Active circular economy operator

Lounavoima Oy is a local Waste-to-Energy (WtE) company, established in 2017. Lounavoima is owned by Lounais-Suomen Jätehuolto Oy (LSJH) and Salon Kaukolämpö Oy.

LSJH, in turn, is owned by 18 municipalities with a combined population of 440,000. LSJH handles all waste management and waste information functions on behalf of these municipalities. Salon Kaukolämpö Oy is owned by the City of Salo, and provides district heating for approximately 15,000 residents.

Lounavoima’s waste-to-energy plant began operating in Salo in 2021. Lounavoima’s task is to use unrecyclable municipal waste collected by LSJH and convert it into energy safely, efficiently and ecologically. The company operates under the Mankala cost-price model, meaning that it provides services to its shareholders at cost.

Lounavoima Oy is a circular economy pioneer. Its aim is to facilitate the development of diverse new environmental operations in the Korvenmäki area. Lounavoima is involved in several development projects that will have a significant positive climate impact on completion. The projects are investigating issues such as recycling carbon dioxide for use in biomethane production, and how to store heat to meet high demand during the winter’s peak season.

Read more about our owners:
Lounais-Suomen Jätehuolto Oy
Salon Kaukolämpö Oy

Local energy from unrecyclable waste

The waste-to-energy plant’s energy source is unrecyclable mixed waste from the LSJH catchment area. The WtE plant allows for the waste to be utilised close to its origins, and the energy produced heats local households. The plant produces around 90% of the district heating distributed by Salon Kaukolämpö Oy. Additionally, it supplies electricity to the national grid.

Southwest Finland’s own waste-to-energy plant will produce cleaner energy for households

The plant:
- converts unrecyclable municipal solid waste into local energy
- reduces waste management fees
- lowers the greenhouse gas emissions of energy production and waste transports
- operates safely and cost-effectively
- increases recycling
- benefits local residents and businesses
- shortens waste shipments

Modern waste-to-energy plant as part of a growing circular economy

Southwest Finland’s own WtE plant has been a major energy and environmental project. Salo’s carbon dioxide emissions from district heating generation have been halved, as waste fuel has replaced fossil fuels and peat. From a circular economy standpoint, there will be even more growth in the future: the Metsäjaanu circular economy hub, to be built next to the Korvenmäki WtE plant focusing on environmental businesses, is one of the key projects of the City of Salo.