The Riksdag's East Wing
Announced in a bill submitted on March 27, 2025, the government’s plan includes state loans to reduce financing costs for new reactors and a contract-for-difference mechanism to stabilize power prices. The loans will support up to four large-scale reactors, equivalent to approximately 5,000 MWe of capacity, provided they are built at the same site with a minimum output of 300 MWe. The contract-for-difference will apply once reactors are fully operational and licensed for maximum electricity production.
The policy aligns with Sweden’s long-term energy goals, outlined in November 2023, to construct nuclear capacity equivalent to two large-scale reactors by 2035 and up to 10 by 2045. This follows the center-right coalition’s adoption of a pro-nuclear stance in October 2022, emphasizing nuclear energy’s role in achieving climate objectives and energy reliability.
Minister for Financial Markets Niklas Wykman stated: “This is a historic announcement that takes responsibility for public financing and taxpayers’ money when we enable actors to build new nuclear energy. An expansion of nuclear power is expected to result in greater price stability and lower system costs, which helps households as well as businesses.”
In December 2023, the government appointed Mats Dillén to develop financing and risk-sharing models for new nuclear projects, targeting at least 2,500 MWe by 2035. Dillén’s August 2024 report proposed a model with three components: state loans to lower capital costs, a two-way contract-for-difference for price stability, and a risk-and-gain-share mechanism to ensure a minimum return for investors. He noted: “Efficiency reasons give a rationale for the state to support investments in nuclear power.”
The new law enables companies to apply for state aid starting August 1, 2025, fostering investments that enhance energy price stability, support economic growth, and contribute to Sweden’s climate transition. The initiative is expected to create jobs and strengthen the energy infrastructure, benefiting both households and businesses.
