The lake is dammed from the Folda River and the water is used in the Trollheim power station. Slightly more elevated and directly to the south is the Gråsjøen reservoir, which is also behind a hydro-power dam.
The lake is fed by the Folda River and generates electricity for the Trollheim power station. To its south, slightly elevated, the Gråsjøen reservoir operates under a similar hydroelectric system.