Denmark is set to launch a new offshore wind tender for 2-3 gigawatts (GW) in the North Sea, offering more favorable terms to attract bidders after a failed auction round last year. The previous auction, held for a 3GW offshore wind project, failed to secure any bids and was described as a “huge setback” by trade group Green Power Denmark.
The new tender will include options for state subsidies and increased flexibility for bidders in an effort to address challenges facing the offshore wind sector, such as rising prices and supply chain pressures. The Danish government aims to support the rapid scaling up of offshore wind energy as part of its broader green energy strategy.
Minister for Climate, Energy, and Utilities Lars Aagaard emphasized the importance of accelerating offshore wind development, stating, “The need for more green electricity and energy in Denmark and Europe is evident. However, we are standing at a crossroads where we must rise to the occasion in order to choose the right path.”
Aagaard further highlighted the government's commitment to advancing the country's offshore wind capacity, adding, “The Danish Government will go all in to establish the conditions that can enable a rapid scale up of Danish offshore wind. We must be able to power a green electricity consumption as well as contribute to a more green and secure Europe.”
The government is also working to finalize details with the industry and political stakeholders to potentially reinstate state subsidies, which could help drive the necessary investments in offshore wind projects. “I hope that the parties of the Parliament will agree on the reasoning behind the possibility of bringing state subsidies back, so we can ensure a green Danish energy supply,” Aagaard said.
In addition to boosting support for offshore wind, Denmark is also increasing funding for green hydrogen initiatives as part of its broader energy transition plans.
