In 2018 KPMG Law has strengthened their tax expertise within the energy sector. Trond Thorvaldsen has previously worked as a tax consultant in Statkraft and Jan Erik Greni has extensive experience from the Central Tax Office for Large Enterprises.
The energy sector has been through major restructuring, and there is still more to come. It will face many challenges in the near future, for example major technological changes, competitive pressure and regulatory risk.
This applies in particular to the renewable energy sector that is constantly changing, with increased investments in land based wind power and infrastructure, in addition to the offshore wind parks recently approved by the Norwegian Water Resources and Energy Directorate.
The Norwegian Parliament (Stortinget) has used fiscal framework conditions as means in order to facilitate a growing industry. This will enable Norway to meet our international obligations of increased renewable power production.
The power grid needs to be expanded and upgraded. Several international cables are currently under construction, which will increase connections between Norway and the European market.
There is an ongoing debate about the total burden of taxation, which applies to the hydropower industry. This has resulted in the fact that the Norwegian Finance Ministry has set down a committee that shall review the overall taxation of the industry, especially focusing on resource rent tax.
The Norwegian Ministry of Finance has, furthermore, in accordance with the proposal of the Scheel Committee in 2014, suggested to introduce a resource rent tax for the aquaculture industry; especially the breeding of salmon, trout and rainbow trout. Also in this area, a committee has been set down in order to assess the optimal taxation of the industry.
Trond Thorvaldsen started working as consultant/Senior Manager in KPMG Law in January 2018. He has previously worked as a tax consultant in Statkraft, from 2009, and has extensive knowledge and experience with both hydropower and wind power related tax issues.
Jan Erik Greni started working in KPMG Law as associate attorney-at-law/Senior Manager in August 2018. He has previously worked at the Central Tax Office for Large Enterprises (SFS), where he specialized in hydropower taxation.