These are all reasons why Sweden tops the Forumâ€™s Energy Transition Index – providing environmental leadership at a time when a Great Reset has never been more needed. Hereâ€™s how Sweden is building up local solutions in its energy revolution.
54% of Swedenâ€™s power comes from renewables, and is helped by its geography. With plenty of moving water and 63% forest cover, itâ€™s no surprise the two largest renewable power sources are hydropower and biomass. And that biomass is helping support a local energy boom.
Heating is a key use of energy in a cold country like Sweden. In recent decades, as fuel oil taxes have increased, the countryâ€™s power companies have turned to renewables, like biomass, to fuel local â€˜district heatingâ€™ plants.
Moving to clean energy is key to combating climate change, yet in the past five years, the energy transition has stagnated.
Energy consumption and production contribute to two-thirds of global emissions, and 81% of the global energy system is still based on fossil fuels, the same percentage as 30 years ago. Plus, improvements in the energy intensity of the global economy (the amount of energy used per unit of economic activity) are slowing. In 2018 energy intensity improved by 1.2%, the slowest rate since 2010.
Effective policies, private-sector action and public-private cooperation are needed to create a more inclusive, sustainable, affordable and secure global energy system.
Benchmarking progress is essential to a successful transition. The World Economic Forumâ€™s Energy Transition Index, which ranks 115 economies on how well they balance energy security and access with environmental sustainability and affordability, shows that the biggest challenge facing energy transition is the lack of readiness among the worldâ€™s largest emitters, including US, China, India and Russia. The 10 countries that score the highest in terms of readiness account for only 2.6% of global annual emissions.
Additionally, the Mission Possible Platform (MPP) is working to assemble public and private partners to further the industry transition to set heavy industry and mobility sectors on the pathway towards net-zero emissions. MPP is an initiative created by the World Economic Forum and the Energy Transitions Commission.
Is your organisation interested in working with the World Economic Forum? Find out more here.
In Sweden these trace their origins back to 1948, when a power stationâ€™s excess heat was first used to heat nearby buildings: steam is forced along a network of pipes to wherever itâ€™s needed. Today, there are around 500 district heating systems across the country, from major cities to small villages, providing heat to homes and businesses.
District heating used to be fuelled mainly from the by-products of power plants, waste-to-energy plants and industrial processes. These days, however, Sweden is bringing more renewable sources into the mix. And as a result of competition, this localised form of power is now the countryâ€™s home-heating market leader.
But Sweden doesnâ€™t stop at village-level heating solutions. Its new breed of energy-generation takes hyper-local to the next level.
48 family apartments spread across 3 buildings have been given photovoltaic solar panels, thermal energy storage and heat pump systems. A micro energy grid connects it all, and helps charge electric cars overnight.
The result is a cluster of â€˜prosumerâ€™ buildings, producing rather than consuming enough power for 77% of residentsâ€™ needs. With high levels of smart meter usage, itâ€™s a model that looks set to spread across Sweden.
A recent development by E.ON in Hyllie, a district on the outskirts of MalmÃ¶, southern Sweden, has scaled up the smart grid principle. Energy generation comes from local wind, solar, biomass and waste sources.
Smart grids then balance the power, react to the weather, deploying extra power when itâ€™s colder or putting excess into battery storage when itâ€™s warm. The system is not only more efficient, but bills have fallen.
Smart energy developments like those in Hyllie, Ludivika, and renewable-driven district heating, offer a radical alternative to the centralized energy systems many countries rely on today.
The EUâ€™s leaders have a challenge: how to generate 32% of energy from renewables by 2030. Sweden offers a vision of how technology and local solutions can turn a goal into a reality.