Google is set to carry out a major investment of Euro13 billion (approximately USD 15 billion) in Finland's digital and AI infrastructure over the next two years.
For 2027-2028, Google has announced a substantial investment to support Finland's digital infrastructure, including data centers and supporting infrastructure and partnerships in Hamina, Muhos, Vaala and Kajaani. The investment is Google's largest single investment in Europe to date.
The company has signed a deal with Fortum, a Finnish energy company, to form a strategic partnership concerning the Loviisa nuclear power plant. Under a 22-year power purchase agreement (PPA), Google will purchase up to 50% of Loviisa's generation capacity, reaching that level from 2030 through 2049. The agreement is designed to provide the long-term revenue certainty needed to extend the plant's operation through 2050.
By contracting up to half of the power plant's capacity, the agreement is expected to increase Fortum Group's comparable return on net assets (RONA) by approximately 1.4 percentage points over time, once 50% of the plant's generation capacity is contracted.
The partners have also signed a Memorandum of Understanding (MoU), which envisages the development of new nuclear and renewable capacities, flexibility solutions and energy portfolio management services, according to Fortum's press release issued on Wednesday, September 9.
"Finland has a unique opportunity to turn its decarbonised, reliable electricity system and robust industrial infrastructure into a foundation for the next wave of sustainable industrial growth," said Fortum's President and CEO Markus Rauramo.
The Loviisa power plant is located approximately 55 kilometers from Google's data center in Hamina and approximately 100 kilometers from the capital, Helsinki.
The investment in the Loviisa nuclear power plant is considered crucial, as without the lifetime-extension program the plant would not be able to continue operating beyond 2030. Fortum has an approximately Euro1 billion investment program aimed at extending the plant's lifetime through 2050. Approximately 80% of the projects and Euro700 million of the capital expenditure required to keep the plant operational through 2050 are still pending investment decisions.
The PPA with Google will provide the revenue certainty needed to continue investments associated with the lifetime extension of Loviisa. The agreement will start in 2028 with a smaller capacity and reach 50% of the plant's capacity in 2030-2049. It is also expected to enable a 10 MW power increase at the plant, in addition to a 38 MW uprate already planned for 2028.
"Finland has a unique opportunity to turn its decarbonised, reliable electricity system and robust industrial infrastructure into a foundation for the next wave of sustainable industrial growth. Long-term partnerships like the one between Fortum and Google are essential to making that happen, especially in today's uncertain market environment characterized by low visibility and highly volatile electricity prices," Rauramo said. "They provide the visibility needed to invest in new low-carbon power generation capacity, strengthen energy security and support new digital and industrial infrastructure that create jobs, innovation and prosperity for Finland."
In 2025, the Loviisa nuclear power plant produced 7.9 terawatt-hours (TWh) of electricity, while its overall availability was 89.4%. The plant accounts for approximately 10% of Finland's electricity production.
As part of the agreement, Fortum will assist in optimizing a new 94 MW battery storage system contracted by Google and located near Google's new data center in Kajaani. The battery system is expected to be operational in late 2027 and is intended to help balance Finland's electricity grid and stabilize prices during periods of high demand.
Google and Fortum will also collaborate to identify potential business models to improve the competitiveness of new nuclear reactors at the Loviisa site. The companies will evaluate the suitability of Fortum's land sites for Google's future data center needs, while Fortum will explore how Google Cloud, AI and data services could be used to enhance its operations.
Finland's first nuclear power plant was built to meet advanced Western safety standards in the 1970s. Located in southeastern Finland, the Loviisa nuclear power plant was established as a multicultural project involving cooperation between Western and Soviet nuclear technology.
The plant consists of two Soviet-designed VVER-440 pressurized water reactors, Loviisa 1 and Loviisa 2, which started production in February 1977 and November 1980, respectively. The reactor, turbine, generator and other main components were manufactured in the former Soviet Union, while the safety, control and automation systems were of Western origin.
In 1981, Loviisa units 1 and 2 produced approximately 15% of Finland's electricity consumption. Today, the plant supplies approximately 10% of the country's electricity. The plant continuously employs approximately 570 people.
Fortum was established in 1998 through the combination of the state-owned energy company Imatran Voima (IVO) and the national oil company Neste. The company's power generation was 99% from fossil-free sources in 2025.
As reported by Reuters, Finland is creating favorable conditions for companies that opt for low-carbon energy sources such as nuclear power. The country has attracted major technology companies, including Microsoft, TikTok owner ByteDance and Google, with available electricity capacity, relatively low energy costs and its commitment to climate goals.
