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 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.
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.
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.
The Nordic countries are some of the most dynamic and successful economies in the world. They are also leaders in sustainability, from renewable energy, biofuels, carbon capture and storage and the hydrogen economy, circular economy business models and battery development, the Nordics are pioneers in policy design, technology development and consumer uptake. Mundus Nordic Green News is covering this transition for the international community. Every day we curate the stories of most relevance to international businesspeople and policy experts from the flow of news. Mundus Nordic Green Indices summarise the meta-data from our daily coverage to enable easy tracking of trends. We supplement these with our own opinion pieces and commentary.