25 November 2022

Swedish Prime Minister states that wind power companies need to compensate municipalities, not the state

The Swedish Government has stated that it wants to increase the rate of new wind power constructions in the country. However, a large proportion of applications have been called off at municipal level. Several political parties have publicly asked the state to compensate the municipalities, but the Government proposes that the wind power companies are the ones who should compensate the municipalities instead. The Prime Minister, Ulf Kristersson (M), said that it is only reasonable that those who will benefit from it and produce energy to sell on the market should also compensate those who find it inconvenient. The state can contribute in other ways by speeding up the permit process and wiring. The former S-government therefore appointed an inquiry into how this should be done and asked the investigators to explore whether the state or the operator should be responsible for the compensation. The period of investigation is fixed and must be reported before 31 March 2023. Kristersson further added that if Sweden had not shut down the last four reactors and instead built two new ones, Sweden would have faced a completely different energy policy situation today. Then, electrification would have been on a much better footing.

DN, MSN

SeaTwirl decides to issue a preferential rights issue of approximately SEK 64.5 million

Stockholm-based company SeaTwirl, which is active in the floating offshore wind power sector, has decided to issue units on a preferential basis for an initial amount of approximately SEK 64.5 million. Approximately 60.2% of the issue is covered by subscription obligations and guarantee commitments. For each share owned as of the record date of 3 January 2023, four unit rights are obtained. Nine unit rights entitle the holder to subscribe for one unit during the subscription period at a subscription price of SEK 40 per unit, equivalent to SEK 40 per share. The warrants are issued free of charge. Units consist of newly issued shares and warrants.

Di, Press Release, Di

Minesto opens up external communication and participated in COP27

Minesto's flagship conference at COP27, the Faroe Islands Energy Transition Case Study, took place on 14 November at the Swedish Pavilion. Invited by the Faroe Islands, where Minesto's partner and client is the energy company SEV, the group discussed with Martin Edlund, CEO of Minesto, how the Faroe Islands' tidal resources could be a decisive factor in achieving the political goal of 100% renewable energy by 2030. Minesto also participated in two roundtable discussions with Swedish Ministers as part of the business mission programme. The talks gave CEO Martin Edlund the opportunity to talk about how Minesto is an integral part of Sweden's efforts to tackle the global climate crisis and how an international company with a global reach can add value to Sweden's trade and exports.  

Di

Industry: “The cost of nuclear power can be minimised”

The industry agrees that a long-term and preferably cross-block agreement should be drawn up as soon as possible to solve the question of how new nuclear power could be financed.  However, the high risks associated with new nuclear power, particularly for large reactors, have led to some projects costing much more than planned. This is mainly due to soaring capital costs. As a result, a growing number of experts are beginning to discuss which financing model is best suited to being able to finance at a reasonable discount rate. When it comes to the possible future expansion of nuclear power, the founders of Kärnfullt Next for example believe that a PPA contract (power purchase agreement) is the right financing solution for SMR projects, where the owner is a large institutional player and the operations are handled separately by a reliable and experienced operator. The basis of a PPA is to create a secure revenue stream and a cash flow that provides long-term returns. The solution means that the cost of capital can be minimised. In order for nuclear expansion to gain momentum, many evaluators also believe that the current electricity market model must be changed as tt does not provide for the construction of new nuclear power or other capital-intensive long-term planned electricity production.

Tidningen Näringslivet

Martin & Servera raises ambition with new climate targets

Martin & Servera has set a new climate target to support the 1.5 degree goal of the Paris Agreement. The increased ambition includes work on the development of science-based climate targets approved by the Science-Based Targets Initiative. Martin & Servera has analysed the corporate’s climate impacts across the value chain this year. The company has, for example, made investments in vehicles that run on 100% electricity or biogas, as well as investments in the use of solar parks to produce renewable energy for the grid in southern Sweden. 

Press Release 

Statkraft signs 366MW Irish power deal with Microsoft

Statkraft Ireland will provide 366 MW of clean energy to Microsoft in a new deal using wind and solar energy produced by renewable energy companies. The deal is Statkraft's first power purchase agreement (PPA) in Ireland. Statkraft will finance and manage the construction of the wind and solar farms and operate them when completed. The PPA with Microsoft will commence once the project is operational and will seek to ensure that Microsoft's energy needs in Ireland will be met from green energy sources.

Renews.biz

Sustainable Energy Fund for Africa receives a further grant of $64 million

At the recently concluded COP27, the Sustainable Energy Fund for Africa (SEFA), a multi-donor trust fund managed by the African Development Bank, received a further grant of USD 64 million from the Norwegian Agency for Development Cooperation (NORAD) and the Global Alliance for Energy for People and the Planet (GEAPP) to provide concessional financing to unlock private sector investment in renewable energy and energy efficiency. Commenting on the grant, Norway's Development Minister, Anne Beathe Tvinnereim, highlighted SEFA's continued contribution to addressing some of the biggest challenges hindering access to clean energy in Africa.

Thecoolgirl

Norway and Sweden have opened joint export office in Nairobi

Norway and Sweden have opened a joint export office in Nairobi. Norwegian and Swedish companies with significant expertise in renewable energy, agri-technology, circular economy, smart cities and digitalisation are important for the future work in the office that the two Nordic organisations for business promotion and export are opening together. The official opening on 24 October was made by Crown Prince Haakon and Crown Princess Victoria of Sweden. Both the business delegation and the opening of the office are a direct result of an agreement reached during the business delegation’s visit to Stockholm earlier this year, when the Norwegian and Swedish business ministers agreed to cooperate more on green industry and sustainable exports.

NTB

What we're reading

• Over 20,000 died in western Europe’s summer heatwaves, figures show (The Guardian)
• The EU’s incredible shrinking energy crisis plan (Politico)
• Brussels faces revolt over energy crisis plan unless it revises gas cap (Financial Times)
• Europe’s energy crisis set to linger for years, industry warns (Financial Times)
• Paul Polman: The world needs a Marshall Plan to fight climate change (Fortune)
• Downing Street draws up UK energy saving campaign (Financial Times)
• Johnson and Truss join Tory rebellion over onshore wind farms (Financial Times)

---