Fylgia prepares for arbitration over cancelled power plant deal

In 2021, the energy company Uniper sold Öresundsverket in Malmoe to Paco Holding, which later resold the decommissioned power plant to a Turkish energy company. When the Swedish authority Svenska kraftnät decided that the power plant should be included in Sweden’s energy preparedness and brought back into operation, Uniper terminated the contract.

Uniper has been promised over one billion SEK by Svenska kraftnät to restore the power plant to operational condition. Paco Holding, which has been asked to pay damages by the Turkish energy company, has unsuccessfully sought compensation from Uniper. The company claims that Uniper has acted disloyally and in a manner that justifies damages:

“Uniper does not want to pay more than a symbolic amount, and we are very far apart. Therefore, we are preparing a claim and intend to file for arbitration if we cannot reach an agreement beforehand,” says Mikael Ericson, lawyer and partner at Fylgia, to Dagens Industri.

Fylgia’s team also includes Markus Garfvé and Jesper Linder.