SCA and Statkraft sign industrial power agreement

14.09.2007 08:00 | pressrelease

The power company Statkraft and the Swedish hygiene and paper company SCA have entered into a long-term industrial power agreement. The agreement entails Statkraft supplying 500 GWh of power annually to SCA’s Swedish activity within the forest industry. The duration of the agreement is 10 years.

”We are very satisfied to have a professional and constructive collaboration partner in SCA. We have succeeded in finding good, long term solutions for both companies. This agreement is an important step towards a well functioning Nordic market for long term contracts with industry,” says Statkraft Executive Vice President Jørgen Kildahl.

”We are also very pleased,” adds Kenneth Eriksson, President of SCA Forest Products.

“We have achieved a long term agreement on power supplies at a competitive price, which will be crucial to the development of our forest industry in Sweden. We also consider it to be of great value to Swedish industry in general that a new, major power supplier is further establishing itself in Sweden.”

Simultaneous to signing the power agreement, Statkraft and SCA also signed an agreement today on a collaboration to develop hydropower and wind power resources in Sweden (see separate press release).

Svenska Cellulosa Aktiebolaget SCA is a global consumer goods and paper company that develops, produces and markets personal care products, tissue, packaging solutions, publication papers and solid-wood products. SCA has annual sales in excess of SEK 101 billion (ca. EUR 11 billion). SCA had approximately 51,000 employees at the beginning of 2007. SCA’s Swedish industrial operations consume almost 3 TWh of electricity per year. The largest single consumer is the Ortviken paper mill in Sundsvall which produces paper for newspapers and magazines and uses 1.8 TWh per year. Further information at www.sca.co

The Statkraft Group is a leading player in Europe within renewable energy. The Group generates hydropower, wind power and district heating and constructs gas power plants in Norway and Germany. Statkraft is a major player on the European energy exchanges. In Norway the company supplies electricity and heat to around 600,000 customers through its shareholdings in other companies. In 2006 Statkraft recorded a profit after tax of NOK 6.3 billion, and employed more than 2,100 staff in nine countries. The world needs pure energy. Statkraft works to deliver this every day.