Stein Lier-Hansen, of the Federation of Norwegian Industries
«Both with regard to disruptions in the landscape and greenhouse gas emission, it makes sense to process Norwegian power close to the energy source» says Director General of the Federation of Norwegian Industries Stein Lier-Hansen.
«It is sensible to produce energy intensive products using carbon neutral power. If such production does not take place in Norway, it often takes place outside of Europe with the use of energy sources that contribute to increased emissions of greenhouse gases and carbon leakage. In Norway power intensive industry is located all along the coast. This affects both growth and employment and has major ripple effects.
We need a well-functioning grid design with sufficient capacity, built in an area that makes socio-economic sense. Building more grids is not always the best solution, however. It is therefore necessary to also look at other options, such as new power production or new industrial production in areas with surplus energy. The current energy management is too fragmented. This is a problem if we are to achieve a uniform policy where climate, energy and value creation are seen as part of a greater whole.
Norwegian industry is concerned about the bill that Statnett will run up as a result of its massive investment plans. It is essential that the developments are as cost-efficient as possible. The grid prices must be predictable and at a level that does not generate carbon leakage. To ensure legitimacy it is absolutely vital to maintain a dialogue with the users, who will foot the bill. We must establish a tariffing regime that takes into account the global competitive situation of Norwegian industry, and the system services it contributes. We have advocated increased use of facility contributions in connection with the grid developments. Those who generate the costs and who benefit from the investments, be they cables to the Continent, renewable energy production or other industrial activities, should also be the ones who pick up the bill for the necessary grid investments, Stein Lier-Hansen concludes.
The Federation of Norwegian Industries is a trade association with approximately 2300 member companies and around 125 000 employees all over Norway. The Federation of Norwegian Industries is actively involved in key political issues relating to business and industry. The Federation is a member of the Main Grid User Council.