Norway

Norway

Geopolitical Informations

Capital
Oslo
Population
5.084 million (2013)
Total area
385,178 km2

Main legislative bodies

  • Stortinget (unicameral parliament)

Latest News

Norway to become climate neutral by 2030

On Tuesday (June 15), Norway’s Parliament approved a national goal to achieve climate neutrality by 2030, accelerating the initial 2050 target. Based on the recommendation from the Environmental Committee, the Parliament approved a resolution to achieve climate neutrality “from 1 January 2030” “through the EU emissions trading market, international cooperation on emissions reductions, emissions trading read more…

Norwegian state fund pulls out of coal investments

On Friday (June 5th) the Parliament of Norway agreed to pull its national pension fund out of coal. The Norwegian fund is the largest state-owned investment fund in the world, with an asset of roughly $900 billion owning around 1.3 percent of all listed companies worldwide. Under this agreement, the fund will shift the holdings read more…

SPECIAL COP23: the Bula spirit makes progress on Paris Agreement implementation

The 23rd session of the UNFCCC Conference of the Parties concluded its works on the early morning of Saturday 18th November, after that delegates read more...

Climate Policy Facts

Emissions

Year Total GHG Emissions Excluding LUCF ( MtCO2e) Total GHG Emissions Excluding LUCF Per Capita ( tCO2e Per Capita) Total GHG Emissions Excluding LUCF Per GDP ( tCO2e / Million $ GDP)
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011

The line chart shows the country’s carbon emissions by year, expressed in million tonnes of CO2 equivalent (MtCO2e) for emission totals, and in tonnes of CO2 equivalent (tCO2e) for per capita and per dollar of GDP values. It is based on data from CAIT platform provided by the World Resource Insititute, and updated regularly with the most recent data available.

By selecting or deselecting each item, you can compare or give prominence to particular emission trends.

 

Energy

Energy Source Production (ktoe) TPES (ktoe)
Coal 930,224 834,75
Oil 92645,389 11039,934
Natural gas 90437,592 6058,762
Nuclear 0 0
Hydro 10390,262 10390,262
Geothermal 0 0
Solar thermal 0 0
Solar photovoltaics 0 0
Tide, wave, ocean 0 0
Wind 111,198 111,198
Biomass 1174,586 1225,331
Biofuels 23,259 138,812
Waste 276,817 276,817

The double-doughnut chart shows the country’s energy production and TPES (Total Primary Energy Supply), expressed in thousand tonnes of oil equivalent (ktoe). It is built on data from the Organisation for Economic Cooperation and Development/International Energy Agency libraries, and updated regularly with the most recent data available.

The INNER RING represents the country’s energy production from each energy source, corresponding to the quantities of fuels extracted or produced.

The OUTER RING shows the country’s total primary energy supply of each fuel. It represents the net quantities of fuels made available on the domestic market, after foreign transfers and trading. According to IEA’s definition, TPES equals production plus imports minus exports minus international bunkers plus or minus stock changes.

Differences between production and TPES are significant as they highlight the actual country’s behaviour in the matter of a given energy source. Production values and TPES values of the same energy source may vary widely, especially in case of the much-traded fossil fuels.

 

National Policy

CLIMATE CHANGE

Climate Settlement 2012
The Climate Settlement of 2012 represents a broad political agreement, which sets the framework for political discussions around climate change. It addresses the sectors of transportation, buildings, agriculture and forestry, and industry including petroleum activities. In addition, non-binding goals are included which correspond to the Copenhagen Pledge (30-40 percent greenhouse gas emissions reduction by 2020 based on 1990 levels with the 40 percent conditional on ambitious global action). Moreover, the goal to become carbon-neutral by 2050 was inscribed in the Climate Settlement with the addition that this date might be shifted t0 2030 in case of an ambitious climate agreement (in 2016, the goal of 2030 was approved due to the successful adoption of the Paris Agreement).
The Climate Settlement further includes some key measures such as the creation of a climate and energy fund, the increase of offshore supply of electric power, the increase of state subsidies for public transportation, the adoption of climate measures in the AFOLU sector, the incentivising of using bioenergy derived from wood and the strengthening of energy requirements in the building code to ensure nearly zero energy consumption of houses in 2020. Moreover, 15 percent of degraded ecosystems shall be restored.
Additionally, the Climate Settlement says that support should be given to countries willing to undertake ambitious climate actions (see section on ‘International Policy’ for Norway’s bilateral cooperation and financial activities).
For more information on the Climate Settlement see here.

