Vattenfall focuses on nuclear, renewables

19 September 2012

Swedish utility Vattenfall has announced a reorganization of its business structure, with a focus on nuclear and renewable energy. The creation of a dedicated business division will give nuclear "the special focus it requires."

From November 2012, Vattenfall's current five business divisions will be regrouped under just two operating segments: generation, and distribution and sales. The generation segment will comprise four business divisions: sustainable asset development; production; nuclear; and asset optimization and trading. The distribution and sales segment will comprise a single division of the same name. Meanwhile, the current renewables segment will be split and moved to the sustainable asset development and production divisions of the generation segment.

"Vattenfall wants to give nuclear power the special focus it requires and therefore we are establishing the new Business Division Nuclear which will focus on existing and possible future nuclear activities."

Øystein Løseth, CEO of Vattenfall

According to Vattenfall, "The new Business Division structure will ensure focus on highest operational standard and safety in nuclear operations, and integrate renewables among our other energy sources." The company also noted, "In order to follow our ambition to take an active part in transforming the European energy system, Vattenfall's future growth investments will focus on renewables." However, last month Vattenfall submitted an application to Swedish regulator concerning the replacement of up to two of its existing nuclear power reactors with new ones, although a decision on whether to proceed with the new units is several years away.

Torbjörn Wahlborg, currently head of the distribution and sales business division, has been appointed to head the nuclear business division.

Vattenfall CEO Øystein Løseth commented, "Vattenfall wants to give nuclear power the special focus it requires and therefore we are establishing the new Business Division Nuclear which will focus on existing and possible future nuclear activities." He added, "Nuclear is not necessarily a pan-European issue and requires a different focus than our other areas. The new organization means that BD Nuclear has full responsibility throughout the entire chain, which will ensure the highest operational standard, quality and safety."

Nuclear power currently accounts for 26% of Vattenfall's total electricity generation. Vattenfall operates seven nuclear power reactors in Sweden: four at Ringhals and three at Forsmark; as well as two in Germany: one at Brunsbüttel and one at Krümmel. It also owns a minority share of the Brokdorf nuclear plant in Germany. The German government has taken the decision to phase out the use of nuclear power. Vattenfall notes that its nuclear assets in Germany "will be wound down in accordance with this decision." However, in June, Vattenfall filed a case against Germany with the International Centre for Settlement of Investment Disputes contesting the confiscation of generation rights for the German plants.

Researched and written
by World Nuclear News

Filed under: Sweden