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St1 Lähienergia Oy establishes virtual power plant with Tietoevry solution

The solution enables St1 Lähienergia to participate in the energy reserve market creating new income streams and to take part in supporting sustainable national electricity grid operations.

28 September 2022

The Finnish energy company St1 Lähienergia Oy has decided to utilize Tietoevry's Distributed Energy Solution as a platform to respond to the industry challenges in using energy. The solution connects to equipment at Lähienergia’s heat stations with IoT (Internet of Things) to steer the assets and aggregate their capacity towards the Frequency Containment Reserve for Normal operation (FCR-N) hourly market.

The energy system is in the midst of evolving from relying solely on centralized energy production to a model where increasing amounts of energy are instead produced in a distributed manner, relying on renewable and weather condition reliant energy sources. This increases the volatility of the energy system and requires flexibility and digital capabilities to manage the energy system.

By establishing a Virtual Power Plant with Distributed Energy Solution (DES), St1 Lähienergia automates the management of the assets’ capacity aggregation and communications with the Transmission System Operator (TSO) managed FCR-N market. This enables St1 Lähienergia to participate in the reserve market creating new income streams and to take part in supporting sustainable national electricity grid operations.

"As heat pumps become more common, their importance in demand response will increase. Especially when producing renewable electricity with solar or wind power, the electricity market must become flexible at times when energy dependent on weather conditions is less available. Heat pumps can be used to help store energy when demand is low. The energy stored by heat pumps in buildings, bedrock or accumulators can be taken into use when energy prices are high, that is, when demand is high. Demand response opens up more savings opportunities for the owner of a heat pump, as heat pumps and electrical resistors are used not only for heating, but also to stabilize the electricity market", says Kristian Savela, COO, St1 Lähienergia Oy.

“In this age of energy crisis, we are proud to be part of creating a next-generation digitalized and sustainable energy system in which DES plays an important role. We firmly believe this opportunity will provide concrete benefits for society, the environment, and the energy industry. These kinds of initiatives advance the transformation to a decarbonized energy system, which we are excited to contribute to. As Tietoevry, we are reinventing the energy industry for good through our digital solutions”, says Jyri Kivinen, Head of Energy & Utilities, Tietoevry Industry.

Tietoevry’s Distributed Energy Solution is a cloud-native energy management solution designed to meet the demands of the next generation of energy system. With DES, businesses can achieve a holistic, real-time overview and control over distributed assets.

For further information, please contact

Matti Seppänen, Head of Sales and Marketing, Energy & Utilities
Tietoevry Industry
Tel.: +358 40 042 2556, email:

Kristian Savela, Chief Operative Officer
St1 Lähienergia
Tel.: +358 44 555 0055, email:

Tietoevry creates purposeful technology that reinvents the world for good. We are a leading technology company with a strong Nordic heritage and global capabilities. Based on our core values of openness, trust, and diversity, we work with our customers to develop digital futures where businesses, societies, and humanity thrive.

Our 24,000 experts globally specialize in cloud, data, and software, serving thousands of enterprise and public sector customers in more than 90 countries. Tietoevry’s annual turnover is approximately EUR 3 billion and the company’s shares are listed on the NASDAQ exchange in Helsinki and Stockholm, as well as on Oslo Børs.

St1 Nordic Oy is an energy group whose vision is to be the leading producer and seller of CO2-aware energy. The Group researches and develops economically viable, environmentally sustainable energy solutions. St1 focuses on fuels marketing activities, oil refining and renewable energy solutions such as waste-based advanced biofuels and industrial wind power. The Group has 1290 St1 and Shell branded retail stations and gas filling points in Finland, Sweden and Norway. Headquartered in Helsinki, St1 employs currently more than 1200 people.


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Matti Seppänen

Head of Sales and Marketing, Energy & Utilities, Tietoevry Industry

Tietoevry solutions and services for Energy & Utilities

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