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GREEN

How Sweden wants to make repairing things cheaper

Sweden's government wants to give people tax breaks on repairing everything from shoes to washing machines as part of a new green drive to help the environment by making the country less wasteful.

How Sweden wants to make repairing things cheaper
"There's no business like shoe business": A repair in process at Skomakeren Henry in Lund.
In their proposals for its upcoming autumn budget, the ruling Social Democrat and Green parties plan to slash value added taxes on repairs to bicycles, clothes, and shoes, and to bring in a new tax break for people who carry out more expensive repairs to fridges, dishwashers and washing machine. 
 
At the same time, the government plans to make buying new white goods and computers more expensive, by slapping on an additional “chemical tax” to cover the cost to the environment of substances which are hard to recycle. 
 
“This issue was a really low priority under the last government,” said Per Bolund, the country’s minister for finance markets and consumption.  “But if we want to solve the problems of sustainability and the environment we have to work on consumption.” 
 
As well as encouraging them with lower prices, the government also plans a publicity drive to encourage people to repair their things more often, with 43 million Swedish Kronor  (SEK) allocated for pushing the new plan. 
 
“One area we are really looking at is so-called ‘nudging’, Boland said. “That means, through various methods, making it easier for people to do the right thing.” 
 
He said that might be as simple as putting in clearer signs directing people to the nearest recycling facilities.
 
“From my point of view, it's not necessarily about consuming less, but more looking at what we consume and how.” 
 
The government estimates that the tax breaks for repairing white goods will cost 190m Swedish kronor a year, while  the reduction in VAT for reparations of cycles, clothes and shoes would come to 270m kronor a year. 
 
The new chemicals tax is expected to raise about two billion kronor a year. 

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NORTHERN LIGHTS

Norway business sees ‘huge opportunity’ in green transition

Three-quarters of the leaders of big Norwegian companies now believe that the transition to a green economy represents a significant business opportunity, a new survey has found.

Norway business sees 'huge opportunity' in green transition
Sverre Overå, project director for Northern Lights, in front of the Northern Lights template. (Photo: Arne Reidar Mortensen)
When the Confederation of Norwegian Enterprise polled business leaders ahead of its annual conference next month, 74 percent of those leading companies with more than 100 employees said they saw opportunities in the coming green transformation. 
 
“Carbon capture and storage is one example. You also see investments in batteries, hydrogen and offshore wind,” the lobby group's chief executive, Ole Almlid, told state broadcaster NRK
 
“I hope we end up remembering 2020 as the year when Norwegian business and industry finally properly understood the great opportunities that lie in climate change.” 
 
 
Almlid said that the coronavirus crisis promised to accelerate the shift, with 30 percent of the European Union's €750 billion coronavirus recovery package going towards European Green Deal projects. 
 
“The restructuring will go much faster, because it comes after such a crisis, and then it will go much more in the direction of a greener business community,” he said. 
 
NRK cites the the US aluminium producer Alcoa as a company which could benefit, with Norway well positioned to lead the shift towards zero-carbon aluminium. 
 
“We have two competitive advantages: We often have low prices for electricity, and we produce clean aluminium. We use renewable electricity from water and wind. The rest of the world mostly uses gas and coal,” said Ole Løfsnæs, who leads the confederation's energy department. 
 
Alcoa is working on a revolutionary smelting technology which would use renewable electricity rather than coke. 
 
On December 15th, the Norwegian Government announced its decision to fund the Northern Lights project, which will see 1.5 million tonnes of CO2 stored per year in a depleted gas field in the Northern North Sea. 
 
Across the border in Sweden, big industry is already pushing ahead, with state-owned iron ore producer LKAB planning to invest 400bn Swedish kronor (€40bn) over the next 15–20 years to switch its entire production from iron ore pellets to hydrogen-reduced sponge iron. 
 
This would preventing LKAB’s customers from releasing 35m tonnes of carbon dioxide emissions a year. 
 
Together with steel producer SSAB, LKAB aims to set up demonstration plant which by 2026 will produce one million tonnes of zero-carbon sponge iron. 
 
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