Energy story of Turku region, history and future

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1 Energy story of Turku region, history and future Jari Kuivanen Heat / Turku Energy Finnish-Russian Energy Days Turku Energia

2 nergy for life, residential living and entrepreneurship Turku Energia

3 Turku Energia today Versatile and competent energy group Turku Energia today Turku Energia is Southwest Finland s leading energy group. Its operations are based on the ability to provide electricity at competitive prices operational reliability profitability and environmental friendliness. 3

4 Turku Energia brings energy to life, residential living and entrepreneurship Business idea Turku Energia produces, acquires, sells and transmits electricity and heat mainly in the Turku region constructs and maintains its energy production facilities and networks Guiding principles Business areas District heating, cooling and steam Electricity transfer and distribution Electricity sales throughout Finland Contracting services Own energy production and energy production through partnership companies 4 Syötalatunniste: Customer satisfaction Profitability Operational reliability Environmental friendliness Desirability as an employer lisää välilehti > ylä ja alatunniste

5 Turku Energia group Group Management and Group Services Energy business Services Heat Electricity sales Electricity networks Contracting services Turku Energia s subsidiary and partnership companies Turun Seudun Kaukolämpö Oy (60.75%) Turku Energia Sähköverkot Oy (100%) Turun Seudun Energiantuotanto Oy TSE (39.5%) Svartisen Holding AS (34.74%) Suomen Hyötytuuli Oy (12.5%) Voimaosakeyhtiö SF Oy (3.3%) through which there is a holding of 5 2.2% in Fennovoima Other Turku Energia partnerships and holdings Kiinteistö Oy Biotorni (100%) andturku Science Park (21.24%) 5 Syötalatunniste: lisää välilehti > ylä ja alatunniste

6 Turku Energia in brief Southwest Finland s leading energy company Electricity, heat and cooling are sold and transferred to the customer. In addition, we offer contracting services Oy Electron Ab was founded in 1898; it became a limited company in 1995 when the markets were opened Owner: City of Turku Turnover: 270 million (2012) Operating profit: 23,5 million (2012) Investments: 16 million(2012) An important local employer with 310 employees The management organization has already since 2004 had the use of quality, environmental and occupational safety system standards (ISO9001, ISO and OHSAS 18001) 6 Syötalatunniste: lisää välilehti > ylä ja alatunniste

7 Light and heat to Turku for more than a century 1898 Aktiebolaget Electron initiates power plant operations 1907 AEG, a new business, replaces Electron as a power plant 1908 Linnankatu power plant is built 1919 The power plant is municipalized for the City of Turku 1925 Electrification of streetlights starts 1951 The voltage of the distribution network is changed from 125 to 380/220 volts 1976 Supply of district heating begins in Turku 1990 Conversion to a public utility company: Turun Energialaitos 1995 Incorporation: Oy Turku Energia Åbo Energi Ab 1999 Together with Hyötytuuli Oy: The sale of wind-generated electricity starts 2000 District cooling operations begin in Turku 2001 Oriketo Bioheat Centre begins its operation 2006 Electrical network operations are incorporated 2009 Heat pump facility for the Kakola wastewater treatment plant 2011 Commissioning of smart electrical meters for the final stretch 2012 Turun Seudun Energiantuotanto Oy (TSE) was founded 7 Syötalatunniste: lisää välilehti > ylä ja alatunniste

8 Economic target levels Where do we want to be better than others? Customer as a provider of customer-oriented service solutions Vision 2020 Turku Energia is one of Finland s best energy companies 8 Syötalatunniste: lisää välilehti > ylä ja alatunniste Operating profit 10% 2010: 9.0% Return on investments 12% 2010: 14,4 % Solvency ratio 40% 2010: 48.6% Group s turnover > 300 Meur 2010: 205,7 Meur

