The trend from last year persists. Then, investments in new wind turbines were completely absent during two quarters.
"The market signals are clear, investments in new wind power are harder to justify at the moment," writes Green Power Sweden (name changed from Svensk Vindenergi) in the new overview of wind power investments in Sweden.
A quarter
New wind farms are still being built, based on old investment decisions. During the first half of the year, wind power accounted for a quarter of all electricity production in Sweden. But the growth rate is now decreasing sharply as few new projects are being initiated.
Green Power Sweden points out that there are projects, with all permits in place, of approximately 2 GW that could be completed before 2030, but where no decisions to proceed have been made yet. This requires better conditions to achieve profitability. The industry points to, among other things, too low electricity prices and increasingly expensive investments. But also the high prices that an electricity producer may be forced to pay to maintain increased imbalances in the system.
"We have seen that periods of 15-75 minutes can erode several months' profit or in particularly vulnerable cases several months' turnover. Svenska kraftnät is working on solutions, but this is an acute problem that makes the costs for all existing producers and electricity-intensive industries skyrocket," says Anton Johansson at Green Power Sweden's analysis unit in a written comment.
Delays press the price
He also points to the effect of the supposedly increased demand for electricity lagging behind.
"When several of the industry's conversion projects have been delayed, it has led to the expansion of new electricity production not keeping pace with demand on the market. The delays mean that the electricity price is pressed down because supply is greater than demand," says Johansson.
A one-sided investment in nuclear power from the government has also made wind power investors hesitant, according to the industry organization.
