Fortum CEO slams subsidies

Like his colleagues at Vattenfall and E.ON, Fortum CEO Pekka Lundmark is highly critical of Sweden’s tax on nuclear power production, and expresses surprise over Swedish politicians’ lack of foresight. “The public sector is in need of tax income, but if you just keep raising taxes until you force the closure of your source of income, then you will have no tax income at all,” he says.

Lundmark believes that if the world is to be saved from greenhouse gases then it has to be done via market mechanisms. He would like to see a hike on carbon taxes and the scrapping of subsidies.

Fortum keen to take over

Dagens Industri reports that at one point Fortum was interested in taking over the running of the two reactors at Oskarshamn that are now to be closed early from majority shareholder E.ON. Fortum CEO Pekka Lundmark tells the business daily he does not understand why E.ON considered the early closure of the reactors necessary since Fortum’s calculations suggested it would have been financially viable to operate the reactors for a number of years after an upgrade.