Doldrums Offshore wind in Sweden is losing speed
Eolus, a Swedish renewable-energy firm, announced last week that it had given up all but one of its offshore wind projects in the country. The decision was not due to a lack of wind resources; starting in 2021, Eolus began expanding its capacity after evaluating that offshore wind would be necessary—and sufficient—for Stockholm to achieve its power-production targets. Eolus eventually built up a portfolio of projects with a planned capacity of 8.8MW. It blames a slow pace of electrification, as well as regulatory barriers and a lack of political support for making offshore wind unprofitable.
Eolus is not alone in its assessment. Earlier this month, RWS, a German firm, sold its Swedish offshore activities, stating that it was looking for a more dynamic market. On paper, at least, Sweden fits that bill: it is already one of Europe’s largest onshore producers, and, with coastlines along both the North and Baltic seas and an estimated potential in excess of 100MW, it could also be one of its largest offshore producers. That it is not on its way to being so stems, in part, from a 2024 decision by the government to cancel 13 wind farms planned for the Baltic, totalling 32MW and €47 billion in investments.
The cancellation was made due to concerns that Baltic windfarms would just be another target for Russian shenanigans, and that the decision was made on the advice of the military. The industry says that does not explain why Sweden fell behind in the first place. Sweden, it points out has 0.2GW of offshore windfarms, while neighbouring Denmark has up 2.6GW up and running. It also points out that the other countries of the Baltic have been able to balance security concerns with energy needs—and indeed incorporate them. Domestically, the 13 cancelled projects, all of them to have been built in the south, would have been a way for Sweden to balance its grid; currently, producers in the north, where there is a surplus, may only send a limited amount of power to the south, where consumption outstrips demand. By removing the targets, Sweden may be shooting itself in the foot.
Finland and Estonia on Friday have agreed to increase the security of their subsea infrastructure, which includes power and telecommunications cables as well as the Balticconnector gas pipeline that was damaged a year ago.
The agreement, announced in Helsinki on Friday, will see the two countries join forces to on things like technical surveillance, patrolling and repair capacities of subsea infrastructure in the Baltic.
It comes amid what Tallin and Helsinki say has been an increased number of threats against subsea infrastructure, and as countries around the Baltic rim are looking to expand all manner of subsea connections.
Finnish police continue to investigate cause of the Balticconnector damage, while Estonian police are looking into damage to subsea telecommunications links that occurred around the same time. Police in both countries have yet to provide their conclusions.
Local lawmakers on Bornholm have voted down a motion to begin the process of identifying potential sites for an industry estate that could serve as a crucible for energy start-ups once a planned converter station for off-shore wind farms comes on-line.
Tendering for the converter station on the southern coast and two wind farms capable of powering 4.5 million homes has begun. Collectively known as Energy Island Bornholm, it is due to begin producing power in 2030, and that, according to a majority of the environment, nature and planning committee, is too far off—and the outcome of the project still far too uncertain—to being looking for places to place an estate.
Helle Munk Ravnborg, the committee chair, told TV2/Bornholm, a local broadcaster, that identifying sites for potential development while the future of Energy Island Bornholm was unclear, and before the full council has decided to build an industry estate, would be an unnecessary worry for property owners in or near areas selected as suitable sites.
The council’s finance and climate committee is due to consider the same question when it meets on Wednesday. If it is approved, the proposal will come before the full council.
A newly established Estonian defence firm that is drawing on the talent of several of the country’s defence-industry heavyweights has announced it will start producing anti-drone missile systems in Ukraine at a time when that country is facing increasingly intense Russian air raids.
“Expansion into Ukraine is the most important early strategic choice for Frankenburg. We will work tirelessly to launch our unique missile manufacturing in Ukraine to provide much-needed C-UAS (counter-uncrewed air system, ed) assets to the warfighter,” said Taavi Madiberk, a technology executive who helped found the company in January.
Frankenburg Technologies develops and produces air-defence systems that are capable of being mass-produced.
Other notable figures involved with the firm include its chief executive, Kusti Salm, former Estonian defence official whose appointment was announced today; Martin Herem, Estonia’s recently retired top military commander and Kuldar Väärsi, the chief executive of Milrem Robotics.
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The firm is the most recent European arms producer to announce its intention to set up production on Ukrainian soil. In February, German manufacturer Rheinmetall AG announced it would open a new plant in Ukraine to produce artillery ammunition.
By March, five more agreements with foreign arms
A proposed hydrogen network linking six countries in the Baltic Sea region could transport up to 2.7m tons a year by 2040, according to a study published Monday suggesting that the Nordic-Baltic Hydrogen Corridor would be commercially viable.
