue has developed briskly in recent years. It has proved to be the best alternative
when chipping at the site of use. The handling unit is a bundle, 60 – 70 cm in diameter
that has been bundled and bound tightly.
Coal 0.04 TWh
Heavy fuel oil 0.3 TWh
Others 0.3TWh
Solid wood
2.1 TWh
Peat 0.9 TWh
Wood
7.2 TWh
Black
liquors
5.0 TWh
Natural gas
2.7 TWh
Other
by-products
0.1 TWh
Figure 14. Electricity production in forest industry. Total electricity production in 2000
was 11.4 TWh. Source: Finnish Forest Industries Federation.
Figure 15. Forest residue harvesting by bundling technology.
34
Energy production based on biomass is rather often hampered by limitations in the
supply and/or quality of the biomass. That is why cofiring with two or more fuels is
widely used. This is especially true in large-scale electricity production, where the
biomass can seldom meet the total fuel demand in a cost-efficient way /23/.
Successful cofiring of biomass requires attention to the fuel properties and mixing
techniques. Various types of biomass are frequently burnt together with peat or coal.
Fuel flexibility ensures the economical operation of the plant even when there are
seasonal limitations in the fuel supply /23/.
Retrofitting of old pulverised fuel fired boilers to burn biofuels increase the fuel range
and flexibility. Separate biomass gasifiers, which can also use wet biofuels and REF, are
successfully demonstrated solution for existing pulverized coal fired plants. Fluidisedbed gasifiers can make efficient use of locally available fuels with low investment costs.
Gasification of biomass and cocombustion of biomass-derived product gas in existing
coal-fired boilers offer several advantages: minimal environmental impact, and low
investment and operation costs /23, 37/.
The electricity market price has been very low in the past few years due to market
liberalisation and good hydrological years in Nordic countries. Due to the low market
price, new investments have become unprofitable, affecting also distributed generation
like small-scale biomass CHP. There is quite a common understanding that the
electricity market price will increase during the following years. In addition to the
market price there are other elements affecting the price for the production. The tariff
structure of power distribution for power production can decrease or increase the
profitability. The profitability of electricity production at different biomass plants is
presented in App. D /23/.
There are possibilities to increase the use bioenergy by over 50% in 1999 – 2010 (Table
4) and consequently, potential reduction in CO2 emissions is significant, 3 – 11 million
tons of CO2. The development of new technology is an efficient way to reduce the costs
of this. New technologies are needed to allow high power-to-heat ratios in CHP plants,
to make smaller CHP plants competitive and to provide low emission levels and to
facilitate operation and maintenance of private consumer applications /28/.
Table 4. Wood fuel plants in operation/planning stage in Finland in 1997-2010 /16/.
plants are mainly multifuel plants also using peat and part of the plants are retrofits of existing biomass plants.
Plant type
Municipal CHP plants
Municipal DH plants
Industrial CHP plants
Industrial steam boilers
Alholmens Kraft
Total
Number of plants
14
74
13
6
1
108
Electricity output, MW e
225
0
395
0
240
860
35
Heat output, MWth
540
240
990
85
160
2 015
Boiler output, MWth
890
275
1600
100
580
3 450
3.3.2 Hydropower
Next to energy from biomass, hydropower is the second largest source of renewable
energy production in Finland. The largest share (approx. 90%) is large-scale
hydropower. The capacity of hydropower in Finland is about 3 000 MW, the share of
small-scale hydropower being 300 MW. The plants are mainly owned by electricity
distributing companies and industry. There are numerous old dams and abandoned small
hydropower stations, once used as power sources for flour mills and saw mills. In 2000,
total production of small-scale hydro plants reached 1.2 TWh /1, 2, 17/.
The national target of hydropower is specified in the revised Action Plan for Renewable
Energy (Tables 1 and 3). The target for 2010 is a 570 MW installed hydropower
capacity, generating 2.2 TWh. VTT has estimated that the potential of new hydropower
capacity equals 4 TWh and 946 MW /1, 2, 27/.
Figure 16. New tube turbines were installed at a Liunaa municipal hydropower plant in
Joroinen. The total output of the plant is 0.9 MW. Photo: Motiva Oy.
Strong environmental concerns severely limit the possibility of new hydropower
capacity in Finland. Mini hydro (<1 MW) is promoted through the energy tax
exemption (see Fig. 4 and 5), but capacities over 1 MW do not receive any electricity
production support. Some additional production will be attained from renovation or
36
repowering of existing plants. Equipment manufacturers in Finland have been
concentrating on the development of small-scale hydropower machinery and equipment
(Fig. 16, see also App. A) /36/.
3.3.3 Wind power
The target in the Action Plan for Renewable Energy for wind energy deployment is set
at 500 MW in 2010. The wind energy production would reach 1.1 TWh/a in. Today, the
use of wind power is about 70 GWh annually and capacity 41 MW (Fig. 17, App. E)
/17, 34, 43/.
90.0
76.6
80.0
Production (GWh)
69.9
70.0
Capacity (MW)
60.0
49.1
50.0
40.0
30.0
16.6
20.0
10.0
4.3
7.2
10.8
23.5
11.0
2.4
0.0
1992 1993 1994 1995 1996 1997 1998 1999 2000 2001
Figure 17. Development of wind energy production and installed capacity in Finland
from 1992 to 2000 /43/.
The turbines now in operation in Finland are from Denmark and Germany and one from
Finland. Large turbines have for a long time been preferred, mainly due to difficult
siting in the complex coastal landscape. The projects planned to be constructed in 2003
use turbines with a power rating from 1 MW to 2.5 MW /34/.
The turbines installed in the harsh climate of northern Finland are protected with icepreventive equipment. The same solution is tested at certain sites in southern Finland,
which have a public safety concern due to occasional icing. Experience shows that the
higher the tower and the closer to sea the turbines are, the more prone they are to
occasional icing /34/.
37
The electricity market has been fully liberalised, thus all wind energy installations are
“merchant“ producers that have to find their customers on a competitive market.
Current market prices are that low and, despite the quite substantial support, wind
energy cannot yet compete with spot prices for electricity. Most turbines are owned by
or operated in co-operation with a local utility to facilitate the access to the energy
market /34/.
The transmission and distribution charges for distributed generation vary across the
country and are so high in some areas that they totally prevent local generation /34/.
Wind energy deployment is slow, but there is still a continuous discussion on the
environmental impacts of wind turbines. Land-use restrictions and visible pollution,
especially in relation to summer residents and vacation activities, might yet prove a
significant obstacle to development /34/.
At a good site on coastal Finland, the cost of wind energy production could be about
€ 40 –42 per MWh, including an investment subsidy /34/.
As stated above, all wind energy installations are “merchant“ power plants and have to
find their customers on a free-power market. In most cases an agreement with a local
utility is made, giving market access and financial stability. Some utilities have offered
to buy wind energy production at a price higher than avoided costs in general. There are
several companies offering green or secifically, wind – electricity, certified by the
Association for Nature Conservation, and at a price higher than on average current for
household price /34/.
In spring 2001, a new Finnish manufacturer, WinWinD, presented its first prototype,
which is now in operation in Oulu (Fig 18). The turbine has a rated power of 1 MW and
it operates at variable speeds. It has a one-stage planetary gearbox and a permanent
magnet generator. The aim is to develop the concept further into a 3.5 –MW turbine for
offshore applications /34/.
For some time, the Finnish industry has been able to produce main components such as
gearboxes and induction generators, as well as materials like steel plates and glass-fiber
for the main wind turbine manufacturers. The industry has been successful in supplying
components to medium-sized wind turbines up to 1 MW, and the industry is developing
its product range to fit also large-scale turbines. This has required some investments in
new production facilities /34/.
38
A blade-heating system for wind turbines operating under icing conditions was released
as a commercial product in 1998. It has been developed mainly for domestic market but
also for export, and the first delivery to Sweden was made in 1998 /34/.
Figure 18. WinWinD´s 1 MW prototype in operation in Oulu.
There is a drive towards offshore locations of turbines. Careful design of the support
structure is required for foundation and installation of turbines in the icy waters. A
project to develop foundation and installation technology suitable for Finnish offshore
conditions has been initiated in a co-operation between research bodies and industry
/34/.
3.3.4 Green electricity and green certificates in Finland
There are about 40 electricity retailers in Finland offering green electricity products.
The total supply of green electricity products is therefore difficult to assess. There are,
however, some well-established trademarks on the market: “Norppa recommends ecoenergy” (Norppa suosittelee ekoenergiaa), “Efficient power” (Hyötysähkö), “Efficient
wind” (Hyötytuuli), and “Eco-electricity” (Ekosähkö) /32/.
There are many green electricity products, usually premium-priced, on the Finnish
electricity market. However, green electricity products have not to date gained a
remarkable market share. Only a fraction of the total green electricity production is
39
actually sold as a premium priced “green product”. At the end of April 2002 there were
22 companies having the right to use the “Norppa recommends eco-energy” label. The
annual “Norppa-certified” electricity production is currently about 1.2 TWh. In 2000,
about 100 GWh of this production was actually sold as “Norppa recommends ecoenergy” electricity. The rest was sold as normal electricity and not as a premium-priced
product. There were around 5 500 customers, mainly households, in the end of 2001. In
2000, the supply of “Eco-electricity” amounted to 131.1 GWh. Respectively, the sold
amount of “Eco-electricity” in 2000 was 8.6 GWh /32/.
