Sweden’s cool climate and forest-covered interior have allowed the country to build its economy on primary industries, like pulp and paper production and metalworks, for decades. Now, those same factors are helping it cater to a new kind of industry that could become just as vital to its economy in the years to come; the perfect real estate for data centres. In January, a new law slashing the tax rate on electricity used by data centres by 97 percent went into effect, removing a major barrier to Sweden’s burgeoning data-center economy. The energy consumed by data centers is now taxed as lightly as the electricity used by Sweden’s steelworks, car plants and other heavy industries, putting it in line with regional competitors like Norway. Data centres already contributed 6.2 billion krona ($687 million) and 3,600 jobs to the Swedish economy in 2015, according to a report by the Boston Consulting Group. The energy tax reforms mean data centres are expected to add 25 billion krona and 14,000 jobs by 2025, according to a report.