Summary of the Government’s budget initiatives in the areas of environment, climate and energy

In the Budget Bill for 2017, the Government is strengthening efforts towards a toxin-free everyday environment, a fossil-free welfare society and renewable energy. Sweden will be a pioneer on climate issues, and we will step up the pace to achieve the environmental objectives. This requires increased knowledge, new technological solutions and clear targets along the way.

Historic environment and climate budget

Since the Government took office in 2014, the appropriation to expenditure area 20, General environmental protection and nature conservation, has increased by 73 per cent, excluding environmental research. The Budget Bill for 2017 is the largest environment and climate budget ever presented in Sweden.

The Government's investments for the climate total SEK 12.9 billion for the period 2017–2020. The Climate Leap will be reinforced and extended through an investment of SEK 1.6 billion to continue to support regional and local initiatives to reduce greenhouse gas emissions. In total, the Climate Leap encompasses more than SEK 3.5 billion for the period 2015–2020.

The urban environment agreements will be reinforced with an additional SEK 750 million for 2017–2018, and will encompass a total of SEK 2.75 billion by 2018. As of next year, it will also be possible to apply for investment support for cycling infrastructure.

As part of efforts to reduce the total amount of carbon dioxide in the EU Emissions Trading System, the Government proposes a scheme to purchase and cancel emissions allowances, at a cost of approximately SEK 300 million per year from 2018 to 2040.

Knowledge-enhancing and preventive initiatives to adapt society to climate change continue. The appropriation for climate adaptation will be reinforced by SEK 10 million per year in 2017 and 2018, SEK 70 million in 2019 and SEK 120 million in 2020.

Research to meet social challenges

Strong environmental research is crucial to tackling climate and environmental challenges. It is proposed in the budget that the resources for climate and environmental research be reinforced to the tune of SEK 752.5 million in 2017–2020. The climate research appropriations to the Swedish Research Council for Environment, Agricultural Sciences and Spatial Planning will almost double by 2018. The research initiatives will be described in greater detail in the research policy bill that the Government intends to present before the end of 2016.

A special energy research bill will also be presented before the end of the year. It contains guidelines and initiatives for prioritised and more intensely focused measures in the energy area. In the Budget Bill, the Government proposes that the resources for energy research be reinforced by a total of SEK 620 million in 2017–2020.

Fossil-free travel and transport for the climate and environment

In the area of transport, the super green car rebate will be extended by one year to 2017. The autumn amending budget boosts the rebate by SEK 180 million in 2016, and the Government is investing SEK 700 million for 2017. The scheme is being extended pending a 'bonus-malus' system whereby the purchase of more environmentally friendly vehicles is rewarded via a bonus, while vehicles that emit high levels of carbon dioxide are subject to higher vehicle tax.

The Government also wants to make it easier for consumers to make informed and environmentally friendly fuel choices, and will therefore look into the possibility of making it obligatory to provide information on the environmental impact of fuels.

The Government continues efforts for a toxin-free everyday environment

The Budget Bill for 2017 outlines a range of initiatives in the area of chemicals to achieve the environmental objective on a toxin-free everyday environment, with a particular focus on children and young people. The Government's proposed initiatives total SEK 375 million up to 2020. The Swedish Chemicals Agency is tasked with charting hazardous substances in people's everyday environments. Funds will also be allocated to establishing a centre to help businesses substitute hazardous substances in products and goods.

More protected marine areas

The Government has previously undertaken major initiatives to protect valuable natural environments, including marine areas. To meet the interim objective of protecting ten per cent of Sweden's marine areas by 2020, the Government believes that the pace of these efforts needs to accelerate. The appropriation for measures in marine and aquatic environments in 2017 is therefore reinforced in the budget by SEK 15 million.

In the autumn amending budget, the Government also restores SEK 250 million to protecting valuable natural environments. This means that initiatives for valuable forests, for example, can be implemented according to the original timetable.

Hydro-electric power with modern environmental requirements

Hydro-electric power plays a key role in Sweden's electricity supply. The physical impacts of hydro-electric plants on watercourses have serious consequences for ecosystems and biodiversity. The Government is therefore investing SEK 25 million in water-related operations in 2017, and increasing the investment to SEK 30 million annually from 2018.

100 per cent renewable energy by 2040

The Government's ambition is for Sweden to become one of the world's first fossil-free welfare nations. Solar panels are a renewable energy technology that is beneficial from a climate perspective. The Government will therefore continue to encourage the expansion of solar power. The funds allocated to investment support for solar power in 2017 are eight times higher than in 2015.

The expansion of renewable energy places demands on the electricity grid and on the government agencies responsible for this area. The Government intends to increase the appropriation to the Swedish Energy Markets Inspectorate by SEK 10 million annually to cover the Inspectorate's work on network concessions, for example.

The Budget Bill for 2017 is based on an agreement between the government parties and the Left Party.

Shortcuts

The Budget Bill for 2017: Building our society – taking responsibility for Sweden