Nordic energy companies increase their R&D effort
The largest Nordic energy companies are increasing their budgets on research and development. From 2006 to 2009 these budgets have risen by about 63 percent.
ENERGY RESEARCH. Large Nordic energy companies are putting larger efforts to research and development (R&D). Illustration: Stockxpert
In order to reach EU's ambitious climate goals for 2020 and 2050, there will be a need for increased investments in energy research.
Budget numbers from Vattenfall, Statkraft, DONG Energy and E.on show that large Nordic energy companies are emphasising research and development (R&D). Since 2006, their budgets have increased by approximately 63 percent altogether; Vattenfall and Statkraft have very large increases while DONG Energy's R&D budget peaked in 2007. The fifth largest energy company, Fortum, does not want to state their budget for 2009, but claim they too increase their investments.
Vattenfall is the largest
Vattenfall has the largest R&D budget with estimated investments of approximately 1,4 billion Swedish kroner (SEK) in 2009. According to Lars Strömberg, Vattenfall's chief for energy research, most of these investments are research on nuclear power and carbon dioxide reduction in thermal power plants. Research on energy efficiency and renewables accounts for a smaller share.
– However, the money spent on implementing technologies, for example renewable technologies, is not reflected in these numbers. Many such technologies are already invented. Delivering electricity and heat is the main activity for our company, Lars Strömberg says.
Still a small share
Although the investments in R&D are increasing rapidly among the energy companies, such investments still represent a small share of their total budgets. According to a report from Nordic Energy Research, «clean» R&D investments represented only 1 percent otr less of net turnover in 2008.
According to the report, DONG Energy, Fortum and Statkraft do not want to publish how large investments they put in the different research fields.
In general, Statkraft's research is focused on technologies such as hydropower, ocean energy, wind power, and research on the end consumer segment.
DONG Energy focuses on offshore wind power and developing the experiences from effective coal powered power plants in Denmark.
Fortum has recently started giving priority to carbon capture and storage, and also bioenergy production.
E.On focuses on improving existing capacity in nuclear power plants and also improving the security in electricity nets.
Source: Nordic Energy Research
