The power plant was part of the third stage of the Sira-Kvina development, and was completed in 1974.
The station is well hidden, 1,200 metres inside the mountainside. It utilises a 215-metre waterfall between Nesjen/Kvifjorden and Holmstølvannet in Kvina river. Homstølsvann is an intake reservoir for Tonstad Power Plant.

Solhom Power Plant has two generators, each with a 100 MW Francis turbine.