The study—known as a pre-feasibility study—was conducted as part of an agreement among the transport-system operators in Germany, Finland, Estonia, Latvia, Lithuania and Poland in June to develop cross-border pipelines, national grid networks and hydrogen-storage facilities.
The findings should lead to the next step—a feasibility study—that will look more closely at the technical, commercial and financial aspects and establish a timetable for implementation.
Spanning an estimated 2,500km, such a pipeline could become one of Europe’s first cross-border hydrogen pipelines, Ontras Gastransport, which operates gas-transmission systems in Germany, said in a statement.
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The 2040 estimate is a decade later than the originally planned— just as it is a decade later than the EU’s own target of 10m tons of hydrogen produced annually using renewable energy. However, a spokesperson for Elering, the Estonian trasnmission-system operator, told Montel, a news outlet, that the final date would depend on the results of further studies.
Estonia, Latvia and Lithuania are committed to completing by the end of the decade a financially troubled and badly delayed high-speed rail project integrating the three Baltic countries with the continental European rail network, transport ministers from the three countries say.
Set to link the Baltic capitals of Tallinn, Riga and Vilnius on a new track with passenger trains running at speeds of up to 250km/h, the Rail Baltica project was launched in 2014 as a pan-Baltic joint venture with funding primarily provided by the EU.
The project is scheduled to be completed in 2030, while a Lithuanian-Polish link to will be finished in 2028.
However, speaking after an earlier meeting on Saturday with with the Latvian and Lithuanian, Vladimir Svet, the Estonian infrastructure minister, said that while that remained the goal, that the three countries would be keeping an eye on costs and would be looking to keep the budget down.
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The initial 2010 plan projected the railway would cost €3.5bn. Howver, a report published in June compiled by auditors from the three countries warned that completing the project would require an additional €19bn.
This year, the European Commission, the EU’s executive branch, has allocated an additional amount of around €1.2 billion for the development of Rail Baltica.
Denmark will start enforcing EU sanctions that prevent 27 Russian ships from entering Danish waters or anchorage sites, according to new guidlines issued by Danpilot, the national pilotage service. The ban also applies to services like bunkering and ship supplies.
The measure comes after Brussels in June adopted its 14th round of sanctions against Moscow in response to its unprovoked attack on Ukraine. These latest sanctions target the growing “shadow fleet” Moscow is said to be using to transport oil in violation of previous sanctions. They mark a significant step in the EU’s efforts to the Kremlin to comply with sanctions.
The shadow fleet has reportedly expanded to include between 360 to 1,400 vessels, representing a substantial portion of the global tanker market. The ships, often old and with unclear insurance and ownership, have only limited ties to Moscow, raising serious environmental concerns, particularly in the ecologically sensitive Baltic Sea region.
Reports suggest that they had continued to access Danish anchorages, just as it is unclear whether Danish pilots have begun enforcing the ban, but Russian officials have warned of potential retaliatory measures in response the latest round of sanctions.
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This fleet’s existence underscores the challenges faced by the EU and its allies in curtailing Russia’s oil trade, which has been increasingly rerouted to the Kremlin’s allies amid tightening sanctions, indicating a shift in global trade patterns in response to sanctions.
Denmark’s geographical position makes it a crucial player in monitoring maritime traffic in the Baltic Sea, where a considerable volume of Russian oil passes through. Copenhagen is considering additional restrictions, motivated by the environmental risks posed by the vessels, but international maritime laws grant vessels the right to innocent passage, limiting its ability to enforce its ban without risking diplomatic tensions with Russia.
The Danish government plans to earmark 10mn kroner (€1.34mn) to allay concerns on the island of Bornholm that a planned 3GW interconnector will not benefit the local economy.
The proposed funding is included in a proposed national rural-development plan unveiled today.
Slated for completion in 2030, Energy Island Bornholm will consist of a 3GW windfarm off the southern coast of Bornholm and two on-shore interconnectors that will link the windfarm with Germany and the Greater Copenhagen area.
Despite local support for the windfarm, there has been concern about the placement of the interconnectors, which will occupy 100 hectares along the coast of the popular holiday destination, as well as the likelihood that none of the power generated by the windfarm will be available to the island’s residents or firms.
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The Bornholm island council hopes that a proposed business park adjacent to the interconnector station could be powered by the windfarm, making it a selling point that could lead to the creation of new jobs. Søren Møller Christensen, the director of Baltic Energy Island, an Ørsted Wind Power-funded group seeking to promote energy innovation on Bornholm, reckons that the funding could be used to pay for the business park.
“If we’re giving up land for Energy Island Bornholm, then Bornholm needs to get something back that secures Bornholm’s economy in the long run. And this is something we can do with this money,” Mr Christensen told TV2/Bornholm, a local news outlet.
Copenhagen has earmarked half of the expected 31.5bn kroner the project is expected to cost.