Merus Power to deliver 80 MWh grid-forming battery for extreme Arctic conditions

Finnish battery storage specialist Merus Power has signed an agreement with energy company Neve Oy to build a 30 MW / 80 MWh battery energy storage system (BESS) in Rovaniemi, Lapland, by the end of 2026. The contract, valued at approximately €13 million, also includes a comprehensive operations and maintenance (O&M) agreement for the facility.

The project will be designed to operate reliably in extreme Arctic conditions and withstand temperatures as low as –50°C, heavy snowfall and ice. It will incorporate grid-forming technology to support grid inertia and enhance the stability and resilience of the electricity system.

Merus Power delivered the first grid-forming battery energy storage systems in the Nordics last year, in Valkeakoski and Lappeenranta. The 38 MW/40 MWh Lappeenranta project, which provides frequency reserves and grid balancing services, is owned by a joint venture between Ardian’s clean energy platform eNordic and Lappeenrannan Energia. The 30 MW/36 MWh Valkeakoski facility – the first grid-forming BESS commissioned in the Nordic region – was acquired by Swiss energy company Alpiq in mid-2024.

The company is also delivering a 30 MW/30 MWh energy storage system in Riihimäki, Finland, for grid-balancing services in Fingrid’s reserve markets, with completion scheduled for 2026.

For the Rovaniemi project, Merus Power will be responsible for the manufacture, installation and commissioning of the battery system. The company offers a fully integrated, turnkey solution, including system integration, grid code compliance and simulation models, aimed at accelerating time to market.

Its Merus® ESS product is available in 5 MW and 10 MW AC block configurations and is designed to deliver high power output under a single medium-voltage transformer. The system features an integrated power plant controller and energy management system, as well as an in-house-developed power conversion system. It is marketed as the first transmission system operator (TSO)-approved grid-forming BESS in the Nordics.

“Merus Power’s energy storage solutions are designed for demanding grid environments where performance, reliability and high availability are critical. We are proud that our modular solutions can be tailored to customer needs. With our technological expertise, we can support Neve Oy in enhancing the flexibility and reliability of its energy system,” said Kari Tuomala, CEO of Merus Power.

Neve Oy, a multi-utility group owned by the City of Rovaniemi, operates electricity transmission and generation, district heating production and networks, water services, fiber optics and other energy and infrastructure services in northern Finland. The new energy storage facility will enable participation in multiple electricity markets, strengthening grid flexibility and operational reliability in challenging Arctic conditions.

“Arctic conditions place exceptional demands on electrical systems. Merus Power’s solution addresses these challenges and supports our strategic goal of developing reliable and sustainable energy solutions for Lapland,” said Kristian Gullsten, CEO of Neve Oy.