Sweden eyes billions in state loans for new reactors

The Swedish government wants to push through loans of 220 billion SEK for the construction of new nuclear power in the country.

They also want to add a risk reserve in the form of an additional loan facility of at least the same amount. This is to ensure that the projects are completed.

“In the budget bill for 2026, economic frameworks are proposed to enable the government to negotiate with companies applying for support. These involve economic powers to enter into agreements and decide on loans for investments in new nuclear power and on price hedging agreements that fall within these frameworks,” the government writes in a press release.

Requires EU Approval

They have also promised a price guarantee. This would cost the state between one and three billion SEK annually for 40 years after the new reactors have been commissioned.

“The exact contract terms will be negotiated with each project company individually, based on the specific project’s conditions. To be able to provide support to a company, the government needs approval from the EU Commission. This may lead to further adjustments to each individual agreement. The state’s costs are also affected by the final cost of constructing reactors, which may deviate from the expected cost, and the future development of electricity prices,” the government writes.

In total, the state support is planned to cover investments up to around 5,000 MW of electrical capacity.