6 October 2021

Denmark agrees to 2030 climate target for agriculture

Lawmakers in Denmark introduced binding carbon emission targets for the nation’s agricultural segment, which was supported by all party lines. The deal aims to ensure that farmers will reduce their emissions by 55-65% by 2030 compared with 1990 levels, according to the Danish finance ministry. The government has set aside DKK 3.8 billion to compensate farmers during the green transition which is expected to reduce emissions by 7.4 MtCO2 by 2030 (Bloomberg).

The Confederation of Swedish Enterprise changes tack

Svenskt Näringsliv (The Confederation of Swedish Enterprise) will take a lead in the battle against climate change, according to the CEO Jan-Olof Jacke. Their historically slow response to climate change has portrayed them as a hindrance in climate questions, even among their own members. Jacke accepts the criticism of himself and his organisation, claiming that sceptics within the organisation have been the reason why it has refrained from acting on the climate issue sooner. However, the changed narrative sees Swedish businesses as the driving force in the green transition which Jacke wants to spearhead - sooner rather than later. He continues by praising Greta Thunberg for her contribution to the climate issue by raising awareness and creating interest around the topic, alluding to the hype behind green companies such as Northvolt and H2 Green Steel. 

Based on a study issued by Svenskt Näringsliv in 2020 to determine how the EU climate goals can be reached in a an economically efficient manner, Jacke reiterates their surprisingly positive position towards policies ensuring carbon taxes across Europe – claiming that carbon taxes on a global level would be even better. That would entail sharing a common cost of taxes on carbon emissions that businesses pay, globally. Further, Svenskt Näringsliv currently supports an increased cost of taxes on carbon emissions to accelerate the transition. However, that is where the alignment between him and Thunberg ends, as he stands firm on the importance of economic growth. “If we are to handle the large investments required for a transition, we need growth,” said Jacke. Additionally,he sees no possibility for the phasing out of nuclear power in Sweden in the future – contrarily, he claims that Sweden will need to build new plants until there is a steady supply of fossil-free electricity (SvD , Swedish business ). 

Three scientists win Nobel prize in physics for climate work efforts

Three scientists have won the 2021 Nobel prize in physics for their groundbreaking contributions to complex physical systems – including how humanity influences the Earth’s climate. The three winners, Syukuro Manabe, Klaus Hasselmann and Giorgio Parisi will share the award of SEK 10 million. Manabe and Hasselmann were awarded one half for their physical modelling of Earth’s climate to reliably predict global heating, while the other half was awarded to Parisi for his work on identifying hidden patterns in disordered complex materials, making it possible to understand entirely random materials and phenomena (The guardian).

Naturvårdsverket, BASF investigate measures to accelerate the chemical recycling of plastics 

Naturvårdsverket (the Swedish Environmental Protection Agency) is investigating measures to improve conditions for chemical recycling to answer how Sweden can best utilise new technology, both environmentally and economically, and how German-Swedish cooperation can contribute to circular plastic flows. To this end, an online webinar in association with BASF, the German chemistry group, will be held on 10 November with German and Swedish speakers from politics, businesses, and agencies to discuss innovative chemical recycling to increase speed toward a circular economy. (Handelskammer).   

Volvo Trucks receives record order for electric trucks from DFDS

Volvo Trucks has received a record order for 100 Volvo FM Electric trucks from DFDS, a Danish company that claims it is northern Europe’s largest shipping- and logistics company. The first delivery of trucks will occur in 4Q22. They are to be used for short- and long trips in Europe, aligning with DFDS’ ambition to reach their 45% CO2 reduction target by 2030. For Volvo Trucks, this marks the largest commercial order for their electric trucks, further accelerating the electrification trend of heavy trucks. The FM Electric trucks can carry 44 tonnes (gross combination weight), with a range of 300 km (Press release).   

Electricity prices soar to record heights in southern Sweden

Electricity prices in southern Sweden rose from 93 öre per kWh to 141 öre per kWh, an increase of 1,417%, making September the most expensive month in history in Skåne. Three main reasons are accredited to the situation – limited transmission capacity from the middle- to southern Sweden, low production in the west which ultimately hinders the transmission to southern Sweden, and lastly, the spike of energy prices internationally. Add to this the below average water levels in Swedish dams and record prices of gas in Europe which also pushes the costs for Skåne in the south of Sweden (SVT).    

Peab pioneers use of fossil-free steel from SSAB in the construction industry 

Peab and SSAB have signed a collaboration agreement regarding fossil-free steel, making Peab the first construction company to secure access to SSAB’s steel in building projects, starting in 2026. The steel will be produced within the HYBRIT initiative which uses hydrogen and fossil-free electricity in the manufacturing processes. Additionally, the partners will analyse future opportunities for fossil-free steel in reducing the climate impact of the building segment (Press release).

Vattenfall join First Movers Coalition to speed up new technologies for CO2 reduction

Vattenfall is among some of the world’s biggest companies, signing up for a coalition created by US Special Presidential Envoy for Climate John Kerry, that aims to speed up the development of new technologies that can remove emissions from high-emitting sectors. The coalition is set to launch in the coming weeks at the COP26 climate summit in Glasgow and aims to persuade giants in sectors like steel, aviation, shipping, chemical and concrete, to commit to low-carbon operations by 2030 to meet climate goals and develop greener supply chains. Vattenfall is showcasing a strong commitment to meeting climate goals and has recently adjusted its climate target trajectory to be in line with the 1.5-degree target in the Paris Agreement. Being involved in the coalition at an early stage is important as they sit on some of the solutions,but also since Vattenfall purchasea goods and services within the questioned sectors according to Anna Borg, CEO at Vattenfall. She adds that Vattenfall will investigate how it can be a part of the coalition more concretely (Press release).

What we’re reading

• Carbon traders, analysts face recruitment frenzy amid global market boom (Carbon Pulse)
• Fortescue, world's fourth-biggest iron ore miner, targets net zero emissions from customers by 2040 (Reuters)

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