Norway's Prime Minister Jonas Gahr Støre has unveiled a new electricity policy, introducing fixed-price contracts at 40 øre/kWh and a reduction in VAT on grid fees.

The plan, however, has drawn criticism for bypassing formal government procedures, as noted by the Finance Ministry.

This announcement follows the departure of the Centre Party from the coalition government over disagreements on EU energy directives.

Critics, including experts and opposition leaders, argue the measures may increase electricity consumption and strain the power grid.

Supporters highlight the potential for lower and more predictable energy costs for households.

The policy also includes a halt on new international power cables until 2029, further fueling debate on Norway's energy future.