29 June 2023

Today's Top Nordic Green News:

• Denmark’s planned enormous energy island halted over cost concerns
• Advanced Soltech refinances green bond
• Finland sees strong growth in wind power capacity for 2023

Denmark’s planned enormous energy island halted over costs

Denmark's Climate Minister has decided to pause the development of the prized energy island project in the North Sea due to projected costs exceeding expectations. New calculations indicate that the state's bill for the Energiø project will surpass DKK 50 billion ($7.9 billion), making it arguably the largest construction project in Denmark’s history. This week, the Ministry of Climate, Energy and Utilities expressed concerns about the current costs and risks, stating that alternatives must be explored to make the project profitable. Despite the delay, the government remains committed to the ambition of establishing the first-of-its-kind energy island, which will serve as an artificial island located 80 kilometres offshore. Initially, the energy island aims to collect and distribute power to Denmark and neighbouring countries' grids and produce green fuels using power-to-x technology. The project's realisation will be postponed until later in the year, and no tender documents will be published before the summer holidays.

Energy Island News, EnergiWatch, Press Release

Advanced Soltech refinances green bond

Advanced Soltech has fully repaid its green covered bond, SOLT5, through a sale and leaseback arrangement with JiangSu Financial Leasing Co Ltd. in China. The refinancing, totaling approximately SEK 657 million, eliminates currency risk and significantly reduces financing costs. On a quarterly basis, costs are expected to decrease by SEK 19 million compared to Q1 2023, and on an annual basis, costs are reduced by SEK 61 million compared to the previous year. The CEO of Advanced Soltech, Max Metelius, expressed gratitude to bondholders and emphasised the focus on growth, aiming to achieve 1 GW of installed solar capacity by 2026.

IPOHUB

Finland sees strong growth in wind power capacity for 2023

The Finnish Wind Power Association has reported this month that wind power construction in Finland is progressing at a steady pace, with the country expected to see the second-largest amount of wind power capacity built this year. In the first half of the year, 75 new wind turbines with a total capacity of 439 megawatts were installed, and the combined production capacity is projected to reach around 7,200 megawatts by year-end. The future of wind power construction in Finland is influenced by the new Government Programme, which has introduced some uncertainty regarding the country's attractiveness as an investment environment. However, the Finnish Wind Power Association emphasises the need for clear ground rules and the prudent implementation of the government's plans to maintain investor confidence and bring in vital investments.

ePressi

Circulate secures SEK 4 million investment to boost sustainable packaging

Almi Invest, along with a reputable private investor, is investing SEK 4 million in Circulate, a digital sourcing platform for sustainable packaging. The funds will be used to develop the product and expand the customer base. Circulate aims to be a leading choice for both packaging producers and buyers. Currently, the packaging industry lacks digitalisation, hindering the adoption of sustainable options. Circulate fills this gap by providing a comprehensive digital platform where customers can easily compare, purchase, and measure the environmental impact of different packaging options. The investment will help accelerate the industry's transition to a more sustainable and environmentally friendly model. 

Press release

What we’re reading

• Oil and gas firms making 'almost no progress' towards Paris goals, CDP says (Reuters)
• Wind farms drive 42% surge in Crown Estate’s property profits (Financial Times)

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