The electrification of industry is crucial in order to achieve global climate goals and maintain industrial competitiveness. Transitioning from fossil fuels to clean electricity is a question of both sustainability and economic viability: through electrification, industrial companies can optimise production and participate in electricity reserve markets, thereby benefiting from significant additional revenues and savings.
The electrification of industry means replacing fossil fuels with electricity in industrial production. In practice, this can be achieved through direct electrification of industrial processes, such as using electric boilers and heat pumps, or through indirect electrification techniques, for example using hydrogen to produce methanol.
“The electrification of industry presents a great opportunity to reduce emissions while simultaneously increasing industrial competitiveness. It is about much more than individual technical solutions – it is a comprehensive change in the way energy is both used and produced,” highlights Jussi Blom, Industrial Account Manager at Nevel.
Reserve markets open opportunities for significant income gains
Through electrification, industrial companies can gain additional income by joining electricity reserve markets. Finland’s national electricity grid, maintained by Fingrid, needs to be balanced when electricity production is too high or too low. In such cases, Fingrid requests the reserve markets to increase or decrease electricity consumption, with participants receiving pre-agreed compensation.
“Through us, industrial customers can participate in reserve markets, which operate similarly to a stock exchange. If their offer to the market is accepted, they contribute to electricity market flexibility. Based on completed trades, our industrial customers can earn hundreds of thousands in additional annual income,” Blom explains.
Operating in reserve markets is effortless because Nevel handles all the technical and administrative work. Companies can focus on their core business while participating in electricity markets through a reliable and experienced partner.
Electric boilers help optimise heat production
Electric boilers offer industry the opportunity to produce carbon-neutral heat and steam cost-effectively. Electric boilers can be integrated into a hybrid system operating alongside traditional biofuel boilers. This way, heat production can be optimised according to the price of electricity: electricity is used when its production cost is lower than that of alternative fuels.
This is the case, for example, at Nevel’s Veitsiluoto plant on Finland’s northwest coast, where heating for the local area is produced with an electric boiler when the spot price of electricity is low. At the same time, the excess capacity of the electric boiler is stored in a heat accumulator. When the price of electricity rises above the production costs of solid fuel, the solid fuel boiler and heat accumulator reserves are used.
The electric boiler at the Veitsiluoto plant is also connected to the reserve market, allowing it to generate additional revenue by balancing the electricity grid’s consumption and production. Thanks to these optimisation measures and the reserve market, significant annual savings and additional income have been achieved at the plant.
“Thanks to electric boilers, our customers’ heating costs are lower and they can take significant steps towards emission-free energy production. At the same time, noise, traffic disruptions and local emissions are also reduced,” Blom notes.
Electrification helps companies achieve their sustainability goals
Electrification plays a significant role in supporting industrial companies to achieve their carbon neutrality goals. For example, Nevel is implementing two 10 MW electric boilers and a 100 MWh heat accumulator at Atria’s factory in Nurmo in western Finland. Once they are operational at the end of 2025, these electrification solutions will allow Atria to produce energy with several energy sources, which not only brings the company closer to a carbon-neutral food production chain but also improves production efficiency.
With Nevel’s help, Fazer will electrify the steam production at its Lappeenranta confectionery factory in eastern Finland during 2026. This project will reduce the factory’s annual carbon dioxide emissions by approximately 90% and the Fazer Group’s overall emissions by more than 10%.
“Nevel’s electrification solutions are not just investments in energy efficiency – they are concrete steps towards carbon neutrality. We help our customers significantly reduce emissions while improving production reliability and cost-effectiveness,” Blom concludes.
Supporting industry with the transition to electrification
The electrification of industry is a strategic choice that combines the development of responsible operations, cost efficiency and innovative technologies. Nevel helps companies to plan and implement the electrification of energy production.
“Electrification is a comprehensive change that benefits both the environment and business. At Nevel, we are here to ensure a smooth transition that provides maximum added value for our customers,” summarises Blom.
For more information, check out our services for industrial companies.
