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For EU regulation that requires lower emissions and environmental issues with hydro power, the messy reality is also that the cost of breaking the law and paying the fines are currently cheaper than the economical and political costs of complying with the law. So that is what the Swedish government are doing. The Paris Agreement is just a goal and clearly there is a lot of voters who see it as incompatible with modern society.
It is also the messy reality that many current governments in EU got their votes in the last election because they bailed out the citizens when the power crisis happened and paid the power bills through taxes, causing major harm in the market and further inflated prices. Building out more natural gas power plants will reduce the cost of the next crisis, which is also the stated goal of the new one that got built in Sweden.