The power plant is located 5 km below Dalsfos and is the second power plant from the top in the line of power plants in the Kragerø watercourse. The facility was commissioned in 1955, and the administration building and warehouse were modernised in 2012. 
Tveitereidsfos Power Plant consists of a buttress dam in the mainstream and a retaining dam (gravity dam) in a side stream called Haugholtfossen. Flood waters are diverted through two segment hatches and stoplogs in the dam. The Haugholt dam also has hatch covers. The power station is built in concrete. 


The power plant has a Kaplan turbine with a flow rate of 36 m3/s.

Borregaard NEA sold Tveitereidfos Power Plant to Skagerak Kraft in 2003, and it is now wholly owned by Skagerak Kraft AS.