Equinor has called on the Norwegian government to use a tax on oil & gas to fund offshore wind and hit its climate goals.
Writing in Danish Newspaper DN over the weekend, the company’s chief executive Anders Opedal (pictured) said the country’s CO2 levy on industry should be used to develop renewables.
Oslo adopted the temporary tax regime during the pandemic in 2020, with the goal of a 50% cut in emissions by 2030.
“The policy works, and today electrification is the most important and most profitable measure to reduce emissions from the production of oil and gas in Norway,” wrote Opedal.
He added: “The CO2 tax from the oil and gas industry can be used to cut emissions in Norway.
“We are not asking for more money for the oil and gas industry, but that the state’s income from the CO2 tax can be better utilised to develop badly needed power for everyone.”
The call comes ahead of next month’s debate in the Norwegian parliament on a revised national budget, including what the energy partnership should look like.
Opedal said government and industry needs to work together to find solutions to quickly generate low-emission energy, citing offshore wind as the sector most needing government backing, pointing out hydropower and onshore wind were not placed to generate enough energy to meet demand.
“That is why we point to the large, planned allocation rounds for floating offshore wind,” he said.
He added: “Offshore wind development that is triggered as a consequence of the energy partnership must be awarded under full competition according to the Offshore Energy Act. The longer it takes before we electrify the installations, the more difficult it will be to reach the climate targets.”