Sysav awarded an additional SEK 72.7 million in funding for SkyZero

The Swedish Energy Agency has awarded Sysav an additional SEK 72.7 million through The Industrial Leap programme (Industriklivet) to support the development of SkyZero, its large-scale carbon capture and storage (CCS) project in Malmö, Sweden. The funding will enable the project to progress towards a future investment decision.

The new funding follows SEK 41 million previously awarded to Sysav through The Industrial Leap. The additional support will be used to further develop the project, including work on financing, supplier agreements and commercial arrangements.

“This is very welcome news and another important milestone for SkyZero. Developing a project of this scale requires extensive preparation before an investment decision can be made. The funding from the Swedish Energy Agency puts us in a stronger position to move the project forward and reduce the remaining uncertainties,” says Malin Dahlroth, CEO of Sysav.

SkyZero is Sysav's carbon capture and storage (CCS) initiative, aimed at capturing carbon dioxide from its waste-to-energy plant in Malmö and storing it permanently. The project is currently targeting a final investment decision in the fourth quarter of 2027, with operations scheduled to begin in 2030.

The planned facility is designed to capture approximately 450,000 tonnes of CO₂ annually. As around half of the captured CO₂ is of biogenic origin, its capture and permanent storage will result in permanent negative emissions.

Public funding is essential to realising large-scale CCS

SkyZero's financing strategy consists of several components. In addition to public funding, Sysav is working to secure financing and commercial revenue streams, including through the sale of carbon removals.

The new funding from The Industrial Leap programme will support continued project development up to the investment decision. Key areas of work include securing financing, commercial arrangements, permits, supplier agreements and risk management.

About CCS

Carbon Capture and Storage (CCS) is a technology that captures carbon dioxide from sources such as industrial processes and energy production. The CO₂ is compressed and cooled into liquid form for transportation and permanent storage in geological formations deep underground or beneath the seabed. This prevents the captured CO₂ from entering the atmosphere and contributing to climate change.

About The Industrial Leap (Industriklivet)

The Industrial Leap (Industriklivet) is a Swedish government initiative administered by the Swedish Energy Agency. It provides funding for the development of solutions to reduce process-related emissions from industry, as well as technologies that enable negative emissions.

Through strategically important initiatives, the programme supports the deployment of new technologies and other innovative industrial solutions that can contribute to a fossil-free society.

The Industrial Leap programme is part of the EU's Recovery and Resilience Facility (RRF), a key component of NextGenerationEU.

Senast uppdaterad 2026-10-15 07:10