Climate Change Law
In 2015, the Norwegian Parliament voted in favour of drafting a climate change law which is supposed to set binding greenhouse gas emission reduction targets for 2020, 2030 and 2050.

ENERGY

Relating to the energy policy, there are several laws and programmes.
The Offshore Energy Act of 2010 for instance governs the offshore renewable energy production.
In addition, there are subsidy programmes for heating and energy efficiency measures as well as for the use of forest material for energy purposes.
Norway has also implemented the Renewable Energy Directive of the EU (see profile of the European Union) with the National Renewable Energy Action Plan. This action plan sets the goal of a share of 67.5 percent renewable energies in the energy mix by 2020.
Moreover, the Electricity Certificates Act of 2011 established a system of green certificates to increase the electricity generation from renewable energies. Besides, Sweden and Norway have agreed to establish a common market for green certificates to promote respective projects until 2020.
Furthermore, in 2001 a public enterprise was established to promote environmentally-friendly energy production. The Enova SF administers the Energy Fund, which was created in 2002 and is financed by government funds and small charges on electricity bills. Similarly, the Gassnova SF is another public enterprise focussing on CCS since 2005. In 2014, the as well state-owned electricity company Statkraft announced plans to invest US‑$ 8.1 million in renewable energy projects, both domestically and abroad.
It has to be kept in mind at this place that Norway is the fifth largest crude oil exporter in the world. Overall, the oil and gas sector constitutes around 20 percent of the Norwegian GDP and two thirds of the Norwegian exports. According to the National Budget for 2017, the “petroleum industry will remain important for the Norwegian economy for decades to come”. However, it’s noted that “its significance will decline steadily”.

TRANSPORTATION

Norway has a leading role in the electrification of the transport sector: There are 100,000 electric cars compared to 5.2 million inhabitants. Already since 2001, there is a waiver of the value added tax for the supply and import of electric vehicles. In 2013, this was extended to the leasing of electric vehicles and the import and sale of respective batteries. Electric vehicles are allowed to use bus-lanes and toll costs are reimbursed. Further incentives are given by privileged parking and the widespread availability of recharging stations. In 2016, almost 40 percent of the new registered passenger cars were electric vehicles. As a result, the country intends to phase-out fossil-fuel powered cars by 2025.
In addition, measures have been introduced to increase public transportation but also to incentivise cycling and walking. Further, freight transport is to be shifted from road to sea and rail.

CARBON PRICING

Already in 1991, a carbon tax was introduced applying to petrol, diesel, mineral oil and the offshore petroleum sector. In 2008, Norway joined the Emission Trading Scheme (ETS) of the EU and fully harmonised its domestic system by 2013 (for more information on the EU ETS see the profile of the European Union). As a consequence, 80 percent of domestic emissions were subject to one or both of the carbon pricing mechanism in 2015.

AFOLU

Norway possesses a sustainable forest policy in line with its international efforts (see section on ‘International Policy’). The policy includes the increased and denser planting of trees, the ban of felling young trees and a strengthening of forest conservation. Additionally, Norway was the first country worldwide to commit to zero deforestation in its public procurement.

 

MAIN SOURCE (if no link is given in the text):

Nachmany, M., Frankhauser, S., Davidová, J., Kingsmill, N., Landesman, T., Roppongi, H., Schleifer, P., Setzer, J., Sharman, A., Singleton, C.S., Sundaresan, J., Townshend, T., 2015, Climate Change Legislation in Norway: An Excerpt from The 2015 Global Climate Legislation Study – A Review of Climate Change Legislation in 99 Countries, Grantham Research Institute on Climate Change and the Environment; The London School of Economics and Political Science (here online accessible).