At the moment there is little domestic demand for Green Certificates (GCs) in Finland,
since no real incentive for buying such certificates exists. There is, however, demand for
Finnish GCs abroad. Some national green certificate systems allow for importing GCs
in the system. This is the case, e.g., in the Netherlands, where a considerable amount of
Finnish GC import has occurred /32/.
There is also an international pilot initiative by the industry, the “Renewable Energy
Certificate System” (RECS), within which some trading has taken place since the
beginning of 2001. There is currently considerable oversupply in the system. Towards
the end of March 2002, there were over one million megawatt hours Finnish RECS
certificates offered for sale, but only 148 megawatt hours had actually been sold in the
system. Currently some 60 Finnish electricity production sites have been registered in
RECS /32/.
3.4 Heat markets in Finland
District heating was started in the largest cities of Finland in the 1950s and 1960s, and
in smaller towns after the oil crisis in the 1970s. Most of the district heating utilities are
owned by municipalities. The sales of district heat is an extensive business. The
turnover of district heating was about € 700 million in 2000. District heating systems
cover practically all densely populated areas of Finland, where the sale of district
heating is profitable /9/.
Because of the cold climate, it is necessary to heat houses in Finland for most of the
year. About one fifth of the energy consumed in Finland goes to heating buildings. The
major heating forms are district heating (48%), individual oil heating (18%) and electric
heating (15%). Wood heating systems cover 13% and other including heat pumps and
solar energy 2%. There are 2.3 million buildings in Finland, of which about 50% are
single–family houses. Annually about 10 000 new single-family houses are built (Tables
5 and 6) /9, 14/.
40
The target is to increase the use of wood fuels in the heating sector in households and in
the district heating sector. In the revised Action plan for Renewable Energy the use of
wood fuels in households is targeted to increase by 27 PJ by 2010 (46%). In the district
heating sector (includes also CHP plants generating district heat) the target is to increase
the use of wood fuels to 44 PJ by year 2010 (Table 1) /1, 2, 27/.
Table 5. Net effective heating energy of residential, commercial and public buildings
(GWh) in 1990´s /17/.
Year
Small-Scale
Peat
Coal
Heavy Fuel Light Fuel Natural Gas Ambient
District
Electricity
Total
Combustion
Oil
Oil
and LPG Energy etc
Heating
Heating
of Wood
1990
5 836
128
62
2 790
12 567
295
..
20 240
6 259
48 177
1991
5 913
75
40
2 721
12 285
385
..
21 390
6 709
49 517
1992
5 928
40
68
3 066
12 285
365
..
21 460
6 638
49 851
1993
5 974
68
40
2 059
11 223
395
..
22 300
6 972
49 031
1994
5 989
53
115
1 372
12 068
428
..
22 920
7 418
50 363
1995
6 264
90
15
828
10 370
450
213
22 580
6 960
47 769
1996
6 569
95
15
872
10 651
480
225
24 620
7 618
51 145
1997
6 569
92
17
869
10 654
525
229
24 080
7 607
50 642
1998
6 646
93
17
874
10 797
480
242
25 210
8 020
52 378
1999
6 493
92
17
851
10 573
534
246
24 750
7 970
51 525
2000
6 325
85
15
768
9 182
515
883
23 720
7 620
49 113
Share
12.9%
0.2%
0.03%
1.6%
18.7 %
1.1%
1.8 %
48.6 %
35.5 %
100 %
District heating and electric heating are calculated as net effective heating energy as such. The conversion factor used for ambient energy is 1.5;
thus the figure is inclusive of the electricity consumption of heat pumps. The following default efficiencies are used for other heating energy
sources: small-scale wood combustion 55%, peat 60%, coal 60%, heavy fuel oil 83%, light fuel oil 78% and natural gas 90%.
Table 6. Selection of heating system in new single-family houses in Finland (number of
houses). Rakennustutkimus RTS Oy.
Heating system
Light fuel oil
Electricity
District heating
Ambient heat (heat pumps)
Wood heating
Total
1996
1 500
4 100
400
200
1 100
7 300
1997
1 800
5 800
600
400
1 400
10 000
1998
2 000
6 600
800
600
1 200
11 200
1999
2 100
6 800
900
900
900
11 600
2000
1 300
7 000
900
1 300
1 100
11 600
3.4.1 District heating
There are over 200 heat distribution utilities in Finland, and most of them produce at
least part of heat by themselves. About 50 of them produce also electricity in connection
with district heating. Some municipalities have co-operation with power companies or
local industries. CHP based heat production was 76% of the total district heat
production in 2000. The total district heating capacity is 14 360 MWth. Many large
cities own CHP plants. Most of their output is still sold within the area of the owner
cities. Medium-sized and small towns purchase district heat from CHP plants or
industrial CHP plants owned by other companies, or produce it themselves in heat-only
boilers /14, 17, 47/.
41
The fuels used in CHP and in district heating production vary from municipality to
municipality. Over 95 PJ of district heat was produced in Finland in 2000. The most
common fuels were natural gas 38%, coal 27%, peat 17%, oil 6%, wood and wood
residues 8% and others 4%. In the future the fuel mix will change considerably (Fig.
19). Natural gas and wood will largely be used as substitutes for coal, oil and peat (Fig.
20). Use of recovered fuels has also increased considerably during the last few years
/14, 17, 45/.
Wood,
8.5%
Others
3.5%
District heat production
95 PJ (26.4 TWh)
Coal
26.7%
Oil 6.2%
Average selling price
34.68 €/MWh
Number of homes
heated by DH 1.1 million
District heat production by
cogeneration 78 %
Electricity 11.7 TWh
2.4 million people living
DH heated buildings
48% of houses heated by DH
Peat
17.3%
Natural gas
37.8%
Net selling
700 million €
Total fuel utilization 168.9 PJ
Source: Finnish District Heating Association
Figure 19. Use of fuels in production of district heat and power.
Source: Finnish District Heating Association.
TWh
PJ
4
14.4
3
10.8
2
7.2
District heat and municipal CHP
Separate heat production
3.6
1
0
1982
1984
1986
1988
1990
1992
1994
1996
1998
2001
Figure 20. Use of wood fuels in generation of district heat.
Source: Finnish District Heating Association.
42
2002
3.4.2 Use of wood fuels in space heating
There are almost 200 000 central house heating systems using wood fuels in Finland.
The small-scale systems are typically used in detached houses or on farms. Wood chips
and split logs are used in most of the systems, whilst wood pellets are burnt in some
500 boilers. However, the share of pellets is growing fast. Vapo Oy has estimated that in
2003, there are about 1 500 detached houses using wood pellets (10 000 tons/a) and a
few hundred larger buildings using pellets (15 000 tons/a). Pellets could substitute light
fuel oil, which gives techno-economic potential of 25 PJ/a. Around 5 000 detached
houses, larger buildings and farms are heated with forest chips /10, 23/.
Almost 90% of these 1 million detached houses have a fireplace or stove made of heatretaining material. Usually, a wood stove or fireplace is used as an auxiliary heat source
in single–family houses. According to Rakennustutkimus RTS Oy 60% of these houses
are using wood fuels. In total about 6.1 million solid-m3 firewood (47 PJ) has been used
annually for space heating in stoves and small-scale boilers. The leading consumers for
firewood in Finland are detached houses (3.1 million solid-m3, 3.8 solid-m3 /house) and
farmers (2.2 million solid m3, 14.4 solid-m3/farm). In holiday homes 0.7 million solid
m3 (1.8 solid-m3/house) is used and in other small houses 0.1 million solid-m3. Wood is
mainly burnt cut or split into small size. In Finland, the number of stoves and fireplaces
reaches almost two million. About 20% of split logs (1.2 million solid-m3 are used in
sauna stoves /39/.
3.4.3 Heat pumps
Heat pumps offer the most energy-efficient way to provide heating and cooling in many
applications, as they use renewable heat sources already existing – the air, ground and
water. Heat pumps can meet space heating, hot water heating, and cooling needs in all
types of buildings, as well as many heating requirements in industry /29/.
In Finland heat pumps are mostly used for space and water heating as well as for
cooling in buildings. Use for industrial needs is still marginal but gradually increasing.
Total production of heat pumps was 2.1 PJ in 2000 in Finland /29/.
Fifteen percent of new house builders (Table 5) choose heat pump as the primary energy
source. Total annual energy use of a typical house is 20 000 kWh (72 GJ). According to
Finnish Heat Pump Association (SULPU) the heat pump sales have increased tenfold
during the last five years. In 2000 there are 25 000 heat pumps installed in detached
houses in operation /29/.
43
Renovation of heating systems opens up the market for heat pumps. About 25 000 water
distributed heating systems are in the need of renovation annually. That potential has
aroused optimism in the heat pump field /29/.
