Statkraft plans to upgrade Mår power plant

Mår power plant was commissioned in 1948 and is approaching the end of its operational lifetime. Statkraft has concluded that the best utilisation of resources would be to build a new power plant approximately 1000 metres further into the mountain, and relocate the intake to the Kalhovd reservoir and the outlet to Tinnsjøen. This will increase the height of fall and enable more electricity to be produced more quickly during periods of high demand, helping to reduce price peaks. 

“Since the 1940s, Mår hydropower plant has supplied electricity to households and businesses. Thanks to skilled employees and good maintenance, much of the equipment currently in operation has delivered power for nearly 80 years. It was commissioned before the automatic washing machine was introduced and has outlasted 15 Norwegian prime ministers. Mår has been part of a development from a time when electricity was mainly used for lighting to a situation where it is essential in all aspects of daily life. Now, it must be upgraded,” says Pål Eitrheim, Executive Vice President for the Nordics at Statkraft. 

Mår power plant has favourable natural conditions for delivering increased capacity, as it draws water from a large mountain reservoir and can discharge into Tinnsjøen. The new Mår power plant is therefore planned with nearly three times the installed capacity compared to the current plant. This will enable the power plant to deliver more electricity quickly, contributing to reduced price peaks. The application also includes an option to increase capacity further and establish pumped storage hydropower in a potential future development phase. A pump storage facility would make it possible to pump water from Tinnsjøen to the Kalhovd reservoir, enabling electricity production when demand is highest. 

“Whenever a power plant requires full refurbishment, we always look for opportunities to increase both production and capacity. We have a responsibility to maximise the value of regulated water resources. That is why we propose a new power plant with higher capacity, increasing production by around 13 percent,” Eitrheim explains. 

The construction of a new power plant will have positive local impacts, but there will also be negative consequences. Around 40 kilometres of new tunnels will be excavated in the mountain, generating large volumes of rock that must be transported and potentially deposited in suitable areas. Statkraft has initiated dialogue with Tinn municipality and Telemark county to explore opportunities to use these materials for beneficial community purposes, and will continue working to identify good solutions. 

“Energy production involves trade-offs. We must weigh the benefits to society of increased electricity generation against disadvantages such as impacts on nature. The new Mår power plant will not involve expanding reservoirs or diverting water from new rivers or streams, but it will affect the local environment and nature. At the same time, it will create activity for local, regional and national contractors. Mår power plant has been important for Rjukan, and this project will further strengthen its significance,” says Eitrheim. 

Tinn municipality has extensive experience with power production and has contributed knowledge and clear input to the licence application process. If a licence is granted, many important issues will remain to be addressed during the detailed planning phase. Efforts have already been made to accommodate input from stakeholders. Measures to improve conditions for wild reindeer have been explored.

The large reservoirs, Mårvatn and Kalhovd, currently act as physical barriers for wild reindeer. Statkraft proposes constructing two new wild reindeer crossings at Graveide and Gøystoset to re-establish historic, year-round migration routes, enabling reindeer to cross regardless of ice conditions. 

In May, Statkraft announced plans to invest NOK 80 billion in Norway over the next ten years. The new Mår hydropower project is one of the largest within the category of upgrading and further developing hydropower facilities. The investment framework for the new power plant is NOK 9 billion, with a potential additional NOK 5 billion for a future pumped storage facility. 

“We are committed to building and securing Norway. Rjukan is a prime example of a location where we have contributed to jobs and substantial electricity production for nearly 80 years. We now aim to build a plant that can operate for another 70 years, produce more electricity and, importantly, increase output when it is needed most. This will help reduce price peaks. If we are to maintain reasonable electricity prices, we must produce more power – and that is what we will do at Mår,” concludes Pål Eitrheim, Executive Vice President for the Nordics at Statkraft. 

It is the authorities that weigh societal benefits against local impacts and decide whether Statkraft will be granted a licence for the Mår project. If a licence is awarded, Statkraft will decide whether to refurbish the existing power plant or construct a new one. This application highlights the opportunities to increase both capacity and production at the site. A final investment decision will be contingent on the project’s profitability. 

Facts: New Mår power plant 

• Increase in installed capacity from 180 MW to 520 MW 

• Increase in production by approximately 13 percent, from around 1140 GWh to approximately 1300 GWh 

• The current plant supplies electricity equivalent to 68,750 households; the new plant will increase this to just over 80,000 

• The license application includes the option to expand capacity to 1040 MW and install 1040 MW of pumping capacity in a later phase