Presentation from Jenny Dahlberg, Fortum. 2009

1. Sustainable energy
gy
to rely on
Jenny Dahlberg
Fortum
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2. Fortum- your energy partner
Fortum is a leading energy company with
14 000 employees f
l focusing on th Nordic countries,
i the N di ti
Russia and the Baltic Rim area.
Position in the nordic market
# 1 Distribution
# 1 District heating
# 1 District cooling
# 1 El t i it sales
Electricity l
# 2 Power generation
2

3. g/kWh
0
1,200
200
400
600
800
1,000
3
DEEI
Dra
ax
RWWE
Energi E2
E
Källa: PWC och Enerpresse 2005
EDDP
Union Fenos sa
CEEZ
Edisoon
Endessa
Scottish&
Souther rn
Essennt
E.ON
Elsamm
ENEEL
Vattenfaall
Electrabeel
PVOO
Iberdrolla
CO2 emissions – European companies
Verbunnd
Fortum m
British Energgy
EDDF
Statkra
aft
Fortum has one of the lowest CO2 emissons in Europe

4. Electricity distribution
The power supply in the Stockholm area consists of a 220 kV ring
structure,
structure owned by Fortum
Five primary substations
Fortum is capable of delivering 220-33 kV system voltage all
around St kh l
d Stockholm
Fortum can supply the electricity with redundancy from local
elctricity production
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5. Procurement of electricity
• Physical delivery of electricity – used in your daily
operation
–Price risk
–Volume risk (operational)
Volume
–Political risk
• Fi
Financial h d i of purchase price – t secure your
i l hedging f h i to
business result
–Customise purchasing and p
p g portfolio strategy
gy
–Customise risk manual according to risk policy
–Trade with physical and financial contracts

6. Guaranties of origin from renewable energy sources
Certificate market
Electricity Market (NordPool)
RES Supply RES Demand
Issuing
Auditor
body Issuing Registration Redeeming
Certificate system

7. District heating - an environmental success story
Fortum's reduced emissions in Stockholm since 1980:
-60 % of CO2
60 >95 % of SO2 >80 % of NOx
70 % renewable fuels
14%
16%
Sea
3%
Waste
Industrial waste
12% Solid bio fuels
11%
Bio oil
Electricity
9%
13% Fossile oil
Carbon
22%
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8. District heating
For Data centers the need for heating is minimal and Fortum can, instead, buy
surplus heat from the centers
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9. District cooling in Stockholm - largest in Europe
570 points of deliveries
350 MW capacity
p y
400 GWh production/year
170 GWh sept-april
deliveries from 8 kW to 11 MW
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10. District cooling- This is how it works
4
2 3
1
1. Cold water from the bottom of the sea is used to cool down the DC (district cooling) water that circulates in a close
The sea water is then returned to the sea.
2.
2 The heat in the warmer water in the DC return pipe can be recovered to the DH system via heat pumpspumps.
By this simultaneous heating and cooling all energy in the cooling system will be recovered.
3. During the nights when there is excess capacity from free or waste cooling production the storage is used.
4. The low temperature in the DC system is transferred to the internal system in the connected buildings.
The internal systems are then distributing the cooling capacity within the buildings.
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11. Why District cooling?
Low intitial investment cost ( -75 %)
Minimal operation and maintenance costs ( -90 %)
Reduces the electricity consumtion (- 95%)
Reduces the need of cooling water (-100 %)
( 100
Reduces the space needed for installations
Realiable delivery - availibility of 99,7%
Low financial risk- up to ten year individual contract
District cooling is climate neutral - increases the environmental
p o e of the ac ty
profile o t e facility
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12. Clients with critical cooling needs
In Kista, the "Silicon Valley of Sweden" - approx. 60 % of all district
cooling energy is used for server halls.
Approx. 50 % of all district cooling clients in Stockholm also use
district cooling for local server halls in office buildings
buildings.
Other examples of clients:
DNEX - printing plant
Stockholm Globe Arenas - concert arenas for up to 44 000 visitors
TV4 - television production & broadcasting company
Stockholm International Fair - 70 000 sq.m of exhibition area
Karolinska Institutet - medical lab
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13. District cooling - Still growing
• Expansion driven by client demands. The distribution net expands
with growing need för capacity. The production is increased with
capacity
minimum affect on the environment.
• F t
Fortum Värme has the knowledge and t h i
Vä h th k l d d technique t build new
to b ild
production sites and distribution system if there is a increased
demand in the market.
• The choice of method of production depends on local conditions
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14. Current project - cold water storage in Hornsberg
To increase the capacity in
Stockholm, a 40 000 m3
cold water storage is being
built. It will be taken in
operation in november
2009 and used as a day
and night storage.
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15. IBM and Fortum, a fruitful collaboration
IBM and Fortum has a long relationship.
g p
In Kista, IBM has sold surplus heat, from their data center, to
Fortum since 1997 Together we can make use of energy that
1997.
would otherwise be wasted.
In 2008, district cooling was installed at the IBM data center
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16. IBM - thinking green
Since 1967, IBM has had a corporate policy of protecting the
environment and conserving energy
1997, IBM became the world's first major multinational to have
earned a single worldwide registration t th ISO 14001
d i l ld id i t ti to the
Environmental Management System (EMS) standard.
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17. IBM Chosing district cooling- questions
A choice of technique not previously known to the owners
- IBM in Sweden, together with Fortum informed about the simplicity
i S d t th ith F t i f d b t th i li it
and reliability of the technique
How would th maintenance ti
H ld the i t time b affected?
be ff t d?
-The maintenance time will be reduced due to less complicated technique
How reliable is district cooling?
- Fortum guarantees full delivery of district cooling 99,7% of the year.
If a shut down is necessary, Fortum have a dialog with the client.
Back up systems are needed though, as with all types of cooling.
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18. IBM Chosing district cooling
The main reasons for IBM to chose district cooling were:
environmental issues
less maintenance
better economy
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19. Cooling and heating - make it climate neutral today
District cooling from Fortum is climate neutral today
Fortum´s vision is to a so have a c a e neutral p oduc o o
o u s s o s o also a e climate eu a production of
district heating in 2020
In the mean time - customers can purchase climate neutralisation
of their use of district heating
For the percentage of production that is not climate neutral today,
we compensate with CDM-projects.
CDM - Cl Clean D l
Delevopment M h i
t Mechanism i CO2 - reducing projects
is d i j t
defined by the Kyoto Protocol and the Framework Convention on
Climate Change
CDM - projects are made i countries th t l k a sustainable
j t d in t i that lack t i bl
energy solution.
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20. Conclusion
Fortum - your energy partner for data centers
Electricity distribution
y
Procurement of electricity
Procurement of certificates for renewable electricity
District heating
District
Di t i t cooling
li
Purchasing of surplus heat
Making your data center climate neutral
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21. Thank you for your time
Questions?
contact information:
jenny.dahlberg@fortum.com
+46(8)671 84 22
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