9 9 Syötalatunniste: lisää välilehti > ylä ja alatunniste

10 Towards a better sustainable energy business Minimization of environmental impact The objective of Turku Energia is to minimize direct and indirect environmental impacts arising from its own energy production, acquisition, distribution and end use We aim to increase the share of renewables to 50% by the year 2020 both for electricity and heat Our operations are regulated by environmental legislation, environmental permits and a certified environmental management system Compliance with a separate environmental program since The current environmental program extends to the period of CO 2 emissions of own heat production, tons Sources of the electricity sold Renewable s 30 % GWh Nuclear power 31 % Fossil fuels 39 % Sources of the heat sold 67,5 38,9 55,3 103,6 65,4 Renewable s 41 % GWh Fossil fuels 59 % Syötalatunniste: lisää välilehti > ylä ja alatunniste

11 Turku Energia s environmental vision for 2020 District heating and cooling Current share of renewables: 25 % The aim is to increase the share of renewables to 50% by 2020 Electricity Current share of renewables: 25 % The share of emission-free and renewable energy will be increased by revamping production and acquiring production shares The aim is to increase the share of renewables to at least 50%. The share of wind power will increase at least to 10% Hyötytuuli Oriketo bioheating 2001 Svartisen s hydro power 2008 Kakola s heat pump for the waste water treatment plant Pori Raahe Högsåra Turku Norway Turku Projects under way Suomen Hyötytuuli Oy s projects Kakola s second heat pump New regional waste incineration facility Multi-fuel power plant 11 Syötalatunniste: lisää välilehti > ylä ja alatunniste

12 District heat is efficient and ecological energy District heat is produced in CHP plants or heating plants. Customers receive heat from the hot water circulating in the heat distribution system. The temperature of district heating water varies between 65 and 115ºC, depending on the weather. The temperature of water returning from customers to the production plants ranges between 40 and 60ºC. 12 Occasion / presenter Insert date

13 The process CONSUMER 78 C DISTRICT HEAT NETWORK COMPRESSOR CONDENSER 43 C 7 C 17 C DISTRICT COOL NETWORK COOL RESERVE m 3 4 C HEAT EXCHANGER STEAMER 14 C 14 C 4 C 13 Occasion / presenter TREATED WASTE WATER Insert date

14 Technical key figures of the heat pump unit s District heat output 2*18 MW, 300 GWh/year District cool output 2*13 MW, 140 GWh/year Process electricity input 2*5,6 MW, 90 GWh/year Reduction in CO 2 -emissions approx. 90 tons/year Heat factor 3,3 14 Occasion / presenter Insert date

15 DH- Energy for the customer Satisfied customer is our daily aim DH network in brief: 600 km pipeline 4900 delivering poit s ( customer) Total power 1000 MW (350 MW from Naantali Power plan) 2100 GWh energy Cooling network in brief: 18 km pipeline 63 customer 41 MW total power 25 GWh 15

16 TSE - CHP/DH power 340 MW - Steam Power 80 MW - Electric Power 265 MW - Oriketo Bio 50 MW - Oriketo waste 12 MW - Kakolan heat pumps 2*18 MW DH supply and distribute in Turku area Turku Energia DH network MW peak power units Turku Naantali Raisio Kaarina district_heating_h264.mov The lenght of rock-tunnel 15 km

17 Why TSE? Is established for base energy production of the city Turku and Turku area. Distribution & sale of district heat is organized to Turku Energia. Earlier Turku Energia and Fortum had an long term contract of district heat supply from the Naantali power plant owned by Fortum The products of TSE are: district heating & cooling to Turku Energia, process steam to local industry (by Fortum) and power to owners Owners of the company are Fortum 49,5 % (large energy company in Scandinavia), Turku Energia 39,5 % and cities around Turku 11 % 17 Occasion / presenter Insert date

18 Future of Turku Energy 18 Occasion / presenter Insert date

19 Thank You for Your Interest and well come to Turku tomorrow! Additional information Jari Kuivanen, director of heat unit Syötalatunniste: lisää välilehti > ylä ja alatunniste

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