Denmark Unveils Ambitious Offshore Wind Auction, Targeting Gigawatt-Scale Expansion to Bolster European Energy Security and Green Hydrogen Production
Key Insights
Denmark has launched its largest-ever offshore wind tender, aiming to add at least 6 GW of new capacity by 2030, significantly boosting its renewable energy portfolio.
The new auction framework emphasizes innovative solutions like energy islands and hybrid projects, integrating power-to-X technologies for green hydrogen production.
This strategic expansion is poised to enhance European energy independence, reducing reliance on fossil fuels and contributing to regional decarbonization goals.
Industry experts anticipate robust competition among developers, driving down costs and accelerating technological advancements in large-scale offshore wind deployment.
Copenhagen, Denmark – Denmark’s Ministry of Climate, Energy and Utilities has formally launched its most ambitious offshore wind tender to date, aiming to deploy at least 6 gigawatts (GW) of new capacity across multiple sites by 2030. This monumental initiative, unveiled on June 18, is a cornerstone of Denmark's strategy to enhance European energy security, accelerate decarbonization, and establish a robust foundation for large-scale green hydrogen production. The tender represents a significant escalation of Denmark’s commitment to renewable energy, positioning the nation as a pivotal hub for clean power generation and export within the Nordic-Baltic region and broader European grid.
The comprehensive tender package includes sites in the North Sea and Baltic Sea, with specific areas designated for both traditional grid-connected wind farms and innovative energy island concepts. Notably, the framework encourages bids that integrate Power-to-X (PtX) solutions, enabling direct production of green hydrogen or ammonia from offshore wind electricity. This forward-looking approach aims to maximize the value of renewable generation by creating a flexible energy system capable of meeting diverse demands, from industrial feedstock to sustainable shipping fuels. Developers are invited to propose projects with capacities ranging from 1 GW to over 3 GW, leveraging the latest turbine technologies, including models exceeding 15 megawatts (MW) per unit.
Industry analysts project that the total investment required for these projects could exceed €15 billion, attracting significant capital from major European and international energy developers. This move is particularly timely given the ongoing geopolitical shifts emphasizing energy independence across Europe. Denmark, already a global leader in wind energy with over 7 GW of installed wind capacity, including significant offshore assets like the Horns Rev 3 wind farm, is setting a new benchmark. This tender aligns with the broader European Union targets for offshore renewable energy, which aim for 300 GW by 2050, and complements similar ambitious plans in countries like the United Kingdom and Germany. The Danish government’s clear policy signals and de-risking mechanisms, such as state co-ownership options and streamlined permitting processes, are designed to foster a competitive and attractive investment climate.
The successful realization of these projects will not only meet Denmark’s domestic electricity needs but also generate substantial surplus power for export, strengthening regional grid stability and facilitating cross-border energy trade. The integration of PtX facilities is expected to drive down the cost of green hydrogen, making it a more viable alternative to fossil fuels in hard-to-abate sectors. As stated by Dan Jørgensen, Denmark’s Minister for Climate, Energy and Utilities, "This tender is a testament to our unwavering commitment to a green future and our role in securing Europe’s energy supply. We are not just building wind farms; we are building the energy infrastructure of tomorrow, enabling a truly sustainable economy." This strategic vision positions Denmark at the forefront of the global energy transition, demonstrating how ambitious policy can translate into tangible, large-scale clean energy deployment.