Concern over energy security has grown in recent years because of the energy crisis and changes in the global political environment. However, energy security has been studied as a field of its own since the 1970s oil crisis.
Energy security in Finland is based on the reliability, affordability, and sustainability of energy. Those are the three pillars of energy security that hold the energy system up in times of crisis, as outlined by Nordic Energy Research and the World Energy Council.
Energy security can also be divided into six dimensions that affect the reliability and sustainability of energy supply. Research indicates that Finnish energy security is world-leading if all six dimensions are weighted equally.
1. Ensuring the continuous, reliable supply of energy
Finland has a strong main grid covering the entire country and self-sufficiency in electricity production due to new nuclear and wind power investments and actions that promote energy efficiency.
On the other hand, varying weather conditions create challenges for renewable energy production. The winter months are the most critical for ensuring sufficient electricity supply: the demand for electricity increases along with the need for heating. Balancing fluctuations in generation becomes easier as renewable energy storage methods develop.
As a stable and efficient energy source, nuclear power plays an important role in the Finnish energy system. The challenge related to nuclear power is its dependency on imported uranium. Finland does not currently produce enough uranium to meet the needs of the country’s nuclear power plants. Geopolitical tensions may weaken availability, and the country's own raw material resources may be depleted during prolonged crises. Therefore, Finland has consciously decreased its reliance on energy import especially from Russia.
2. Preventing energy poverty by providing affordable energy
When energy security declines, energy poverty increases. There is no single, established definition for energy poverty, but it refers to the inability to afford the necessary heating and electricity costs.
The risk of energy poverty is increased by low income levels, sudden rises in energy prices, and poor energy efficiency of the home.
Over the past decades, the generation of renewable energy has become quite energy efficient, enabling affordable energy. In Finland, the price of electricity is among the lowest in the EU, making energy poverty less frequent than in Europe on average.
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3. Minimising negative environmental impacts
Finland is a pioneer in renewable energy, with over 40 per cent of its energy consumption coming from renewable sources.
Even though renewable energy leads to a more sustainable energy system, it also has negative environmental impacts involving aspects such as biodiversity, land use, landscapes, and water bodies.
Negative impacts can often be prevented when environmental risks are identified in time and locations for facilities such as wind turbines and solar power stations are planned carefully.
4. Promoting a variety of energy sources
Finland’s energy system is diverse and low-emission. Its key energy sources are solar, wind, and nuclear power, hydropower, and bioenergy.
Each energy source has its own special features: for example, wind power is low-cost and nuclear power is stable. This improves the flexibility and stability of the energy system.
5. Utilising efficient and advanced technology
The electrification of society increases the need for energy and requires new technology. Related innovations include Power-to-X and hydrogen processes, smart grids, energy storages, small modular reactors (SMRs), and other digital solutions. Advanced technology improves energy efficiency, reduces greenhouse gas emissions, and makes the use of renewable energy sources more efficient.
6. Implementing a sustainable and efficient energy policy
The goals of Finland's energy policy are the following:
- Maintaining diverse supply channels
- Ensuring the flexibility and functioning of hydropower
- Promoting cybersecurity
- Securing the electrical power system in response to increasing electric transportation
At the moment, the Finnish energy system stands out in international comparison. This is largely due to the large share of low-emission energy, diversity, technology, flexibility, and a stable political system.
Many plans and initiatives are in place to develop the energy infrastructure and, consequently, improve energy security in the future.
LUT University provides research-based information on energy
- LUT is a leading university in energy research. Every other year, it publishes a report called the LUT Energy Outlook. The first one was published in 2022 and the second one in 2024.
- The LUT Energy Outlook is based on scientific research and provides reliable information on the state and development trends of the energy system. In addition, the report describes different energy production methods.
- The authors are energy system researchers at LUT University.
- The LUT Energy Outlook is targeted for experts and decision-makers as well as regular citizens.
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