politics
Announces Major Measures to Tackle the Power Crisis in Northern Norway
The Norwegian government wants to halve the time it takes to build out power generation and the electricity grid. The measures are intended to solve the acute grid bottleneck that is slowing industrial development in Northern Norway.
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On Friday afternoon, the government presented a series of measures to accelerate the expansion of power generation and the electricity grid across the Norwegian country. Several of the measures are specifically aimed at the challenges facing Northern Norway.
Demand for power and grid capacity has increased sharply in recent years, but the pace of development has not kept up. Now, the government wants to halve the time it takes to expand the national and regional power grid.
"The Labour Party government is now presenting the most comprehensive measures in many years to ensure faster power and grid development," Prime Minister Jonas Gahr Støre said in a press release.
Need to speed up
The government wants fewer impact assessment requirements, the removal of the County Governor's right to object, and a strict two-year deadline for processing applications.
"We need to speed things up. That is why we are now taking a decisive action to simplify regulations and cut bureaucracy. Faster expansion of renewable power and the electricity grid is absolutely crucial for cutting emissions, as well as for creating new jobs and securing existing employment and industrial operations in Norway," said the Prime Minister.
Mona Nilsen, county leader of Nordland Labour Party in Northern Norway, told the local newspaper Avisa Nordland that they are very pleased with the measures the government is now proposing.
"In the Nordland Labour Party, we have repeatedly discussed power and the grid over the last few years, ever since Energy Minister Terje Aasland (Labour) attended our annual meeting several years ago. I really think this is bold and shows a high level of ambition. I am extremely pleased about that, Nilsen told the newspaper.
She pointed out that the lack of grid capacity has been one of the biggest obstacles to business development and value creation.
"For our region, which actually has a power surplus - where, for example, Salten Kraftsamband (SKS) at times had to dump power into the sea instead of using it - it is completely absurd," Nilsen added.
The power crisis in the north
The measures come after the power situation north of the Svartisen glacier escalated sharply earlier this year. Statnett sounded the alarm at the time and introduced a temporary freeze on reserving grid capacity for new industrial projects.
The reason is that power consumption in the region is expected to increase by around 60 percent over the next ten years. The growth is driven particular by the seafood industry, the transport sector, and increased activity within the Armed Forces. Roughly 30 industrial projects were left waiting in line with no prospect of a grid connection.
In Eastern Finnmark, the situation was even more acute. There, Statnett reduced the limit for power draw from 5 to 1 megawatt (MW), a move local business leaders described as a "foretold disaster" that placed the region in "checkmate".
Among the affected businesses was the mining company Sydvaranger in Kirkenes. The company had to shelve its plans for early electrification after being informed that new grid capacity likely will not be available until around 2040.
