Heating was not the municipality’s core business: Adven took over the Parikkala municipality’s district heating business
Thanks to its know-how and comprehensive service network, Adven can strengthen the operations of the district heating networks of small and mid-sized municipalities. The municipality of Parikkala can now free up capital to develop its municipal services, as it no longer needs to make its own investments to maintain or develop the heat plants and the district heating network.
With Adven’s acquisition of the Parikkala municipality’s district heating business, the wood-chip heat plants, light fuel oil boilers and pellet heat plant, as well as the district heating networks connected to them, were transferred to Adven at the start of 2018. The facilities are located centrally in Parikkala and in the Saari area.
“Two years ago, we faced a situation where the incorporation of the municipality’s heat plant seemed inevitable under municipal law. When weighing the different options, selling or leasing the heat plant seemed like the most sensible options in the long run,” says the Mayor of Parikkala, Vesa Huuskonen.
Efficiently operating district heating network and plants benefit all parties
Transferring the heating business to Adven has paid off for both parties. The municipality of Parikkala has freed up its capital for more productive use and is able to focus on the municipality’s core tasks.
“We are very pleased that this deal went through and the district heating business has been transferred to Adven. We no longer have to think about heat plant operations, which was not a core aspect of our municipal operations,” Huuskonen points out.
“The concrete signs of the improved service level for Parikkala’s district heating customers are the use of remote meters and the offering of hourly consumption information. At the plants, we utilize our technical expertise with the goal of achieving the highest possible production efficiency. When the district heating network and plants operate as efficiently as possible, everyone benefits,” says Elli Ikonen, the Account Manager in charge of Adven’s district heating business.
Purchasing energy as a service is a worthwhile option for municipalities
Parikkala’s heat plant was connected to Adven’s central control facility in Vantaa, thereby increasing the plant’s operational reliability. In producing district heating, the fuel supply also plays an important role. Concentrated fuel procurement covering all of Finland ensures cost-effectiveness in production.
“We wanted to make sure that our heating would come from a reliable and competitive operator. We thoroughly looked into all operators, and it was with great confidence that we chose Adven to take over our heating operations,” states Huuskonen.
With many municipalities facing aging heating equipment, Adven believes that more and more of them will be rethinking their heating systems in the future. In addition, biofuel-powered heating centers are becoming increasingly common, and greater expertise is required to maintain such centers and to ensure their efficient operation.