Data centre regulatory update Norway: Suspension of new grid capacity reservations for data centres and new unique licensing regime

Background and overview

The announcements on 9 November 2026 follow recent months of public debate on tighter control of the data centre industry in Norway. The announced measures have an immediate impact on ongoing project developments and will also have long-term consequences for the industry.

First, Statnett, the Norwegian transmission system operator announced temporary suspension of new grid capacity reservations for data centres.

Second, the Government, through the Ministry of Energy and the Ministry of Digitalisation and Public Administration, announced that it will implement a unique licensing regime for data centre projects in Norway and a range of ancillary measures imposing additional requirements for data centre operators.

Although similar measures have been implemented recently in other European countries seeking to ensure strengthened control of the build-out of data centres, such as the temporary stop in processing grid connection requests in Denmark and project prioritization based on societal benefits and the requirements applicable to data centre operators in Ireland to contribute power to the power system from which they consume electricity, the proposed licensing regime is unique and will be a first of its kind in Europe.

The current grid situation in Norway

Data centres support essential digital infrastructure and the development and use of artificial intelligence. However, the Government considers demand for electricity and grid capacity to exceed what Norway can realistically accommodate. In year to date alone, grid connection for 26,000 MW have been applied for, with data centre operators accounting for 20,000 MW (approx. 75%) of the requested demand.

Statnett’s temporary suspension on grid connection requests from data centres

On 9 November 2026, Statnett suspended processing of new grid capacity reservations from data centre developers. The stated purpose is to ensure that sufficient time is allowed for Statnett and the energy authorities to consider what technical requirements should be imposed on the data centre operators and to ensure increased control of the rapid development.

Statnett has also implemented a suspension of processing of new applications for so called facility functionality approvals under section 14 of the System Responsibility Regulations. This will impact the data centre operators which have secured grid capacity but not yet obtained the required approval of the technical grid solution for the project. This in turn may have the consequence to delay the ready-for-service date of the project.

Existing grid connections for data centres in operation are unaffected, and facilities with the necessary functionality approvals may still connect to the grid. However, for data centre operators with capacity expansion plans, Statnett’s suspension will be of direct relevance. Statnett will continue processing § 14 applications already under review for regional-grid connections with commissioning planned in the near future. Statnett also states that they may consider applications for smaller facilities scheduled to connect before 1 August 2027 and that available capacity will not be allocated to other customers at the expense of data centres ahead in the queue. In practice, as we interpret this, this means that no new grid connections will be granted up until the time when this suspension is lifted. Statnett expects the suspension to end by no later than 1 August 2027.

The Government’s proposed licensing regime and additional requirements

The Government intends to introduce a licensing regime for establishing and operating data centres in Norway. The Government mentioned the licensing regime for oil and gas developments and the licensing regime for aquaculture; however, so far limited details about the design of such a licensing regime have been revealed. The purpose of the measure is to ensure that data centre projects with societal benefits are prioritized and to increase national control over data centre developments. Digital security, preparedness and access to necessary computing capacity in Norway, the Nordic region and Europe will inform the assessment of possible licensing conditions. Cryptocurrency activities are expressly excluded from the Government’s concept of socially beneficial data centre activity and will not receive a permit under the proposed licensing regime.

The proposed regime is intended to cover both existing and future data centres. The ministers announced that transitional arrangements would be designed to provide predictability for the data centre companies. However, the further details of the licensing regime, including how permits will be allocated and on what conditions, and the content of the transitional regime for existing projects under construction and sites in operation and the impact for project developers, investors and financiers remain unresolved.

The Government has indicated that it will present the main principles in autumn 2027.

In conjunction with the licensing regime, the Government will also assess implementing additional requirements for the data centre operators. This includes:

Data centre operators to contribute with new power production: The Government will enter into dialogue with the industry on how the industry may itself contribute to new power production and behind-the-meter solutions, including gas-fired power with carbon capture and storage and new power production from offshore wind;
Data centre developers to cover a larger share of grid system costs: The Government will assess how large electricity consumers can cover more of the costs of grid expansion and system operation; and
Grid connection conditions: The Government will implement regulatory amendments to enable Statnett to impose stricter conditions for connections to the grid.

BAHR’s assessment and reccomended actions

Statnett, the Ministry of Energy and the Ministry of Digitalisation and Public Administration remain vague about the scope and implementation of the relevant measures. The impact will depend on the new regulatory framework which will be clarified in the coming months and years. Until further details are provided, the announced measures create regulatory uncertainty for the data centre developers. Impacted parties should pro-actively monitor the situation and assess potential mitigants.

Three immediate actions should be considered:

Both Statnett’s proposed temporary suspension of application processing and the Government’s proposed new licensing regime must be implemented and designed within the applicable legal framework, including being EEA compatible. The industry should monitor these developments to ensure that no measures are introduced that go beyond what is legally permissible. Questions arise, for example, as to how long a general suspension of the processing of new applications may lawfully remain in place, as well as more fundamental questions about the technical requirements and restrictions that may lawfully be imposed by Statnett and the Government under new rules.
Statnett’s announced suspension set out the general principles for a temporary suspension of application processing, but do not constitute a complete regulatory framework, leaving many details to be determined in practice. Furthermore, the legal basis in section 14 of the System Responsibility Regulations was not designed with this particular situation in mind, creating further uncertainty as to the scope of the new temporary measures. Each data centre developers should therefore follow up on its own application and establish whether there are specific grounds for applying the new temporary measures to it.
All data centre projects in Norway must in any event anticipate the introduction of a unique licensing regime. It will be important to structure project development in a way that increases the likelihood of meeting the new licensing requirements. This calls for a more detailed legal assessment of the anticipated regulatory framework and future conditions which data centre developers will be subject to.