Norway’s coalition government has collapsed after the Centre Party (Sp) withdrew from the minority government, citing disagreements over EU energy policies.
If you think you're having a bad day, it's unlikely to be as bad as the one experienced by Norwegian prime minister Jonas Gahr Støre.
The Labour Party (Ap) leader has led one of the most unpopular governments in living memory, with his party at an all-time low in the national polls. Now, his coalition partners, the Centre Party (Sp), have pulled out from the agreement.
Støre will now lead a weak one-party government until the next general election in September 2025. To pass any significant legislation in that time, Labour will need to seek support from multiple opposition parties.
Why Did the Government Collapse?
The dispute revolves around the EU’s Fourth Energy Package, a set of directives aimed at improving renewable energy use, energy efficiency, and building performance.
Labour argued that adopting parts of the package was necessary for Norway’s economic stability and continued strong relations with the EU.
However, the Centre Party, known for its eurosceptic stance, strongly opposed these measures, fearing they would give too much regulatory power to Brussels and lead to higher electricity prices for Norwegian households.
Trygve Slagsvold Vedum, the leader of the Centre Party and former Minister of Finance, announced the party’s exit on Thursday, stating that “enough is enough.”
“We are leaving government to push for a new energy policy that prioritizes lower and more stable electricity prices and ensures Norwegian control over our resources.”
What Happens Next?
Prime Minister Støre confirmed at a press conference that Labour will continue governing alone, marking Norway’s first single-party government since 2001.
He emphasized that he had hoped to keep the Centre Party in government but respected their decision: “This is not the outcome I wanted, but we will continue to govern responsibly and ensure stability for the country.”
The Centre Party’s departure means that eight ministerial positions will now be filled by Labour politicians, with the new cabinet expected to be announced next week.
Until then, Centre Party ministers will remain in their posts to ensure a smooth transition.
Implications for Norway
The government split comes at a time of economic and geopolitical uncertainty across Europe and beyond.
The Labour Party argues that maintaining close ties with the EU through the European Economic Area (EEA) Agreement is essential for safeguarding Norwegian jobs and trade relations, especially amid ongoing tensions between Europe and major global powers.
The Centre Party, which has struggled in opinion polls, seems to be positioning itself for the upcoming election by appealing to voters who oppose deeper EU integration.
Norway has long debated its relationship with the EU, having twice rejected full membership in referendums, but it remains bound by the EEA Agreement, which grants access to the EU single market.
Political Reactions
Labour’s supporters in the Norwegian trade unions, including LO leader Peggy Hessen Følsvik, expressed disappointment over the split but reiterated support for Labour’s approach.
“The EEA Agreement is crucial for Norwegian jobs and economic stability. We hope for continued constructive cooperation with the Centre Party in Parliament,” she said.
Meanwhile, opposition parties, including the right-wing Progress Party (FrP) and the Conservative Party (Høyre), have criticized both Labour and the Centre Party for political instability.
Some argue that this government collapse highlights the need for a new right-wing coalition after the next election.
Looking Ahead
With a general election set for September 2025, Labour now faces the challenge of governing alone while navigating a difficult political and economic landscape.
The split underscores ongoing tensions in Norwegian politics regarding the country’s role in European energy policy and its broader relationship with the EU.
For now, Norway enters a period of political uncertainty as the country adjusts to a new one-party government for the first time in over two decades.
