Sweden Abolishes Nuclear Capacity Tax

It has been announced that Sweden will phase out its nuclear capacity tax on its existing reactors and will allow new reactors to be built to replace them.

Agneta Rising, Director General, World Nuclear Association said, “It is excellent news that this tax will be removed, but it should never have been implemented in such a way as to distort the market and put at risk the operation of Sweden’s nuclear power plants, which provide affordable and reliable electricity and form a vital part of its low carbon generation mix.

The nuclear tax had been repeatedly raised and had reached a level where it was equivalent to more than double the staff costs or more than a third of the operating costs of the plant. 

Swedish energy policy has seen a number of turnarounds on nuclear energy. A phase-out policy from 1979 was partially reformed by a new energy policy agreed in 1997 that would allow for extended operation of its reactors. A new policy agreed in 2010 went further, allowing for the construction of new nuclear power plants. However, policies promoted by the junior coalition Green Party had seen the nuclear tax increased substantially over the last eighteen months.

Agneta Rising said, “Today’s announcement is a positive development. It is vital that there is now consistent policy to give operators the confidence to make the investments needed in their plant to allow for their long term continued operation. Other countries should follow Sweden’s example and ensure that their energy policies provide a level playing field that treats all forms of generation equally on their merits.


The World Nuclear Association is the industry organisation that represents the global nuclear industry. Its mission is to promote a wider understanding of nuclear energy among key international influencers by producing authoritative information, developing common industry positions, and contributing to the energy debate, as well as to pave the way for expanding nuclear business.

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Background Information: Nuclear Energy in Sweden