– Deeply concerned – E24
Those who operate the electricity grid in Sweden, Finland and Denmark are asking Norway not to slow down electricity exports. – Depending on whether the neighboring countries can trust us, says the Energi Norge boss.
The warning comes in a press release from Danish Energinet, Svenska kraftnät and Finnish Fingrid.
The three players correspond to Norwegian Statnett. They operate the “motorways” in the power grid in the neighboring countries, including the international connections to Norway and other countries.
Now the three players have taken the unusual step of sending a message to the Norwegian government. It happens after signals that the government considering to limit electricity exports in periods when reservoir filling is low.
“The energy crisis, together with the volatility in the electricity market, has led to considerations about intervening in the electricity market”, write the three system operators.
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“Recently, the Norwegian government has made plans to reduce the capacity of the power cables to protect national security of supply,” they write.
Fingrid, Energinet and Svenska kraftnät believe that it is particularly important to function in a time of crisis, and that security of supply is best when everyone cooperates in making available resources available.
“We ask the Norwegian government to reassess the situation and not introduce export restrictions on the power cables”, write the three network operators.
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– Deeply concerned
Electricity prices have recently reached new records, and European gas stocks are still depleted. That leads to concerns about rationing and even higher prices.
Svenska kraftnät, Energinet and Fingrid say they understand Norway’s need to secure supply.
“At the same time, we are deeply concerned that the proposed capacity reduction appears to ignore the benefits of keeping borders open, and to fail to recognize that it is through a well-functioning brand that security of electricity supply can be most effectively ensured,” they write.
“Should export restrictions be allowed within the current European electricity regulation, we fear that such a step could inspire other countries to consider similar restrictions, and thus create a greater negative effect on both the Nordic and European electricity markets”, write the system operators.
– Must proceed very carefully
Managing director Knut Kroepelien of the power industry organization Energi Norge fears that an export brake could have unfortunate consequences.
– This clearly shows that the government must proceed very carefully when it considers changing the rules of the game in our joint power system, says Kroepelien to E24.
– If Norway is to have confidence that we can import power for the winter even in a strained situation in our neighboring countries, we are completely dependent on the neighboring countries being able to trust us when they need it, he adds.
He points out that the Nordic countries have had good cooperation across borders for 30 years, and believes that Norway must not create uncertainty around the cooperation.
– It is right and important that the government looks at mechanisms to ensure the degree of filling in Norwegian magazines in a very strained situation, but the trust that we can exchange power also in times of crisis, it is important to hold on to that, he says.
Many demands for an export brake
Already in September last year, the industrial company Elkem went out in E24 and asked the politicians to hold back on exports. Industri Energi leader Frode Alfheim also told E24 that the power industry should hold back on the water.
In November, Statnett said they would not intervene then. The company expected at the time that gas deliveries to Europe would eventually normalize.
Norwegian Industry chief Stein Lier-Hansen was also skeptical of the export brake, and feared backlash. Since then, he has introduced stricter requirements, in the form of a code of conduct for power exports.
Rødt’s Sofie Marhaug was early in calling for a brake on exports last year. She feared that the magazines would be drained too much. She believes Norway must have room to retain more.
– I think what happened this winter was that we produced and exported beyond our capacity, and too much in relation to the supply we have had, says Marhaug to E24.
– We must take into account the security of supply and also the environment in the waterways, and there must be room within the current rules, she adds.
Rødt also wants to regulate exports for reasons of price.
– It is probably more controversial, but I think it is right to do it anyway. We believe the electricity market does not work when power that costs 12 øre to produce is as expensive as we see now. Then we lose our competitive advantage. It affects small businesses and reduces Norway to a raw material producer, says Marhaug.
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Have faith in the politicians
Cecilie Bjelland is director of energy at the organization Samfunnsdriftene, which organizes several companies in the power and network industry.
– I understand that they have a need to address their concern, she says of the action from Energinet, Fingrid and Svenska kraftnät.
– But I feel that there is a political majority for continued responsible politics all around, even if we abroad have to protect our security of supply. This is another signal from the other Nordic countries that this is also important for countries other than Norway, says Bjelland.
– So there is room for handling?
– There is room to make some moves. At bottom, we must have security of supply in Norway, that has been the basis all along, she says.
– The question is what we do if we enter a gray area, and there the other countries are in reality asking us to be a little careful. This is a decision that must be made, and I trust that they are sensible. That is why they are now taking it easy and looking at all possibilities, she says.
She asks the government to think carefully before taking any drastic measures, for the sake of long-term security of supply. But she also sees room for negotiations with the EU, especially since Norway has been benevolent and made extensive moves to supply more gas.
– We gather that the authorities see the whole of energy policy, and see gas and electricity in context, she says.
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