All posts by Janice Gundersen

The National Budget 2024

Business News, Government

A budget to safeguard Norwegian households

The budget for 2024 provides security and opportunity for people and businesses throughout Norway. There are expenditure increases in several areas due to war in Europe, a record number of refugees and higher prices. The Government’s priorities are good public services and support for the most vulnerable, along with security and stability. Norway will play its part in helping Ukraine and Ukrainian refugees. The Government will continue to implement the green transition and take action to achieve our climate goals.

I know a lot of people are affected by higher prices and interest rates now. This budget contributes to security in household finances and the everyday lives of people, young and old, across the whole country. We will support those who are most vulnerable and reinforce public services such as childcare, schools, hospitals and the police. We are making a clear choice in lowering the cost of kindergarten for families with small children. This is all financed within a framework of responsible economic policy”, says Minister of Finance Trygve Slagsvold Vedum (Centre Party).  

The Government wants to preserve Norway’s current conditions of a low unemployment rate and a high number of people in work. Employment continues to increase, and the risk of an abrupt economic setback is lower now than it was a year ago.    

Read full article here.

Vil ha mineralavtale med USA: – Har mer å slå i bordet med

Business News, Trade

Norske politikere har besøkt USA med mål om å få norske mineraler inn i den enorme skattepakken IRA.

Delegasjonen besto av Bård Ludvig Thorheim (H), Øystein Mathisen (Ap), og Willfred Nordlund (Sp), som er medlemmer av Stortingets arktiske delegasjon. Nordlund er også leder for næringskomiteen.

Målet var å prate om adgangen til det amerikanske markedet for norske mineraler, og en avtale som får norske mineraler inn under støtteordningene for elbiler i den enorme amerikanske skattepakken Inflation Reduction Act (IRA).

 

Tungvektere

– Det har gått veldig bra. Vi har virkelig fått «linet up» tungvektere. Det er tydelig at dette er et tema de er veldig opptatt av, sa Bård Ludvig Thorheim om besøket.

På møtelisten finner man blant annet lederen av senatets finanskomité Patty Murrey, senatorene Amy Klobuchar og Lisa Murkowski, og Det nasjonale sikkerhetsrådet.

Viktigheten av å ha Kongressen med på laget har gjort at Biden-administrasjonen ikke enda har forpliktet seg til å begynne forhandlinger med Norge.

– Derfor er det veldig viktig at man angriper dette fra mange sider, både i kongressen, og for regjeringen opp mot administrasjonen, forteller Øystein Mathisen.

– Det er ganske «lost» i amerikansk politikk om dagen. De sliter med å få til ting og å finne enighet. Men, dette er det er tegn til at de kan bli enige om, fortsetter han.

Les mer her.

Deadline Looms For U.S.-EU Steel, Aluminum Deal

Business News, Trade

The U.S. and EU are racing to conclude a “Global Arrangement on Sustainable Steel and Aluminum” and avert a renewed outbreak of tit-for-tat tariffs. Here’s what is at stake.

 

The U.S. and the European Union face a self-imposed October 31 deadline to conclude what officials are calling a Global Arrangement on Sustainable Steel and Aluminum and avoid a renewed transatlantic trade war.   

The good news is that the tit-for-tat tariffs Washington and Brussels imposed in 2018-2021 seem unlikely to make a comeback, but the broader goals trade officials set for themselves — to address global excess capacity and carbon emissions in metals production — may remain elusive for now.  

In mid-2018, the Trump administration imposed Section 232 tariffs on steel and aluminum imports from nearly every country in the world – including close allies in Europe. The EU retaliated with targeted duties on a wide range of U.S. exports, including motorcycles, bourbon, peanut butter, and jeans.  

Seeking to calm the waters, the Biden administration in October 2021 announced a deal with the EU to replace the Section 232 tariffs with a system of “tariff-rate quotas” allowing duty-free imports of EU-made metals up to a level in line with historical trends. In return, the EU suspended its retaliation for two years. 

However, today’s negotiations aim to go much further, with Washington and Brussels seeking “to discourage trade in emissions-intensive steel and aluminum products that contribute to global non-market excess capacity from other countries and to ensure that domestic policies support lowering the GHG emissions intensity of these industries,” as the USTR has stated. To achieve these goals, the ultimate aim would have to be to extend the scheme to other major players in metals production. 

