Sweden’s government has come under criticism after unveiling a budget that will dramatically increase carbon emissions.
The budget, unveiled on Wednesday morning, includes a 259m krona (£19m) reduction in funding for climate and environmental measures next year, and tax cuts on petrol and diesel.
It is estimated that emissions will increase by 5.9m-9.8m tonnes of carbon dioxide equivalents by 2030 as a result of decisions made by the government between 1 July 2022 and 1 July 2023.
Long term, emissions are predicted to decrease by 1.8m tonnes by 2045, but Sweden is expected to miss its transport targets for 2030.
Mattias Goldmann, Sweden’s 2030 secretariat, said: “It’s a gasoline-soaked budget fuse.”
He told the Dagens Nyheter that while there were some good developments, these “cannot compensate for the powerful reduction of the tax on fossil fuels and the reduction of the reduction obligation which works to achieve the goal of a fossil-free vehicle fleet by the year 2030”.
The tax cut on petrol and diesel is predicted to increase emissions by up to half a billion tonnes and could delay the transition to electric vehicles.
The Green party spokesperson, Per Bolund, said: “This government neither understands nor cares about the climate crisis. The research is clear, we must reduce emissions every year. Now the government is heading in the wrong direction and says themselves that they will increase emissions greatly and that they will not reach the targets either according to Swedish law or according to the EU’s requirements. This is as far from a fair transition as you can get.”
The finance minister, Elisabeth Svantesson, a member of the Moderates, who lead the government’s minority coalition, defended the budget, saying: “We are doing a lot today.” On climate plans, she added: “You will have to wait and have patience.”
Greenpeace said the tax cuts and the government’s continued “underprioritisation” of the environment would result in raised emissions. Erika Bjureby, the group’s head in Sweden, said: “In concrete terms, this means that it will be even more difficult to achieve several of Sweden’s environmental goals.”
The climate and environment minister, Romina Pourmokthari, defended the budget, saying it was a “combination of sweet and salt” and the government’s third biggest climate and environment budget ever. However, she added: “You are never totally satisfied.”
Other features of the budget were tax cuts for pensioners, more money for the justice system, including plans to expand prisons, lowering tax on snus tobacco, raising taxes on cigarettes and abolishing a plastic bag tax.
Svantesson warned of difficult months to come, with unemployment predicted to increase in the next two years and inflation remaining high. She said: “It’s a tough economic winter for many people.”
She said it was a “very difficult time” for Sweden amid heightened domestic security issues, child shootings and the Ukraine war. She said the government would tackle inflation and support households with more money for welfare and tax cuts.
The former finance minister Mikael Damberg, the economic spokesperson for the largest opposition party, the Social Democrats, said the budget would “make Sweden poorer”.
“The recession is here. The government and SD [the far-right Sweden Democrats] have chosen to face the economic situation with passivity,” he said.
Criticising the coalition, which depends on the support of the Sweden Democrats, he said: “We have a rightwing government that cooperates with the Sweden Democrats, who say that it is just a matter of cutting back on healthcare and schools and that tough savings are required. Then you let welfare take a large burden of the cost shock that has hit Sweden.”