Norway Pauses New Data Center Grid Reservations as Government Plans Licensing Regime

Norway’s grid operator paused new data-center reservations as the government planned licensing rules amid data-center demand that exceeds what the power system can realistically accommodate.

Transmission operator Statnett suspended new capacity reservations on Nov. 9 and expects the pause to end no later than Aug. 1, 2027. The government announced its licensing plan on Nov. 10, saying it is intended to cover facilities already operating as well as future projects.

Under the proposed approach, cryptocurrency-related data centers would not be regarded as beneficial to society. The government has not specified permit criteria or transitional arrangements. “We need data centres that are as beneficial to society as possible,” Torgeir Micaelsen, Norway’s minister of digitalisation and public governance, said.

Norway had 800 megawatts (MW) of connected data-center capacity, 4,200 MW with reserved capacity and 9,100 MW in the capacity queue. Requests had been submitted for another 18,000 MW. Norway’s maximum power demand was just over 25,000 MW.

Data-center demand for electricity and grid capacity exceeds what Norway’s power system can realistically accommodate. The facilities are also important to digital infrastructure and artificial intelligence. Under its plan, electricity needed for critical services and social development would take priority over other uses.

The pause covers new reservations and new applications for facility-functionality approval. It also stops processing some functional-approval applications already received for facilities connecting directly to the 420-kilovolt network. Existing connections remain in place, and facilities with the necessary functional approvals remain eligible to connect. Statnett will continue reviewing certain near-term regional-grid applications already under review and may consider some smaller facilities scheduled to connect before the pause ends.

Statnett is developing requirements for how facilities respond to grid disturbances, change power use and reduce the risk of grid oscillations. The requirements are due for consultation and need approval from RME. The government also plans to discuss with the data-center industry whether major new power users should contribute more toward grid expansion and system-operation costs, and support power generation such as gas-fired plants with carbon capture and storage or offshore wind. It plans to present the licensing regime’s main principles in autumn 2027.