Sweden’s Lack of Electricity Capacity Is Threatening Growth
A shift toward renewables is overwhelming the nation’s grid, leaving a potential Olympic Games in 2026 relying on reserve generators.
Photographer: AFP via Getty Images
Global trade wars and weakening export markets are not the only potential dampers on Sweden’s growth. There’s also a homegrown problem: a lack of power capacity.
The dire situation stems from the closing of the nation’s oldest reactors and a shift to wind at a time when the grid is already struggling to keep up with demand in major cities. The shortage, which impacts the nation’s main urban areas, is threatening everything from the rollout of a 5G network in the capital to investments in giant data halls and new subway lines. It could even derail Stockholm’s bid for the 2026 Winter Olympics.