Efforts to combat climate change are accelerating cooperation on the electricity markets in the Baltic Sea region
The Baltic Sea region electricity market has arisen over the last decade. At the same time, European electricity markets have consolidated to create the world’s largest international electricity market. The European Union’s highly ambitious climate goals can only be reached with extensive electricity markets. The consolidation of the Baltic Sea region is also vital in terms of Finland’s climate goals.
Finland’s government is aiming to make Finland carbon-neutral by 2035, but this will not be possible without close collaboration between the Member States in the Baltic Sea region. The topics discussed in talks on the Fingrid Current networking day will include the future of electricity markets in the Baltic Sea region from the perspectives of various countries and stakeholders in the region.
The Green Deal programme aims to make Europe the first climate-neutral continent by 2050. Bringing the Green Deal to fruition will require enormous amounts of electricity to be generated without emissions. Not only must the electricity be emission-free, European citizens and industries must also have access to reliable electricity at a reasonable price. No European country can reach these goals alone: we are increasingly dependent on each other, and we need to be able to work more closely together. For example, Finnish nuclear power and wind power must be supported by a strong power system and extensive international electricity markets.
International cooperation manifests itself in the form of common European electricity markets. Common ground rules for electricity markets ensure that electricity is transmitted on European electricity markets to the places where it is needed. The market mechanism places competitive pressure on companies to keep their prices reasonable, thereby contributing to the introduction of the innovations that the market is crying out for.
According to Jukka Ruusunen, Fingrid’s President & CEO, it remains to be seen whether the European Union will retain its market-positive approach to the development of electricity markets. Ruusunen says that recent news indicates that a market-positive approach is no longer the top priority in Europe. The reason for this is that some European Union Member States have faced significant challenges in transitioning to a power system where the majority of the electricity is generated using weather-dependent renewable energy.
Ruusunen says that the Baltic Sea region now has the opportunity to act as a driver of change and the engine of the electricity markets. The Baltic Sea region has traditionally been market-positive, and the countries have worked in close regional cooperation, valuing the free movement of electricity.
“It is clear that no individual country alone can or will be able to handle the power system required to combat climate change; it will require ever-expanding international cooperation. Finland has valued Nordic collaboration, which has been effective. In the next stage, this collaboration must expand to cover the Baltic Sea region. The offshore wind farms in the Baltic Sea will be a tangible example of this collaboration,” states Ruusunen.
Electricity markets in the Baltic Sea region are the theme of the Fingrid Current day
The development and future of electricity markets in the Baltic Sea Region will be discussed at the Fingrid Current day on Tuesday 10 March 2020. The event can also be attended via a webcast on 10 March from 12:30 pm to 5:00 pm:
https://prospectumlive.com/event/fingrid_20200310_fi (presentations in Finnish or via an interpreter)
https://prospectumlive.com/event/fingrid_20200310_en (presentations in English or via an interpreter)
Speeches at the Fingrid Current day:
12:30 pm–12:40 pm Jukka Ruusunen, President & CEO, Fingrid Oyj
12:40 pm–1:10 pm European Green Deal and the Baltic Sea Region Electricity Market, Catharina Sikow-Magny, Acting Director, Head of Unit, European Commission, DG Energy
1:10 pm–1:40 pm Svenska kraftnät's Vision of the Baltic Sea Region Electricity Market, Lotta Medelius-Bredhe, Director General, Svenska kraftnät
1:40 pm–2:10 pm Vision of Off-Shore Wind in the Baltic Sea Area, Taavi Veskimägi, CEO, Elering AS
2:10 pm–2:50 pm Break
2:50 pm–3:20 pm Three scenarios for the development of the power system in the Baltic Sea region, Jussi Jyrinsalo, Senior Vice President, Fingrid Oyj
3:20 pm–3:50 pm A customer’s insights into the development of electricity markets in the Baltic Sea region, Simon-Erik Ollus, Vice President, Fortum Oyj
3:50 pm–4:20 pm How do Nordic authorities see the future of the Baltic electricity markets? Simo Nurmi, Director General of the Energy Authority and Chair of NordREG
4:20 pm–4:50 pm The future? Jukka Ruusunen, President & CEO, Fingrid Oyj
Jukka Ruusunen, President & CEO, Fingrid
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