For operating the heat pump external energy is needed. Electrically driven heat pumps
for heating buildings typically supply 100 kWh (360 GJ) of heat with 35 - 40 kWh of
electricity. Because heat pumps consume less primary energy than conventional heating
systems, the technology is important in reducing greenhouse gases. However, the
overall environmental impact depends on how the electricity is produced /29/.
In Finland heat pumps are mainly used for space and hot water heating in single-family
houses. Ground source heat pumps are most commonly used representing 80% of the
total market. Ground source and exhaust heat pumps are best suited for houses with
water distribution heating systems. Air source heat pumps complement best direct
heating with electricity /29/.
3.4.4 Solar heat and power
Solar thermal energy is included in the revised Action Plan for Renewably Energy. In
this plan, the objective is to increase the use of solar thermal energy applications 13
times (equalling 170 TJ) from 2001 to 2010. The target for solar power is an increase of
40 MW installed capacity, generating 0.05 TWh /1, 2, 25, 51/.
The solar thermal market in Finland is relatively small. In 2000 collector sales were at
the level of 1000 m2/a. No official statistics on the installed solar collector area and
systems exist. The total collector area installed during the period 1982 – 2000 is some
7 800 m2. In addition to this, it is estimated that around 90 000 m2 of unglazed
perforated absorber plates are installed in crop and hay drying applications. During the
last few years, from 1995 to 2000, the annual sales of flat plate collectors increased
from 500 m2 to 1000 m2. Energy production is about 18 TJ/a /44/.
Due to the small market volume and relatively cheap alternatives (such as electricity,
fuel oil and district heating) solar heating has not been competitive in Finland /44/.
Some larger-scale demonstration projects of high visibility have been implemented with
subsidies – often within the framework of various EU programmes. These projects
normally have 100 – 200 m2 of collector area and are combined with district heating.
One larger project, Eko–Viikki with 1000 m2 of collector area, was implemented in
Helsinki in 2001 – 2002 /44/.
44
Most of PV products are exported (70%). In summer, the insolation is also in Finland at
a relatively good international level and there are applications, in which the need of
energy is concentrated on the summer period. The annual availability of solar energy is
a little less than 1 000 kWh/m2 in Finland. The most outstanding commercially
competitive solar electric applications are around 40 000 holiday cabins run with PV
modules and the 2000 navigation aid systems (Fig.21). The total output of these
applications are 2.3 MWp, i.e. about 7.2 TJ/a. House-integrated photovoltaic systems,
on roof or façade, are regarded as a new promising application to be commercialised.
The first application of this kind was installed in 1990 in Sjökulla for the building of
Helsinki University of Technology. The biggest application is installed in Tampere in a
department store (38 Wp) /36, 44/.
Figure 21. Solar heating and PV in holiday cabin. Vesa Erkkilä.
45
Finland has chosen for its basic strategy the Road Map approach, according to which
the final goal is reached through interim targets and well-timed measures. The Solar
Road Map /51/ the direction, but the actual progress depends on the activity of the
actors. The programme focuses on solar heat and solar electricity. The measures are
directed at built environment and the applications of outlying areas, which yield the best
added value /51/.
The National Solar Energy Programme aims at giving to the Finnish industry new
business worth € 150 million per year, of which 80% would be export. The total
estimated demand for public financing until the year 2010 is € 25 million. To support
the National Solar Energy Programme, the co-operation group Finnish Solar Industries
(FSI), consisting of strategic companies and actors, has been established. By the end of
year 2001, the solar energy network included 20 actors, and a total of 50 potential actors
had been recognised (see app. A) /51/.
A solar heating system can cover 10 – 30% of the heating energy requirement of a
single-family house. A solar electricity system connected to the electric power network
can produce all the household electricity needed in a single-family house, by storing
electricity virtually in the network /51/.
46
4. Summary
One of the strengths of Finland’s energy economy is the wide variety in the production
structure. Increasing the use of renewable energy sources is an explicit goal of the
Finnish energy strategy. Renewable energy sources are important both in limiting
carbon dioxide emissions and for ensuring the security of Finnish energy supply.
Moreover, utilisation of renewable energy sources especially bioenergy has positive
effects on employment on the local level. In 2000, renewable energy sources accounted
for about 25% of all energy consumption in Finland. The percentage for wood energy
was over 20%, the rest of the renewables being mostly hydropower. The Finnish share
of renewables in energy consumption is the third highest percentage in the EU, and for
bioenergy, the highest.
The National Climate Strategy, launched by the Finnish Government in 2001, highlights
the targets and measures to meet the Kyoto commitments in Finland. In order to meet
the climate change targets, it is necessary to implement an energy conservation
programme and a programme promoting renewable energy sources. The principal
objective of the Action Plan for Renewable Energy is to promote renewable energy
sources, by utilising various promotion measures, to improve the competitiveness of
renewable energy sources in relation to other energy sources, thereby increasing the use
of renewable energy in keeping with the goals set. The long-term objective is to make
renewable energy sources competitive on the open energy market without continuous
support measures.
There are possibilities of increasing the use bioenergy and other renewable energy
sources by more than 50% by 2010 and consequently, the potential reduction in CO2
emissions is significant, 3 – 11 million tons of CO2. The development of new
technology is an efficient way to reduce the costs. New technologies are needed to
allow high power-to-heat ratios in CHP plants, to make smaller CHP plants competitive
and to provide low emission levels and to ease operation and maintenance for private
consumer applications.
47
References
1.
Action Plan for Renewable Energy 2003 – 2006, Proposal of the working group [Uusiutuvan
energian edistämisohjelma 2003 – 2006, Työryhmän ehdotus]. 2002, Ministry of Trade and Industry,
Energy Department. 54 p. (In Finnish).
2.
Action Plan for Renewable Energy Sources, March 2000. Ministry of Trade and Industry, Energy
Department. Publications 1/2000 p. 38 p.
3.
Alakangas, E. Bioenergy in Finland – Review 1998. ALTENER AFB-net, FINBIO Publications 6.
1998. Report is also available from Internet:
http://www.finbioenergy.fi/bioweben/bioenergy_in_finland/index.html
4.
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49
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teknologia, polttoaineet, markkinat ja CO2 -päästöt. [Distributed energy production: teknology, fuels,
markets and CO2 emissions, In Finnish with English abstract]. Gaia Group Oy, Helsinki, Edita. 90 p.
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Finnish situation of energy recovery from biomass and waste. Technology Reviews 99/2000.
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48. http://eubionet.vtt.fi (Bioenergy in Europe).
49. http://www.finlex.fi (Legislation available in Internet)
50. http://www.ilmastonmuutos.info (Information programme on climate change)
51. http://www.kolumbus.fi/solpros/srm.htm (Solar energy)
52. http://www.kolumbus.fi/suomen.biokaasukeskus (Biogas information)
53. http://www.ktm.fi (Energy policy)
54. http://www.smy.fi/certification/eng/ (Forest certification system in Finland)
55. http://www.metla.fi/ (Facts about forests in Finland)
56. http://www.mmm.fi/ (Ministry of Agriculture and Forestry)
57. http://www.stat.fi (Statistics of Finland)
58. http://www.tekes.fi/eng/rd/index.html (R&D at Tekes)
59. http://www.tekes.fi/english/programm/woodenergy (Wood Energy Technology Programme)
60. http://tekes.fi/opet (RES technology reports and cases from Finland)
61. http://www.vyh.fi (Environmental policy)
62. Ylitalo, E. (ed). 2001. Puupolttoaineiden käyttö energiantuotannossa vuonna 2000. [Use of wood fuel
in energy production in 2000], Metsätilastotiedote 574. Suomen virallinen tilasto Maa,-metsä- ja
kalatalous 2001:16. 7 p. (in Finnish).
63. Ylitalo, E. (ed). 2002. Puupolttoaineiden käyttö energiantuotannossa vuonna 2001. [Use of wood fuel
in energy production in 2001], Metsätilastotiedote 620. Suomen virallinen tilasto Maa,-metsä- ja
kalatalous 2001:15. 8 p. (in Finnish).
