Vision, mission and strategy

​​Vision

For a cleaner world 
 

Mission

We engage our customers and society to drive the change towards a cleaner world. Our role is to accelerate this chnge by reshaping the energy system, improving resource efficiency and providing smart solutions. This way we deliver excellent shareholder value.
  

Strategy

Fortum's strategy has four cornerstones: (1)  drive productivity and industry transformation, (2) create solutions for sustainable cities, (3) grow in solar and wind, and (4) build new energy ventures
  

Drive productivity and industry transformation

As the entire energy sector is transforming, our first priority is consolidation of generation business in Europe. This includes at least one sizable acquisition in the next few years. This will maximise our opportunities for growth and value creation.
To ensure our competitiveness, we will continue to optimize our cost and asset portfolio in all businesses. We aim to reduce the fixed cost base in our current operations by EUR 100 million by the end of 2017.
 

Create solutions for sustainable cities

The scope of our city solutions has broadened to include efficient resource management within the circular economy. The Ekokem acquisition offers us a good platform for new types of solutions outside the traditional energy sector. Further organic and/or acquisition based growth of City Solution will also be considered, mainly in Europe.
 
Growing cities and urban areas are facing multiple challenges, such as high emissions from inefficient heating, cooling and electricity production, increasing amounts of waste, and high traffic pollution and noise. Fortum aims to use its expertise and experience to help cities solve these challenges sustainably and to support building a circular economy.
 

Grow in solar and wind

To secure our longer-term competitiveness, we will continue to develop the solar and wind business. In wind, we will focus on areas closer to our current home markets, in the Nordics and in Russia. In solar, the immediate focus is in India. The next step will focus on the system integration, combining solar with other components such as new consumer solutions, demand response, electric vehicles and storage.
 
We target a gigawatt-scale solar and wind portfolio. These technologies are rapidly maturing. At the same time, utility competences are becoming increasingly important as subsidy schemes are gradually being phased out and renewable energy production is becoming more market-based.
 

Build new energy ventures

We will acquire and invest in start-ups and funds that focus on energy-related technologies, because technological and digital disruption accelerate energy sector transformation. Start-ups have an increasingly important role in innovating both new technologies and business models in the changing energy industry landscape. Digitalisation will enable productivity improvements in the existing businesses and development of new customer offerings.
 
Our goal is to be in the forefront of energy technology and application development. To accelerate innovation and commercialization of new offerings, we will strengthen our in-house focus on innovation and digitalization, partner with global leading suppliers, promising technology companies and research institutions, as well as make direct and indirect investments in start-ups with encouraging new innovations.

11/15/2016