Smart grid and energy community pilot in Mussalo, Kotka

Results

The project aimed to promote the electrification of Mussalo port and the surrounding industrial area, as well as the adoption of renewable energy sources in regional operations to enhance energy self-sufficiency and reduce greenhouse gas emissions. The project investigated electricity consumption in the area and assessed the utilization and production potential of both solar power and small-scale wind power in the vicinity of Mussalo port. The analyses provided insights into the current state of electricity consumption, the potential of solar energy production, and several future development scenarios considering the electrification of logistics and industrial activities.

The studies considered, among other aspects, the electrification of port cargo handling equipment, heavy-duty road transport, and the increasing use of onshore power supply for ships while berthed in port. The project evaluated the technical prerequisites for electrification, the development needs of the electricity network, and the effects of different electrification solutions on the port’s energy consumption and greenhouse gas emissions.The results indicate that port electrification offers substantial greenhouse gas emission reduction potential arising from multiple sources, including port machinery, road transport, and the use of shore power for vessels.

One objective was also to examine the role of energy storage systems as part of the future port ecosystem. Potential applications of battery energy storage systems include storing locally generated electricity, alleviating grid bottlenecks, optimizing demand-based network charges, participating in electricity markets, and providing backup power services. The results indicate that the port’s electricity network offers excellent conditions for integrating energy storage systems into the future regional energy system.

The project also explored the opportunities for the production and use of bio-based and synthetic fuels in a port environment. The analyses indicated that Mussalo offers strong infrastructural conditions for the production and distribution of renewable fuels. In particular, maritime transport and heavy-duty road transport were identified as major future consumption sectors for these fuels.

Assessing the opportunities for establishing an industrial energy community in the port area was also one of the central themes of the project. The port provides an interesting environment for evaluating the feasibility of such a community. However, current legislation, electricity network ownership structures, and competitive relationships between industrial companies make the establishment of an energy community challenging. In addition, an energy community must provide sufficiently clear and significant economic or operational benefits for participating stakeholders in order to justify its implementation. However, demonstrating such benefits remains difficult under the current circumstances.

The project produced a wide range of information to support decision-making on port electrification, energy storage, onshore power supply, renewable fuels and green port development. At the same time, the project brought together representatives of the port, energy companies, electricity distribution system operators, businesses, municipalities and research organizations to examine the port's energy transition as a whole. The research information produced in the project provides a strong foundation for the further development of port electrification, renewable energy utilisation and future green transition investments.

The energy transition from fossil fuels to intermittent renewable energy sources poses new requirements for the electricity system. For example, peat production and combustion in Finland is being replaced by wind and solar power. Port of Mussalo in the City of Kotka, Finland, provides a unique environment to pilot an industrial-scale smart grid where renewable energies are integrated into a smart and flexible local energy system.  

The objective of the project is to study how peat production in the Kymenlaakso region can increasingly be replaced by grid-connected wind and solar power. Especially, industrial-scale solar power is of greatest interest locally as the Finnish Defence Forces have restricted the expansion of wind power in Eastern Finland. 

The project focuses on a local electricity system on Mussalo island, where the port operator HaminaKotka Port with the surrounding logistics operators and other industries form a unique environment for testing renewable energy, energy storage and smart grid technologies on an industrial scale. There is already onshore wind and rooftop solar power production on the island, and there are plans to start production of biogas, green hydrogen and synthetic methane. Moreover, the stakeholders strive to reduce their greenhouse gas emissions by electrifying their operations. 

Energy transition from the system based on combustion of peat and fossil fuels to a clean energy system based on wind, solar and nuclear power calls for improvements in energy efficiency, electrification of industrial processes, smart control of the transmission and distribution networks, utilization of energy storages, production of synthetic fuels (e-fuels) and advanced control of the overall energy system.

New market rules facilitating electricity trading between local producers and consumers are needed for the efficient use of the local wind and solar power production. Such an energy community is presently permitted only within a single property, but not within a larger industrial area.

The area of Mussalo island provides an excellent environment for piloting smart grid technologies and an industrial energy community. The combination of renewable energy production and electrified working machines with the plans for renewable fuel production.