ESG Post

Climate Change

Finland to build world’s largest heat pump to decarbonise home heating

Finland is set to construct the world’s largest air-to-water heat pump in Helsinki, aiming to heat approximately 30,000 homes while significantly reducing carbon emissions. This project, spearheaded by Finnish energy company Helen Oy and supported by a subsidy from the Finnish Ministry of Economic Affairs and Employment, is set to commence operations by the end of 2026.

The heat pump, supplied by German manufacturer MAN Energy Solution, capable of operating in temperatures as low as -20°C, will be powered by electricity sourced from renewable energies. It’s designed to integrate seamlessly with Helsinki’s district heating system, which distributes heat generated at a centralised location through an extensive network of underground pipes.

The heat pump uses CO2 as a refrigerant, reducing environmental harm in the event of leaks compared to traditional gases. This project, which also includes two 50MW electric boilers, is expected to significantly cut annual CO2 emissions by about 26,000 tonnes, marking a critical step forward in Helsinki’s commitment to climate-friendly heating solutions.

“Urban district heating projects that utilise climate-neutral technologies are essential for advancing global efforts to reduce carbon emissions. We are excited to see our heat pump solution play a key role in driving the energy transition forward,” said Uwe Lauber, CEO of MAN Energy Solutions.

Juhani Aaltonen, Vice President of Green Investments at Helen Oy, expressed the strategic importance of the initiative and said, “Helsinki has set the ambitious goal to become carbon neutral by 2030, and transitioning our heating system is crucial to achieving this. Once completed, the heat pump plant will significantly reduce the CO2 emissions caused by heating, bringing us closer to our net-zero target. In addition, the new plant is likely to create price stability for customers, as its production is easily adjustable.”

This development aligns with broader European and global efforts to transition away from fossil fuels for heating and cooling, which consume about half of the EU’s energy and are predominantly sourced from natural gas. According to a 2023 International Energy Agency report, Finland is a leading its way in adopting heat pump technology, with 41% of its buildings equipped to utilise this sustainable heating method.