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Chancellor Olaf Scholz (SPD) before construction begins on the Northvolt factory in Schleswig-Holstein.
© Marcus Brandt/dpa
Official start of the construction of a large factory on the North Sea coast: From 2026, Northvolt wants to build battery cells for electric cars at Heide.
Heide - Northvolt wants to build up to one million battery cells for electric cars every year in a large factory near Heide in Schleswig-Holstein.
The Swedish company wants to invest 4.5 billion euros near the North Sea coast and create 3,000 jobs.
In addition to Northvolt boss Peter Carlsson, not only Schleswig-Holstein's Prime Minister Daniel Günther (CDU), but also Federal Chancellor Olaf Scholz (SPD) and Federal Minister of Economics Robert Habeck (Greens) are expected at the official start of construction.
In government circles there is talk of a flagship project for the energy and transport transition.
The location in a region with a surplus of wind power offers the best conditions for production with green electricity.
According to its own information, the company wants to produce nothing less than the “greenest battery in the world in series”.
The plant will use treated wastewater from the region for cooling purposes.
Heat from production could be transferred to a possible district heating network in the city of Heide.
A facility for recycling old batteries from discarded electric cars is also being considered.
“The factory will provide a boost for the entire state of Schleswig-Holstein and especially for the west coast,” said State Economics Minister Claus Ruhe Madsen (CDU).
Together with the federal government, the state wants to create the logistical requirements for operations.
With the factory and existing research facilities as well as the abundant green energy, the Dithmarschen region could become a region of competence for the energy transition.
Northvolt is building its factory on an area of 110 hectares in the communities of Lohe-Rickelshof and Norderwöhrden.
Production is scheduled to start in 2026.
The importance of the work extends far beyond the north.
The German auto industry as a whole wants to become more independent of dominant suppliers from Asia.
Conversations since 2021
Northvolt boss Carlsson had meanwhile signaled that construction in Heide could be delayed.
He cited the comparatively high electricity prices in Germany and higher subsidies in the USA as reasons.
The company had always emphasized the locational advantages of the west coast of Schleswig-Holstein.
A lot of wind power is generated there on land and at sea - which the factory needs in large quantities.
Discussions about the settlement have been ongoing locally since 2021.
At the beginning of the year, the EU Commission finally approved funding and guarantees for the project from the federal and state governments amounting to 902 million euros.
They are supporting the construction of the battery factory with around 700 million euros.
There are also possible guarantees for a further 202 million euros.
Of the funding, around 564 million euros go to the federal government and up to 137 million euros to Schleswig-Holstein.
The Swedish company says it has an order backlog of more than $50 billion.
Customers include the Volkswagen Group, BMW, Scania and Volvo Cars.
There is a research and development campus for battery cells in Västerås, Sweden.
Since 2022, the company has also been producing in a factory in Skellefteå, Sweden.
dpa