The Electricity Users of Finland (ELFi) draws attention to the challenge of ensuring adequate electricity generation capacity.
Periods with little or no wind will constitute one of the greatest challenges for our electricity market. The share of renewable energy is increasing rapidly, but its production is not stable. Consequently, during low-wind periods, Finland’s electricity generation may fall significantly short of demand. It is therefore essential to ensure that the production units participating in the market are ready to operate under all conditions and that interconnector capacity is available to increase imports, so that adequate power supply can be secured.
Electricity self-sufficiency is an important objective for Finland. It would safeguard electricity availability during windless periods as well as in potential crisis situations. Achieving this objective requires diverse investment in electricity production in Finland, and particularly in generation units capable of producing power in calm weather—namely, reserve and back-up capacity.
The adequacy of electricity generation capacity should primarily be addressed by increasing production in a cost-effective manner. According to the working group appointed by the Ministry of Economic Affairs and Employment to examine non-fossil flexibility, this would require targeted subsidies to encourage investments that generate electricity especially during periods with little wind. ELFi supports this approach, provided that such subsidies also promote overall national economic interest and competitiveness. In that case, the subsidies would incentivise efficient production while ensuring affordable electricity prices for all users.
Responsibility for ensuring the adequacy and security of electricity supply must rest with the authorities in charge of energy policy, particularly the Ministry of Economic Affairs and Employment, which is responsible for long-term strategic direction and safeguarding electricity availability. The Ministry should ensure that all electricity users can rely on the availability of electricity, regardless of weather conditions.
The Electricity Users of Finland emphasises that an efficient and competitive electricity market is a fundamental prerequisite for securing adequate electricity supply. All of us—authorities, producers, and users—must work together to ensure that electricity remains available in all circumstances.