63 Cloudberry Annual report 2021 Sustainability report The Production stage “Production” Cloudberry has an operational model focusing on efficiency and cost flexibility as well as compliance to meet all regulatory and environmental requirements. The model is based on long term contracts with strategic partners. Each powerplant has three key roles with formal responsibility for respective areas: · Plant supervision and internal control including environmental matters · Dam and Penstock · High Voltage These roles are filled by persons with necessary approval and authorisations given by governmental bodies. In addition, there are agreements in place for local inspections and general follow up of the plants, normally being one of the landowners. Local inspectors go through special training programs. There is also an agreement in place for 24/7 surveillance of all power plants. Power sales and balancing is handled through a third-party service provider. Risk and contract management, bank financing and portfolio management is handled by internal resources in Cloudberry. Dismantling Dismantling is the last phase in the value chain of wind power plants. Once the turbine is out of service, the work of dismantling the turbine must be handled, including transportation from erection area to the final disposal site. Areas are required to be restored back to their original condition as far as possible, e.g., cleaning up and replanting. Recycling and depositing of components, components and recovering other material such as lubricant oil. Some of the materials has a second-hand benefit, e.g., at the Kafjärden wind project in Sweden, Cloudberry included second-hand turbines in the evaluation of choice of wind turbine suppliers. Before granting a concession, the relevant regulatory body carries out a thorough and comprehensive evaluation process as mentioned above. Local biodiversity input from local authorities and the local public are taken into consideration. The regulatory authorities will also consider the need and demand for new stable renewable energy. Normally the authorities would not grant concession if a power plant were to be located to adjacent or in a protected area, or if the power plant would have a negative effect on biodiversity. None of Cloudberry’s power plants are located in, or adjacent to, protected areas. There have been observations of rare species in the areas around our power plants and necessary actions have then been taken. Way forward Renewable energy projects and construction of power plants may cause unfortunate, and unavoidable, environmental and social impacts. Cloudberry will establish a plan for mitigating measures and endeavour to minimise our negative impacts. Cloudberry is developing offshore wind energy projects in Sweden with the fully permitted Stenkalles Grund project in the Lake of Vänern, and a portfolio of early-stage projects in the Baltic Sea. The Stenkalles Grund project is at a pre-construction phase with the aim to reach operation by 2024. The procurement process started early 2021 and will reach a financial investment decision (FID) during 2022. The detailed planning includes environmental issues and requirements as described in the permit. For example, the company consults the County Board, the Swedish Maritime Administration and the Swedish Transport Agency about necessary protective measures. An example is the early start of the quality program to monitor the impact of foundation and cable works and how to perform these operations in order to minimize environmental impact. For the onshore wind project Munkhyttan in Sweden, Cloudberry plans to construct a new type of low impact roads. This in order to minimise the impact on the hydrology in the area and to secure the existing butterfly habitat. For all projects, our focus will be maintained on conducting environmental mapping and analysis in the early stages of development. It is also imperative to have good cooperation with the host municipality as well as other local stakeholders to ensure transparency and involvement from Cloudberry.
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