Statkraft has decided not to invest in the Fosen and Snillfjord projects in Central Norway.
Lower power and electricity certificate prices in the Nordic region have made the projects unprofitable.
President and CEO Christian Rynning-Tønnesen has stated:
“Unfortunately, the market development is such that it is still not commercially responsible to invest in these projects”.
The wind power projects in Central Norway were planned with a total installed capacity of 1000 MW and an annual production of approx. 3.25 TWh. The development costs were estimated at approx. NOK 11 billion (US$ 1.4 billion). The projects are owned by Statkraft, Agder Energi, TrønderEnergi and Nord-Trøndelag Elektrisitetsverk (NTE).
Statkraft will continue to make substantial investments in Norwegian hydropower, as well as further development of district heating. Over the longer term, wind power is also expected to become competitive in the Nordic region.