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Finland-based construction company NYAB and electricity transmission system operator Svenska kraftnät have entered into a collaborative agreement for the construction of the Aurora Line project in Sweden.

The project’s entire value is estimated at €89m.

This agreement covers the second phase of the Aurora Line project, and involves a 90km transmission link between Dockasberg and Risudden in the country.

Construction work under this agreement is scheduled to begin shortly and is set to be completed in December 2025.

Aurora Line is a new 380km-long 400kV transmission line that runs between Sweden and Finland. It is being developed in collaboration with grid companies Svenska kraftnät and Fingrid.

The project is expected to enhance supply security and equalise power prices between Finland and the rest of the Nordic nations by boosting transmission capacity.

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By GlobalData

Additionally, it will allow for a rise in renewable energy production in the Baltic Sea region.

Last December, NYAB began construction preparations with Svenska kraftnät for this development. Previous agreements between these parties included preparatory work such as crucial purchases for the upcoming construction phase.

NYAB Sweden senior vice-president Magnus Granljung said: “Aurora Line is a crucial project for the green industrial transition in the Nordics and ensures an important part of the future Nordic electricity supply as well as the common European market.

“We are proud to continue the successful cooperation with Svenska kraftnät by applying our extensive competence in infrastructure and energy construction for this project.

“The project further promotes the realisation of large-scale industrial investments that entail significant demand for our services in the coming years.”

In July this year, Fingrid hired technical solutions provider Caverion to restore its electricity lines in the Northern Ostrobothnia region of Finland.