50
Liite A: List of RES organisations in Finland
BIOENERGY
WOOD LOGGING AND
PROCUREMENT
Evimet-Group Oy
Energy grab for forest
tractors
www.nic.fi/~evim
Kesla Oyj
Wood logging machines,
hydraulic loaders, trailers,
chippers
www.kesla.fi
Laitilan Rautarakenne Oy
Firewood harvesters
www.japa.fi
Logset Oy
Logging machines, chippers
www.logset.fi
Maatalouskonemyynti
Markkula Matti Tmi
Skidding grabs, wood
chopping and splitting
machines
tel. +358-3-517 108
Veljekset Pirttinen Oy
Chain delimber, wood
chopping and splitting
machines
tel. +358-6-488 1040
Vesannon Pyörä- ja
Pienkonehuolto Ay
Felling handles for chain
saws
tel. +358-17-650 744
WOOD FUEL CHIPPING,
CRUSHING AND
CHOPPING, PELLETIZING
Agromaster Oy
Wood chopping and splitting
machines
www.agromaster.fi
Agronic Oy
Screw chopper
www.agronic.fi
Bilke Oy
Wood chopping and splitting
machines
www.bilke.net
Junkkari Oy
Chippers
www.mako-junkkari.fi
Kesla Oyj
Wood logging machines,
hydraulic loaders, trailers,
chippers
www.kesla.com
Korpelan Konekorjaamo
Wood chopping and splitting
machines
tel. +358-6-363 1470
Laitilan Metalli Laine Oy
Chippers
www.laimet.com
Laitilan Rautarakenne Oy
Wood chopping and splitting
machines
www.japa.fi
Lehtoniemen Metalli
Wood chopping and splitting
machines
tel. +358-17-558 0574
LHM Hakkuri Oy
Chippers
www.lhmhakkuri.com
Orion Yhtymä Oyj NORMET
Chippers, logging machines,
skidding equipment
www.normet.fi
Energiansäästö Oy
Chippers
www.energian.net
Pinomäki S. Ky
Wood logging machines –
small scale
www.spinomaki.fi
Fenikon Oy
Wood chopping and splitting
machines
tel.+358-3-367 0033
Raussin Metalli Ky
Harvesters, crushers
www.raussinmetalli.com
Oy Fiskars Ab
Handy and power axes
www.fiskars.fi
Maatalouskonemyynti
Markkula Matti Tmi
Wood chopping and splitting
machines
tel. +358-3-517 108
Sunit Mobile Oy
Vehicle computers, machine
control systems, GPS
positioning and wireless data
transfer systems
www.sunit.fi
Heinola Sawmill Machinery
Wood chippers and wood
processing equipment
www.heinolasm.fi or
www.heinolasm.com
Manukone Tmi
Mechanical axe
tel. +358-2-438 3519
Timberjack Oy
Harvesting machines
www.timberjack.com
Valtra Oy Ab
Harvesting machines
www.valtra.fi or
www.valtra.com
Maaselän Kone Oy
Wood chopping and splitting
machines
www.maaselankone.fi
Ideachip Oy
Chippers and crushers
www.ideachip.fi
Mepu Oy
Wood chopping and splitting
machines, dryers
www.mepu.com
Jalonen Markku Tmi
Circular saw choppers, screw
splitters
tel. +358-2-731 4588
Metallityö Mölsä Jorma Tmi
Wood chopping and splitting
machines
tel. +358-19-626 276
A1
Nokka-Tume Oy
Forestry machines, wood
chopping and splitting
machines
www.nokkatume.fi
Pakolan Konepaja
Wood chopping and splitting
machines
tel. +358-8-440 981
Peuralan Konepaja Ky
Wood chopping and splitting
machines
tel. +358-6-437 7122
Pihlajamäki Veli Tmi
Wood chopping and splitting
machines
tel. +358-6-512 0715
Pinomatic Oy
Crushers
www.pinomatic.fi
Pirttinen Tapio Oy
Wood chopping and splitting
machines
www.kauhavanyrittajat.
netsrv.fi/
asiakas/
harmanmaa/yritykset.nsf
Terästakomo Oy
Wood chopping and splitting
machines
www.terastakomo.com
Kivia Oy
Soapstone stoves and
fireplaces
www.kivia.com
TP-Stokeri Oy
Stoker burners, chippers
tel.+358-2-868 1484
Lapin Liesi ja Metalli Ky
Heating devices
tel. +358-2-826 0555
Veljekset Pirttinen Oy
Chain delimber
tel. +358-6-488 1040
Lämpötaltio Oy
Burners
tel. +358-3-513 4225
Veljekset Sarvela Oy
Wedge axes
tel +358-9-2790 130,
Misa Oy
Kitchen and sauna stoves
tel. +358-5-414 6391
FUEL HANDLING AT
PLANT
Narvi Oy
Stoves, water heaters and
chimney flues
www.narvi.fi
BMH Wood Technology Oy
Solid fuel handling equipment
www.bmh.fi
Fortum Power and Heat Oy
Bed mixing dryer for biomass
www.fortum.com
Nunnanlahden Uuni Oy
Soapstone stoves, kitchen
stoves and fireplaces
www.nunnauuni.fi
Raumaster Oy
Fuel handling equipment
www.raumaster.fi
Suomen Eurouuni Oy
Soapstone fireplaces and
stoves
tel. +358-15-165 144
Pulkkasen Konepaja
Splitting axes
tel. +358-8-857 110
Roxon Oy
Fuel handling equipment
www.roxon.fi or
www.roxongroup.com
Tulikivi Group
Soapstone stoves, kitchen
stoves and fireplaces
www.tulikivi.fi
Sisu Auto Oy
Chipper lorries
www.sisuauto.com
Vesme Systems Oy
Fuel handling equipment
www.vesme.com
Tunnelmauuni Oy
Fireplaces and stoves
www.tunnelmauuni.com
SP-Suomi Oy
Wood chopping and splitting
machines
tel. +358-9-256 8876
STOVES AND FIREPLACES
Uunisepät Oy
Fireplaces, kitchen stoves
and stoves
www.uunisepat.fi
Suokone Oy
Crushers
www.suokone.com
Tarkväli Oy
Wood chopping and splitting
machines
www.jarviseutu.fi/jarvimetalli
/tarkvali
TEM-tuote Ky
Wood chopping and splitting
machines
tel.+358-6-488 5016
Harvia Oy
Fireplaces and stoves,
fireplace inserts, saunas
www.harvia.fi
Kastor Oy
Fireplaces and sauna stoves
www.kastor.fi
Kaukora Oy
Small scale grate boilers for
biomass, burners
www.kaukora.fi
Kerman Savi Oy
Fireplaces and stoves
www.kermansavi.fi
A2
Woodheat Finland Ltd
(Puulämpö Suomi Oy)
Stoves and cast iron
components for stoves and
fireplaces
www.puulamposuomi.fi
BOILERS, GASIFIERS AND
BOILER PLANTS
Akvaterm Oy
Small-scale heating boilers
and accumulator
www.akvaterm.fi
Condens Oy
Biomass gasifiers and
gasification plants
www.condens.fi
Farmenergi Oy
Fuel handling equipment,
boiler plants – small-scale
www.farmenergi.fi
Finstoker Oy Suomen
kuivaamo
Heating plants of over 200
kW-medium scale
fax +358-9-222 4834
www.finstoker.fi
Karsta-Karhu Oy
Heating devices
tel. +358-9-3409 0615
Kauhametalli Group Oy
Small scale grate boilers
tel. +358-6-2321 181,
+358-6-230 2000
Kaukora Oy
Small scale grate boilers,
burners
www.kaukora.fi
Konepaja Eneka Oy
Small-scale grate boilers
tel. +358-2-4863 400
Fortum Oyj
Boiler plants – medium and
large scale
www.fortum.com
KPA Unicon Oy
Small scale grate boilers
www.kpaunicon.com
Foster Wheeler Energia Oy
Boiler plants – large scale
www.fwc.com
Kvaerner Pulping Oy
Boiler plants – large-scale
www.kvaerner.com
Heat Mill Oy
Heating centres
tel. +358-17-366 9150
Laatukattila Oy
Small and medium sized
grate boilers
tel. +358-3-214 1411
HT Enerco Oy
Small and medium sized
boilers
www.htlaser.fi
HT Engineering Oy
Pelletizing factories and
pellet heating plants, pellet
burners
Heating plants of over 200
kW
www.htlaser.fi
Insinööritoimisto Krokfors
Oy
Small-scale boilers
tel. +358-208 322 265
Jorma Loukola Ky
Stoker burners, pellet burner
manufacturer/importer
tel.+358-6-4731 475
Jämätek Oy
Small-scale boilers
www.jamatek.fi
Kari Nummela Oy
Pelletizing and briquetting
plants, pellet burner importer
www.pelletti-peloton.fi
Livite Oy
Boiler plants (0,5–10 MW)
www.livite.fi
Masa-Tuote Ky
Small-scale boilers, fuel
feeding equipment
www.masatuote.fi
Mepu Oy
Dryers
www.mepu.com
Nakkilan konepaja
Boiler plants, dryers
(0.5–2.5 MW)
www.nakkilankonepaja.fi/eng
PJ-Automation Oy
Small-scale boilers and
stoker burners
tel. +358-6-231 4766
Rakennustempo Oy
/GreenFire Oy
Small-scale boilers for moist
fuels
www.rakennustempo.fi
Savon Kuljetin ja Teräs Oy
Pellet systems (20-150 kW),
silos, conveyors, dischargers,
burners
www.koti.reimari.net/
savonkulj
Suomen Bio-Lämpö Oy
Small and medium scale
biomass boilers
www.saunalahti.fi/~biolampo/
otisivub.htm
Suomen Etupesät
Small-scale grate boilers and
pre-ovens
www.warmax.agrolink.net
Säätötuli Oy
Small-scale boilers
www.saatotuli.fi
Termocal Oy
Small-scale boilers
www.termocal.fi
Termopoint Oy
Mechanical grate boilers
(1–12 MW), conveyer
systems, plant modernisation
www.termopoint.fi
Teuvan Keitintehdas Oy
Hot and warm water systems
fired with wood logs
www.teuva.fi/keitin
Thermia Oy
Small scale grate boilers,
burners (<2 MW)
www.thermia.fi
TP-Stokeri Oy
Stoker burners, chippers
www.kotisivu.dnainternet.net/
tpstokeri.fi
Pro-Lämpö Oy
Pellet boiler plants
tel. +358-3-347 3600,
Trombisel Oy
Small scale boilers
www.jarviseutu.fi/jarvimetalli/
trombisel
Putkimaa Oy
Mechanical grate boilers –
medium-scale
www.putkimaa.fi
Tulostekniikka Oy
Heating plant designer and
manufacturer (120–3000 kW)
tel. +358-14-471 671
A3
Vaasan Kuljetuskanavat
Fuel handling equipment,
