Background information

In August 2023, the extreme weather "Hans", that affected areas of southern Norway as well as parts of Sweden, Finland, the Baltics and nearby areas, led to extensive flood and landslide damage in eastern Norway. In the aftermath, the Norwegian government published information on financial arrangements that could ensure that private individuals, municipalities and county councils are not left with the big bill alone. In case of an extreme weather event, the Ministry of Local Government and Districts has discretionary funds that can be made available to municipalities and counties to cushion the effects. The municipal discretionary funds scheme was temporarily extended in September 2023 so that the municipalities can cover expenses in connection with clean-up after the extreme weather “Hans”.

Content of measure

In the event of extreme weather, municipalities and county councils affected by natural disasters may, through the provision of discretionary funds, receive a subsidy to defray a portion of their incurred expenses. The framework is designed to ensure expedited compensation for municipalities and county councils that sustain substantial damages. Eligible expenditures for reimbursement include the costs associated with debris removal, emergency response operations, and the restoration and repair of municipal infrastructure to its pre-damage condition. Municipalities and county councils are required to bear a share of the restoration costs, they may, however, seek financial assistance from the discretionary funds should the expenses prove onerous. Municipalities incurring costs that surpass NOK 250 (€21.2) per resident are entitled to reimbursement for 50% of the excess expenses. Should the expenses exceed NOK 500 (€42.3) per resident, municipalities are eligible to have the full amount exceeding NOK 250 per resident compensated. County municipalities that incur expenses exceeding NOK 150 (€12.7) per resident, or whose total costs surpass NOK 75 million (€6.34 million), are permitted to submit applications for partial financial relief under this scheme. The temporary changes of September 2023, apply to the municipalities' costs for all cleanup after the extreme weather in the autumn of 2023 that are not covered by other support schemes. The guidelines for discretionary grants were temporarily extended so that the costs municipalities have for cleanup, including cleanup of non-municipal infrastructure, could be included in the application for discretionary grants.

Use of measure

No information on the use of the measure.

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Does not apply to businesses	Does not apply to citizens

Actors and funding

Actors	Funding
National government Local / regional government	National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement as case not in social partner domain	No involvement as case not in social partner domain
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

No information on social partners involvement during design and implementation of the measure.

Views and reactions

No information.

Sources

• 25 August 2023: Financial support schemes in the event of extreme weather (www.regjeringen.no)
• 19 September 2023: New financial support measures after the extreme weather (www.regjeringen.no)