Norwegian company plans data centre in Varkaus – Mayor: “Confidence is high”

Yle National News, Helmi Nykanen March 27, 2025 - https://yle.fi/a/74-20152311

The Norwegian company Scale42 aims to build a data centre of at least 25,000 square meters in Varkaus with its US partner.

The city of Varkaus has zoned two plots for data centers. Norwegian company Scale42 is interested in the 28-hectare Ranta-Luttila plot north of Varkaus. Photo: Toni Pitkänen / Yle, Mapcreator, Openstreetmap

A Norwegian company to reserve a plot of land in Varkaus for a data centre. The Ranta-Luttila plot is approximately 28 hectares in size, and its transfer price is just over 1.4 million euros.

The value of the investment has not yet been made public, but according to Varkaus Mayor Joonas Hänninen, it is a significant project.

"We have been working towards attracting data centre for ten years, we have done a lot of preparations, we have zoning plans and land areas ready. We have had several negotiations with different operators, and now we have come a long way" Hänninen rejoices.

Norwegian company Scale42 is applying to the city for a plot of land in Ranta-Luttila, which is zoned for data centre use. The area is located north of the city, near a Fingrid electricity connection point.

According to Hänninen, the data centre is well suited to Eastern Finland, where there is little industry that consumes a lot of energy.

"According to the assessment of Fingrid's experts, there is no problem here. In Eastern Finland, energy supply is well secured and there is no risk of overconsumption or demand here, as in Western or Southern Finland." Hänninen explains.

Construction could begin in early 2026

The Norwegian company, together with its US real estate investment partner APL, plans to build a center in Varkaus, covering an area of ​​25,000–75,000 square meters. For example, the new factory of biopharmaceutical company Finvector in Kuopio is 25,000 square meters .

The data center could employ an estimated 50–200 people in the area.

The investment is planned to be implemented in two phases, the first of which will see the construction of a 60-megawatt data centre and the second phase will see the construction of a 40-megawatt expansion.

Hänninen expresses strong confidence in the project. He emphasizes that the operators have deeply familiarized themselves with the region and highlighted environmental and responsibility issues during negotiations.

"It is especially good that they are not start-up operators, but rather have extensive experience in the field. This is not their first data centre, so the confidence in their capabilities is high" says Hänninen.

The Norwegian company aims to apply for a building permit immediately after reserving the plot. Construction of the data centre is scheduled to begin early next year, with the first hall ready in early 2027.

The technical committee of the city of Varkaus and the city government will discuss the transfer of the plot on Monday. The city council will decide on the matter in April. The reservation agreement must be signed by June 19.