CONSULTING

nuclear energy, in the form of direct or indirect subsidies, can not be counted upon”. 803 However,
it removes the capacity tax on nuclear power within two years. Vattenfall's CEO Magnus Hall
commented: “The abolishment of the nuclear capacity tax is an important precondition for us to
be able to consider the investments needed to secure the long-term operation of our nuclear
reactors from the 1980s”, but added: “Even with the abolishment of the capacity tax, profitability
will be a challenge.” 804 In the weeks prior to the energy compromise, Vattenfall had “threatened”
that all remaining nine reactors would be closed in the early 2020s if the capacity tax was not
removed. 805
Vattenfall envisaged extending lifetimes of five of its seven units at Forsmark and Ringhals to
60 years. The previous objective for Ringhals-1 and -2 was a 50-year lifetime. 806 However, in
April 2015, Vattenfall decided “to change direction for operational lifetimes of Ringhals-1 and -
2” 807 and by October 2015, it was decided that Ringhals-1 would shut down in 2020 and Ringhals-
2 in 2019. The reasons given were continued low electricity prices and increasing production
costs. As for Vattenfall’s five other reactors (Ringhals-3 and 4, Forsmark-1 to -3), the previously
planned “at least 60 years of operational lifetime, until the beginning of 2040s, remains”.
Following the energy agreement, the Vattenfall Board of Directors decided to engage into the
investments in independent core-cooling systems for the three Forsmark reactors, a prerequisite
for continued operations beyond 2020 that was imposed by the safety authorities. 808
Swedish operators have pushed uprating projects to over 30 percent. OKG, the second Swedish
operator, implemented a 33 percent uprate at Oskarshamn-3 with a two-year delay. At
Oskarshamn-2, shut down since June 2013, a 38 percent capacity increase was under way, but has
been “indefinitely postponed” in June 2015. 809 In March 2015, OKG had estimated that the
modernization will be completed “before the turn of the year”, adding that “this is clearly a
miscalculation compared with the original time estimate for these works, which were started in
June 2013”. 810 Vattenfall had cancelled its planned 14 percent uprate for Forsmark-3 in
November 2014, stating that the “profitability calculation for the power increase at Forsmark-3
has deteriorated since the issue was last discussed by the board about a year ago”. 811 Indeed, in
803 Swedish Nuclear Society/Analysgruppen, “The Swedish energy policy agreement of 10 June 2016”,
unofficial translation, undated.
804 WNN, “Sweden abolishes nuclear tax”, 10 June 2016, see http://www.world-nuclear-news.org/NP-
Sweden-abolishes-nuclear-tax-1006169.html, accessed 15 June 2016.
805 PiE, “Sweden nuclear exit ‘in five years’, 23 May 2016.
806 Vattenfall, “Vattenfall plans to provide nuclear power for up to 60 years”, Press Release, 22 May 2013, see
https://corporate.vattenfall.com/press-and-media/press-releases/press-releases-import/vattenfall-plans-toprovide-nuclear-power-for-up-to-60-years/,
accessed 18 June 2016.
807 Vattenfall, “Vattenfall changes direction for operational lifetimes of Ringhals 1 and 2”, Press Release,
28 April 2016, see http://corporate.vattenfall.com/news-and-media/press-releases/2015/vattenfall-changesdirection-for-operational-lifetimes-of-ringhals-1-and-2/,
accessed 18 June 2016.
808 Vattenfall, “Vattenfall will invest in Forsmark”, 15 June 2016, see https://corporate.vattenfall.com/pressand-media/press-releases/2016/vattenfall-will-invest-in-forsmark/,
accessed 18 June 2016.
809 WNN, “Oskarshamn 2 uprate put on hold”, 17 June 2015, see http://www.world-nuclear-news.org/C-
Oskarshamn-2-uprate-put-on-hold-1706155.html, accessed 18 June 2016.
810 OKG, “Total safety modernisation of Oskarshamn 2 completed before the turn of the year”,
13 March 2015, see http://www.okg.se/en/Media/Archive-2015/Total-safety-modernisation-of-Oskarshamn-
2-completed-before-the-turn-of-the-year/, accessed 18 June 2016.
811 WNN, “Forsmark 3 power uprate cancelled”, 24 November 2014, see http://www.world-nuclearnews.org/C-Forsmark-3-power-uprate-cancelled-2411145.html,
accessed 2 July 2016.
Mycle Schneider, Antony Froggatt et al. 192 World Nuclear Industry Status Report 2016