– A fateful week for renewable and climate goals – E24

The Conservative Party is calling on the government to take fiscal measures to avoid energy shortages that impede the achievement of climate goals. – If wind power is not built with the plan put forward by the government, says Nikolai Astrup (h).

On Thursday, the government met in a budget conference to agree on the main features of the state budget for next year.

Storting representative Nikolaj Astrup (H) hopes the government will take the opportunity to take action to secure more wind power. It asks the government to drop or change the proposal for a ground rent tax on wind power, which was postponed in May until next year.

– This week is a fateful one for Norway’s renewables and climate goals, Astrup tells E24.

Previously, there was agreement in Parliament to develop more wind power, but in recent years the division has increased. The main parties Ap and Høyre will continue to develop more wind power with green transition and climate goals in mind, but many opposition parties are concerned about nature and reindeer herding and want to limit wind power.

“Hopefully they will drop the ground rent tax on onshore winds or introduce a neutral tax in effect,” says Astrup.

Wind power will not be built according to the plan put forward by the government, and nothing will happen until the government clarifies the framework conditions, says Astrup.

During a debate during this year’s Arendal Week, Labor leader Jonas Gahr Storr was the only party leader in Parliament to raise his hand and believe Norway is on track to reach its 2030 climate targets.

– His challenge is that there is not enough force to carry out the objectives. Energy shortages are deficient in meeting the government’s climate targets and the industry’s ability to adapt. “Then something has to be done,” says Astrup.

calls for a broad settlement

Representatives such as the Norwegian Environment Agency, the Energy Commission and the NHO say more energy is needed for climate measures and new industries, but in many places wind power in particular is highly controversial. The Energy Commission called for a target of increasing energy production by 40 TWh by 2030.

According to Pareto, this would require investments of NOK 420 billion in energy and grid. Astrup believes that if Norway is to come close to meeting its climate target, it will depend on confidence among investors to be attractive to new energy investment.

– He says the government should put forward a proposal that could lay the groundwork for a broad settlement on energy taxes in parliament.

– In the past year, the framework conditions for the development of new energy production have become much worse, while the need for energy is increasing. Objectives and means must be linked. “We face much bigger challenges than the government thinks,” says Astrup.

– It must be over

However, the SV party is very skeptical about wind power, except for turbines in already damaged areas, such as existing industrial facilities.

The time for massive developments in wind energy on Earth must come to an end. To begin the massive development of wind power on land, as advocated by both the Labor Party and the Conservative Party, is wrong. We have to look at other energy sources, says Storting representative Lars Haltebreken (SV) to E24.

– Norwegian Environment Agency He says Would it require an additional 34 terawatt-hours of electricity to reach climate targets in 2030?

– We know from the Energy Authority that it is possible to release 20 TWh through energy efficiency. We have obtained approval to produce 8 TWh of new solar energy by 2030. In addition, hydropower can be upgraded to 5-6-7 TWh. Then you can also get a few terawatt-hours of small-scale wind power in really industrial areas, says Haltbricken.

Thus, he suggests possibilities of perhaps 15-20 terawatt-hours of new energy. However, the Energy Commission has proposed a target of increasing energy production by 40 TWh by 2030, as well as improving energy efficiency by 20 TWh.

SV is not alone in doubting the targets. Members of the Energy Committee were also divided on the issue, with NVE Chairman Ketil Lund describing the goal as “ambitious”. When the Norwegian Environment Agency recently estimated the need for an additional 34 terawatt hours of energy by 2030, the Nature Conservation Society called it “unrealistic.”

Lots of good input

The wind energy industry strongly criticized the government’s ground rent tax proposal last year. They believed that this would affect investments in new projects, and that existing wind power plants were at risk of bankruptcy. Earlier this year, the government delayed the tax until 2024.

– We said we’ll come back to what we do with terrestrial winds later. We have received a lot of good input. “That was the reason to turn things back and go for another round,” State Secretary Andreas Bjelland Eriksen (AFP) at the Ministry of Oil and Energy tells E24.

– Will there be changes?

– He says: We will have to come back to that at a later stage.

– Will this be included in the general budget, or can it be postponed further?

– He says: “You have to wait and see until the state budget comes.”

He says the government wants to facilitate increased energy production.

– We know that Contribution price hike Contribution price hike Last year, the government imposed an additional tax on electricity prices above 70 euros per kilowatt hour, after a period of unusually high electricity prices. The government has since announced that this tax will be scrapped by 2025, after warnings from the energy industry that it would reduce investment.Which was introduced because you were in an exceptional situation last year has twisting effects. That’s why we said we will remove them by the end of 2024. Then we will work along the way to ensure that taxes and other fees are well adapted with the aim of facilitating profitable investments, he says.

Kraftselskap hopes for change

Communications and PR Manager Tord Lien at energy company Aneo agrees with Astrup that this is a fateful week for Norway’s climate and energy transition goals.

– At the budget conference this week, the government has the opportunity to reduce some of the harmful effects of the original proposal, says Lian, who was previously Minister of Oil and Energy in the Financial Stabilization Plan.

He’s concerned about the treasure’s design, and believes he should has been changedhas been changedHe believes existing wind power plants should either be exempt from the tax or have their facilities completely depreciated. He also believes that new wind projects should receive money from the state when they are invested, in exchange for paying higher taxes when the plant is in production, as is the case in the oil industry. – Or he says wind energy will be subject to more stringent taxes than the oil and gas industry. If the government wants to build more wind power.

– What if the industry expands, and there are still new investments even if the land rent tax is imposed?

– Maybe there will be some investments anyway, but it will not be much. I believe the government understands our input and will come up with a better plan. Aside from some solar energy, it is primarily wind energy that can make a significant contribution to securing enough energy by 2030 to come close to meeting climate goals, says Lian.

He also criticizes the professional basis of government. It is believed that wind energy achieves lower electricity prices than the government assumes. Much of the wind power is built north of Dover, where energy prices are lower than in southern Norway. A significant amount of wind energy is also sold under long-term contracts at below market prices.

Lian also believes the government is assuming that new wind energy costs will continue to decline, when in fact they have recently been increasing.

– Here the government simply ignored a number of factors, says Lian.