boilers, boiler plants – smallscale
www.kuljetuskanavat.fi
Vapo Oy Energia
Heating plants (0.5–10 MW)
www.vapo.fi
Veljekset Ala-Talkkari Oy
Small-scale boilers, burners
www.alatalkkari.fi
Wärtsilä Biopower
Boiler plants – small and
medium scale (1–10 MW)
www.wartsila.com
FLUE GAS CLEANING
Condens Oy
Clarifiers and filters , gas wet
cleaning and heat recovery
units
www.condens.fi
Foster Wheeler Energia Oy
Flue gas cleaning,
large-scale
www.fwc.com
Kvaerner Pulping Oy
Flue gas cleaning,
large-scale
www.kvaerner.com
AUTOMATION
AA-Control Oy
Exhaust gas sensors
tel. +358-8-5315 500
Consor Technology
Automated systems
tel. +358-3-358 6999
Enermet Oy
Energy meters and
measurement systems
www.enermet.com
Honeywell Oy
Automation systems
www.honeywell.fi
Metso Automation
Automation systems
www.metsoautomation.com
Siemens Oy, Siemens
Power Generation
Automation systems
www.siemens.fi
EXPORTING BIOMASS
FUELS
Biowatti Oy
Wood biomass, pellets
www.biowatti.fi
Turveruukki Oy
Peat and wood biomass
www.turveruukki.fi
Vapo Oy
Wood, peat and agrobased
biomass, pellets
www.vapo.fi
CONSULTING AND
ENGINEERING
COMPANIES
Brofta Oy
Consulting of biomass district
heating plants, international
purchase services
http://www.brofta.fi/
Carbona Oy
Energy engineering and
development of advanced
IGCC technology
tel. +358-9-540 7150
Elektrowatt-Ekono
Consulting and engineering
services in industrial and
municipal energy production
and distribution
www.poyry.fi
A4
Elomatic Papertech
Consulting of biomass district
heating plants
www.elomatic.com
FinBerca
Biomass district heating
plants
http://www.finberca.fi/
Giga Power
Consulting of biomass district
heating plants
tel. +358-17-551 3932
Jaakko Pöyry Consulting
Oy
Consulting in wood biomass
harvesting, chipping and
transport, pelletizing
www.poyry.fi
Jyväskylä Science Park
Bioenergy development
projects
www.jsp.fi
Osmo Kaulamo
Engineering Oy
Turnkey power plant projects
and project management
www.oke.fi
Planora Oy
Consulting of biomass district
heating plants
www.planora.fi
Protermo
Consulting, power plant
design and project
management
www.protermo.fi
Empower Oy
Power plant technology,
environment and renewable
energy
www.pvo-engineering.fi
RAMSE Consulting
Energy and environment
services
www.ramse.fi
WIND ENERGY
ENERGY PRODUCTION,
MAINTENANCE,
OPERATING
EXPERIENCES
Hyötytuuli Oy
wind power production
www.hyotytuuli.com
Iin Energia Oy
wind power production
www.ii.fi
Kemijoki Arctic
Technology Oy
Service and maintenance
services
www.kemijoki.fi
Kemin Energialaitos
wind power production
www.keminenergia.fi
Korsnäsin
Tuulivoimapuisto Oy
wind power production
www.korsnas.fi
Kotkan energia Oy
wind power production
www.kotkanenergia.fi
Lumituuli Oy
wind power production, wind
electricity
www.lumituuli.fi
Oulun Seudun Sähkö Oy
wind power production
www.oulunseudunsahko.fi
Pori Energia
wind power production
www.porienergia.fi
Propel Voima Oy
wind power production
www.propelvoima.fi
Tunturituuli Oy
wind power production
www.tunturituuli.fi
Vattenfall/ Revon Sähkö Oy
wind power production
www.vattenfall.fi
Ålands Teknologicentrum
wind power production,
consulting
www.atc.aland.fi
IMPORTERS,
MANUFACTURERS,
RETAILERS
Fortum Engineering Oy
wind turbines, solar electricity
systems
www.fortum.com
Hafmex Oy
small and large wind
turbines,
Lagerwey wind turbines
www.hafmex.fi
Mikron Ky
Nordic Windpower
Tel +358 9 298 8053,
+358 9 298 7119
email: mikron@dlc.fi
Nordex Ab
Sales and marketing
www.mekinor.se
Kumera Oy
Gearboxes
www.kumera.fi
Metso Automation
automation, information and
maintenance systems
www.metso.fi
Metso Drives Oy
Gearboxes
www.metso.fi
Rautaruukki Oyj
Steel products
www.rautaruukki.fi
Windside Production Oy
Ltd
Generators, blades
www.windside.fi
ANEMOMETERS
Vestas - Scandinavian
Wind Technology A/S
Onshore and offshore wind
turbines
www.vestas.dk
Labko Ice Detection Oy
Ice detection of blades and
removal systems,
meteorological ice detectors
www.labko.fi
Windside Production Oy
Ltd
Windpower plants
www.windside.fi
Reino Rehn Ky
Anemometers, weather
stations
Tel +358 3 346 0222
Winwind Oy
Wind turbines
www.winwind.fi
Vaisala Oy
Anemometers
www.vaisala.fi
COMPONENT
MANUFACTURERS
PLANNING, CONSULTING,
AND BUILDING SERVICES
ABB Motors Oy
Generators
www.abb.fi
Cosphi One
Design tools for power
electronics
Tel +358 40 564 2291
Hollolan
sähköautomatiikka Oy
Generators
Tel +358 3 752 0732
Email: hsa@sci.fi
Kemijoki Arctic
Technology Oy
Ice prevention systems for
blades
www.kemijoki.fi
A2
Electrowatt-Ekono Oy
Wind analyses,
profitableness analyses, preand project planning
www.electrowatt-ekono.fi
EMP Projects Oy
feasability calculations,
environmental impact
assements, project
management, turn key supply
www.empgroup.com
Erkki Haapanen
Engineering Oy
Planning
Tel +358 3 532 0600
Empower Oy
Site planning, environmental
assessments, project
management
www.pvo.fi
Prizztech Oy
Technology projects
www.prizz.fi
Windcraft
Rotor expertise
www.kolumbus.fi/suokas
Vindkraftföreningen rf
Project consultancy
Tel +358 400 445 166
SOLAR ENERGY
Eurosolar-Engineering Oy
Solar and wind energy
equipment
www.eurosolar.com
Oy HTI Tekniikka Ab
solar panels
Tel +358 9 222 5577
Solarwind Oy
Solar and wind energy
equipment
www.solarwind.com
Länsilasi Oy
PV-modules
Tel +358 2 629 5111
NAPS Systems Oy
Solar panels
www.napssystems.com
Fortum Oy
solar thermal systems
www.fortum.com
Oy Sabik Ab
Solar navigational lights
www.sabik.fi
Sunfin Technologies
absorbators
Tel +358 020 366 000
hanslin@sunfin.com
Soleco Oy
Solar energy consulting
www.soleco.fi
Varta Oy
solar panels
www.varta.com
SunWatt Oy
Tel +358 9 8137673
Kaasuvalo Oy
solar panels, gas appliances
www.kaasuvalo.fi
Solar Simulator Finland Ltd
solar thermal products
www.solarsimulatorfinland.co
m
PV Marketing Oy
solar collectors, panels
Tel +358 17 565 136
SunWind Oy
solar panel imports, solar
electricity appliances
www.sunwind.fi
HEAT PUMPS, DRILL WELLS
Ahlsell Ref Oy
air source heat pumps
www.ahlsellref.fi
Oy Callidus Ab
whole sale, heat pumps,
HVAC products
www.callidus.fi
Carrier Oy
ground and air source heat
pumps
www.carrier.fi
Cetetherm Oy
heat exchangers
www.cetetherm.com
Danfoss Oy Ab
cooling technology
www.danfoss.fi
Energent Oy
ground source heat pumps,
ventilation equipment
www.energent.fi
Haato Varaajat
ground, air and exhaust air
source heat pumps
www.haato.fi
ILP-Tekniikka Oy
ground, air and exhaust air
source heat pumps
www.ivtlampopumput.fi
Insto Kessele Oy
heat pump installations
www.kessele.com
Jäähdytyskone Oy
draining heat pumps
www.esteri.com
A2
Kaivonporaus Tom Allen
Oy
drill wells, ground source
heat pumps
www.tomallen.fi
Kaukomarkkinat Oy
air source heat pumps
www.panasonic.fi
Kemira Chemicals Oy
heat collector liquids
www.kemira.com
RE-Energiset Oy
ground source heat pumps
www.re-energiset.fi
Onninen Oy
whole sale, heat pumps,
HVAC products
www.onninen.fi
Poratek ry
drill well consulting
www.poratek.fi
Suomen Tempcold Oy
cooling technology
www.tempcold.fi
Thermosystems Oy
ground source heat pumps
www.thermosystems.fi
Saariston Kaivonporaus Oy
drill wells, ground source
heat pumps
www.kaivonporaus.com
SWEP Energy Oy
heat exchangers
www.swep.se
Oy Uponor Ab Finland
heat collector piping and
under floor heating
www.uponor.fi
Suomen
Lämpöpumpputekniikka Oy
ground source heat pumps
www.slp-tekniikka.fi
Tekeda Ky
exhaust air heat pumps
www.lohja.fi/tekeda
Wilo Finland Oy
heat piping and liquid pumps
www.wilo.fi
Thermia Oy
ground and air source heat
pumps
www.thermia.fi
HYDROPOWER
WaterPumps WP Oy
water pumps, water turbines
Tel +358 9 3855 907
e-mail: wpoy@sci.fi
GE Hydro
water pumps, water turbines
www.gefinland.com
ATA Gears Oy
Small-scale water turbines
www.ata-gears.fi
POLICY AND RESEARCH FUNDING
Tekes, the National
Technology Agency of
Finland
Financing for applied and
industrial R&D
www.tekes.fi
The Ministry of Agriculture
and Forestry
Administration of forest and
agriculture
www.mmm.fi
The Ministry of
Environment
Administration of
environmental policy
www.vyh.fi
Motiva Oy
Information on energy
efficiency and renewable
energy sources
www.motiva.fi
