Statkraft plans massive investment in hydro and wind power, aiming to double wind output and enhance hydro plants in Norway.
Norway's leading renewable power producer, Statkraft, has unveiled a groundbreaking plan to bolster its green energy capabilities significantly. Announced on Monday, the state-owned entity is setting the stage for an ambitious investment of up to 6 billion euros ($6.56 billion) focused on enhancing and expanding its hydroelectric and wind power facilities.
This strategic move is poised to transform Norway's renewable energy landscape dramatically. Statkraft's initiative will see a major upgrade of existing hydroelectric plants, along with the construction of new onshore wind farms. The company anticipates that these efforts will effectively double its current wind farm output. Additionally, the plan includes a substantial boost in hydroelectric power production, expected to add approximately 3 terawatt hours (TWh) of extra electricity output.
Detailing the financial aspects of this expansive project, Statkraft revealed that investments would be allocated across several key areas. Between 1.8 billion and 3 billion euros are earmarked for hydroelectric plant upgrades, while 1.2 billion to 2 billion euros will be directed towards refurbishing older dams and facilities. Furthermore, approximately 1 billion euros is allocated for the renewal and construction of onshore wind farms.
However, the company emphasized that the realization of these projects hinges on several factors.
Norway, traditionally known for its robust electricity surplus, faces a looming challenge. Projections indicate that this surplus could significantly diminish by 2028, largely due to the rapid growth in electricity demand stemming from the ongoing electrification of the industrial and transport sectors. This anticipated demand surge is expected to outstrip new generation additions, creating a pressing need for accelerated investment in renewable energy infrastructure.
Statkraft's announcement follows its previous commitment to upgrade the Mauranger hydro plant in western Norway. However, several of its other projects were temporarily shelved in the wake of the Norwegian government's 2022 decision to limit energy sector profits during Europe's intense energy crisis. This latest initiative marks a significant step forward in Norway's transition to a more sustainable and secure energy future.
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