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Fortum and Microsoft to use data center waste heat for district heating

Fortum and Microsoft are launching the world's largest project to utilize waste heat from a data center for district heating in the Helsinki metropolitan area. The initiative is expected to significantly reduce carbon dioxide emissions.

10 October 2026
Fortum and Microsoft to use data center waste heat for district heating

Energy company Fortum and technology firm Microsoft have initiated a significant collaboration project in the Helsinki metropolitan area. The project involves utilizing the waste heat generated by Microsoft's new data center region for Fortum's district heating system. The data centers will be powered by 100% emission-free electricity, and Fortum will transfer the clean heat from the server cooling process to warm homes, services, and businesses.

This waste heat recycling concept from the data center region is set to be the largest of its kind globally. The location of the data center region was specifically chosen to facilitate waste heat recovery, leveraging Fortum's extensive district heating infrastructure. This network includes approximately 900 km of pipes supplying heat to around 250,000 users across Espoo, Kauniainen, and Kirkkonummi. The project is estimated to reduce carbon dioxide emissions by approximately 400,000 tonnes annually.

Fortum's President and CEO, Markus Rauramo, emphasized that developing solutions for the global climate challenge in partnership is a strategic priority. He noted that utilizing waste heat from data centers offers a simple yet sustainable approach to clean heat production, representing a significant step towards a cleaner world and climate change mitigation.

The initiative merges the megatrends of digitalization and the energy transition. Once the waste heat capture from the data center region is fully operational, approximately 60 percent of the area's heating needs will be met by climate-friendly waste heat. The remaining heat will be sourced from other areas, such as treated wastewater. Finland's Prime Minister Sanna Marin expressed hope that the project will serve as a model for other countries and cities aiming to combine digital competitiveness with climate neutrality.

Original source: fortum.com