The power plant was commissioned in 1986. The power plant utilises a 103-metre waterfall from the lakes Kvivatnet and Bjørndalsvatnet down to Botsvatn. The power plant has a Francis turbine and an installed output of 17 MW for power production.

After production, the water can be pumped up into the intake reservoir for Kvilldal Power Plant. The installed pump capacity is 2x3 MW. Vassbotnvatnet lake is used as a regulation reservoir for the pumping station. The lake can be regulated between 475 and 470 metres above sea level.

Statkraft Energi AS is responsible for operation of Stølsdal Power Plant.

Owners: Statkraft 79.6%, Lyse 13.6%, Skagerak Kraft AS 1.5%, Agder Energi AS 6%.