Page 40 - European Energy Innovation - spring 2018 publication
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40  Spring 2018 European Energy Innovation

    FINLAND ENERGY

PPrroodduuctciotnioofnrenoewf arbeleneenewrgay 2b0l1e6 (e12n7eTWrghy) 2016 (127 TWh)

        423      16
    5
                                                                                      Hydro power
                                   17                                                 Small scal e wood use
    39                                                                                Liquid wood fuels
                                                                                      Wood fuels in industry and energy production
             41                                                                       Heat pumps
                                                                                      Recovered fuel and other bioenergy
                                                                                      Biofuels for transportation
                                                                                      Wind power

That is approximately fifth of the total   CONSUMPTION OF TRANSPORT                   consumption of energy. In 2016, 85
target of the programme. In 2016,          BIOFUELS PLUMMETED                         TWh of electricity was consumed in
approximately 15 TWh of energy was         Where is renewable energy used?            Finland and approximately 30 TWh
produced from timber chip, which is        Most of the energy produced from           or 35% of this was produced from
equal to the level of 2015. It seems,      wood is used for heat generation           renewable energy sources. The share
therefore, that this target will not be    and only just over 10% is used for         of electricity produced from domestic
achieved. The reason for this is not,      electricity production. Even though        renewable energy sources was even
however, the availability of timber chip,  the share of renewable energy is           larger in Finland because in 2016
but the fact that the profitability of     only a little over 10%, it equals to       Finland imported 19 TWh of electricity.
electricity production has declined as a   approximately 10 TWh. Hydropower           It is noteworthy that even though it
result of falling electricity prices.      and wind power, on the other               cannot be guaranteed that imported
                                           hand, are only used for producing          electricity comes from a certain source,
INVESTMENTS WITHIN THE                     electricity. Transport used less than      a significant portion of it was wind and
FOREST INDUSTRY INCREASE THE               2% of renewable energy, which is           water power from Sweden. Compared
PRODUCTION OF RENEWABLE                    65% less than in 2015. However,            to 2015, the share of renewable
ENERGY                                     domestic production of biofuels has        energy sources in Finnish electricity
On the other hand, we have already         not decreased. So far biofuels have        production remained at approximately
exceeded the target of the second          been mostly manufactured from              45%.
cornerstone of our renewable               vegetable oils and various wastes
energy programme – liquid wood             and residues. UPM-Kymmene has              The amount of electricity produced
fuels generated as a by-product of         renewed the process of manufacturing       from hydropower was almost 16 TWh,
pulp mills. The target was to achieve      biofuels when it started to manufacture    which is over half of all electricity
consumption of 38 TWh by 2020.             renewable diesel from crude tall           produced from renewable energy.
In 2016, the consumption of liquid         oil classified as processing residue.      The share of wood fuels in electricity
wood fuel was 41 TWh, which is             In addition, Fortum has started to         production was approximately 11 TWh
approximately 1% more than a year          manufacture pyrolysis oil from timber      and the share of wind power was over
earlier. This was due to the increase      chip to replace heavy fuel oil.            3 TWh. Compared to 2015, the amount
in the utilisation rate of the capacity                                               of electricity produced from water
of pulp mills, which resulted from the     Over half of renewable electricity         and wind power decreased slightly,
increased demand of market pulp. If        produced from hydropower                   whereas the amount of electricity
the recent large investment decisions                                                 produced from wood remained on
will be realised, the use of liquid wood   The share of renewable energy              the same level. Industrial CHP facilities
fuels and the production of renewable      sources in electricity production          used the most wood fuel to produce
energy will increase significantly.        is roughly the same as in the total        electricity. l

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