Fortum has initiated a two-year feasibility study to explore prerequisites for new pumped hydro storage plants in Sweden.
The Nordic energy company says it will examine commercial, technological, environmental and regulatory conditions for the new plants.
The feasibility study will focus on assessments of three areas in Sweden.
It will explore whether building new pumped hydro storage fulfils Fortum’s criteria of economic viability and environmental requirements while contributing to the security of the energy supply.
The geographic focus of the feasibility study covers three areas: Lekstjärnen, next to Fortum’s hydropower plant in Trängslet in Dalarna County, and Bastvålen and Höljessjön in Värmland County.
Today, Fortum operates three pumped storage power plants – Kymmen, Letten and Eggsjön in Värmland, Sweden.
The installed capacity of Fortum’s existing pumped storage plants in Sweden is 89.5MW.
The future potential power increase from pumped storage plants will be analysed in the feasibility study.
Fortum said the objectives of the feasibility study are in line with the company’s strategy to provide reliable clean energy and drive decarbonisation in industries in the Nordics.
The volatility in the power market will increase as the share of weather-dependent renewables increases in the energy system, the company said.
Fortum says the role of flexible solutions, such as pumped hydro storage, will be crucial to meet the increasing electricity demand, balance the energy system and help mitigate short-term changes in demand.
Fortum’s executive vice-president for hydro generation Mikael Lemström said: “Pumped hydro storage offers much-needed flexibility to the Nordic energy system and increases predictability for households and industries.
“Pumped hydro storage has the ability to both produce, store and consume electricity during long periods of time and in great amounts, reaching up to thousands of megawatts.
“Fortum owns and operates three pumped hydro storage plants in Sweden … and we have deep in-house expertise in the technology.”
Meanwhile, Fortum’s associated company Kemijoki Oy is exploring pumped storage hydro power plants in northern Finland.