Sky-high electricity prices could lead to closed ski resorts in Norway

Norefjell ski centerPhoto: Halvard Alvik / NTB
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High electricity prices and the risk of energy rationing could spell trouble for a number of small and medium-sized ski resorts in Norway, the newspaper Dagens Næringsliv writes.

In a letter sent to the Prime Minister, the Minister of Finance, and the Minister of Culture last week, the industry organization Norwegian Alpine Resorts and Mountain Destinations called for support measures from the state. Some of the highest costs for an alpine resort are artificial snow production, which requires large amounts of electricity.

“In our area, with the expected prices, we are looking at a tenfold increase in power costs, perhaps more, for the coming winter,” Odd Stensrud told Dagens Næringsliv.

He is deputy chairman of the industry organization and general manager of Alpinco, which owns and operates the alpine resorts at Hafjell and Kvitfjell. For Alpinco, electricity costs are the third largest expense item, and the margins for operating ski resorts are already small, according to Stensrud.

“If the electricity prices signaled for the coming winter become a reality, several resorts will close,” he warned.

Source: © NTB Scanpix / #Norway Today / #NorwayTodayNews

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