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AmCham Sweden is the voice of American business in Sweden. We are champions of US - Swedish trade and investment and US commercial interests in Sweden and give members a networking platform, critical business information, and an amplified voice.

IEA: Sweden leader in energy transition


IEA: Sweden leader in energy transition

Caroline Probst

Sweden is a global leader in building a low-carbon economy, with the lowest share of fossil fuels in its primary energy supply among all IEA member countries, and the second-lowest carbon-intensive economy, according to a review by the International Energy Agency (IEA) published on 9 April. Sweden has been successful in its energy transformation through market-based policies that focus on energy efficiency and renewable energy, notably CO2 taxation, which has helped drive decarbonisation across several sectors, IEA notes.The Swedish government has introduced several new policies including a bonus/penalty system to support new low‐emission vehicles and measures to increase the use of biofuels. However, Sweden is not yet on a trajectory towards its 2030 target, and the IEA recommends that the government monitors developments and strengthens policy measures as needed.

Sweden has largely decarbonised its electricity generation through investments in nuclear power, hydropower and other renewables. This is an important achievement that needs to be sustained, according to the review. Sweden has not taken a formal position against the construction of new nuclear plants and most existing nuclear power plants are expected to run for the next several decades before being phased out. Meanwhile, Sweden has set a target of achieving 100% renewable electricity generation by 2040. The IEA recommends the GOS carefully assess how to reach that target and what the implications will be for grid stability and security of supply. The report Energy Policies of IEA Countries: Sweden 2019 Review, is available here.

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