NORWAY
SUPPORTING POLICIES FOR OCEAN ENERGY
NATIONAL STRATEGY
Offshore power production is to be regulated through the Ocean Energy Act, which is expected to have secondary legislation enacted by year’s end. Additionally, expectations are for offshore power production, including wind power, to be connected to facilities connected to the oil and gas extraction on the Norwegian shelf; that means additional regulation from the oil and gas sector may come into play.
Norwegian ocean energy is under the domain of the Ministry of Petroleum and Energy. Under the Energy Act, the Norwegian Water Resources and Energy Directorate (NVE) was the relevant regulator – expectations are for this to remain as the Ocean Energy Act is being fully implemented.
The Norwegian Government has not implemented a coherent ocean energy programme. A “strategy for floating offshore wind” has been published, but it does not contain any specific targets, or overreaching support and incentive structures.
MARKET INCENTIVES
Since 2012, Norway and Sweden have been in a joint green certificate market. One certificate per MWh has since 2012 been given to all new renewable energy generation for 15 years, independent of technology. From year 2022, Norway will no longer participate in the scheme, while Sweden will increase their target build-out under the scheme with 18 TWh by 2030.
Norwegian energy production that may be certified for certificates until 31.12.2021 in the so-called transitional scheme; however, Norwegian projects will receive certificates only until 31.12.2035, even if the project is approved for certificates under the transitional scheme.
PUBLIC FUNDING PROGRAMMES
The Norwegian Energy Agency, Enova offers capital grants for full scale demonstration projects of ocean renewable production. While up to 50% of eligible costs can be covered, Enova’s funding measured in absolute figures is limited. In addition, Enova has a programme that supports demonstration of new energy technology, on the basis that the technology is applied in Norway.
Innovation Norway runs a programme supporting prototypes within “Environment friendly technology”. Ocean energy is included in this definition. Projects are supported with up to 45% of eligible costs.
The Research Council of Norway runs an energy research programme called ENERGIX. This programme supports R&D within all renewable energy technologies.
