Government proposes higher Svalbard spending in 2026 budget

The Norwegian government's budget proposal for 2026 raises spending on Svalbard by more than NOK 100 million. The money is aimed at cleaning up after mining, tighter national control, research leadership, and getting more families to settle in the High North. In a press release, Astri Aas-Hansen, Minister of Justice and Public Security, said the proposal turns the Svalbard white paper (Meld. St. 26) from last year into concrete investments and allocations.

On energy, the government proposes NOK 118.8 million to support lower energy prices in Longyearbyen. Electricity prices rose sharply after the coal-fired power plant closed in 2023, and power now comes from a diesel plant. By 2030 the aim is for renewable sources to cover Svalbard's own needs. The state would also take over energy supply, which Longyearbyen lokalstyre (the local council) has held since 2022. Store Norske Spitsbergen Kulkompani (the state-owned mining company), wholly state-owned through Nærings- og fiskeridepartementet (the Ministry of Trade, Industry and Fisheries), would buy Svalbard Energi from the council. It would then carry out a significant upgrade. The state would also pay for cleanup after the coal-fired power plant, with NOK 134 million in subsidies proposed. Trade Minister Cecilie Myrseth said the cleanup of Norwegian mining must be orderly and meet environmental requirements.

For families, the government would extend the NOK 500 monthly child benefit supplement in Svalbard, Finnmark and Northern Troms. The cost is around NOK 103 million. Minister of Children and Families Lene Vågslid said the region is the country's main strategic area for investment. According to Statistics Norway, 64% of Longyearbyen residents held Norwegian citizenship last year, the lowest share ever measured. In April last year, Longyearbyen and Ny-Ålesund had 941 residents with foreign citizenships and 1,676 with Norwegian citizenships.

For national control, the proposal includes NOK 23.1 million more in subsidies to the community council. It also includes NOK 8.1 million more for Sysselmesteren (the Governor of Svalbard). Norsk Polarinstitutt (the Norwegian Polar Institute) would receive NOK 50 million more, of which seven million would go to its research presence in Svalbard. The Arctic Ocean 2050 research project would be funded in full, receiving NOK 100 million each year for ten years.