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Norway’s government proposed a voluntary arrangement under which the state would advance host municipalities 50% of expected production-tax income from onshore wind projects each year, from construction start until the plant is fully operational. The proposal would not change how the production tax is calculated or collected.
The advance would accrue 4% annual interest and be deducted from the project’s annual tax receipts after the wind farm starts operating. If a project is not completed, or advances are not fully offset, the municipality would repay the remaining amount under a plan set by NVE. Separate NVE scenarios cited by the ministry estimate that in 2035 electricity prices would be 6.7 øre/kWh higher nationwide without onshore wind and 8.4 øre/kWh higher without new offshore wind; these are scenario comparisons, not observed prices.