Joachim Nordin spoke at the Morning Meeting about Skellefteå Kraft’s planned investment in the production of sustainable aviation fuel at a new factory on Näsudden in Skelleftehamn.
– It will involve an investment of around 25 billion kronor, and it is not clear how much of that Skellefteå Kraft will cover, he says.
Nordin began his presentation by noting that Skellefteå won't fall apart just because Northvolt has hit a “bump in the road.”
– Even if the battery factory doesn’t turn out as large as initially planned, we’ve gained a new industry in Skellefteå that is unparalleled, he says.
Nordin emphasizes that the green transition “is unstoppable” and that Skellefteå Kraft intends to lead it.
– Only time will determine the pace of the transition. We won’t sit idly by; instead, we’ll ensure it progresses faster.
Nordin noted that Skellefteå is exceptional when it comes to renewable energy sources.
– In the Skellefteå River alone, we have enough power to produce 30 million car batteries every year. When various projects require green electricity, Skellefteå is always on the map. We have all the prerequisites to become 'the new oil sheikhs', he says.
Nordin is convinced that renewable hydrogen plays a pivotal role in the green transition. In line with this vision, Skellefteå Kraft plans to construct a large-scale sustainable aviation fuel factory in collaboration with the global aviation fuel company Skynrg.
This groundbreaking industry will be one of the first of its kind and, according to Nordin, could significantly transform air traffic in Sweden, the EU, and globally.
The factory, named SkyKraft, will produce electrofuel (esaf) for aviation, utilizing biogenic carbon dioxide and renewable hydrogen.
If the project proceeds as planned, with construction commencing in 2027, the factory, employing approximately 100 people, could produce 100,000 tons of aviation fuel annually, sufficient to fuel the travel of 60,000 individuals around the world. The estimated energy production is 3.5 TWh.
– We anticipate the fuel factory will be operational by 2029, Joachim explains.
While significant research is ongoing in the field of hydrogen aviation, Nordin believes that widespread adoption won't occur until around 2050.
– Until then, electrofuels represent the most viable solution. Beginning in 2030, a mandate will require the blending of electrofuels into aviation fuel, starting at two percent and gradually increasing over time, he says.
The decision to locate the factory in Skellefteå is also driven by the potential utilization of byproducts. Nordin emphasizes the importance of adopting a circular economy approach for a sustainable industry and city.
– During production, several byproducts are generated, including heat that can be integrated into Skellefteå's district heating network. This will also catalyze additional investments in the region, he says.
Nordin underscores the importance of avoiding the mistakes of past industrialization in northern Sweden.
– Historically, we primarily produced low-value raw materials that were then shipped to southern Sweden for further processing, he says.
He acknowledges the ongoing power struggle between the north and south of Sweden, with some forces still advocating for a similar approach.
– Here in northern Sweden, we need to be a bit more assertive in protecting our interests, Nordin says.