Partnerships are great for both Vattenfall and the industries we collaborate with. By working together, we can cooperate with our partners in their decarbonisation efforts while also reducing our project risk,” says Andreas Regnell, Head of Strategic Development at Vattenfall.

Fostering diverse collaborations

The energy transition is a societal transformation that requires collaboration between businesses, state and its citizens to succeed. Working with partners is a strategic decision at Vattenfall, although the levels of engagement vary. These partnerships range from the German-based chemical company BASF, to pioneering fossil-free steel production in the joint venture HYBRIT, together with steel company SSAB and mining company LKAB. Additionally, Vattenfall has signed an agreement with the industry collaboration Industrikraft, which identifies and evaluates conditions for joint investments in new fossil-free power production in Sweden.

The First Movers Coalition (FMC), launched by the U.S. State Department and the World Economic Forum, uses its members’ combined purchasing power to accelerate investment in developing breakthrough technologies needed to decarbonise society – focusing on transports and materials – particularly during the difficult demonstration and early deployment phases. As a founding member of FMC, Vattenfall has committed to procuring low-carbon products and technologies within the sectors of cement, steel, aviation and trucking

Vattenfall's partnership with BASF is a prime example of how industries can work together to strengthen competitiveness and drive progress towards a fossil-free society.

Partnering throughout the value chain

During the spring, Vattenfall deepened its collaboration with the chemical company BASF, which has purchased 49 per cent of the Nordlicht I & II offshore wind farms in the German North Sea. These are expected to be operational in 2028 and generate electricity equivalent to the consumption of 1.6 million German households. BASF’s share of the power will be used to supply their European chemical sites with renewable power.

“Offshore wind energy is an essential contributor to the energy transition in Europe. Our partnership with BASF is a prime example of how industries can collaborate to strengthen competitiveness and drive progress in the development of our societies towards one free from fossil fuels,” says Anna Borg, President and CEO of Vattenfall.

“The partnership has certainly bolstered our reputation as an innovative and sustainable company that takes concrete and impactful measures when it comes to emission reduction. The long-term relationship with Vattenfall enhances our competitive edge and is a proof-point that cross-industry collaborations are key success factors to make our transformation happen,” says Markus Kamieth, CEO of BASF.

Together with BASF, Vattenfall has also entered into a partnership with Vestas for the supply and service of wind turbines for the Nordlicht projects. Parts of these wind turbines will be manufactured using low-emission steel, which will reduce the carbon footprint of those components by 66 per cent.

In June, Vattenfall and the Swedish company CemVision entered a Letter of Intent for the development and future supply of cement that can potentially reduce carbon dioxide emissions by 95 per cent compared to traditional cement. The new cement has several potential applications, such as foundations for wind power turbines and power distribution, and prefabricated concrete elements.

The partnership is a result of Vattenfall’s commitment to FMC, where Vattenfall has pledged that at least 10 per cent of its cement or concrete purchases will be as close to zero emissions as possible by 2030. With this demand Vattenfall, as a customer, is contributing to developing a market for near-zero emission cement.

Energy and industrial development go hand in hand

The energy transition is not the only solution to the climate issue, but it is a very important piece of the puzzle. Vattenfall plays a key role, both as a supplier, partner and customer. Access to fossil-free energy is essential for a competitive Europe.