The grant will support Mine Storage’s ambitious project in Norberg, Sweden, where a decommissioned iron mine shaft will be transformed into a pumped hydro storage facility. This will be done with minimal environmental impact and in collaboration with a local municipal energy company. The installation will not only provide grid-forming services to the regional grid but also offer energy-shifting capabilities that surpass those of conventional battery systems. This makes it a unique and pioneering project in Europe and potentially worldwide.

The use of abandoned mines for energy storage represents a significant opportunity for creating flexible grid resources. With over a million closed mines globally, this approach could revolutionize how we store and manage energy. The Norberg project, specifically, capitalizes on the region’s rich history and existing inddfrastructure, having served as a prominent iron ore mining area for hundreds of years.

Mine Storage is now entering a negotiation phase with the Innovation Fund, with plans to finalize the project agreement by March 2025.

The EU ETS Innovation Fund is one of the largest funding programmes for the deployment of climate technologies and a key tool of the European Green Deal Industrial Plan. The EU Emissions Trading System is estimated to generate €40 billion of revenue between 2020 and 2030 based on the concept that polluters have to pay for their greenhouse gas emissions. Part of these funds are channeled into the Innovation Fund to invest in advanced net-zero and low-carbon technologies.