Press release

Fortum invests in a new power plant in Estonia

27 June 2008, 14:00 EEST

Fortum Heat
Press release
27.6.2008, 14.00

FORTUM INVESTS IN A NEW POWER PLANT IN ESTONIA Fortum builds a new combined heat and power plant in the city of Pärnu in Estonia. The total value of the investment is around EUR 80 million. The power plant is planned to be operational by the end of 2010. The production capacity of the power plant will be 45 megawatts (MW) heat and 23 MW electricity. The new power plant will be biomass and peat fuelled, biomass will be used as much as is available in the local market and remaining fuel need will be covered with peat. The plant will replace aging capacity and natural gas based production. Compared to separate generation, switching to combined heat and power generation will considerably increase energy efficiency. Thanks to the investment CO2 emissions will reduce more than 60%. " At the moment, we have an on-going CHP plant project in the city of Tartu and this new investment in Pärnu is an important step in delivering further on our growth strategy in the market. Fortum is one of the leading companies in combined heat and power production, and we want to utilise this expertise in all Baltic countries.", says Mr. Jaakko Vähä-Piikkiö, President of Fortum Heat in the Baltic countries. ”At the time we acquired heating operations in Pärnu in 2006, we saw opportunities in investing in the further development of the energy generation and distribution in the city. We are pleased to make this investment, which will not only benefit the environment but also the consumers", says Jaakko Vähä-Piikkiö. Fortum has heat production and distribution in the Nordic countries, in the Baltic countries, in Poland and in Russia. The total heat sales in the Baltic countries was around 1.2 TWh in 2007 and the number of personnel is 540. Fortum Heat Communications Further information: Jaakko Vähä-Piikkiö, Vice President, Fortum Heat, tel. +358 50 453 2009 Anu Salonsaari-Posti, Vice President, Communications, Fortum Heat, tel +358 50 453 4262