General – Norway
Equinor has abandoned plans to connect several of its offshore oil and gas platforms to Norway’s onshore power grid, citing rising costs that have rendered the projects unprofitable.
In a letter to the Norwegian energy ministry, the state-controlled energy company stated that it would halt the electrification of the Snorre A and B, Heidrun, Åsgard B, and Kristin platforms. Projects at the Grane and Balder fields, however, will continue.
“The costs of electrifying Snorre and the Halten area have become so high that the projects are no longer sufficiently profitable, and we therefore recommend discontinuing them,” an Equinor spokesperson said.
The oil and gas industry is Norway’s biggest source of greenhouse gas emissions, accounting for about a quarter of the country’s total. Nearly 80% of these emissions come from gas turbines that power offshore platforms. Connecting platforms to renewable energy from shore has been a key part of Norway’s effort to cut emissions.
The government had set a non-binding target to reduce offshore petroleum emissions by 50% by 2030. With the latest decision, Equinor now expects to reach only a 45% reduction, falling short of the national goal.
Vår Energi, a partner in several of the affected fields, said it supported Equinor’s decision. Electrification of the Balder and Grane projects remains “challenging,” but will proceed, a spokesperson confirmed.
