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Svevind and Enercon Team up for 4GW Wind Plan

Swedish wind farm developer Svevind and German turbine maker Enercon plan to build an interconnected wind project over 450 square kilometres in northern Sweden, with a capacity of up to 4GW.

The two companies plan to build a series of wind farms in the Markbygden area between now and 2020, which could require a total investment of SKK 56bn (USD 9.3bn), Svevind said in a statement.

Most of the area is owned by Swedish state-owned forestry company Sveaskog, with whom a land-lease agreement has already been tied up, Svevind project manager Mikael Kyrk told New Energy Finance. The area can support up to 4GW of wind turbines, he said.

The company has signed two agreements with Enercon, the first of which brings in the German company as a shareholder in Markbygden Vind, the Svevind subsidiary that will carry out the plan. The second is a contract to supply turbines.

Kyrk refused to comment on Enercon's share in the project company or on the number of turbines covered by the contract. A separate statement from Enercon indicated that 2MW models would be used. The statement also said that the aim was to install between 3GW and 3.5GW of capacity, a lower total than suggested by Kyrk.

Enercon said it will build a tower-production plant in the region, as well as a local office for service and maintenance.

"Enercon is extremely proud to participate in realising this trailblazing wind power project in Markbygden," managing director Hans-Dieter Kettwig said. "The conditions in Norrbotten are ideal for wind energy. Of course, infrastructure around the farm, including the grid, still have to be meticulously planned and built up, but we are extremely confident that this project will be a success."

Each wind farm will need individual planning permission but Svevind is seeking the backing of the Swedish government. "We will go directly to the Swedish government with our requirements for the whole area," Kyrk said. "That's not the normal procedure, but we need a statement from the government about whether it is possible, as there are issues involved such as grids and the military," Kyrk said. The support of the Swedish government would have a huge influence on securing local planning permission, Kyrk said.

The first project will be a 12-turbine 24MW project in Dragaliden near Koler. It already has planning permission and construction of the project should be completed next year.

Sweden is the EU's best clean-energy performer, with around 42% of its energy consumption coming from renewable sources, nearly all from hydroelectric dams. It needs to hit 49% by 2020 under proposed EU targets. The country operates a green certificate-trading scheme, with operators usually receiving around SKK 0.9 (USD 0.14) per kWh, including the electricity price, Kyrk said.