• Sweden's news in English

Vattenfall suing Germany over nuke phaseout

The Local · 3 Nov 2011, 06:33

Published: 03 Nov 2011 06:33 GMT+01:00

Facebook Twitter Google+ reddit

According to a report in German financial daily Handelsblatt, Vattenfall is already finalizing a complaint, and is preparing to file it before Christmas. 

German energy companies E.ON and RWE have already filed legal complaints against Germany’s plan to phase out nuclear power, but as a foreign company, Vattenfall can invoke the Energy Charter Treaty (ECT), an international agreement that provides a multilateral framework for energy deals.

Vattenfall did not comment on the report, though it said it was expecting “compensation for the phase out from nuclear energy.”

The ECT protects foreign investors against violations of their property rights. Article 10 of the treaty, signed by 51 countries plus the European Union, says each signatory will “encourage and create stable, equitable, favourable and transparent conditions for investors,” and will ensure “fair and just treatment” for investors.

Speaking with the Svenska Dagbladet (SvD) newspaper, Vattenfall spokesperson Maria Lidzell refused to elaborate on the Handelsblatt report.

“No decision has been taken. We can neither confirm nor deny what's in Handelsblatt,” she told SvD.

Vattenfall is claiming that it stands to lose €700 million ($957 million) it had invested in the nuclear power stations Krümmel and Brunsbüttel after the government originally agreed to extend the life-spans of its nuclear power stations. 

Both of those reactors were shut down permanently earlier this year after Angela Merkel’s government performed a dramatic U-turn in its energy policy in the wake of the Fukushima nuclear disaster in Japan.

Germany’s last nuclear power stations are set to be shut down permanently in 2022.

Story continues below…

Vattenfall is also complaining that the surplus energy that the reactors had already generated is now no longer worth much, since many reactors are being shut down even quicker than planned.

Vattenfall has successfully appealed to the ICSID against Germany in 2009, over lost income because of stronger environmental regulations on a coal power station near Hamburg. The company settled with the German government for an undisclosed sum.

The Local (news@thelocal.se)

Facebook Twitter Google+ reddit

Your comments about this article

18:13 November 3, 2011 by pintoflex
because money is more important than nature and safety
21:39 November 3, 2011 by Civical
Can't believe what a wimpy phobic bunch the Germans seem to be. Sue them for every Euro.
07:41 November 4, 2011 by MarkinBoston
Good for them. Politicians think they can tear up contracts at their own convenience - and for their own political advantage.

The German government is is trouble because Vattenfall is not a German company, so they get to sue in an international court, where German politicians can't pressure the judges the way they would in Germany.
21:17 November 8, 2011 by vancer
"Angela Merkel's government performed a dramatic U-turn in its energy policy in the wake of the Fukushima nuclear disaster in Japan"

Are they expecting a Tsunami any time soon in Germany???????
Today's headlines
Here's how slow Sweden's high-speed trains are getting
A Swedish SJX2000 high speed train. Photo: Tomas Oneborg/SvD/TT

The high-speed rail journey between the three biggest Swedish cities is about to get longer.

The Local List
12 Swedish words with just awesome literal translations
A filthy-minded lobster, i.e. a snuskhummer. Photo: Gorm Kallestad/NTB scanpix/TT

One of our favourite things about the Swedish language is its wonderful compound words, which range from being utterly bizarre to making perfect sense.

US election
Donald Trump won't get new Ericsson head's vote
Trump pictured at a campaign rally in Florida. Photo: Evan Vucci/AP

The new Swedish-American boss of telecoms giant Ericsson has revealed he will not vote for the Republican nominee in the forthcoming US presidential election.

Swedes named fourth most gender equal in the world
A file photo of men and women pushing prams in Stockholm. Photo: Claudio Bresciani/TT

Sweden has closed 81 percent of its overall gender gap according to the World Economic Forum.

