New NOx Agreement is signed

A new NOx Agreement between the business organisations and the Norwegian authorities was signed on May 24. The new Agreement is valid for the period 2018-2025

Director General of the Confederation of Norwegian Enterprises Kristin Skogen Lund and Secretary General Tom Rådahl are signing the new NOx Agreement

Director General of the Confederation of Norwegian Enterprises Kristin Skogen Lund and Secretary General Tom Rådahl (Photo: NHO).

Publisert 24.05.17

NOx

The NOx Agreement 2018-2025 is an extension of the Environmental Agreement on NOx for the period 2011-2017 and the Environmental Agreement on NOx for the period 2008-2010. Fifteen business organisations and the Norwegian Ministry of Climate and Environment signed the agreement.

The NOx Fund and the business organisations are very pleased that the NOx Agreeement is continued, meaning that the NOx Fund may grant support to NOx reducing measures also after 2017 and thus may further reduce Norway's NOx emissions.

The NOx Agreement enables continued investment in key technologies such as shift to gas and electricity in shipping and energy efficiency in the oil and gas industry. These are technologies where the Norwegian supplier industry is strong, and where the Norwegian market acts as a springboard towards a larger international market. The tax exemption and the effect of the NOx reducing measures also gives significant cost savings. 

Obligations in the new NOx Agreement

In the new NOx Agreement, the business organisations (through the NOx Fund) commit that Norway's total emission of NOx, from sources covered by the agreement, are kept under set emission ceilings:

  • 2018 and 2019: a total of 192,000 tonnes

  • 2020 and 2021: a total of 182,000 tonnes

  • 2022 and 2023: a total of 172,000 tonnes

  • 2024 and 2025: a total of 162,000 tonnes

This is a change from the two previous agreements where the commitments have been annual or two-year reductions in NOx emission. Now it is the total Norwegian emission from sources covered by the agreement that must be kept under the emission ceiling.

Approval by ESA

The new NOx agreement 2018-2025 must be approved by the EFTA Surveillance Authority (ESA) before it enters into force.

New affiliation

Companies must join the new NOx Agreement to be entitled to a tax exemption from 2018. The tax exemption is dependent on that the NOx Agreement 2018-2025 is approved by ESA.

An electronic application form will be developed in order for companies to join the new NOx Agreement 2018-2025. The NOx Fund will inform companies affiliated to the Environmental Agreement 2011-2017 when this is in place, probably during the autumn of 2017.

New support scheme

The new NOx Agreement will also require adjustments in the NOx Fund's support scheme. A revision of the support scheme is in progress and is expected to be in place during the autumn of 2017. Until the new conditions are in place, the current support conditions to NOx reducing measures applies.