Mundus Nordic Green News – 12 January, 2021

Norwegian action plan: Construction sites in the transport sector will be fossil-free

Norway’s Minister of Transport, Knut Arild Hareide says that “it is not enough to travel green, we must also build roads, tunnels, railways, ports and airports in a climate-friendly way. That is why we are stepping up our efforts to make the construction sites in the transport sector fossil-free.” 

 

Direct emissions from construction in Norway are estimated at approximately 0.6 MT CO2e p.a., corresponding to around 4–5% of emissions from the transport sector. One of the goals of a new action plan is to create greater demand in the market for zero-emission machines. The market for emission-free excavators, wheel loaders, dumpers and other construction machinery is currently not mature, which makes it expensive for contractors to buy emission-free construction machinery. For example, the cost of an electric excavator is estimated to be about three times higher than the diesel alternative.

 

With a view to facilitating the construction sites to be fossil-free by 2025, Norway’s government is investigating the following initiatives:

• Initiating pilot projects for fossil-free construction sites under the auspices of the Ministry of Transport's agencies and businesses.
• Using requirements in public procurement as a tool to reduce emissions from construction sites in the transport sector.
• Gradually increasing the taxes on non-quota emissions of greenhouse gases to about NOK 2,000 per tonne of CO2e.
• Introducing turnover requirements for biofuels in construction diesel from 2022, which will be increased to the same level as in road traffic by 2030.

 

Norwegian EV policy cited in research on tipping points

New research from the United Kingdom’s University of Exeter’s Global System Institute has highlighted a range of ‘tipping points’ in human societies that could see emissions reductions cascade, triggered by large-scale policy changes. According to the researchers, these tipping points occur when a small change triggers a “large, often irreversible response”, and could be instigated by coalitions of small countries.

 

The researchers plot a chart of cost of ownership vs EV market share, describing the relationship as “strongly non-linear”. Norway’s EV market share is now at over 50%, over ten times higher than almost any other country. Norway has many policies to support EV uptake, but one of them is unique. In the words of the Norwegian Electric Vehicle Association: ‘The progressive tax system makes most EV models cheaper to buy compared to a similar petrol model … This is the main reason why the Norwegian EV market is so successful compared to any other country’. Norway appears to have activated a tipping point in consumer preference: making EVs more attractive than petrol cars to consumers. With a policy input somewhat stronger than its equivalent in other countries, it has achieved a disproportionately large outcome. The result is a world-leading pace of transition.

One conclusion is that while climate change is a greater threat due to nature’s tipping points, the human climate response can use economic tipping points to fight back.

 

One of Denmark's richest men invests in Nordic Solar Global

Niels Peter Louis-Hansen, the heir to a large bioscience fortune, has invested in Nordic Solar Global, which has raised DKK 175 million for investment into solar parks in Europe. Nordic Solar Energy and Nordic Solar Global are two subsidiaries of Nordic Solar, which have slightly different investment profiles. Nikolaj Holtet Hoff, founder and CEO of Nordic Solar said Nordic Solar Energy has an average return of about 7% p.a. over the last decade, whilst Nordic Solar Global has not been around for so long, but made a return in the first year of 16.5%. 

 

Morrow Batteries chooses Arendal as location

Morrow Batteries was established in June 2020 at the initiative of Agder Energi and investor Bjørn Rune Gjelsten. Similar to Northvolt, its mission is to build a giga-scale battery cell factory in the south of Norway. Now Morrow Batteries has entered into a letter of intent to establish its giga battery cell factory in Eyde Energipark in Arendal. Construction of the factory's first phase is scheduled to start in 2023.

 

Sustainable Energy Solutions carries out rights issue of SEK 14.1 million

The Board of Directors of Sustainable Energy Solutions Holding AB (SENS) has proposed that SENS carry out an issue of units with preferential rights for the Company's existing shareholders. An Extraordinary General Meeting will be convened to decide on the Rights Issue.

 

SENS was born from a merger between Capital Cooling and SEEC, two companies that complemented each other when it came to providing energy solutions for heating and cooling. SENS works to combine new technology with proven solutions in new applications.

 

Vattenfall and Kaunis Iron in new collaboration on electrified mining

Vattenfall AB and Kaunis Iron AB have signed a Letter of Intent to develop a fossil-free and electrified mining operation at an iron ore mine in Pajala. The collaboration means finding business solutions to reduce the need for fossil fuels in the mining business. Future planned wind power projects such as Käymävaara and Selkävaara may play a role.

 

Svalbard coal power plant to be phased out

The Longyearbyen coal-fired power plant has been in operation since 1983, supplying Longyearbyen with both electricity and district heating. Now, Norway’s Minister of Petroleum and Energy Tina Bru said “We are now considering a smaller number of solutions that are both safe and significantly more environmentally friendly than today's coal-fired power plants. Depending on which solution is chosen, a new energy solution may be in place within 2-5 years.” Svalbard had a coal mine in operation for over 100 years, but the mine was closed last year.

 

 

---