There are projects underway in Finland that can significantly increase electricity price spikes โ Experts: This is the issue
Experts warn that numerous data center projects in Finland could result in higher electricity price spikes due to increased demand and limited flexibility in the power grid.
In Finland, a number of data centers are currently being built and planned, which are expected to significantly increase electricity consumption in the coming years. Experts have pointed out that the limited flexibility of the electricity grid could lead to more frequent electricity price spikes unless investments are made in flexible solutions. Currently, the power grid in Southern Finland is unable to take on new large connection agreements due to capacity constraints.
Last year, ten data centers were completed in Finland, with their annual electricity consumption ranging from several megawatts to hundreds of megawatts. Among these, the largest project in construction is Microsoft's data center in Vihti, which requires an impressive 265 megawatts of electricity for its servers and cooling systems. The consumption of these centers is variable, heavily influenced by weather conditions, which can affect both availability and pricing of electricity.
This situation raises concerns about the sustainability of energy consumption in Finland, especially given the ongoing projects and the need for the national government to further investigate how to ensure the availability of energy sources. The 'National Roadmap for Data Centers' study by the Finnish government highlights the importance of addressing these challenges to prevent negative implications for the electrical supply and prices, emphasizing the need for a strategic approach to power planning as the digital economy grows.