Norske Backer is experiencing strong demand from industrial companies that want to replace gas and diesel burners with electric heating. Bottlenecks in the power grid make it difficult to deliver.
- In a pilot project at a major Norwegian industrial player, we discovered that one conversion from gas to electricity could reduce their CO₂ emissions by approx. 6,500 tons a year," says marketing manager Stian Gundersen.
But in the face of an ever tighter supply of electricity, many customers are having to turn it down or wait years before they get sufficient power from the grid. The consequence is that fossil fuel burners continue to run at full capacity, while necessary emission cuts and green investments are postponed.
For Norske Backer, this bottleneck means more than delayed order books. Lower production rates reduce the opportunities to further develop Backer Switch-solution, which can be a key to the electrification of industrial companies. Furthermore, this hampers Norske Backer's ambition for growth and new hires.
The company believes that the challenges of rapid electrification of industrial heating processes and a power grid that cannot deliver as expected are causing local jobs and regional growth opportunities to be lost.
- "Our technology can cut significant emissions already this year. But without grid capacity, both the climate target and Norske Backer's development will be put on hold," says Gundersen.
Norway has committed to reducing greenhouse gas emissions by at least 55 percent by 2030. Industry accounts for a large proportion of national emissions, and heating processes that are currently powered by gas or diesel are one of the main sources. At the same time, the government's Action plan for energy efficiency that the energy that is already being produced must be utilized far more efficiently in order to achieve the goals.
Lack of capacity means that planned installations are postponed. For Norske Backer, this leads to lower production rates, fewer new employees and less local value creation.
- "The technology can be delivered now, but the infrastructure must follow," concludes Gundersen.
He emphasizes that the lack of electricity not only continues fossil fuel consumption, but also holds back new investment funds, which could be spent on research, product improvement and competence building.
Norske Backer is therefore calling on the authorities, grid companies and industrial customers to join forces. "There is an urgent need for faster grid expansion to industrial areas. Investment schemes must be established that reduce the risk of switching from fossil fuels to electricity. In this way, concrete CO₂ reductions can be delivered and more stable jobs secured in the Kongsvinger region.
Press contact
Stian Gundersen, Marketing Manager
Tel. +47 958 87 069 | sg@norskebacker.no
About Norske Backer
Norske Backer AS develops and manufactures electrical heating solutions for industry, construction and infrastructure. The company, which dates back to 1949, is part of the international Backer Group and serves customers all over the world.