The Ministry of Trade and
Industry, Energy
Department
Energy administration
www.ktm.fi
ASSOCIATIONS
The Bioenergy Association
of Finland (FINBIO)
www.finbioenergy.fi
Finnish Electricity
Association – Sener
www.energia.fi
Finnish Biogas Centre
www.kolumbus.fi/
suomen.biokaasukeskus
Finnish Energy Industries
Federation – Finergy
www.energia.fi
Finnish District Heating
Association
www.energia.fi
Finnish Heat Pump
Association (SULPU)
www.sulpu.fi
Finnish Forest Industries
Federation
www.forestindustries.fi
Finnish Wind Energy
Association
www.tuulivoimayhdistys.fi
A2
Small-scale Hydropower
Association
http://koti.welho.com/jhiltun4/
hiltunen@welho.com
Solar Energy Association
Finland
www.avenet.fi/aty
Vindkraftföreningen rf
Tel +358 400 445 166
Wood Energy Association
www.puuenergia.fi
RESEARCH INSTITUTES
Agricultural Research
Centre of Finland, Institute
of Crop and Soil Science
Energy crops
www.agronet.fi/mtt
European Forest Institute
EFI
Forestry science
www.efi.fi
Finnish Meteorological
Institute
Wind measurements ,
Wind indexes, Finnish Wind
Atlas
www.ilmatieteenlaitos.fi
Finnish Forest Research
Institute (METLA)
Forestry science
www.metla.fi
Metsäteho Oy
Wood procurement and
production
www.metsateho.fi
Technical Research Centre
of Finland, VTT
Renewable Energy Sources
www.vtt.fi/pro
TTS-Institute
Wood fuel production and
small-scale combustion
technology, energy crops
production
www.tts.fi
Research in Finland
www.research.fi
UNIVERSITIES
Helsinki University of
Technology
Laboratory of Energy
Economics and Power Plant
Engineering
Combustion and gasification
technology
www.hut.fi
Lappeenranta University of
Technology
Energy technology and
econimics
www.lut.fi
Tampere University of
Technology
Combustion and modelling,
heat pump research
www.tut.fi
University of Helsinki
Agricultural and Forestry
Science (energy crops)
www.helsinki.fi/
University of Joensuu
Forestry Science, biogas
www.joensuu.fi
University of Jyväskylä
Renewable Energy Sources
www.jyu.fi
University of Kuopio
Department of environmental
sciences
Combustion related aerosol
research
http://www.uku.fi/laitokset/ifk/
University of Oulu
Peat, wood and agrobiomass
production and utilization
www.oulu.fi
Åbo Akademi University
Combustion and gasification
www.abo.fi
POLYTECHNICS
Jyväskylä Polytechnic
School of Natural Resources
bioenergy
www.jypoly.fi
Kymenlaakso Polytechnic
bioenergy
www.kyamk.fi/
North Carelian Polytechnic
bioenergy
www.ncp.fi
Pohjois-Savo Polytechnic
bioenergy
www.pspt.fi
Mikkeli Polytechnic
bioenergy
www.mikkeliamk.fi
A2
Rovaniemi Institute of
Technology
heat pump testing and
education
www.ramk.fi/mlp-testaus
Satakunta Polytechnic
bioenergy
www.spt.fi/
Appendix B: Legislative references
LAW OR
REGULATION
NUMBER
MAIN SUBJECT
FIELD AFFECTED
REMARKS
NATURE CONSERVATION, WATER AND WETLAND PROTECTION
Nature conservation act 1096/1996
Environmental policy
Biomass
Conservation of natural resources,
and Decree
160/1997
Hydroenergy
formation of natural reserves
Wind energy
Solar energy
Cogeneration
Water act and decree
264/1961
Environmental policy
Hydroenergy
Permission to drain or ditch cultivated land
282/1962
Renewable energy sources Biomass
or wetlands, construction of bridges,
646/1992
hydroelectric power plants, dams, ponds,
750/1996
etc.
88/2000
689/2000
170/2000
Waterfalls protection
35/1987
Environmental policy
Hydroenergy
Conservation of nationally important
act
Renewable energy sources
waterfalls in natural state in Finland
Act on the Dam Safety 413/1984
Environemental policy
Hydroenergy
Safety aspect of construction and use of
95/2000
dams
Act on the rights to use 266/1961
Energy policy
Hydroenergy
Permission to use, on certain conditions
certain watercources
Renewable energy sources
water and watercources, and water
Electricity
constructions owned by someone else
Decree on
283/1962
Environmental policy
Biomass
Concerns plants and activities which might
precautionary
816/1989
Hydroenergy
cause water pollution.
measures for the
81/1995
Cogeneration
protection of water
Act on the natural
131/1991Environmental policy
Biomass
Conservation of natural resources,
reserves of 11 named
138/1991
Hydroenergy
formation of natural reserves
areas
Act on the
676/1981
Environmental policy
Biomass
Conservation of different kinds of wetland
establishment of certain 851/1982
Hydroenergy
areas
state-owned areas
Act on the
83/1938
Environmental policy
Biomass
Conservation of natural resources,
establishment of certain
Hydroenergy
formation of natural reserves
nature reserves on
Wind energy
state-owned lands
Solar energy
Cogeneration
Act on the
634/1956
Environmental policy
Biomass
Conservation of natural resources,
establishment of certain
Hydroenergy
formation of natural reserves
new nature reserves on
Wind energy
state-owned lands
Solar energy
Act on the exceptional 703/1983
Environmental policy
Hydroenergy
Conservation of natural resources
protection of the rivers 1139/2000
Ounasjoki and
Kyrönjoki
EMISSIONS AND PERMITS
Environmental
86/2000
Environment
All renewables
The act compiles all separate provisions
protection act and
169/2000
under one act, that is, the overriding
decree
711/01
principles, responsibilities and prohibitions,
113/2000
overall regulations and guidelines,
436/01
compensations, supervisions and
monitoring, and appeals
Council of state
537/1984
Environmental policy
Cogeneration
The limits of maximum levels of pollutants
decision on the
Energy policy
Biomass
in the air, SO2, particulates, nitrogen
oxides, CO
instructions for air
quality
B1
LAW OR
REGULATION
Council of state
decision on guidelines
for restriction of SO2
emissions from peat
fired boilers
Council of state
decision on restricting
emissions of sulphur
compounds from pulp
mills
Council of state
decision on guidelines
to restrict the
particulate emissions of
power and boiler plants
Council of state
decision on guidelines
to restrict nitrogen
oxide emissions from
boilers and Gas
turbines
Council of state
decision on the
measures for air
pollution prevention at
plants combusting
municipal wastes
NUMBER
MAIN SUBJECT
FIELD AFFECTED
REMARKS
367/1994
Renewable energy sources
Electricity
Cogeneration
Energy policy
Biomass
Cogeneration
Sulphur dioxide emission limits for peat
combustion
160/1987
Electricity
Cogeneration
Energy policy
Environmental policy
Cogeneration
Sulphur emissions from combustion of
black liquor
157/1987
368/1994
Environmental policy
Electricity
Cogeneration
Energy policy
Biomass
Cogeneration
Power and boiler plants, also peat and
other biomass fueled plants
527/1991
Electricity
Cogeneration
Energy policy
Environmental policy
Biomass
Cogeneration
RES connected to the
grid
Power and boiler plants, peat and other
biomass fueled plants included
626/1994
Energy policy
Environmental policy
Electricity
Cogeneration
Urban solid residues
Agricultural residues
Conserns municipal waste incineration
plants the share of energy produced with
municipal waste exceed 30 % of the total
Waste act and decree
1072/1993
91/2000;
1390/1990
171/2000
126/2000
1246/1996
962/1997
883/1998
Council of state
decision of certain
types of waste
WASTE HANDLING, HEALTH PROTECTION AND BUILDING
Energy policy
Biomass
Handling and processing of wastes
Environmental policy
Cogeneration
Environmental policy
Waste
861/1997
Environmental policy
Waste
763/1994
1280/19948
9/2000
132/99
895/99
132/99
Health and safety
Biomass
cogeneration
Building industry
Act on certain
neighbourhood
relations
26/1920
90/2000
Building industry
Wind energy
Hydroenergy
Biomass
Cogeneration
Wind energy
Biomass
Cogeneration
Land use and building
act and decree
132/1999
895/1999
Building
Council of state
decision of landfill gas
Health protection act
and decree
Land use and Building
act and decree
All
B2
The principle of the producer responsibility
to minimise the generation and and to
enhance the recovery (including also
energy recovery) of certain types of waste
The Government decisions on discarded
tyres (1246/1996), packing and packaging
waste (962/1997/ and waste paper
(883/1998).
