Ailangantunturi pumped storage power plant

We are planning a 550 MW pumped storage power plant in Ailangantunturi, Kemijärvi. On 1 December 2025, the project was included on the European Commission’s list of Projects of Common Interest (PCI), which was confirmed by the European Commission on 29 April 2026. This designation recognizes the project’s significant role in strengthening Europe’s energy security and self-sufficiency, as well as supporting the achievement of climate objectives. If implemented, the project would become Finland’s first pumped storage power plant.

Ailangantunturi pumped storage power plant

  • Technical information

    Technical information

    Plant type: Pump turbine
    Head potential: Approx. 200 metres
    Capacity: 550 megawatts (MW)
    Number of machinery: 3

    The project area is located approximately 22 kilometres south of the centre of Kemijärvi. The transmission line will be located in the municipalities of Kemijärvi and Rovaniemi. The upper reservoir of the pumped storage plant, covering an area of approximately one square kilometre, is planned to be constructed on top of Ailangantunturi. The lower reservoir will be the Kuusilahti bay of Lake Kemijärvi. The tunnel connecting the upper and lower reservoirs will be approximately 4.5 kilometres long and have a diameter of 9 metres.

    The electricity generated by the plant will be connected to Fingrid’s Pirttikoski substation in Autti. The transmission line voltage will be 400 kilovolts.

    Ailangantunturi Pumped-Storage Hydropower Project PCI Number and Description:

    3.10 Hydro pumped electricity storage in Finland [‘Kemijoki PSP’]. ​

Towards a secure energy transition

The pumped-storage power plant we are planning at Ailangantunturi in Kemijärvi supports Finland’s clean energy transition and helps ensure the smooth functioning of everyday life in society. The plant will increase national energy storage capacity, strengthen security of supply, and support the growth of renewable energy.

We are working in close cooperation with the authorities on the project and are developing local stakeholder collaboration through continuous dialogue with the local community. Through this approach, we want to ensure that everyone affected by Finland’s first pumped-storage power plant is heard and receives comprehensive information.

  • Environmental Impact Assessment (EIA)

    The Environmental Impact Assessment (EIA) Report for the project was initiated in spring 2024. The report was submitted to the coordinating authority in summer 2025, and a revised version was submitted in April 2026. The coordinating authority issued its Reasoned Conclusion on 8 July 2026.

    The Environmental Impact Assessment of the Ailangantunturi pumped-storage hydropower plant and transmission line project examined the project’s impacts on surface waters; fisheries, fish stocks and aquatic ecosystems; soil, bedrock and groundwater; vegetation, birdlife and habitat types; Natura 2000 sites and protected areas; reindeer husbandry; local traffic; noise and vibration; climate; air quality; community structure and land use; landscape and the cultural environment; as well as people and society.

    The Environmental Impact Assessment documentation is available electronically on the website of the Finnish environmental administration at www.ymparisto.fi/ailangantunturin-pumppuvoimala-YVA.

  • Permitting Phase
    The permitting process for the Ailangantunturi pumped-storage hydropower project commenced in May 2026, when Kemijoki Oy submitted applications for water and environmental permits to the Finnish Supervisory Agency as well as a project permit application for the transmission line to the Energy Authority. During the permitting process, Kemijoki Oy will supplement the permit applications with additional information, including technical plans and details regarding the practical implementation of the construction works.

  • Construction
    According to current information, construction of the Ailangantunturi pumped-storage hydropower plant could begin at the earliest in 2029. The project schedule will depend on several factors, including the progress of the permitting process and technical planning, as well as the timing of the final investment decision.

  • Operational Phase

    According to the current project schedule, the operational phase of the Ailangantunturi pumped-storage hydropower plant is expected to commence in 2033. Once in operation, the plant will provide balancing power to the Finnish electricity system, enable the integration of additional renewable electricity generation, and help stabilise fluctuations in electricity prices.

    Our objective is to ensure that, in addition to Kemijoki Oy’s ownership benefits, the City of Kemijärvi will receive long-term, predictable and sufficient returns from the pumped-storage project through employment opportunities and tax revenue. The investment will create both direct and indirect employment and increase municipal tax income in Kemijärvi. The project will coexist with and support the development of other local industries, such as tourism and recreational activities.

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Page updated on 21 October 2026.