3 April 2023

Today's Top Nordic Green News:

• Norwegian ferry MF Hydra sets sail as world's first liquid hydrogen-powered ship
• Vattenfall announces plans for 21-turbine wind farm in Bruzaholm, Sweden
• Survey shows NOK 46 billion turnover for offshore wind, hydrogen and CCS in Norway in 2021, with strong growth expected

Norwegian ferry MF Hydra sets sail as world's first liquid hydrogen-powered ship

The MF Hydra, the world's first passenger ship powered by liquid hydrogen, has begun operations in Norway. The ferry has been developed by Norled, which also produced the world's first battery-operated, propeller-driven ferry in 2015. Linde Engineering in Germany has supplied the hydrogen systems on board, and Danish Ballard has developed the fuel cells that produce electricity from hydrogen. Several other companies have also been involved. 

The ferry has completed sea trials and is now in operation, with the project hailed as an exciting and important test of technology, equipment, solutions and safety throughout the entire value chain for liquid hydrogen.

Statens vegvesen, Press Release

Vattenfall announces plans for 21-turbine wind farm in Bruzaholm, Sweden

Vattenfall has announced plans to build a wind farm northwest of Bruzaholm in Eksjö municipality. The wind farm will consist of 21 wind turbines, with an output of around 140 MW and an annual production of 460 GWh, enough to power approximately 90,000 households. Construction is expected to begin in the summer of 2023, with the wind farm set to be operational by 2025. The project was granted permission in 2020, and final negotiations with suppliers are currently underway.

Press Release

Survey shows NOK 46 billion turnover for offshore wind, hydrogen and CCS in Norway in 2021, with strong growth expected

According to a survey conducted by Menon Economics for Offshore Norway, the turnover for offshore wind, hydrogen and carbon capture and storage (CCS) in Norway was NOK 46 billion in 2021, with expectations of strong growth in turnover and employment towards 2030. The offshore wind market is leading the growth in turnover, with 90% of the income coming from exports and sales from Norwegian companies abroad. 

Additionally, the value of technology and competence transfer from the oil and gas industry to the green industries is significant. The majority of industry players believe that experience from the oil and gas industry will be important for growth in all three industries. This particularly applies to the offshore wind industry and the CCS market. 

The CEO of Offshore Norway, Hildegunn T. Blindheim, states that the expertise built up in the offshore wind and CCS markets will give Norwegian players an advantage over international competitors, but it is crucial to maintain momentum in the new green industries.

HalvPuls

Old-growth forest protection at odds with EU's renewable energy targets?

The EU has set a new, increased target for renewable energy to make up at least 42.5% of the energy mix by 2030. Before, the target was 32%. However, the agreement has been criticised by environmental organisations who believe it will destroy forests and contribute to climate change. The directive is controversial because it allows energy companies to burn biomass from forests, which could result in the destruction of old-growth forests. The decision-making bodies of the EU, including the Parliament and the Council, have agreed to the renewables directive, also known as REDIII. 

Previously, the EU Parliament's proposal to limit burning tops and branches for energy production was opposed by the Council of Ministers, led by Sweden's presidency. The Council of Ministers won, and it will continue to be considered sustainable to burn tops and branches from the forest. Additionally, countries can define for themselves what they consider to be old-growth forests worthy of protection.

Swedish environmental organisation Skydda skogen criticises the decision to continue allowing the burning of forest tops and branches for energy production, saying it will harm forest ecosystems and make it harder to reach carbon sequestration goals. On the other hand, forest industries welcome the decision as good news and emphasise the sustainable use of bioenergy and resource-efficient use of biomass.

DN

Nordlo strengthens green energy position with acquisition of Netsense in Norway

Nordic IT company Nordlo has acquired Netsense in Norway to strengthen its position in the public sector and renewable energy markets. Netsense's experience in public procurement and IT security services will complement Nordlo's ambition to be a leading Nordic IT and digitization partner. Moreover, the acquisition will give Nordlo better geographical coverage, as Netsense has an office in Skien, closer to several existing customers in the region.

Press Release

DEAS Asset Management acquires Finnish ground rent funds of Korkias, which is successful in renewable energy

DEAS Asset Management, a pan-Nordic fund and asset manager in real estate, has acquired the Finnish ground rent funds business of Korkias. Rikke Lykke, CEO of DEAS Group, called the acquisition part of its Nordic strategy and a way to expand its range of services and investor base. 

A ground rent is a long-term lease of land where the lessee (tenant) typically pays an annual rent to the lessor (landlord) who owns the underlying property. Ground rents are seen as a stable and low-risk investment, with ground rent funds investing in a diversified portfolio of ground rents. Korkia Group's CEO, Pauli Mäenpää, says that the sale of the ground rent funds has allowed the company to focus on renewable energy, and that they are happy to have found a good match in DEAS for their investors and funds. He adds that Korkia will continue to concentrate on renewable energy and move forward in the same direction as they have been for the past few years.

Press Release

What we’re reading

• Only 5% of FTSE 100 companies have ‘credible’ climate transition plans, says EY (Financial Times)
• Canada warns US against waging ‘carbon subsidy war’ (Financial Times)
• Italy's ski industry fires cannon against climate change (Reuters)

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