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Eurosceptic party quits Norway's government, almost half of cabinet departs

OSLO, Jan 30 (Reuters) - Norway's eurosceptic Centre Party quit the government on Thursday in a dispute over the adoption of European Union energy policies, leaving the centre-left Labour Party to rule alone eight months before an election.

The announcement by Finance Minister Trygve Slagsvold Vedum deprives Prime Minister Jonas Gahr Stoere of his only coalition partner and eight of the 20 members of his cabinet, including the defence, finance and justice ministers.

Labour, which has held power since 2021, could now govern alone until the next election is held in September but it lacks a majority in parliament and trails right-wing parties in opinion polls.

NATO member Norway is not part of the European Union but Labour wants to maintain good relations with the EU, partly because of the threat of a trade war between Europe and the United States.

"It would create doubt about the credibility of the agreement (with the EU) at a time when it is more important ever, in my opinion," Stoere told a press conference.

Labour wants to adopt EU directives on renewable energy consumption, energy performance in buildings and increased overall energy efficiency, government ministers have said.

The Centre Party opposes all three directives, which it says will erode Norwegian autonomy, and has long said power and gas exporter Norway should instead seek to reclaim authority over regulation from the EU.

"The conclusion for us is that the Centre Party does not want to be part of this development," Vedum told a press conference. "We want to take back more national control."

Before September's election, Stoere is seeking a new term as Labour leader despite questions over whether he is the best person to lead the party.

Norwegians narrowly rejected EU

Read more on cnbc.com
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