Fortum Group in Russia

This page provides the latest information on Fortum Group’s operations in Russia.

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Fortum is closely monitoring the developments caused by Russia’s attack on Ukraine, which has increased the geopolitical tensions, uncertainties and risks in the operating environment. The company is complying with all applicable laws and regulations, including sanctions, and preparing for various scenarios. Fortum and Uniper are in continuous discussions with the Finnish and German Governments about what can be done to secure the energy supply and how the dependence on Russian energy imports will be reduced.

As announced in early March, Fortum has stopped all new investment projects in Russia and is not providing any new financing to its Russian subsidiaries. Likewise, Uniper will also not make any new investments in Russia. On 12 May 2022, we announced that we are preparing a controlled exit from the Russian market, with potential divestments of its Russian operations as the preferred path. The divestment process for Uniper’s Russian subsidiary Unipro is also expected to be resumed as soon as possible. Irrespectively, we have decided to stop using the Fortum brand in Russia. We have already made decisions to replace Russian fuels in our other operating countries.

Read more about Fortum's response to the war in Ukraine.

Fortum Group in Russia: 

Fortum has over sixty years of experience operating in Russia. Our current business there, as in our other main markets, is providing security of supply, and our customers depend on us for power and heat. We have also built over 1 GW of wind and solar power in Russia, together with our JV partners.

Together with the subsidiary Uniper, Fortum’s 12 power plants employ some 7,000 people. These plants are owned by our Russian subsidiaries; they are run by Russian management and operate only in Russia. They are mainly powered by Russian natural gas. After this year, only one of the plants will be powered by coal.

In 2021, the Russian operations accounted for approximately 20% of Fortum Group's total comparable operating profit.

Fortum Russia division's power plants in Russia: Fortum's Russia division has seven thermal power plants in the Ural region and Western Siberia. They have a total power generation capacity of 4.7 gigawatts (GW) and heat production capacity of 7.6 GW. Six of the plants produce both electricity and heat for the market, while one plant produces only electricity.

Uniper's power plants in Russia: Uniper’s Russian subsidiary Unipro has five thermal power plants with a total capacity of 11.3 GW. The plants are located in Central Russia, the Urals and Western Siberia. Read more about Unipro

Wind and solar power: Fortum’s investments in Russia in recent years have focused on renewable energy. We currently have a portfolio of 3.4 GW of wind and solar plants together with our partners. Over 1 GW is currently in operation, the rest is under construction or development.

The 35-MW Ulyanovsk wind power plant, commissioned in 2018, became the first industrial-scale wind farm in Russia. Today, Fortum’s and its joint ventures’ portfolio of operational wind power projects consists of 14 wind farms. Fortum also has three solar power plants in Russia with a total capacity of 35 MW. 

Fortum’s Russia division will discontinue the use of coal by the end of 2022

In July 2021, Fortum signed an agreement to sell its Argayash coal-fired combined heat and power plant (CHP) to AO JSC Rusatom Smart Utilities (JSC RSU). The sale, together with the transition to gas at the Chelyabinsk CHP-2, will allow the Russia division to discontinue its use of coal by the end of 2022 and reduce annual CO2 emissions by approximately 2 million tonnes.

Gas imports to Europe

Uniper is a significant importer of natural gas to Central Europe, with long-term gas contracts totalling approx. 370 TWh/a. About half of this amount is sourced from Russia. Uniper also sources pipeline gas from Norway, the Netherlands and Azerbaijan. In addition to pipeline gas, Uniper sources LNG from Qatar, the USA and other countries.

Uniper is one of the European financing partners of Nord Stream 2. On 7 March 2022, Uniper announced that it has decided to write down its full outstanding receivables related to the Swiss-registered company Nord Stream 2 AG, which is the project company for the Nord Stream 2 project. The impairment will be recorded in Fortum’s first quarter 2022 results in other financial items - net, but will be adjusted and will not affect the comparable net profit. Read more from Uniper's and Fortum's releases:

Uniper's release 7 March 2022: Update on Uniper’s Russian activities and way forward
Fortum Investor News 7 March 2022: Fortum subsidiary Uniper writes down its receivable in Nord Stream 2 and gives further details on its Russian businesses

Fuel purchases from Russia (updated on 12 May 2022)

Due to the war in Ukraine, we are looking for alternatives to fuel sourced from Russia.

In Finland, we do not buy coal, pellets or biomass from Russia for our power plants in Espoo and Meri-Pori.

For our Loviisa nuclear power plant in Finland, we currently procure fuel from the Russian fuel company TVEL. The current contract is valid until the end of our current operating licenses, i.e. until 2027 and 2030. The power plant has plenty of fuel in storage, even for a couple of years. On 3 March 2022, we announced the decision to apply for new operating licences for the Loviisa power plant until 2050. A new tendering process for nuclear fuel will be initiated simultaneously.

In Germany, Uniper has announced that it will not enter into new long-term supply contracts for natural gas with Russia. Uniper is increasing LNG imports to Europe and has re-started the LNG terminal project in Wilhelmshaven. Uniper is also looking for alternatives to Russian coal as imports of Russian coal will be stopped in line with the EU and UK sanctions and embargos.

Facts and figures

  • Fortum’s power generation capacity in Russia is 4.7 GW and heat production capacity is 7.6 GW
  • In 2021, Fortum produced 28.6 TWh of electricity and 17.1 TWh of heat
  • Unipro’s power generation capacity is 11.3 GW and in 2021 power generation totalled 43.2 TWh
  • Altogether 2.7 GW of the total 13.2 GW still receive higher capacity payments under the CSA scheme
Energy production

Our power plants

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