Insight
The Danish government has agreed upon a historic climate deal to cut CO2 emissions
The vast majority of the political parties in Denmark agreed to the first part of a climate action plan that will help Denmark reduce CO2 emissions by 70% in 2030.
One of the central elements of the agreement is the establishment of the world’s first two energy islands, one artificial and one centred on the island of Bornholm, which together have the capacity to generate 5GW of power by 2030. The new deal also includes a plan to establish technology neutral funding mechanisms for carbon capture and Power-to-X technologies, which can turn power from the islands into green fuel.
The Danish Minister of Finance, Nicolai Wammen said in a press release:
“With the agreement, Denmark once again takes the lead in the green transition, and we are paving the way for a green recovery of the economy with some of the largest long-term infrastructure investments ever. We are creating two new energy islands, which means that Denmark will be the first country in the world to start a completely new era for renewable energy. At the same time, we will invest significantly in the development of future technologies and are taking important steps towards a green transition of the heating sector and of the Danish industry.”
Key takeaways from the climate plan
- Establishment of the world’s first energy islands
- Transition to market driven build out of onshore wind and solar
- Investments in next generation technologies: Power-to-X and Carbon Capture
- Support for biogas and other green gases
- Energy efficiency measures
- Reform of heat taxes including increased utilization of surplus heat Green district heating
- Green transport fund (including buildout of charging infrastructure for EVs)
- Green tax reform (a CO2 tax will be introduced)
”Today’s agreement is the beginning of a series of concrete measure to help Denmark decarbonise by 70% in 2030 and 100% by 2050. Denmark is already the easiest place to do business in Europe. This combined with our solid green initiatives will enable a range of investment opportunities in the wind, biogas, power-to-X, carbon capture and green transport sectors.”
Link to full agreement (in Danish): https://kefm.dk/media/13163/aftaletekst-klimaaftale-energi-og-industri.pdf
Contact us Want to know more about the green transition in Denmark?
Please contact our dedicated advisor:
Loading...