The estimated cost of carbon capture at Klemetsrud in Oslo has blown out by NOK 3 billion. Now the whole project can be postponed.
The overrun appears in the revised national budget. If the original plan is followed, the facility will cost more than NOK 8 billion just to build.
The overruns correspond to a more than 50 percent increase compared to the estimate for the maximum investment, which was NOK 5.55 billion, he writes. today’s work.
A few weeks ago, Hafslund Oslo Celsio, the company behind the factory in Klemetsrud, pulled the emergency brake due to overruns. The project is currently on hold for one year. The explanation is an increase in prices in the construction market and changes in the project itself.
A total of 17 percent of Oslo’s carbon dioxide emissions come from the Klemetsrud Energy Recovery Plant, which is a combined heating, power generation and waste incineration plant in Oslo. Now all the stones must be turned over to reduce costs.
– We enter into dialogue with suppliers to evaluate all aspects of the concept and review all costs again, says Managing Director Knut Enderhög at Havslund Oslo Celsio NRK.
If they are unsuccessful, a blue light burns out for the entire project. Neither Celsio nor the state nor Oslo municipality has undertaken to cover any cost gaps.
“Unless the two parties agree to continue, or one of the parties undertakes to finance the completion on its own, the project will be suspended and each party will bear its own costs. The Ministry of Petroleum and Energy has informed the company that it cannot expect increased funding from the state,” the ministry wrote in its amended budget.
Oslo had to stop carbon dioxide sequestration. It’s a warning to the rest of Europe.
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