U-turn on nuclear power – Barometer-OT

A classic Swedish compromise, said Energy Minister Ibrahim Baylan energy agreement that was presented on Friday afternoon. But the question is whether Baylan is not too modest. With verbal acrobatics of the ordinary has five parties including the Green Party failed to agree on 100 percent renewable electricity in 2040, while nuclear power is not settled. On the one hand there is a goal, on the other hand, it means no cut-off date for deviations from the target or even any active policy to target.

The thing is deal mainly be welcome, especially when it comes to settlement the effect of the tax. This makes the government a veritable U-turn. As late as August 1, 2015 raised output tax of 17 percent, although several commentators warned precisely of what then took place – that nuclear power would be unprofitable and the owners start thinking about the closure.

And as recently as November claimed Finance Minister Magdalena Andersson to effect the tax does not affect the owners’ decision. Now assess the consulting company Sweco to the agreement on the settlement of the tax is enough for the owners to have the courage to make the necessary investment to operate beyond in 2020.

Government parties also leaves earlier positions to new nuclear power. Green Party went to the polls on that 100 percent of all electricity would come from renewable sources by 2030 and that several reactors would be closed during the mandate period. Now open party for the new construction at existing sites and the gradual replacement of the existing reactors as they reach the end of its economic life.

What has happened is thus actually the Social Democrats and the Green Party under the heading “broad agreement” joins the alliance government’s energy policy, while liberals defects. It can be called historic – from a political perspective.

From an energy perspective remains the most questions to answer. That, in theory, be possible to build new reactors in Sweden is no guarantee that it will happen. For an industry that has recently been close to extinction, it is probably fairly remote with decisions on new miljardsatsningar.

And that existing Swedish nuclear power would be bailed out in the agreement is a well-hasty conclusion. The electricity certificate system for renewable energy extended, although it already means that nuclear disadvantaged. “Will electricity prices down further while the arrival of new costly safety requirements or other unexpected setback for the reactors, the future is still threatened the remaining six Swedish reactors”, Sweco writes in a commentary.

Then the energy policy back on the box a.

a concern is also the ambivalence that has been written into the agreement. It is natural that all parties want to portray itself as the winner, but when the core of the agreement is described in five completely different ways creates uncertainty about what it really means. The uncertainty is neither citizens nor market participants benefit from.