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VEO lands deal with new client Jämtkraft AB for combined heat and power plant

VEO is responsible for the integration when Jämtkraft AB, a Swedish energy company, is upgrading its district heating production in Lugnvik with a new plant. The modernisation will increase the production of renewable electricity and ensure the stability of district heating in the region.

Jämtkraft is constructing a new combined heat and power (CHP) plant next to the existing plant in Lugnvik outside the city of Östersund, and VEO will integrate the two plants to the main grid. Both plants will run on biofuel in the form of residues from the forest and timber industries.

“We are thrilled to be working with Jämtkraft on this important project,” says Jonathan Malm, Sales Manager at VEO. “Our experience in turn-key grid connections will help to ensure that both plants operate at peak efficiency, delivering sustainable heating and electricity to the residents of Östersund.”

Jämtkraft’s decision to partner with VEO was based on the latter’s EPC ability, solid experience, and flexibility.

“VEO presented a solid offer in a short period of time and showed great flexibility in finding the technical solutions we needed to limit the impact on the surroundings”, says Ulf Lindqvist, Business Area Manager of Jämtkraft Värme.

Jämtkraft chose to construct the new plant at the same site and VEO’s turnkey grid connection including a modular substation is an excellent fit for the project.

“VEO’s modular substation concept minimises work required at site as it enables switchyard work to progress while the substation building is fitted and tested at our factory in Vaasa. When shipped to the site, the substation building will contain all the AC/DC systems, control, protection and communication equipment, and medium-voltage switchgears”, explains Malm.

The new CHP plant is planned to be ready by 2025. At VEO, the engineering stage is in full swing, and deliveries are scheduled for end of 2023 and the beginning of 2024.

“The new CHP plant is an important investment in our district heating network and our commitment to sustainability,” says Lindqvist. “By partnering with VEO, we are able to deliver reliable, efficient, and sustainable heating, while reducing our carbon emissions and supporting the transition to a cleaner energy future.”

The new CHP plant is planned to be ready by 2025. At VEO, the engineering stage is in full swing, and deliveries are scheduled for end of 2023 and the beginning of 2024.