Uranium mining in Sweden is banned. After the next parliamentary elections, Sweden may reverse its phase out of nuclear energy. Will that give a boost to Sweden's uranium mining sector? Some Canadian exploration companies have already established a base there.
There is a compelling political development in Sweden you should know about. The outcome could very well impact the world's anti-nuclear movement and open the doors to a wave of more aggressive nuclear energy build up. Sweden has long been a bellwether for social progress and change. Shortly after Three Mile Island, the Swedes held a referendum on expanding nuclear energy in their country. Sweden voted it down. But, political climates change. What happens in Sweden could help change attitudes toward nuclear energy in Australia, Germany and elsewhere.
A country's election can have a widespread ripple effect on an industry. Sweden's four-party opposition bloc, known as the Alliance, is challenging the Social Democrat-led government for control of the Riksdag, the country's parliament. One of the Alliance's main objectives is to cut the country's property tax, and eventually remove it. Each year, Swedes must pay a tax equivalent to one percent of a single family home's tax value. The other item on the Alliance's agenda is moving forward with the country's nuclear energy policy.
Exactly two months from now, on September 17th, we predict Swedish voters will choose the center-right alliance, comprised of the Moderates, Liberals, Christian Democrats and the Centre party. Amid other reforms, Sweden's nuclear energy and uranium policies may be revived. The Centre party, which had supported phasing out nuclear power, has now thrown in its lot with the Alliance, realizing there isn't an alternative to nuclear for the time being.
James Finch contributes to StockInterview.com and other publications. Visit http://www.stockinterview.com to download your free copy of "Investing in the Great Uranium Bull Market: A Practical Investor's Guide to Uranium Stocks." You can always write to James Finch at jfinch@stockinterview.com
