Save in energy costs

Price, availability and supply of energy are some of the most attractive aspects of operating a datacenter in Finland. Even better, in Finland waste heat produced by datacenters is a sellable asset that further reduces the operation costs.

Datacenters can save millions in total energy costs by locating in Finland


As the Gartner study (2014) suggests, companies can save millions in energy costs by locating their datacenters in Finland rather than in Germany,


In Finland, industrial consumers of electricity enjoy one of the lowest total cost of energy in Europe. In comparison datacenters in Finland enjoy electricity prices that are even below half of those in Germany, Ireland, or the UK. Furthermore, owing to the energy tax rate of only 7.03 € / MWh (for datacenters above 5 MW) the total cost of energy is very competitive even in comparison to the other Nordic countries. Finally, our corporate tax rate of 20 % is significantly below the EU average, and the lowest in the Nordics. Furthermore, only corporate profit is taxed by the tax authority.

 

Calculation example for savings


Operating a 5 MW datacenter with in Finland would save 12.2 million € over 3 years and 40.9 million € in 10 years as opposed to operating an identical data center in Germany. Furthermore, the cost savings scale up exponentially with the size of the datacenter. For example, the energy cost savings for a 10 MW datacenter facility would be even greater: 22.5 million € over 3 years and a staggering 75.1 million € over 10 years of operation life.

 

 

Reliable Electricity Supply Reduces Total Investment Value


In terms of reliability of electricity supply, Finland outshines even the closest competitors. In 2015, the transmission reliability of the national grid was as high as 99.9998 % and the average duration of forced interruptions was only 2.1 minutes. Year 2016 is expected to be a record year as a consequence of the elevated transmission lines being increasingly moved to underground lines. We also have many datacenter sites available where the facility can be powered by multiple independent power grids. In such locations, significant investments in backup power generators are not necessary.

 

 

Re-using waste heat reduces Total Cost of Operation


The relatively cool climate of Finland not only enables cost-efficient cooling throughout the year but, more importantly, it makes the excess heat produced by datacenters a reusable and sellable asset. In fact, it has become a norm for modern data centers to lower the to-begin-with low operation cost even further by designing heat recovery systems into the datacenters and selling the excess heat to nearby businesses or back to energy companies who feed it to the district heating networks.


The fact that more than 90 % of apartment buildings and majority of all public buildings and business premises in Finland are connected to a district heating network makes the reuse of this excess energy very easy and viable. Equinix’s, Elisa’s and Telia’s datacenters in Helsinki, Ericsson’s and Tieto’s datacenters in Espoo, and Yandex’s in Mäntsälä are each capable of providing single source heating for several hundreds of homes.


For example, the Caleri® heat recovery solution developed locally in collaboration with Yandex, Nivos (local energy company) and Calefa is capable to recover as much as 40 % of the energy used in the datacenter. In this scheme Yandex sells this recovered heat back to Nivos to achieve as high as 10 to 20 % decrease in the total cost of energy depending on the time of a year. For example in December 2016, Yandex sold 1.51 GWh of excess heat to achieved energy reuse factor (ERF) of 0.34. The scale of this heat recovery process is globally unique by today’s standards. This solution ultimately received the Heat Pump City of the Year Award in 2015 from the European Heat Pump Association.

 

 

For example, the Caleri® heat recovery solution developed locally in collaboration with Yandex, Nivos (local energy company) and Calefa is capable to recover as much as 40 % of the energy used in the datacenter. For example in December 2016, Yandex sold 1.51 GWh of excess heat  to achieved energy reuse factor (ERF) of 0.34. The scale of this heat recovery process is globally unique by today’s standards. This solution ultimately received the Heat Pump City of the Year Award in 2015 from the European Heat Pump Association.

 

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