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Weak energy results for Enova SF

Enova’s realised energy results are significantly below the stipulated targets. This applies both to the total figures and to targets relating to heat production and wind power. The Ministry of Petroleum and Energy and Enova only follow up the actual realisation of stipulated targets to a very limited extent. - The Ministry and Enova should to a much greater extent follow up whether the measures that receive support actually result in new environmentally friendly energy production or energy saving, says Auditor General Jørgen Kosmo.
Published 4/15/2010 12:30 PM

Document 3:6 (2009–2010) The Office of the Auditor General’s investigation into the operation and administration of Enova SF was submitted to the Storting on 15 April 2010.

The objective is that, through its use of policy instruments, Enova shall trigger projects that result in new environmentally friendly energy production and energy saving corresponding to 18 TWh/year by the end of 2011. At the end of 2008, Enova's finally reported results were 4.1 TWh/year. The Office of the Auditor General’s investigation shows that the realised energy results are consistently lower than Enova’s finally reported results.

The Storting has stipulated a separate target for renewable heat production of 4 TWh/year by 2010. At the end of 2008, Enova's finally reported results in this field were 0.9 TWh/year.

The Ministry of Petroleum and Energy has assumed that the targets will be reached through results contracted for. The investigation shows that about 40 per cent of the original results contracted for are cancelled.  - It warrants criticism that the Ministry of Petroleum and Energy does not follow up whether Enova actually realises the expected results, says Jørgen Kosmo.

The Office of the Auditor General’s investigation has also found weaknesses in Enova’s case processing, reporting and follow-up of individual cases. Quality assurance is inadequate, as is control that case processing is uniform, transparent and reliable. There are also weaknesses in the quality and validity of reported energy results. Enova only verifies and follows up finally reported energy results to a very small extent.

When Enova was established, the authorities stipulated that the organisation should be small, market-oriented and non-bureaucratic. At the same time, the enterprise is tasked with achieving ambitions targets and meeting requirements for satisfactory case processing and internal control. In the Office of the Auditor General’s opinion, this is a considerable challenge to Enova, and the Ministry of Petroleum and Energy has not taken sufficient account of these challenges. - In its future management and follow-up of Enova, the Ministry must therefore ensure that the enterprise has framework conditions that allow for efficient and satisfactory administration, says Jørgen Kosmo.

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