Germany took an important step in 2023 by closing its last nuclear power plants, in line with a decision taken after the Fukushima disaster. To compensate for this loss of production, the country relies on renewable energies such as wind and solar, but this transition accentuates its dependence on electricity imports, particularly from Sweden.
As the second largest net exporter of electricity in Europe, Sweden is feeling the effects of this policy hard. Massive exports to Germany, combined with the volatility of renewable energy, are leading to significant increases in electricity prices, particularly in the southern areas of the country. These increases weigh on households and businesses, causing growing anger within Swedish political and economic spheres.
Growing diplomatic tensions
Ebba Busch, Swedish Energy Minister, strongly criticized German energy management. During a meeting in Brussels, she denounced an “irresponsible” policy which penalizes Germany’s neighbors. “It is unacceptable that Swedish consumers pay the consequences of decisions taken in Berlin,” she said, calling for reform of cross-border pricing mechanisms.
For its part, Berlin defends its approach, affirming that investments in electric transport infrastructure will ultimately reduce current imbalances. However, these improvements will take years, leaving tensions intact in the short term.
Suspended projects and nuclear strategy
Faced with this situation, Sweden has decided to suspend the Hansa PowerBridge project, a 700 MW electricity interconnection planned with Germany. According to Ebba Busch, this blockage is a strategic response to preserve the interests of Swedish consumers.
At the same time, Sweden is banking on relaunching its nuclear program to meet its energy needs and reduce its dependence on exports. Svenska Kraftnät, manager of the Swedish electricity transmission network, also calls for an increase in local production, particularly in the south of the country, where past reactor closures have weakened supply.
Repercussions in Norway
The energy crisis between Sweden and Germany is spreading to other Scandinavian countries. In Norway, the government is considering not renewing the Skagerrak submarine cables linking the country to Denmark, citing their impact on domestic prices. This potential decision worries Stockholm, which considers this infrastructure as essential to the regional energy balance.
These disagreements highlight the growing challenges of the European energy transition. While each country defends its interests, cross-border cooperation seems increasingly difficult, highlighting the need for a political framework better adapted to market realities.
