Bodecker Partners

We have submitted a response to the recent government investigation on financing new nuclear power projects. While we acknowledge the importance of securing a reliable and low-carbon energy future, we believe alternative routes must be duly investigated before committing to such large-scale nuclear investments. Our referral response focuses on the price guarantee mechanism (CfD) where we raise severe concerns about the potential financial risks this could place on Swedish industry and households.                                                       ·       Subsidizing large volumes of new nuclear would harm profitability of all other power production and hinder investments within the next 10-15 years, ultimately delaying Sweden's transition to a low-carbon energy system. ·       Long-term lower power prices would benefit industry in households in connected countries, whereas Swedish industry and households would have to pay fees corresponding to 80 öre/kWh for 40 years. ·       The cost for the CfD-scheme alone could easily increase from the estimated ~200 bn SEK to over 600 bn SEK, or from 1.7 to over 8.0 öre/kWh. Even higher if industrial consumers can’t share the burden. ·       The proposed CfD-scheme also remove incentives for producers to offer volume on the financial markets and PPAs which reduce Swedish industries cost hedging potential. In summary, locking into an expensive and inflexible power system with subsidies until 2075 risks Sweden's industrial competitiveness and energy transition. Therefore, we strongly recommend exploring alternative pathways to achieve the 300 TWh target. The decision to invest in new nuclear power should be made only if it can be clearly demonstrated that it is the most cost-effective solution. Our referral response: https://lnkd.in/dj-RKk68

Yesterday Mia Bodin took part in the Swedish Parliament Finance Committee public meeting on financing new nuclear power. She specifically raised concern over the proposed cfd-scheme that risk decreasing profitability for all other production and, thus, halt investments in new power production that could be operational before 2030-2040. Furthermore, it would limit power price hedging possibilities for Swedish industry as the nuclear power would not offer their production on the financial markets or be available as a bilateral counterpart and, thereby, harm Swedish industry transition and competitiveness, she said. The panel also consisted of the Swedish minister of Financial markets Niklas Wykman, Chalmers professor Tomas Kåberger, and SEB Director & CEO Johan Torgeby. The meeting is available here (Swedish), Mias presentation starts after about 40 minutes. https://lnkd.in/dQWkQYCi

Yesterday Mia Bodin took part in the Swedish Parliament Finance Committee public meeting on financing new nuclear power. She specifically raised concern over the proposed cfd-scheme that risk decreasing profitability for all other production and, thus, halt investments in new power production that could be operational before 2030-2040. Furthermore, it would limit power price hedging possibilities for Swedish industry as the nuclear power would not offer their production on the financial markets or be available as a bilateral counterpart and, thereby, harm Swedish industry transition and competitiveness, she said. The panel also consisted of the Swedish minister of Financial markets Niklas Wykman, Chalmers professor Tomas Kåberger, and SEB Director & CEO Johan Torgeby. The meeting is available here (Swedish), Mias presentation starts after about 40 minutes. https://lnkd.in/dQWkQYCi

Check out Bloomberg's insightful article on nuclear power and the future power consumption. Among other industry voices, we’ve contributed with a comment.

The introduction of flow-based market coupling has sparked considerable debate over recent months. In this brief paper, we share our initial thoughts after approximately two weeks of experience with the new calculation method. Happy reading!

Sevdie Denli from Bodecker Partners is on site for this year´s PPA conference Re-Source 2024 in Amsterdam. Make sure to find here if you´re interested in discussion the Nordic power market, PPAs, GoOs, Nordic energy politics or other intersting topics related to Nordic renewables markets!

This week, Fredrik Bodecker, Gustaf Sundelius, Patrik Åberg, and Staffan Bergh from Bodecker Partners are attending VIND2024 in Stockholm. We’d be happy to chat with you about power price risks, energy politics, PPA's, or just random stuff. Hope to see you there!

We’re thrilled to introduce our very first Nordic Nuclear Report, and we truly hope you’ll enjoy it as much as we do. This inaugural edition includes a range of Nordic and international news, insightful statistics, expert interviews, and a dive into this autumn’s report on financing new nuclear projects in Sweden. If you’re interested in subscribing to the Nordic Nuclear Report, or any of our other reports, please don’t hesitate to reach out to Staffan at staffan@bodeckerpartners.com. We’d love to hear from you!

Igår höll Mia Bodin en presentation på hearingen för den pågående Elmarknadsutredningen av Bo Diczfalusy. En mycket viktig utredning för framtida prissäkringsmöjligheter och fortsatt utbyggnad av ny kraftproduktion och svensk industri. Vi bjuder på sammanfattningen av Mias presentation. Vill ni ta del av hela så skriv email i kommentar eller skicka ett mail! Kan också rekommendera Madeleine van der Veer sammanfattning av den mycket intressanta dagen här: https://lnkd.in/d6JmuRe7

Last month, Mia had the great privilege of visiting Ireland and meet with their TSO, Ministries for Enerprise and Climate, and wind energy association. With long-term planning, clear focus and rapid implementation of measures and incentives, this relatively isolated island is on its way to 80% renewable power production, while growing industry competitiveness. And they don´t even have our regulating hydro power... Fascinating days filled with new insights and emotions that swung from optimism and positivity to pure despair. If they can do it, surely we can too! So why are we so far behind? #Eirgrid #SWEA #DETE #DECC #enterpriseIreland #SvK #renewables