In addition, the U.S. has been pressing for its exports to be excluded from the EU’s Carbon Border Adjustment Mechanism (CBAM), which technically entered into force on October 1. The CBAM aims to ensure that goods manufactured in Europe, which are subject to a carbon price set under the EU’s Emissions Trading System, don’t face competition from imports made in countries where no similar carbon price is imposed. 

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$12 trillion to be spent on renewables and grid infrastructure in the U.S and Canada by 2050 – Report

Business News, Government
  • DNV publishes Energy Transition Outlook North America. The report covers the energy future of the U.S. and Canada through to 2050
  • Policies are triggering massive investment into new technologies, accelerating the energy transition in North America
  • Domestic fossil fuel demand declines 60%, mainly in transport and power sectors, but export remains stable while domestic energy use is declining
  • Household energy expenditure halves by 2050 driven by energy efficiency and a cleaner energy mix driving energy affordability

New York, Sept. 25, 2023 – Federal and household spending on energy in the U.S. and Canada will drop sharply as the two countries reduce their reliance on fossil fuels, according to DNV’s Energy Transition Outlook North America. The new report explores the most likely energy future of the U.S and Canada to the middle of the century and it forecasts 12 trillion dollars will be spent in the two countries on grid and renewables between now and 2050. The intrinsic efficiency of renewables and electrification mean that overall expenditure on energy will be the equivalent of 2.5% of GDP by 2050, compared to 4% now. The report forecasts capital expenditure (CAPEX) on renewables will overtake fossil fuel CAPEX by 2040 as domestic demand for the latter falls by some 60% by the middle of the century.

Electrification will be a key driver of the energy transition, which will ultimately benefit consumers. Household energy bills are set to halve by 2050 as they reap the rewards of cheaper electricity generated by renewables. To support the influx of renewable energy resources, the grid must undergo a vast expansion, increasing its capacity 2.5 times by 2050. The Outlook takes into consideration the current bottleneck in transmission lines, which, if not addressed, will limit the attractiveness of wind and solar installations. Policies have already been initiated in the U.S. and Canada to address the lack of grid capacity, although ultimately DNV believes that transmission- and distribution-system operators will be driven by the unprecedented opportunity to capitalize on the vast market for renewable power.

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KONGSBERG awarded NOK 1 billion CROWS order

Business News, Defense / Security

Kongsberg Defence & Aerospace AS (KONGSBERG) has received an order from the US Army to deliver an additional 409 CROWS remote weapon stations, spares and support. The order has a value of USD 94 million or approximately NOK 1 billion.

 

The order is part of the IDIQ* frame contract awarded in October 2022, the fourth consecutive five-year contract awarded KONGSBERG for the delivery and support of the US Army Commonly Remotely Operated Weapon Station (CROWS).

“We are very pleased for the opportunity to deliver additional CROWS systems to the US Army and with the confidence our customers place in our products and our organization,” says Eirik Lie, President of Kongsberg Defence & Aerospace.

The deliveries will be manufactured and assembled at the KONGSBERG facility in Johnstown PA.

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Cisco to buy cybersecurity firm Splunk for $28 billion

Business News, Technology

Sept 21 (Reuters) – Cisco Systems (CSCO.O) on Thursday agreed to buy cybersecurity firm Splunk (SPLK.O) for about $28 billion in its biggest-ever deal to strengthen its software business and capitalize on the boom in artificial intelligence.

The deal, which is the biggest technology transaction of the year, will help reduce Cisco’s reliance on its massive networking equipment business, which has suffered in recent years from supply chain issues and a post-pandemic slowdown in demand.

“The thing that gives you conviction is we are bringing together two companies around security and observability, which are two of the most important areas for our customers and areas where they are unlikely to cut spending in – just because of the criticality of these threats,” Cisco CEO Chuck Robbins told Reuters in an interview.

Under Robbins, Cisco has over the years attempted to reduce its traditional reliance on hardware and doubled down on its bets in software and services through deals.
Splunk is known for its strengths in the area of data observability, which helps companies monitor their systems for cybersecurity risks and other threats. The company operates a subscription-based pricing model for customers.

