Neste and Fortum Extend Long-Term Electricity Partnership to Secure Power Supply for Finnish Refinery Operations

Neste and Fortum Extend Long-Term Electricity Partnership to Secure Power Supply for Finnish Refinery Operations

(IN BRIEF) Neste and Fortum have extended their strategic energy partnership through a new bilateral agreement for 2026–2030 under which Fortum will supply approximately 2.6 TWh of electricity from its Nordic generation portfolio to support Neste’s Finnish operations, particularly its Porvoo refinery. The long-term arrangement strengthens supply security and predictability for Neste while aligning with Fortum’s objective to advance industrial electrification and increase the hedged share of its power generation to over 25 percent by 2028. The agreement underscores how sustained cooperation between a low-carbon power producer and a leading renewable fuels company can enhance operational resilience, support decarbonisation, and contribute to a more stable and sustainable Nordic energy system.

(PRESS RELEASE) ESPOO, 11-Feb-2026 — /EuropaWire/ — Neste and Fortum have agreed to extend their long-standing energy cooperation through a new bilateral electricity supply agreement covering the period 2026 to 2030. The arrangement reinforces the strategic partnership between two leading Nordic energy and refining companies and underlines their shared commitment to secure, reliable and low-carbon energy solutions.

Under the terms of the agreement, Fortum will deliver approximately 2.6 terawatt hours of electricity from its Nordic generation portfolio to support Neste’s operations in Finland. The electricity will be supplied primarily to Neste’s refinery in Porvoo, which is one of the company’s most energy-intensive industrial sites. Ensuring a stable and predictable power supply is essential for maintaining continuous operations and safeguarding production of renewable fuels and high-quality oil products.

Neste emphasised that the new agreement strengthens its ability to plan ahead with greater certainty in an increasingly volatile energy market. By securing long-term electricity deliveries, the company can better manage operational risks and support its ongoing investments in sustainable fuel production.

Fortum highlighted that the partnership aligns closely with its broader strategic objective of accelerating the electrification of industry and society as part of the energy transition. By entering into multi-year power supply contracts with major industrial customers such as Neste, Fortum can enhance the stability of its own generation portfolio while supporting the decarbonisation of key sectors of the Nordic economy.

The agreement also represents an important milestone for Fortum in advancing its target to have more than 25 percent of its rolling 10-year outright generation volume hedged by the end of 2028. Long-term industrial offtake contracts play a central role in achieving this goal, providing both revenue stability and greater visibility for future investment planning.

Both companies framed the deal as a practical example of how long-term energy partnerships can enhance security of supply while supporting broader climate and sustainability objectives. By combining Fortum’s low-carbon electricity generation with Neste’s expertise in renewable fuels and refining, the collaboration contributes to a more resilient and sustainable Nordic energy system.

Neste in brief
Neste (NESTE, Nasdaq Helsinki) is the world’s leading producer of renewable diesel and sustainable aviation fuel (SAF), with production on three continents. The company’s renewables production capacity is expected to reach 6.8 million tons annually in 2027. Neste also produces high-quality oil products at its Porvoo refinery in Finland. The company has a network of nearly 1,000 fuel stations with expanding service offering, such as EV charging, in Finland and in the Baltics.

Neste’s strategy focuses on growth in renewable fuels, which help its customers to reduce their greenhouse gas emissions. Neste is included in many international indices for its sustainability performance. In 2025, Neste’s revenue stood at EUR 19.0 billion. Read more: neste.comneste.com – External link

Fortum
Fortum is a Nordic energy company. We generate and deliver reliable energy to our customers and the Nordic energy system while at the same time helping industries decarbonise their processes and grow. Our core operations comprise efficient and best-in-class low-carbon power generation, customer services, and heating and cooling. Fortum’s power generation is already 99% from renewable or nuclear sources with one of the lowest specific CO2-emissions in Europe. We are guided by our ambitious SBTi-validated emission reduction targets on our way towards net-zero by 2040. For our ~4,500 employees, we commit to be a safe and inspiring workplace. Fortum’s share is listed on Nasdaq Helsinki. fortum.com

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SOURCE: Fortum