Sweden: Russian warships in the Baltic 'worrying'
Swedish Defence Minister Peter Hultqvist. Photo: Vilhelm Stokstad/TT

Two Russian warships equipped with long-range missiles have entered the Baltic Sea after passing Denmark.

Why businesses are worried about Sweden's drone ban
A drone filming in Stockholm. Photo: Pontus Lundahl/TT

The Local investigates what Sweden's new drone ban could mean for businesses in the country.

This is the new top boss of Swedish Ericsson
Börje Ekholm. Photo: Magnus Hjalmarson Neideman/SvD/TT

Telecoms giant Ericsson has appointed a new CEO after a turbulent year for the company.

These are Sweden's best universities: ranking
A new university ranking has been released. Photo: Cecilia Larsson Lantz/Imagebank.sweden.se

At least according to this global ranking, which picks 12 Swedish universities among the top-1000.

Swedish pharmacies restrict paracetamol sales for teens
The move is intended to cut paracetamol overdoses. Photo: Nora Lorek/TT

Sweden's pharmacies are banning teens under 18 from buying more than one pack of pills at a time.

Rwandan genocide suspect held in Sweden
A memorial centre in Kigali, Rwanda. Photo: Ben Curtis/AP

A man has been arrested in Sweden suspected of involvement in the 1994 Rwandan genocide which claimed 800,000 lives.

Sponsored Article
Stockholm: creating solutions to global challenges
Sweden cuts 2016 refugee forecast
Sponsored Article
Last chance to vote absentee in the US elections
Is Game of Thrones coming to Sweden?
Property of the week: Kungsholmen, Stockholm
Blog updates

6 October

10 useful hjälpverb (The Swedish Teacher) »

"Hej! I think the so-called “hjalpverb” (auxiliary verbs in English) are a good way to get…" READ »


8 July

Editor’s blog, July 8th (The Local Sweden) »

"Hej readers, It has, as always, been a bizarre, serious and hilarious week in Sweden. You…" READ »

Sponsored Article
This is Malmö: Football capital of Sweden
Will Swedes soon be looking for fairtrade porn?
Sponsored Article
Where is the Swedish music industry heading?
The Local Voices
'I simply don’t believe in nationality'
Why we're convinced Game of Thrones is based on Sweden
People-watching: October 21st-23rd
Sponsored Article
Why you should 'grab a chair' on Stockholm's tech scene
Fury at plans that 'threaten the IB's survival' in Sweden
Sponsored Article
Swedish for programmers: 'It changed my life'
Analysis & Opinion
Are we just going to let half the country die?
Angry elk chases Swede up a lamp post
Sponsored Article
Top 7 tips to help you learn Swedish
The Local Voices
'Alienation in Sweden feels better: I find myself a stranger among scores of aliens'
Sponsored Article
‘Extremism can't be defeated on the battlefield alone’
People-watching: October 20th
The Local Voices
A layover at Qatar airport brought this Swedish-Kenyan couple together - now they're heading for marriage
Sponsored Article
Stockholm: creating solutions to global challenges
Swede punches clown that scared his grandmother
Sponsored Article
Why you should 'grab a chair' on Stockholm's tech scene
Fans throw flares and enter pitch in Swedish football riot
Sponsored Article
Where is the Swedish music industry heading?
Could Swedish blood test solve 'Making a Murderer'?
Sponsored Article
One expat's strategy for making friends in Stockholm
Swedish school to build gender neutral changing room
Sponsored Article
Nordic fashion in focus at Stockholm University
People-watching: October 14th-16th
Man in Sweden assaulted by clowns with broken bottle
Nobel Prize 2016: Literature
Watch the man who discovered Bob Dylan react to his Nobel Prize win
Record numbers emigrating from Sweden
People-watching: October 12th
The Local Voices
'Swedish startups should embrace newcomers' talents - there's nothing to fear'
How far right are the Sweden Democrats?
Property of the week: Triangeln, Malmö
The Local Voices
Syria's White Helmets: The Nobel Peace Prize would have meant a lot, but pulling a child from rubble is the greatest reward
jobs available