The company has signed a memorandum of understanding to examine how to reduce emissions using SMRs at the stainless steel manufacturing mills of fellow Finnish firm Outokumpu, which is the country’s largest electricity buyer.

Fortum president Markus Rauramo said decarbonising heavy industries “is a prerequisite for reaching carbon-neutrality in Europe and this requires significant amounts of clean energy”. 

The MoU kicks off a process that aims to access potential construction of a SMR in Finland. One possible option for the location would be Tornio region where Outokumpu’s largest mill is situated.

In the first phase, the goal is to identify potential business models and technical solutions for further development.

Any potential investment decisions will be made at a later stage.

Outokumpu president Heikki Malinen said his company was “at the forefront of decarbonising the steel industry”.

“Looking into emerging technologies in our energy supply is a natural step in our ambition to reduce CO2 emissions.

“In addition to wind, solar and hydropower, energy-intensive industries and the whole society needs stable and CO2-free electricity generation.

“Today nuclear power is the only alternative for this. In order to the steel industry to remain competitive in Finland, we need to have a sufficient amount of low-carbon and cost-effective energy.”

In line with its strategy, Fortum wants to drive decarbonisation and growth for Nordic industries by providing clean energy and CO2-free solutions to its customers.

Fortum boss Rauramo added: “The Nordic power market is extremely competitive when it comes to clean and affordable power, and Fortum is one of the very few European companies that can deliver it reliably, when needed and at scale to our customers already today.”

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This article was originally published on Power Engineering International