The two firms said they would aim to win government Capacity Supply Agreements (CSA) for a potential Russian wind portfolio. The CSA scheme came into force in May 2016 and supports projects built after 2007.
Fortum’s stake in the joint venture is around RUB15bn ($260m), to be invested over a period of five years.
The company aims to develop around 500 MW of wind capacity in Russia as part of its strategy to create a gigawatt-scale wind and solar portfolio.
In a statement, Fortum said its progress will depend on “several factors” including Russia’s high local content requirement for wind components. In previous auctions, solar power has been the big winner as more solar components are produced in Russia.
Fortum will commission 35 MW of wind capacity in Russia this year, for which it is set to receive CSA payments for a guaranteed period of 15 years. The firm already operates as a power and heat utility in Western Siberia and the Urals.