Current Swedish Finance Minister to Present Transitional Budget in Lieu of a New Government
The current caretaker finance minister, Elisabeth Svantesson, is expected to deliver the transitional budget for 2027 on Thursday November 12. Since this budget proposition will be presented at a time when the composition of the new government has not yet been decided following the general election in September, the transitional government’s budget should use the latest budget as a benchmark. The main principle should therefore be that the 2026 budget allocations are mirrored in the 2027 budget. Exceptions are made to this principal to account for indexation, meet legal or contractual obligations, move purposes or activities from one expenditure area to another, to make adjustments necessary to maintain vital societal functions, if they are clearly temporary, or accommodate uncontroversial legislative proposals.
Sweden Reintroduces Internal Borders
The Swedish government has decided to reintroduce internal border controls from 12 November, citing an increasingly serious situation and a heightened threat of Russian sabotage. The decision follows a warning from the Swedish Security Service (Säpo) that the risk of Russian sabotage in Sweden has increased in recent months. The government also points to hybrid threats and hostile actors operating within the Schengen area following Russia's full-scale invasion of Ukraine.
Justice Minister Gunnar Strömmer (Moderates) stated that the controls are intended to help authorities identify individuals entering Sweden who may pose a threat to public order and security. Sweden has maintained border controls since 2015, with extensions generally granted in six-month periods. The police will determine where and how the controls are carried out. The new measures will apply for six months, starting on 12 November, replacing the previous decision. Other Schengen countries, including France, Germany, Norway and Denmark, have also reintroduced internal border controls
Focus Sector: Energy
UK Government Expected to Announce Changes to its Electric Vehicle Sales Targets
The UK government is expected to announce changes to its electric vehicle (EV) sales targets this week, following pressure from car manufacturers over the pace of the transition to zero-emission vehicles. Under the current Zero Emission Vehicle (ZEV) mandate, manufactures must ensure that 80% of new cars sold are electric by 2030, with the target increasing to 100% by 2035. The government is now expected to relax the requirements, potentially giving manufacturers more flexibility to meet the targets.
The policy is part of the UK's wider effort to phase out new petrol and diesel cars. However, the existing requirements have raised concerns among manufacturers about the challenges of meeting sales targets as consumer demand for electric vehicles develops. Any changes could have implications for the UK automotive industry and its transition towards electric vehicles. The government has not yet confirmed the final details of the expected adjustments.
Swedish Electricity Prices Expected to Rise Further
Swedish electricity prices are surging, with November electricity bills expected to reach their highest levels in a long time for households south of the Dalälven river. Prices are being driven by nuclear power outages, unfavourable weather conditions and record-high gas prices across continental Europe. According to Bixia analyst Johan Sigvardsson, prices are expected to rise further between Monday and Wednesday, partly due to forecasts of almost no wind in Germany.
Southern Sweden is particularly affected. In electricity zone SE4, the average spot price reached SEK 3.20/kWh on Friday, bringing the November average close to SEK 3/kWh. Meanwhile, electricity supply in northern Sweden continues to keep prices down. The planned restart of several nuclear power plants during November is expected to increase electricity supply and ease prices in southern Sweden. However, future market prices indicate that electricity costs will remain elevated during the winter, particularly in SE4.
High European gas prices are also linked to supply disrutions resulting from the Iran war. According to Sigvardsson, successful peace negotiations between Iran and the US could help bring gas prices down, although restoring gas deliveries from the Persian Gulf to Europe would take time.
COP31 Gathers Leaders in Antalya
Between 9-20 November, the United Nations Climate Change Conference, COP31, brings together representatives from around the globe to discuss the green transition and how to address the effects of climate change. The meeting is hosted in Antalya, Turkey with Turkey’s Minister of Environment, Urbanisation and Climate Change, Mr Murat Kurum, serving as President and Australia's Minister for Climate Change and Energy, Mr Chris Bowen, serving as President of Negotiations.
Topics to be discussed include the green transition and reduced emissions, climate financing, adaptation and resilience, capacity-building, climate technology, market and non-market mechanisms, and innovation.
In the opening statement, UN Climate Change Executive Secretary Simon Stiell spoke about how COP31 must not only send signals about global targets, direction of travel and momentum and resolve, but also “supercharge solutions, breaking down existing global targets and national plans into component steps”. He also spoke about the urgency of finding practical solutions to triple global renewable energy capacity by 2030, to triple finance for adaptation, and to transport energy across grids and borders. Furthermore, he stressed the importance of the Action Agenda and the need for support and collaboration so that countries can fulfil the commitments made in the agreements that have already been signed. He also spoke about the climate catastrophes seen around the world, as well as the economic and geopolitical consequences of fossil fuel costs. He also highlighted that global renewables saved around half a trillion dollars last year and a further $265 billion in the first half of this year alone. He ended his speech by stressing that this is the age of implementation and urged members to “deal with the world as it is, not as we might wish it to be.”
The Yearbook of Global Climate Action 2026 presents opportunities to implement a transition at scale in energy, industry and transport. It highlights four objectives: to triple renewables and double energy efficiency, accelerate zero- and low-emission technologies in hard-to-abate sectors, ensure universal access to energy, and transition away from fossil fuels, in a just, orderly and equitable manner.