The two companies have held merger talks in the past, but those discussions fell apart, Reuters has previously reported.

Cisco offered $157 in cash for each share of Splunk, representing a 31% premium to the company’s last closing price.

Read full article here

The UN to use BI climate research

Business News, Education / Research

The Earth4All model created in part by Jørgen Randers and Per Espen Stoknes will be used to map emissions, poverty, and inequality to help build a more sustainable future.

“Environmental and economic sustainability is the greatest challenge the world faces. It is important to be aware that solving the climate challenge is not enough, we also need to tackle rising economic inequality and poverty around the world if we are to achieve a better future. BI and other business schools play an important part in finding solutions that work,” says President of BI Norwegian Business School Karen Spens.

Earth4All is a group of scientists, economist and thinkers working on how to bring about the Giant Leap scenario needed to reach most of the Sustainable Development Goals (SDGs). The science behind their work is based on work carried out at BI Norwegian Business School.

“We presented our global results on SDG goal achievement to the top leadership of the United Nations as part of the UN Climate Week. UN Secretary General Antonio Guterres and the Chair of the UN SDG Group Amina Mohammed were inspired by the report. They immediately requested us to deepen the analysis with a special focus on Africa and Latin America for UN’s Summit for the Future next year,” says Associate Professor at BI Per Espen Stoknes.

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KONGSBERG secures NOK 1.2 billion order for deliveries to F-35 Joint Strike Fighters

Business News, Defense / Security

Kongsberg Defence & Aerospace (“KONGSBERG”) has signed an agreement with Lockheed Martin Aeronautics worth NOK 1.2 billion to supply parts for the F-35 Joint Strike Fighter Program.

 

The agreement with Lockheed Martin covers production lots 18-19 for Rudders, Vertical Leading Edges and Main Landing Gear Closeout panels for the three versions of the F-35, totalling more than 300 aircraft.

“KONGSBERG has been a long-standing partner to Lockheed Martin on the F-35 program and our latest agreement is testament to our strong position in this program. It also adds two more years of production from our facility, further strengthening our position for future lots beyond 2027,” says Eirik Lie, President of Kongsberg Defence & Aerospace.

Deliveries from the new order will begin in 2025 and will enable continued deliveries through 2027 from KONGSBERG’s production facility in Norway. KONGSBERG is currently working on production lots 15-17, totalling more than 450 aircraft, which will be delivered to the customer through 2025.


Press Release here

Ny beslutning fra EU forenkler helsesamarbeidet med USA

Business News, Government

Som følge av en ny beslutning i EU-kommisjonen om behandling av persondata, likestilles nå amerikanske virksomheter med europeiske. Dette betyr at prosjekter og tjenester i helsesektoren både i Norge og i EU kan vurdere bruk av amerikanske skyløsninger på lik linje med europeiske.

For at en amerikansk virksomhet skal bli vurdert må den ha sluttet seg til Data Privacy Framework (ec.europa.eu).

Man kan overføre personopplysninger innad i EU/EØS, mens det som hovedregel er forbudt å overføre personopplysninger ut av EU/EØS.

Les hele artikkelen.

Norway considers three areas for 2025 offshore wind tender

Business News, Shipping & Offshore

OSLO, Sept 14 (Reuters) – Norway’s oil and energy ministry is considering three areas for an offshore wind tender planned for 2025, which is part of its wider goal to develop 30 gigawatts (GW) of offshore wind by 2040, it said on Thursday.

The ministry has tasked the Norwegian Water Resources and Energy Directorate (NVE), the country’s energy regulator, with evaluating three sites off Norway’s south and west coasts, it said.

In April, NVE recommended 20 areas suitable for deploying offshore wind farms, but said only two of these – Soervest F and Vestavind F – would be ready for 2025.

These two areas incorporate the sites of Norway’s first tender locations at Soerlige Norsjoe II, close to the sea border with Denmark, and Utsira Nord, off the south-west coast near the city of Haugesund.

In addition, NVE has now been asked to start a strategic impact assessment of Vestavind B, an area located off the west coast near the city of Bergen.

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