Swedish government will invest 4.5 billion kronor ($546 million) in their 2016 budget "to meet the challenges of climate change, increase the share of renewable energy and stimulate development of innovative environmental technology."

"When European regulations do not go far enough Sweden will lead the way," Löfven told the press. His announcement comes at a time when 146 nations have made promises to reduce their carbon emissions with the COP21 talks in Paris starting next month. Scandinavia's largest country has already made headway toward this goal. Currently almost 80 percent of Sweden's electricity comes from non-fossil fuel sources.

Sweden has not set a timetable on when exactly a 100 percent renewable society will become reality. According to Bloomberg, it plans to significantly reduce its emissions by 2020. It didn't set a target date for the nation becoming fossil free, though Stockholm may reach that goal by 2050.

"Only by doing so do we take our moral responsibility for future generations, while taking advantage of the job and innovation opportunities that the green transition brings," the Swedish government said.