Powering up the periphery – how local governments turn resources into political capital

This study highlights resource bargaining as a novel strategy rural and peripheral municipalities employ to influence national resource distribution. Drawing on interviews and policy documents from five Swedish municipalities rich in natural resources but facing depopulation and economic decline, the findings reveal how local governments may leverage their assets – such as minerals, forests, and hydropower – to negotiate with central government. This includes delaying or blocking extraction projects to demand better compensation and recognition. By introducing this perspective, the study advances understanding of how peripheral municipalities navigate asymmetrical power dynamics and challenge territorial inequalities.