The largest Sand Battery optimizes Finnish district heating

This thermal storage infrastructure, combined with Elisa’s optimization, illustrates how energy flexibility helps reduce emissions and stabilize the electrical grid within a context of increasing district heating electrification.

Share:

Gain full professional access to energynews.pro from 4.90$/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90$/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 $/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99$/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 $/year from the second year.

Loviisan Lämpö, a Finnish district heating company, is now operating the largest Sand Battery to produce cleaner heating energy. This facility aims to reduce dependence on fossil fuels, while storing renewable energy as heat. The system consists of thousands of tons of heated sand, capable of retaining heat for extended periods. The operators assert that this setup helps reduce pollutant emissions, relying on electricity from low-carbon sources.

A system designed for energy flexibility

The technical solution for this thermal storage was developed by Polar Night Energy, a company based in Tampere. Its goal is to provide district heating companies with a system that allows them to store energy efficiently and use it during periods of high demand. According to Loviisan Lämpö, carbon dioxide (CO2) emissions could decrease by 70% in the Pornainen network, representing a reduction of about 160 tons per year. However, optimizing the charge and discharge cycle remains a major challenge to ensure the project’s economic viability.

Elisa, a Finnish telecom operator and international digital services provider, brings its artificial intelligence (AI) technology to automate the Sand Battery’s flexibility offering. This solution identifies optimal times to power the system with electricity or, conversely, reduce consumption when the grid requires it. Fingrid, the Transmission System Operator (TSO) in Finland, remunerates entities capable of stabilizing energy production and consumption. Implementing this mechanism would allow district heating operators to limit the purchase of traditional fuels.

The importance of AI in storage management

According to Jukka-Pekka Salmenkaita, VP in charge of AI at Elisa, the flexibility provided by thermal storage is crucial for the future of the energy sector. The AI continuously calculates changes in electricity prices as well as production forecasts, in order to optimize the Sand Battery’s charging. This automated control facilitates the injection of energy during periods of overproduction, especially when wind production exceeds demand. In such a scenario, the heating company is paid to consume more electricity and help balance the grid.

On its side, Polar Night Energy emphasizes the need to further electrify heating to reduce the share of fossil fuels. Liisa Naskali, COO of the company, points out that the ability to participate in reserve markets is an important lever to encourage this transition. In the event of an unexpected drop in electricity production or a power plant shutdown, the Sand Battery can halt its consumption and continue to provide heat through stored energy. Operators see not only an environmental benefit but also a way to secure their long-term revenue.

A solution suited to the Finnish context

Figures for carbon neutrality in Finland’s electricity already reach 94%, according to official data from Finnish Energy. This context further justifies moving toward the electrification of heating, still a major source of emissions. The Pornainen facility, which includes a steel cylinder 15 meters in diameter and 13 meters tall, has a power capacity of 1 MW (megawatt) and a thermal storage capacity of 100 MWh (megawatt-hour). These specifications make it possible to cover multiple days, or even several weeks of usage, depending on requirements.

Mikko Paajanen, CEO of Loviisan Lämpö, believes that revenues from reserve market participation ensure solid profitability for the Sand Battery. Elisa’s expertise in electrical optimization is based on extensive market experience, where price fluctuations demand constant adjustments. The company uses an optimization algorithm to determine, in real time, when it is more advantageous to consume or reduce consumption. Construction work is progressing, and commissioning is scheduled after the final tests, which will focus on the storage system’s efficiency and operational performance.

Following its acquisition of Northvolt’s assets, US-based Lyten has appointed several former executives of the Swedish battery maker to key roles to restart production in Europe.
US-based contractor TruGrid has completed three battery installations in Texas ahead of schedule and within budget, despite weather disruptions and logistical challenges that typically impact such projects.
GazelEnergie plans to build a data center at its coal-fired plant in Saint-Avold, with commissioning expected in 2028 and a capacity of 300 MW.
Ormat Technologies has begun commercial operation of its new energy storage facility in Texas, alongside a seven-year tolling agreement and a hybrid tax equity deal with Morgan Stanley Renewables.
German grid operators face a surge in battery storage connection requests, driven by a flawed approval process.
TWAICE will equip four energy storage sites in Southern California with its analytics platform, supporting operator Fullmark Energy in CAISO market compliance and performance optimisation.
CATL unveiled in São Paulo its new 9MWh TENER Stack system, designed for the South American market, responding to rising demand for energy storage driven by the growth of renewable energy.
EdgeConneX has acquired a second site in the Osaka region, bringing its total capacity to 350MW to support the growth of the Cloud and AI market in Japan.
Driven by grid flexibility demand and utility investments, the global containerized BESS market will grow at an annual rate of 20.9% through 2030.
The American battery materials manufacturer, Group14, finalizes a $463 million fundraising round and acquires full ownership of its South Korean joint venture from conglomerate SK Inc.
Energy Plug Technologies partnered with GGVentures to deliver three energy storage systems to the U.S. construction sector, marking its first commercial breakthrough in this strategic market.
HD Renewable Energy has completed the connection of its Helios storage system to the Hokkaido grid. The 50 MW project is expected to enter commercial operation by the end of 2025, targeting multiple segments of the Japanese electricity market.
Ingeteam partners with JinkoSolar and ACLE Services to equip seven sites in Australia, representing a total capacity of 35 MW and 70 MWh of energy storage.
Copenhagen Infrastructure Partners has acquired from EDF power solutions North America the Beehive project, a 1 gigawatt-hour battery storage facility located in Arizona.
Developer Acen Australia has submitted a battery storage project to the federal government, targeting 440MW/1,760MWh in a region near solar and mining infrastructure in Queensland.
Google invests in Italy’s Energy Dome to deploy in Oman a long-duration CO₂-based storage solution, in partnership with Takhzeen Oman and the sovereign wealth fund Oman Investment Authority.
Zeo Energy has completed the acquisition of Heliogen, creating a new division dedicated to long-duration energy generation and storage for commercial and industrial markets.
Entech will deliver a 20 MWh battery storage system in Loire-Atlantique under an agreement that includes a twenty-year maintenance contract.
Portland General Electric inaugurates three new battery energy storage sites, strengthening available capacity in the Portland metropolitan area by 475 MW and supporting growing demand while stabilising costs.
Tesla retains the top position in the global battery storage market, but Sungrow moves within one point, revealing intensifying rivalries and a rapid reshaping of regional dynamics in 2024.

Log in to read this article

You'll also have access to a selection of our best content.