Blekinge Vindkraft Energy community
About this good practice
The Blekinge Vindkraft Association (BV) was established in 2000 by a group of people on the Blekinge countryside interested in investing in wind power. Initially, 47 individuals joined, summing 125 shares in the newly formed association. This was sufficient to acquire 25% of the Freja wind turbine, with the remaining 75% held by Eolus Vind AB, a company that developed and built the plant. The Freja turbine has an installed capacity of 600 kW.
In addition to supporting the green transition the members received an average dividend of 10% on their invested capital in the first 9 years of operation. Due to the favourable financial situation of the association, BV was able to purchase the remaining 75% of Freja in 2009. Concurrently, BV received an offer to buy one of the four 800 kW wind turbines planned in Säby, Ramdala, which they did. In 2020, the board decided to sell the old Freja turbine.
Today, BV owns 2.2 wind turbines and has 238 shareholders. The economic association adheres to cooperative principles, and this aligns closely with the definition of an energy community. For technical and regulatory reasons, the electricity is sold on the spot market and not used directly by the owners who are spread across the region. Rules for sharing electricity in Sweden is only beneficial when users are direct neighbours to the production.
BV provides individuals and companies the opportunity to become co-owners of wind turbines through a reasonable financial contribution.
Resources needed
The turbines has been built by professional developers. BV has used internal competence, and hired expertise when needed. For example lawers (negotiating contracts). The board of BV consists of members with competence in technolgy, economy etc.
One share of BV cost today 10 500 SEK.
Evidence of success
TBV has been operating for 24 years with an increased number of members. Return on the investment has varied over the years, but has over all been acceptable. The turbines has produced a large volume of green electricity to the grid over the years.
Potential for learning or transfer
Success factors has been an initial group of people with mixed competences in leadership, economy and technology. These people had a strong position in the local community which gave credit and acceptance to the association.
Blekinge is also very suitable for wind power which gives a high electricity production.
The concept of BV can be applied in many other places. Major obstacle in Sweden today is the possibility to get a building permit. Focus can the be on buying parts of existing turbines. Another barrier is the fact that most wind turbines today comes in a larger size, are more costly and hence more difficult for a small association to finance. An uncertainty is future electricity prices and high interest rate that make banks more cautious providing loans.
Potential new rules for energy communities may create better conditions in a near future.
Further information
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Good practice owner
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