Fortum and Ericsson sign collaboration agreement on utilising data centre’s waste heat for district heating

FORTUM CORPORATION PRESS RELEASE 21 NOVEMBER 2016

Fortum and Ericsson have signed a collaboration agreement on utilising the
waste heat of Ericsson’s data centre, located in the town of Kirkkonummi,
Southern Finland, for district heating.

Ericsson’s data centre currently generates 10,000 – 15,000 megawatt-hours of
waste heat annually. The centre’s planned capacity growth in 2017 – 2018 will
increase the amount of waste heat to be recovered with heat pumps by almost
two-fold.

The waste heat from Ericsson’s data centre covers about 20% of the Kirkkonummi
district heat network’s annual heat demand, enough to meet the annual heating
needs of about 1,000 single-family homes.

“Our data centre’s IT load is constantly growing, as the equipment tested is
more and more powerful, so the centre’s cooling needs are also increasing.
According to the agreement, Fortum will use heat pumps to transfer our waste
heat to warm homes in Kirkkonummi. This is a very smart way to recycle waste
heat,” says Olli Sirkka, Country Manager and President, Ericsson Finland.

“Using the waste heat of Ericsson’s data centre is a good example of how
actively we are moving towards low-carbon district heating. Heat pumps are an
energy efficient and economical solution also in a district heat system. By
using heat pumps, we can put regional waste heat flows to use. Our goal is that
our district heat customers in the Espoo, Kirkkonummi and Kauniainen regions
heat their homes with carbon-neutral district heat by 2030 at the latest,”
notes Ilkka Möttönen, Manager, DHC Business Development, Fortum.

With the agreement signed with Ericsson, Fortum will invest in heat pumps to be
installed at Ericsson’s premises. The pumps will cool Ericsson’s data centre,
and the waste heat recovered by them will be transferred to the Espoo –
Kirkkonummi district heat network. Environmental aspects were taken into
consideration also when selecting the heat pumps: a new kind of refrigerant,
HFO1234ze, was selected for the heat pumps. The refrigerants that are still
widely used today have a 200 times bigger impact on climate warming, if
released to the atmosphere, than the refrigerant selected for this project.

Fortum is already utilising waste heat at several sites in the capital area of
Finland in Espoo, Kauniainen and Kirkkonummi. Waste heat from wastewater is
being used at the Suomenoja heat pump plant. The amount of heat recovered from
the wastewater covers about 15% of Espoo’s district heat demand. The waste heat
from Tieto’s and Elisa’s data centres equals the annual heating needs of about
1,000 single-family homes. The waste heat from the Matinkylä metro centre and
the Espoo hospital, both of which are nearing completion, will cover the
heating needs of some 250 single-family homes. The Sonera data centre under
construction will be the biggest in Finland, and its waste heat alone is
calculated to cover close to 10% of the district heat demand in the Espoo area.
Espoo is the second largest city in Finland with some 270 000 residents.

Fortum Corporation
Group Communications

Further information:
Ilkka Möttönen, Manager, DHC Business Development, Fortum, tel. +358 45 679 1316
Milla Nummenpää, Communications Director, Ericsson, tel. + 358 9 299 2556 or
+358 44 2992556

Fortum
Fortum is a leading clean energy company which provides its customers with
electricity, heating and cooling as well as smart solutions to improve resource
efficiency. We want to engage our customers and society to join the change for
a cleaner world. We employ some 8,000 professionals in the Nordic and the
Baltic countries, Russia, Poland and India, and already 64% of our electricity
generation is CO2 free. In 2015, our sales were EUR 3.5 billion. (NASDAQ
HELSINKI: FUM1V). www.fortum.com