Postdoctoral Research Fellow
Tampere University
Finland
The Nordic countries have a long tradition in regional cooperation and share an understanding of the benefits cooperation can bring, including but not limited to a cooperative approach to the energy transition. There is a strong commitment to the overall goal of establishing the Nordic region as the most sustainable and integrated region in the world by 2030. Facilitating a successful energy transition to an energy system based on low-carbon sources plays a key role in achieving this vision and using the positive impact of Nordic cooperation here is key.
Research has shown that Nordic stakeholders hold a deep-seated conviction of Nordic cooperation as a central tool in realising the energy transition. The region-wide interests in carbon neutrality and sustainability serve as guiding interests in developing the shared Nordic work on the energy transition. There is a common understanding that the Nordic countries should build on the existing strength of Nordic cooperation and on the international image of the Nordic countries as leaders in the energy transition in order to not only facilitate their regional energy transition but to leverage their impact on the international level as well.
Further developing and strengthening Nordic energy cooperation to achieve these goals requires building on the existing strengths of cooperation and the underlying common interests of sustainability and carbon neutrality. Especially the role of informal cooperation and exchange among various actors across all political levels has proven to be of importance in developing Nordic energy cooperation. Informal cooperation also supports the communication of a common Nordic perspective that is given weight in the EU as well as internationally.
When looking to further possibilities for deepening Nordic cooperation on energy, also its limits have to be clearly acknowledged. A key factor here are the respective national interests that stem from the diverse national energy profiles in the Nordic region, such as the role afforded to bioenergy or the role of nuclear energy. The diverse national energy systems play a key role in shaping not just energy transitions in the Nordics but also the ways in which Nordic cooperation can be put into practice. Acknowledging these national interests and their impact contributes to a realistic picture of what Nordic energy cooperation can achieve. Differences in national perspectives also concern what is seen as the most suitable way to approach common policy goals and the implementation and choice of policy instruments.
The heterogeneity of the Nordic region has to be brought to the forefront when discussing the potential for developing Nordic energy cooperation. Acknowledging the diversity in set-ups in the region also makes a convincing case for the need for cooperation. Establishing strong mechanisms for cooperation is one way to sidestep a possible contestation in the Nordic energy transition as cooperation provides a forum to support better understanding of respective national interests, highlight common lines of thought, and provide an early chance to explore challenges in the energy transition. It is also clear, that balancing between common Nordic interests and national interests is key in ensuring to not place expectations on Nordic energy cooperation that per its institutional structure is not able to fulfil.
It is of importance that national interests do come together under the wider Nordic interests of sustainability and carbon-neutrality that guide high-level policy agreements and the setting of policy-targets. Effectively managed, the diversity of national interests is a strength of the Nordic region in achieving its energy transition targets. Sustainability and carbon neutrality are more generic interest strongly tied to the values and ideas at the core of the Nordic region. Thus, they contribute as reference points and provide continuity despite possibly diverging national and stakeholder specific interests. Further developing regulatory processes that are able to balance between stability, necessary to ensure trust and participation, and flexibility, necessary to encourage experimentation and fast adaptation, is necessary.
The heterogeneity of the Nordic region should be brought to the front more. This is one way to balance strong national interests with Nordic interests and, overall, avoid putting expectations on Nordic cooperation that. per its institutional structure and set up, it is not able to fulfil. In addition, while the experiences of developing Nordic cooperation can serve as useful starting points for developing cooperation mechanisms in other regions, there should also be a keen awareness for the need to cautiously balance between highlighting the Nordic experience in cooperation and acknowledging the impact of different regional settings and different paces of the energy transition in other parts of the world.