Obligation to collect and use landfill gas
and control (plan before year 2002)
Permission for siting required for heat or
power plants of >5 MW fuel power
Regulation and restriction of the use of
land areas and construction of buildings
Regulates the construction of certain
buildings (including wind mills) and storage
areas nearby the neighbours residence or
real estate
Regulation and restriction of the use land
areas and construction buildings.
LAW OR
REGULATION
Excise tax act
Waste tax act
NUMBER
FISCAL MEASURES AND SUBSIDIES
MAIN SUBJECT
FIELD AFFECTED
1260/1996
1261/1997
510/1998
Fiscal
Electricity
Wind energy
Hydro power
Biomass
Cogeneration
495/1996
Environmental policy
Biomass
Cogeneration
Solar energy
Wind energy
Hydroenergy
Biomass
Cogeneration
RES connected to grid
Solar energy
Wind energy
Hydro power
Biomass
Cogeneration
RES connected to the
grid
Council of state
45/1996
decision on the general 29/1999
terms for energy
625/2002
subsidies
Energy policy
Financial
Ministry of Trade and
746/1994
Industry decision on the 197/1994
terms of the energy
210/1999
subsidies
Energy policy
Financial
Guidelines for energy
investment aid
1607/1991
1051/1992
1086/1993
241/1996
Financial
Act of Local Forestry
Management
associations
534/1998
and Decree
1227/1998
Forestry
Act on Local Forestry
Centres
1169/1993
93/1993
1525/1993
699/1993
1093/1996
amendm.
1178/1997
137/99
Other (Forestry)
Biomass
Renewable energy sources
Forestry
Biomass
Forest act
Wind energy
Hydro power
Biomass
Cogeneration
FORESTRY AND AGRICULTURE
Biomass
B3
REMARKS
CO2 tax for fossil fuels (18 EUR/CO2
tonne) exceptions for peat and natural gas.
The subsidies are granted for small-power
plants producing power with wind energy,
with hydro power plant (P>1.0 MW) or
thermal power plant producing power with
wood fuels or peat (< 40 MVA)
Waste fees for dumping.
For tasks promoting: energy conservation
and energy use, utilisation of new energy
technology, reduction of environmental
impacts of energy production and use,
improve the reliability and versatility of
energy supply
For investments and equipment promoting
efficient production and use of energy,
improving the reliability and versatility of
energy supply, serving the reduction of
environmental impacts of energy
production and use, investments and
equipment based on new energy
technology, investments on utilisation of
indigenous energy sources, investments
promoting the use of natural gas and other
gaseous fuels, and research on energy
technologies (in Finland or abroad) serving
the Finnish energy supply, environmental
protection or transfer of energy technology
Investment aid for heat and power
generation
Task of the Local Forestry Management
Associations are to help forest owners
(non-industrial) for economical, ecological
and social sustainable of forestry with in
Finnish legal system. Associations are
collecting forest fees from forest owners.
Forest owners are directly members in the
association. Associations can trade timber
or energy wood,when authorised by a
forest owner.
Act determining the tasks and activities of
the Local Forestry Centres (inspection of
the forestry legislation)
Promotes the sustainable forestry and
utilisation of forests.
LAW OR
REGULATION
Act and Decree on
funding of sustainable
forestry
Decisions of the
Ministry of Agriculture
and Forestry on
harvesting of young
forests
Act and Decree for
agricultural industry
Act of funding rural
business
Decision of Ministry of
Agriculture and
Forestry for support
system for crops and
set-aside areas in 1999
NUMBER
MAIN SUBJECT
FIELD AFFECTED
REMARKS
Act:
1094/1996
1286/97
454/99
332/99
718/99
1062/99
144/00
Decree:
1311/1996
907/1997
1415/1997
454/1999
332/1999
718/1999
1062/1999
188/2000
729/2000
350/2001
31/2001
399/2001
72/2001
49/1999
50/1999
51/1999
66/1999
147/1999
Renewable energy sources
Financial
Biomass
Funding of sustainable forestry
Forest Improvement Act (140/1987), Act on
the Rehabilition of Poorly Productive
Forests in Lapland (1057/1982). Support
for forestry operations in young stands
STIPULATIONS FOR ENERGY WOOD
PRODUCTION
907/1997 and 1415/1997 support also
available for wood fuel harvesting and
forestry transportation for forest owner as
of 30.9.1997
Announcement 1083/1999 and stipulation
(147/1999) of Ministry of Agriculture and
Forestry, support for chipping of whole
trees from young stands for year 2000 –
2002 Support is paid to the organisation or
forest owner who is delivering chips to
plant..
Financial
Biomass
(supports act 1094/1996)
Biomass
1295/1990
248/1991
329/99
1257/99
44/00
149/01
329/1999
44/2000
320/2000
794/2001
485/1999
Agricultural policy
Renewable energy
sources in agriculture
Announcement of Ministry of Agriculture
and Forestry 522/1999 for 49/99,50/99 and
51/99
Financial support for forest owners to
making forestry operations in young
stands.
Announcement of Ministry of Agriculture
and Forestry 588/1999 for 69/99
Announcement of Ministry of Agriculture
and Forestry (1083/1999) for 147/99
Fiscal measures for agriculture including
also investment aid for energy production
by RES in agriculture
Max. 20% of the investment costs
Agriculture policy
Renewable energy in
agriculture
Agricultural policy
Crops
B4
Support for rural business by investment
aid and loans. Includes also support 20%
of investment costs to renewable energy
investments, too.
Support of crops and regulations for set a
side areas in Finland in 1999
Complies with EU 1765/92 legislation
LAW OR
REGULATION
Electricity Market act,
Electricity market
decree
NUMBER
ELECTRICITY MARKET
MAIN SUBJECT
FIELD AFFECTED
REMARKS
386/1995
1018/1995
332/1998
138/1999
466/1999
518/1995
Standard usage figures 491/1998
906/2000
Energy policy
Electricity
Electricity production
Transmission and
distribution
Deregulation of electricity markets
Electricity
Sales
Act and Degree of
Energy Market
Authority
Ministry of Trade and
Industry decision on the
terms and conditions
applied to electricity
sales
Act on Competition
Restrictions
507/2000
621/2000
Electricity
781/1995
613/1998
836/2000
905/2000
Electricity
Energy markets
including also natural
gas markets
Electricity sales
*491/1998 is for smaller consumers (main
fuse size 3 x 63) based on standard usage
figures (type loads)
See natural gas act (50(/2000)
480/1992
article 11d
Competition restrictions in
electricity transmission
Electricity
Fiscal
Electricity
Cogeneration
Fiscal
Electricity
Biomass
Decisions of the
1261/1996
Ministry of Trade and
Industry, own use of
electricity by power
plants
Definition of the
15/1998
electricity production by
using wood and woodbased fuels
B5
Terms of conditions applied to power grid
connections and electricity sales
The amount of electricity transmitted at 400
V in the transmission grid exceeds 25 per
cent on a national level
Definition of the own use of electricity by
power plant. Electricity tax of industry is
based on the used net electricity, and the
own use of electricity by power plants can
be subtracted from the other consumption.
