The decision must be appealed, Viken Skog says.

Wood Pulp

Norwegian Environment Agency refuses Billerud Viken's application to establish new fiber pulp factory

Norwegian Environment Agency refuses Billerud Viken"s application to establish new fiber pulp factory

Image: Egil Granum / Viken Skog

The Norwegian Environment Agency has rejected Billerud Viken's application to establish a new fiber pulp factory in Treklyngen Industrial Park in Hønefoss.

General manager of Billerud Viken AS, Kjell-Arve Kure, says: “The Norwegian Environment Agency has not dealt with our application on merits, despite the fact that we have put considerable work into the impact assessment, including external professional assessments. We have asked for professional discussions with the Norwegian Environment Agency along the way, but they have not wanted this. In principle, they have refused without wanting to enter into a constructive dialogue, which is both disappointing and problematic for future industrial ventures.”

The factory is the largest investment in domestic industry in Norway since the early 1990s.

Viken Skog and the Norwegian Forest Owners' Association are very concerned that the Norwegian Environment Agency will now put an end to an initiative that could be a central part of Norway's green industry boost.

This decision, taken without dialogue with the parties, is a serious obstacle to the further processing of Norwegian timber. Despite the government's ambitions for an increased forest industry, this case shows how problematic it actually is to realize new industrial establishments in Norway. It is becoming increasingly difficult to build new industry that both creates jobs and value creation in rural areas.

“This is a step in the wrong direction for anyone who wants to invest in new, green industry in Norway. The government has stated that they will facilitate increased value creation, but when important sustainable projects like this are stopped without professional dialogue, we are prevented from realizing the potential. Here, a political will to act is needed,” says Olav Breivik, chairman of Billerud Viken AS.

A new fiber pulp factory in Treklyngen Industripark will not only secure local jobs, but also contribute to achieving the government's goal of a more sustainable forest industry.