Ask Tonsgaard Hjordt Brüel, Jens Riis
March 21, 2023
New report: How to increase security of electricity supply
A new report by Ramboll analyses the Nordic security of electricity supply, prices, and the just transition. With an emphasis on electricity markets, it provides no less than 17 policy recommendations at national, Nordic, EU, and international level.
Addressing this crisis, Ramboll prepared a report that identifies and analyses key drivers for the electricity supply crisis, evaluates Nordic countries’ preparedness and responses, pinpoints future risks and assesses whether appropriate and effective risk-mitigation measures are in place. The report was done for Nordic Energy Research and includes 17 recommendations for policy-makers to consider.
Key Drivers of the Energy Supply Crisis
After thorough analysis, the report highlights eight drivers that have played a key role in triggering the current electricity crisis.
Some of the key drivers were inflexible electricity demand, which leads to peaks in electricity consumption despite high prices, and lack of electric transmission infrastructure, due to underinvestment in both electrical grid infrastructure and cross-border interconnectors.
17 Recommendations to ensure Energy Security
The report takes a point of departure in the Energy Trilemma, a framework that provides insights into how countries can balance the three dimensions of security, affordability and sustainability, explains Ask T. H. Brüel, Global Head of Energy & Utility at Ramboll Management Consulting:
One recommendation which addresses future electricity crisis is to reinforce electricity crisis management so that it is properly dimensioned and well-planned at local, national and Nordic level, since electricity is a basic societal need.
On the national level, the report recommends ensuring a high-quality labour supply for the energy sector by developing long-term national roadmaps, including to determine whether and how the sector should be prioritised.
In the Nordics, the report recommends pivotal actions such as strengthening Nordic electricity grid infrastructure to avoid bottlenecks and renewable energy curtailment in connection with the increased electrification of society and limiting import dependency on the metals and minerals required for the green energy transition by promoting sustainable mining in the Nordics.
Note: Security of supply and electricity markets are the primary focus of the report, while the two other dimensions of the Energy Trilemma, namely affordability and sustainability, have been important second priorities
Report presented at various fora
During February 2023, Ramboll and Nordic Energy Research presented the report and the 17 recommendations to policy-makers in the Nordic countries at a so-called Tour de Capitals.
The report was also presented by CEO of Nordic Energy Research, Klaus Skytte, in a recent debate at the Nordic Council’s annual theme session, proving its impact on future energy security.
Want to know more?
Ask Tonsgaard Hjordt Brüel
Market Director, Strategic Consultancy