Data Centers in Telemark

Telemark – Renewable Power for High Density Computing

Energy Security for Intensive Workloads

Telemark is a specialized hub for enterprises requiring massive scale and high-performance computing that must meet strict carbon-neutral targets. Its deep industrial heritage and abundant hydroelectric resources provide the extreme uptime and physical security necessary for high-stakes digital infrastructure. Organizations choose this market to manage power-hungry hardware at a significantly lower operational cost compared to most European hubs.

Telemark: At A Glance

Network & Connectivity Ecosystem

Telemark provides the security of an isolated environment while maintaining efficient, low-latency paths to Scandinavian and Baltic markets.

Carrier Density & Carrier Neutrality: Carrier count: over 5. As of September 2025, the market is served by ~5–10 carriers, providing a mix of national incumbents and regional fiber specialists that manage transport to the larger European backbone.

Direct Cloud On-Ramps: Over 1, enabling access to 15 cloud regions as of September 2025. This connectivity specifically includes Microsoft Azure, which allows organizations to bridge specialized on-premises hardware with hyperscale cloud resources.

Internet Exchange Points (IXPs): Peering primarily occurs through the Norwegian Internet eXchange (NIX) in Oslo, acting as the central gateway for international traffic reaching the region.

Bare Metal: Resilient bare metal options are available through providers like Latitude.sh and OVHcloud, providing high-performance compute without virtualization overhead.

Power Analysis

Telemark offers a power profile that remains the benchmark for sustainable infrastructure. The region has a long history of heavy industry, meaning the grid is purpose-built for massive, steady loads.

Average Cost Of Power: Industrial electricity costs approximately $0.05–$0.07/kWh as of September 2025. This pricing is significantly lower than the European average, allowing for predictable operational scaling. The energy mix is approximately 96% renewable, predominantly from hydro sources, which helps enterprises hit carbon-neutral targets.

Power Grid Reliability: The local grid is supported by a redundant, multi-substation architecture. This infrastructure provides a steady energy supply that avoids the fluctuations common in markets reliant on intermittent energy sources.

Market Access, Business & Tax Climate

Telemark successfully merges industrial roots with the digital economy, providing a secure environment for long-term infrastructure investment.

Proximity To Key Business Districts: Data centers are located near industrial hubs like Rjukan. This proximity is vital for research organizations and industrial IoT applications that require high-capacity, localized compute.

Regional Market Reach: From a central Telemark facility, providers can serve the entire Norwegian population and reach major Baltic and North Sea markets with competitive latency.

Tax Advantage For Data Centers: No industry-specific state incentives are currently active. The primary financial advantage for operators is the very low cost of renewable energy, which reduces the total cost of ownership more effectively than tax breaks in higher-cost jurisdictions.

Natural Disaster Risk

The overall risk for Telemark is rated as Low (1.9/10) as of September 2025. The region is geologically stable, making it a preferred site for disaster recovery and primary data residency.

• River Flood (5.9): Managed through specific site selection and purpose-built drainage infrastructure.
• Drought (2.2): Low impact on operations due to the abundance of natural water reservoirs.
• Earthquake (0.4): Seismic activity is negligible, posing no threat to structural integrity.

Other natural hazards are minor or not listed for this geography as of September 2025.