– No, replies finance councilor Einar Wilhelmsen (MDG) when news asks if he is presenting a crisis budget. But he hastens to add: – We can thank the power revenues for that. Today at 1 p.m. we will find out how the city council will use the 90 billion kroner budget in 2023. The city’s “minister of finance” highlights four things that form a gloomy backdrop for the budget proposal: The Ukraine war Climate change that is starting to become visible Continued “corona economy” Animal time – “everything » will be more expensive – Oslo has accepted more refugees from Ukraine now than during the entire refugee crisis in 2015, says Wilhelmsen. KRAFT SAVES OSLO: Without the power billions, Einar Wilhelmsen would have presented a crisis budget. The town hall receives power from the solar panels on the roof of the town hall hall. They produce 125,000 kWh annually. Photo: Olav Juven / news 2.5 billion in dividends The electricity crisis affects the budget – for better or for worse. Through its ownership in Hafslund, Oslo is the country’s second largest power owner, after the state. MONEY FLOWS OVER THE MOUNTAIN: Waterfall power from Viddalsdammen in Aurdal lubricates Oslo’s municipal budget. Photo: Aerosport Norge -aero.no / E-CO Energy The City Council estimates that this year’s sky-high electricity prices will yield record dividends next year as well. The estimate is a gain of NOK 2.5 billion. For 2022, the estimate was NOK 1.6 billion. The result was almost 2 billion. On the negative side, the city council expects that extraordinary wage and price growth – including electricity – will give the municipality NOK 3 billion in increased expenses. However, wage and price growth also means additional income for the municipality, including in the form of increased tax income. Energy billions eaten up Einar Wilhelmsen nevertheless expects that this account will be in the red by NOK one billion. – Roughly speaking, we can say that increased power revenues are being eaten up by wage and price growth, he says. Because of all the uncertainty, the city council is also setting aside almost a billion in various buffers. They are intended to be used where electricity costs are particularly high, such as in municipal housing and in Sporveien. And it is about taking account of increased prices for construction projects. Tickets, AKS and jobs Uncertain times notwithstanding, the city council has also found room for investments. Here are three important ones: Cheaper single tickets on buses, trams and railways, as news reported on Monday. NOK 200 million has been set aside to lower the price by an average of 20 per cent. Free half-day place in the activity school (AKS) also for fourth-graders from the next school year. According to Aftenposten, families with children save almost NOK 100,000 over four years. Job package of NOK 330 million over four years. The package is two-part. The scheme with summer jobs for young people will become permanent. And the districts get money to put people who are completely out of work life into activity. JOB PACKAGE: Councilor for Social Affairs Rina Mariann Hansen (Ap) wants more people to work. Photo: Live Wold / news – I am particularly concerned about the young people who are out of work and education, and who are not registered as unemployed, says Labor and Social Affairs Councilor Rina Mariann Hansen (Ap). – Getting more people into work will help to reduce the large social differences in our city. In addition, we are making the summer job initiative permanent so that more young people will have their first encounter with working life, she says. Must save electricity One initiative that is directly related to the electricity crisis is for municipal buildings to become more energy efficient. An extra NOK 174 million has been set aside for eco-friendly measures and solar cells. The pot that residents can apply for for climate and savings measures is proposed to be increased from NOK 130 to NOK 150 million. The city council has also announced more urgent measures to save electricity. Aftenposten wrote on Monday that the entire municipality has already been told to lower the indoor temperature. Beyond the winter, it may be necessary to switch off the floodlights on the football pitches and close artificial ice rinks. CHEAPER TICKETS: Cheaper single tickets in the Ruter app are a major investment in the Oslo budget. Here education councilor Sunniva Holmås Eidsvoll (SV), environment councilor Sirin Stav (MDG) and city council leader Raymond Johansen (Ap). Photo: Olav Juven / news Here are a few more glimpses from the budget: 25 kilometers of new cycle path in 2023. NOK 122 million for strengthened work with traffic safety in 2023 and 2034. Free school meals in secondary schools from the next school year. Then 36,900 pupils in secondary and upper secondary schools will be offered a meat-free school meal. Free food in the primary school has been postponed indefinitely. The rates for social assistance are increasing by 6.5 per cent. NOK 15 million for experiments with rent-to-own for municipal housing. Cheaper resident parking in the outer city to include more districts in the scheme. The fossil fee will drop from NOK 5,400 to NOK 3,200 for an annual pass. Smaller increase in the inner city. NOK 38 million over four years for planting trees. The goal is 100,000 new trees by 2030. NOK 125 million to make the city more accessible for the disabled. Money for neighborhood clubs. Experiment with a 6-hour working day. Although he does not call it a crisis budget, Einar Wilhelmsen does not hide the fact that it may be necessary to tighten later. – There is great uncertainty related to how electricity costs will develop in the future, he says. Prayer for the government He also has a prayer for the government when the state budget comes in two weeks: The municipalities must get the money they were promised in the municipal bill. Otherwise, Oslo is in trouble. – In 2022, for example, we will have had NOK 1.5 billion in corona expenses, but so far we have only been compensated around NOK 100 million. We expect the government to stand by its promises to cover much of this, says Einar Wilhelmsen.
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Power revenues save the Oslo budget from crisis – news Oslo and Viken – Local news, TV and radio
