Today in Norway: A roundup of the latest news on Thursday
The government set to earn windfall from high energy prices and fears interest rate rises could increase unemployment, plus other news from Norway on Thursday.
The government could earn up to 73 billion kroner as the result of high energy prices
Extra income from soaring energy prices could result in a windfall of up to 73 billion kroner, figures from employer organisation Energi Norge show.
The 73 billion kroner comes from 56 billion kroner in tax, three billion in VAT and 14 billion kroner in dividends from state-owned firms.
This year, the Norwegian state will spend up to 41 billion kroner providing subsidies to households to help them cover rising electricity prices.
When prices rise above 70 øre kWh, the government covers up to 90 percent of the bill.
Key vocab: MVA- VAT
Interest rate hike could increase unemployment
National data agency Statistics Norway has warned that another interest rate from Norges Bank on Thursday would likely increase unemployment further down the line.
"Increased interest rates and inflation, together with the decline in the international economy, will slow down the Norwegian economy and contribute to increased unemployment," director of Statistics Norway Geir Axelsen told Norwegian newswire NTB.
"We think there will be a slight increase at the end of the year already, while we estimate unemployment will be 3.6 per cent on average in 2023," he added.
Key vocab: Renteheving- Interest rate hikes
Education Minister: Teachers' strike serious
Norwegian Minister of Education, Tonje Brenna, has described the ongoing teachers' strike as 'serious'.
"It is a serious situation, and the situation for the students becomes more serious the longer the strike lasts," Brenna told reporters at an event on Wednesday.
However, the government cannot currently intervene in the strike and force the two parties to a compulsory wage board as there is now not deemed to be a risk to life or health.
Over 8,000 teachers in Norway have been on strike over wage growth in recent years. Yesterday, the Children's Ombudsman wrote a letter to the government requesting they make an assessment of what would be in pupils' best interests regarding the strike.
Norway moves to be exempt from EU train privatisation rule
Transport Minister Jon-Ivar Nygård has told Norwegian newswire NTB that the government has held constructive talks to be exempt from EU railway competition rules.
"We have given a clear statement to the European Commission about what the government's view is on the requirement for competition," Nygård said.
"We have received constructive feedback that together we can look at the framework for the exception provisions in the regulations also after 2023, considering how this can be applied to Norwegian conditions," he added.
Previously, the government has said it wants to halt the privatisation of Norway's railway network.
Key vocab: Tog- train
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The government could earn up to 73 billion kroner as the result of high energy prices
Extra income from soaring energy prices could result in a windfall of up to 73 billion kroner, figures from employer organisation Energi Norge show.
The 73 billion kroner comes from 56 billion kroner in tax, three billion in VAT and 14 billion kroner in dividends from state-owned firms.
This year, the Norwegian state will spend up to 41 billion kroner providing subsidies to households to help them cover rising electricity prices.
When prices rise above 70 øre kWh, the government covers up to 90 percent of the bill.
Key vocab: MVA- VAT
Interest rate hike could increase unemployment
National data agency Statistics Norway has warned that another interest rate from Norges Bank on Thursday would likely increase unemployment further down the line.
"Increased interest rates and inflation, together with the decline in the international economy, will slow down the Norwegian economy and contribute to increased unemployment," director of Statistics Norway Geir Axelsen told Norwegian newswire NTB.
"We think there will be a slight increase at the end of the year already, while we estimate unemployment will be 3.6 per cent on average in 2023," he added.
Key vocab: Renteheving- Interest rate hikes
Education Minister: Teachers' strike serious
Norwegian Minister of Education, Tonje Brenna, has described the ongoing teachers' strike as 'serious'.
"It is a serious situation, and the situation for the students becomes more serious the longer the strike lasts," Brenna told reporters at an event on Wednesday.
However, the government cannot currently intervene in the strike and force the two parties to a compulsory wage board as there is now not deemed to be a risk to life or health.
Over 8,000 teachers in Norway have been on strike over wage growth in recent years. Yesterday, the Children's Ombudsman wrote a letter to the government requesting they make an assessment of what would be in pupils' best interests regarding the strike.
Norway moves to be exempt from EU train privatisation rule
Transport Minister Jon-Ivar Nygård has told Norwegian newswire NTB that the government has held constructive talks to be exempt from EU railway competition rules.
"We have given a clear statement to the European Commission about what the government's view is on the requirement for competition," Nygård said.
"We have received constructive feedback that together we can look at the framework for the exception provisions in the regulations also after 2023, considering how this can be applied to Norwegian conditions," he added.
Previously, the government has said it wants to halt the privatisation of Norway's railway network.
Key vocab: Tog- train
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