Additional to the Excise tax act
C. Use of wood in Finland in 2000, Mm3
Round wood
75
Crown
mass
28
Logging
residues 26
Wasted round wood 6
2
Biofuels 0,4
Stem- Incremental,
outside
wood
5 commercial use
Natural
loss
Crown mass 2 7
Timber export
Fuel wood
5
1
2
Changes in
timber storages
Import
11.9+1.0
Domestic wood
58.0
Round wood +
chips
Sawn goods 13.5
Biofuels
4.4
Plywood
industry 3.4
Sawing
industry
29.4
11.2
Biofuels 0.7
Chips
1.3
Chips + sawdust
11.5
Mechanical and
semi-chemical
pulp industry Round wood + chips
10.5 + 2.9
26.2 + 9.8
Plywood 1.2
Other industry
0.4 + 1.1
Biofuels 0.02
Chemical pulp industry
Biofuels
2.2
Chemical pulp 14.7
Black liquor
17.7
Solid biofuels
3.6
Source: VTT Processes/18/
C1
D.Costs and competitiveness of biofuels
D1. Development of wood fuel prices in Finland as of 1982 /24, 25, 62, 63/
1995
EUR/MWh
1999
2000
2001
12.00
10.00
8.00
6.00
4.00
2.00
0.00
Bark
Sawdust
Ind.wood residues
Forest chips,average Wood fuel on average
EUR/MWh
18.0
16.0
14.0
15.8
1982
1995
1999
15.0
13.8
12.0
14.3
13.6
11.1
10.4 10.3
10.0
9.1
8.9
7.7
8.0
7.4
6.0
4.0
2.0
0.0
Small stems
delimbed
Small stems
undelimbed
Logging residues
D1
Forest chips
average
D2. A typical cost structure of forest chips from logging residues and small whole trees.
Cost at the plant excluding VAT. No stumpage included /24/.
Cost, € / MWh
14
12.8
Overheads
12
On-road transport
10
8.4
8
Comminution
6
Off-road transport
4
Cutting
2
0
Residues from
final harvest
Whole trees from
early thinnings
D3. Price development of wood chips from 1990. Source: Electrowatt-Ekono.
18
EUR/MWh
16
14
Primary product
deduction
12
10
8
6
4
2
0
1990
1992
1994
1996
1998
Year
D2
2000
2002
D4. Heat production costs for 5 MWth district heating plant. Source: Electrowatt-Ekono.
40
Heat production costs, EUR/MWh
13.5 EUR/MWh
14 EUR/MWh
10 EUR/MWh
7.6 EUR/MWh
50% ind. residues
50% forest chips
Taxes and fees according to the
proposal for the year 2003
Peak duration hours 5000 h
Natural gas
Heavy fuel oil
Wood
Peat
Wood
Heat plant 5 MW
35
Capital costs
Other production costs
30
Taxes and other fees
Fuel price without taxes
25
20
15
10
5
0
Natural gas
Wood
Heavy
Wood 50%/
fuel oil
Peat 50%
D5. Electricity production costs for small-scale CHP plant in 2002. Heat production price
is fixed to 20 EUR/MWh. Source: Electrowatt-Ekono.
Electricity production costs, EUR/MWhe
60
50
40
Natural gas motor 5 MWe /6 MWth
Wood and wood/peat 2 MWe/6 MWth
Other costs
Subsidies
Fuel without taxes
Market price of
electricity
13.5 EUR/MWh
10 EUR/MWh
7.6 EUR/MWh
50% ind.residues
50% forest chips
Taxes and grants according to
the proposal for the year 2003
Peak duration hours, 5000 h
Natural gas
Wood
Peat
Wood
30
20
10
0
-5
Natural gas
Wood 50%/peat 50%
D3
Wood
D6. Electricity production costs for large-scale CHP plant in 2002. Heat production price
is fixed to 20 EUR/MWh. Source: Electrowatt-Ekono.
Electricity production costs, EUR/MWhe
Natural gas combined cycle
120 MWe /120 MWth
Coal/wood/peat
60 MWe/120 MWth
40
Other costs
Taxes and fees
Fuel without taxes
Market price of
electricity
30
13.5 Eur/MWh
5.4 Eur/MWh
10 Eur/MWh
7.6 Eur/MWh
75% Ind.wood residues
25% Forest chips
Taxes and subsidies according the
proposal of the year 2003
Peak duration hours, 5000 h
Natural gas
Coal
Wood
Peat
Wood
20
10
0
Natural gas
Wood 50%/Peat 50%
Coal
-5
D7. Electricity production costs in 2002 for condensing power plants.
Source:Electrowatt-Ekono.
Electricity production costs, EUR/MWhe
50
40
Natural gas combined cycle 400 MWe Natural gas
Coal
Coal 500 MWe
Wood
Wood/peat 150 MWe
Peat
Wood
Capital
costs
Other
production costs
13.5 EUR/MWh
5.4 EUR/MWh
10 EUR/MWh
5.7 EUR/MWh
75% ind.wood residues
25% forest chips
Taxes and grants according to the
proposal for year 2003
Fuel price without
taxes
30
20
10
0
Natural gas
Coal
-5
D4
Subsidies
Wood 50%/Peat 50%
D8. Competiviness of wood/peat in electricity production in 2000 – 2010.
Source: Electrowatt-Ekono.
45
EUR/MWh e
40
35
Wood/peat condensing power
Electricity pool, bad hydrological year
30
25
Electricity pool
Wood/Peat CHP
20
Electricity pool, good hydrological year
15
10
5
0
2000
2001
2002
2003
2004
D5
2005
2006
2007
2008
2009
2010
App. E. Wind turbines in Finland 2002
Total 64 turbines, 41 MW. Source: VTT Processes /45/.
Utsjoki
Lammasoaivi
2 x 450 kW, 600 kW
Ivalo
Paljasselkä 65 kW (demo)
Olos 5 x 600 kW
Pyhätunturi 220 kW (dismantled 2001)
Rovaniemi
Kemi 3 x 300 kW
Kuivaniemi 500 kW, 6 x 750 kW
Ii 500 kW
Oulu 1 MW
Hailuoto 2 x 300 kW, 2 x 500 kW
Lumijoki 660 kW,
Kemi
Oulu
Oulunsalo 1.3 MW
Siikajoki 2 x 300 kW, 2 x 600 kW
Kalajoki 2 x 300 kW
Korsnäs 4 x 200 kW
Kajaani
Vaasa
Närpiö 750 kW
Kuopio
Joensuu
Jyväskylä
Pori 300 kW, 8 x 1 MW,
1x2MW
Tampere
Pori
Uusikaupunki 2 x 1.3 MW
Finström 2x500 kW,600 kW
Vårdö 500 kW
Eckerö 500 kW
Lahti
Turku
Helsinki
Lemland 4x600 kW
Föglö 600 kW
Sottunga 225 kW
Lappeenranta
Kotka 2 x1 MW
Kopparnäs 50 kW (dismantled 2001)
Kökar 500 kW
Hanko
E1
Published by
Series title and number
OPET FINLAND
VTT Processes
P O. Box 1603, FIN-40101 Jyväskylä
Motiva Oy
P.O.Box 489, FIN-00101 Helsinki
National Technology Agency, Tekes
P.O. Box 69, FIN-00101 Helsinki
OPET Report 9
PRO2/T6509/02
Author(s)
Alakangas, E.
Title
Renewable energy sources in Finland, 2002
Abstract
Approximately 30% of Finland’s total energy consumption is met by using indigenous energy sources. Wood,
hydropower and other biomass accounted for roughly 25% of Finland energy supply in 2000 (1 318 PJ). This is
one of the highest figures among the leading industrialised nations (EU average being 6%) and makes Finland the
leading country in the use of biomass.
Bioenergy is accounting for 85% of renewable energy sources (328 PJ) in 2000. In Finland, the main provider and
user of wood-based energy is the forest industry, which obtains wood fuels at a competitive price in connection
with raw material procurement or as a by-product of wood processing. About 35 million m3 solid of wood (271 PJ)
is used annually in Finland for energy production, covering 20% of the total consumption of primary energy. Most
of the wood-based energy is recovered from liquid and solid industrial wood residues. Forest fuels comprise only a
modest share.
Increasing the use of renewable energy sources is one of the main objectives of the National Climate Strategy.
Measures aimed at achieving this goal are presented out in the framework of the Action Plan for Renewable
Energy, and should culminate in approximately one quarter of the total reduction target of Finland’s greenhouse
emissions in 2010. The objective in energy use is to bring an increase of about 50% in the use of renewable energy
by 2010 compared to that in 1995. The Action Plan for Renewable Energy given by the Finnish Ministry of Trade
and Industry in 1999. In 2002 revised Action Plan for Renewable Energy for 2003 – 2006 the working group sets
the objective of increasing the use of renewable energy sources by another 7% by 2010. The greatest potential in
this regard lies in the increased use of wood for heat production and for combined heat and power production in
both industry and the municipal district-heating sector. Key promotion measures are development of technology
and commercialising of new technology, energy taxation, investment subsidies, and dissemination of information.
Investment subsidies are targeted primarily at production plants employing new technology solutions.
This report is a summary of the current situation and future plans of renewable energy sources in Finland.
Keywords
Renewable energy sources, Finland, bioenergy, biogas, wind energy, solar energy, hydro power, heat pumps
Year
2002
Language
English
Name of project
OPET Network (NNE5/2001/579 – SI2.318334)
Pages
Commissioned by
Tekes, National Technology Acengy
C1SU00393
Additional information
Eija Alakangas, Product Manager
Tel. +358-14-672 550
Fax +358-14-672 598
E-mail: Eija.Alakangas@vtt.fi
Price
51 + app. 20 p.
Available as PDF-format
www.tekes.fi/opet
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