2.10.2025

Fingrid extends restrictions on new energy storage facility connections in Southern Finland until 2029

Finland is currently experiencing an unprecedented interest in the construction of grid energy storage facilities. With more than 30 GW of new requests for storage connection, preventative restrictions have been placed on new connections due to the shortage in available grid connection capacity. All storage projects in Finland above 5 MW must from now on submit a connection contract inquiry to Fingrid. Fingrid will then determine the maximum capacity available at each connection point, aiming to balance local consumption and production growth. 

Key takeaways:

  • No new large-scale storage (> 5 MW) in the south before 2029 (until the completion of the Hikiä–Toivila grid expansion)
  • Developers should consider Central or Northern Finland, where capacity is still available.
  • Fingrid is considering piloting flexible connection models to allow earlier access in constrained areas, as currently considered in Fingrid’s draft main grid development plan for 2026–2035.

For investors and developers, this means:

  • Location strategy is now critical.
  • Maintaining an open dialogue with Fingrid throughout the whole project development phase is important to keep track of the capacity situation.
  • Financing risk arises where timelines depend on future grid expansions.

This is a timely reminder that proactive legal strategy is just as critical as the technology itself for project success. Castrén & Snellman is closely following the development of the electricity transmission sector and is advising clients on how to navigate Finland’s energy transition.

Latest references

We are acting as the joint legal advisor to Oomi Oy and Lumme Energia Oy in a transaction whereby Lumme Energia will merge with Oomi. As from the completion of the merger, the combined entity will be the largest electricity retail and service company in the Finnish market. In 2024, Oomi reported a turnover of EUR 373.9 million and had approximately 110 employees. Lumme Energia’s turnover for the same year was approximately EUR 314.6 million and it had approximately 50 employees. The transaction is primarily driven by the recent developments in the electricity market and the strategic goal to develop competitive products and services. Another key objective is to further enhance the customer experience, which is a shared value between the two companies. As a result of the merger, Lumme Energia’s customers will transfer to Oomi, and Lumme Energia will become one of Oomi’s shareholders. The completion of the transaction is subject to an approval by the Finnish Competition and Consumer Authority.
Case published 29.8.2025
We assisted Oomi Oy in its expansion into the mobile telecommunications market with the launch of Oomi Mobiili, a new MVNO brand. Our work covered the preceding due diligence process as well as structuring and negotiating key partner agreements, laying a solid foundation for Oomi’s entry into the new market. Oomi Mobiili will operate as a virtual mobile network operator, offering customers the option to purchase a mobile subscription together with their electricity contract. The phased launch is set to begin in autumn 2025, with nationwide availability targeted for early 2026. 
Case published 15.8.2025
We advised Nevel Oy in its acquisition of the business of Labio Oy. Lahti Aqua Oy and Salpakierto Oy sold their entire shareholdings in Labio to Nevel, expanding Nevel’s already significant biogas portfolio. The transaction will have no impact on Lahti Aqua’s water utility operations or Salpakierto’s municipal waste management responsibilities. Labio’s operations and customer relationships will continue as before. ‘This partnership is a natural next step for us as we continue investing in sustainable material efficiency and renewable energy solutions. By integrating Labio’s comprehensive offerings and expertise, we can provide customers with a strong platform for material circularity. We are also strengthening our market position as one of Finland’s leading material efficiency solution providers,’ says Ville Koikkalainen, Director of Industrial and Biogas Business at Nevel. Nevel is an energy infrastructure company offering advanced, climate-positive solutions for industry and real estate. It operates more than 130 energy production plants and manages over 40 district heating networks. Nevel’s annual turnover is EUR 150 million, and it employs 190 experts in Finland, Sweden and Estonia.
Case published 16.7.2025
We advised Oomi Solar Oy on the sale of a 250-megawatt solar power project portfolio to Suomen Aurinkovoima Oy. The portfolio consists of ten separate projects, marking a significant development in the Finnish solar energy market and enabling over EUR 100 million in investments. Construction of the first projects is expected to commence as early as 2025, with sites located across various regions of Finland.
Case published 30.5.2025