- The most acute crisis can be considered to be relieved. The dialogue with the government also lays the foundation for continuing to solve the long-term capacity challenges, says Johan Lindehag, CEO of Ellevio.
The capacity problem for the Swedish national grid operator, Svenska kraftnät, in the Stockholm region is an issue that several involved actors have worked intensively with for a long time, but the situation became acute during the spring. The problem is that the demand for electricity power in Stockholm is increasing more than Svenska kraftnät can deliver, while local electricity generation is about to disappear. The consequences risked stopping Stockholm's development towards an electrified, digitized, fossil-free and sustainable city.
But now Ellevio and the government have found a common solution where Ellevio enables continued electricity generation in Stockholm Exergi's CHP plant in Värtan. The local electricity generation will thus cover the electricity demand in Stockholm in the coming years.
- I am very happy that we can leave this positive message to Stockholm's residents and companies. Now we can secure the electricity supply in Stockholm in the short term, says Johan Lindehag.
- I would like to emphasize that this is a solution to an emergency situation, a first step. There are great needs ahead, but we look forward to the next step and a continued constructive discussion with the government, says Johan Lindehag.
The solution with the government also addresses the need for investments by utilizing regulatory deficits from earlier regulatory periods for future investments. This means that Ellevio will be able to implement some of the upgrades, modernization and investments required to secure Stockholm's electricity infrastructure.
Ellevio has invested just over SEK 10 billion over the past four-year period and sees great need to continue investing in the electricity networks. At the same time, Ellevio has initiated several activities to find more solutions to the capacity problems. One example is our project on flexible electricity usage, so called demand response.
- There is a great need to create incentives for investments and other long-term solutions that meet the common needs of customers, society and companies. The issue of electricity grid capacity will emerge in several regions of the country and at all levels of the electricity networks, says Johan Lindehag.
Investments in the energy sector require a long-term perspective and Ellevio believes that politics needs to;
- Provide clear incentives for continued investment in the electricity grids in all parts of the country and for all levels of the grids.
- Review permit processes to enable reinforcement of the national power grid faster than previously announced.
- Create fair conditions for the local CHP production.
- Clarify responsibilities and roles to ensure an efficient electricity market.