The Danish Energy Agency has announced the launch of a tender for 6GW across six offshore wind farm areas.
The move constitutes the largest offshore wind tender in the country's history. The energy generated will serve not only domestic needs but also enable exports and green hydrogen production.
The tendered wind farms are situated in North Sea I, Kattegat, Kriegers Flak 2 and Hesselø.
This initiative is in line with the political agreement on tender frameworks established in spring 2023.
The wind farms are expected to deliver at least 6GW, with the potential to expand beyond this capacity, except for Hesselø, which is capped at 1.2GW.
The Danish Energy Agency suggests that if developers fully utilise the tendered areas, the result could be the construction of more than 10GW of offshore wind capacity.
The tender process will incorporate several requirements to enhance sustainability and social responsibility within the projects.
The 6GW will be tendered without state subsidies, instead incorporating a yearly concession payment to the Danish state over a 30-year period.
This payment grants the right to use the seabed. Additionally, the state will hold a 20% minority ownership in each offshore wind farm.
The agency estimates that building 1GW of offshore wind requires an investment of around Dkr16bn ($2.3bn).
Once operational, the wind turbines will generate enough green electricity to meet all of Denmark's power needs and have the capacity to produce green hydrogen and fuels for maritime and aviation use.
Denmark’s Climate, Energy and Utilities Minister Lars Aagaard said: “Finally, we are able to publish the biggest offshore wind tender in Danish history. With hundreds of wind turbines, we are insuring ourselves against Putin’s black gas, and as of today, Denmark is one large step closer to becoming Europe’s green powerhouse.
“When the wind turbines are operating, we can cover all of Denmark’s power consumption with green electricity – and we can produce hydrogen and green fuels for ships and planes. It is projects of this scale that can make a big, green difference for the climate and our security. Not just for Denmark, but for all of Europe.”
Last month, the Netherlands Enterprise Agency started a tender process for two offshore wind projects in the IJmuiden Ver zone, aiming for 4GW of capacity.
The tender will remain open until 28 March 2024, with plans to add a third plot for an additional 2GW, bringing the total to 6GW.