International Policy

General features

  • Party to the UNFCCC:
    • Date of signature: 4 June 1992
    • Date of ratification: 9 July 1993
    • Date of entry into force: 21 March 1994
  • Member of Kyoto Protocol:
    • Date of signature: 29 April 1998
    • Date of ratification: 30 May 2002
    • Date of entry into force: 16 February 2005
    • Date of acceptance of Doha Amendment: 12 June 2014
    • Under the first commitment period of the Kyoto Protocol, Norway was allowed to increase its emissions by 1 percent compared to 1990, while for the second commitment period Norway has to reduce its emissions by 16 percent below 1990 levels.
  • Signatory to the Copenhagen Accord: In January 2010, Norway declared its wish to be associated itself with the Copenhagen Accord. The economy-wide emission target submitted by the country mirrors its pledge made in 2009 to reduce greenhouse gas emissions by 30 to 40 percent until 2020 compared to 1990. The upper boundary is thereby conditional on a “global and comprehensive agreement for the period beyond 2012 where major emitting Parties agree on emissions reductions in line with the 2 degrees Celsius target” (for official communication see here)
  • Party to the Paris Agreement
    • Date of signature: 22 April 2016
    • Date of ratification: 20 June 2016
    • Date of entry into force: 4 November 2016
  • Post-2020 action
    • Intended Nationally Determined Contribution (INDC) submitted in advance of the COP21 (Paris), on March 27, 2015 (for more information on INDCs see here). Following the ratification and entry into force of the Paris Agreement, the INDC has become Norway’s fist Nationally Determined Contribution (NDC) under the Paris Agreement.
    • Main actions included in the NDC:
      – GHG emission reduction by at least 40 percent by 2030 compared to 1990 levels (excluding LULUCF). According to the INDC, Norway intends to fulfil this commitment through a collective delivery with the European Union.
      – Adoption of a binding goal of carbon neutrality no later than in 2030 in case of an ambitious global agreement (which would, however, require the use of international cooperative mechanisms for fulfilment) → in June 2016, the Norwegian government indeed approved the goal of achieving climate neutrality by 2030

Multilateral and bilateral cooperation

  • Norway is a member of both the International Energy Agency (IEA) and the International Renewable Energy Agency (IRENA).
  • Norway participates in the Mission Innovation and has thus pledged to double its expenditures for clean energy R&D until 2020.
  • Norway forms part of the NDC Partnership, which assists countries in achieving their climate commitments and the sustainable development goals (SDGs).
  • Moreover, Norway is a member of the Global Methane Initiative (GMI), which aims to reduce methane emissions, and of the Climate and Clean Air Coalition (CCAC), which strives to reduce emissions from short-lived climate pollutants, such as black carbon, methane, tropospheric ozone and HFCs.
  • Norway has also joined the Carbon Pricing Leadership Coalition (CPLC) and the Carbon Sequestration Leadership Forum (CSLF).
  • Norway has a leadership role in the funding for forest protection, which has contributed to the emergence of the REDD+ approach.
    • Long-standing bilateral cooperation with Brazil and the Amazon Fund: From 2008 until 2015, Norway invested US-$ 1 billion in order to halt forest loss in the Amazon Basin.
    • There are many more bilateral cooperation undertakings as part of Norway’s International Climate and Forest Initiative, for instance with Colombia, Indonesia, Guyana, Ethiopia, Liberia, Mexico, Peru, Tanzania or Vietnam.
    • Together with Germany and the United Kingdom, Norway pledged at COP21 to provide more than US-$ 5 billion from 2015 to 2020 for results-based payments supporting REDD+ activities in countries with ambitious and high-quality proposals (see link for further information on Norway’s funding activities in the forest sector)
  • Norway has pledged to contribute more than US-$ 500 million to the Green Climate Fund (GCF). As part of the initial capitalisation of the GCF, Norway pledged to contribute US-$ 258 million. At COP21, the then Norwegian Prime Minister Erna Solberg announced that this contribution would be doubled until 2020.

Negotiating position

Norway is part of the Umbrella Group in the UNFCCC negotiations.

In the current UNFCCC negotiations on modalities, guidelines and procedures to operationalise the Paris Agreement, Norway advocates for clear information requirements in the design and accounting of the nationally-determined contributions (NDCs), including the quantification of mitigation efforts and the expected trajectories for target achievement. In addition, the Scandinavian country sees the need for more transparent reporting of climate finance, which constitutes an important concern of developing countries. Moreover, Norway calls for specific and strong reporting guidelines under the enhanced transparency system established under the Paris Agreement, especially regarding to mitigation action. Thereby, flexibility and capacity-building support shall be ensured for developing countries in need in the opinion of the Scandinavian country. Finally, Norway puts an emphasis on the global stocktake, which should consider equity and be designed in a way that it reflects the highest political engagement.