Loan (loan guarantees for local projects)

RE Act

Local owner associations and initiative groups wishing to establish wind turbines or solar PV, hydro-power or wave-power installations can apply to DEA for guarantees for loans covering feasibility studies. Applications can be sent continuously as long as funds are available (§ 21 RE Act).

Within a total budget of EUR 1.3 million (DKK 10 million) guarantees can be issued by DEA according to the amount available at any given time. The maximum guarantee amount per project is EUR 67,235 (DKK 500,000) (§ 21 RE Act).

To be eligible, a local owner associations or initiative group must have at least 10 members. The majority of these must be residents in the municipality in which the RES installation is to be constructed or live within 4.5 kilometres from the building site. In case of offshore wind turbines, the relevant municipality coastline must be located within 16 km from the site. The scheme does not cover installations for self-consumption (§ 21 RE Act).

An application form must be filled oud and sent by email or post to DEA. The application must include i.a. a description of the project and planned feasibility studies and documentation concerning the eligibility requirements.
If sufficient funds are available the guarantee will be issued by DEA. The guarantee expires when the installation is connected to the grid, but in the case of wind turbines, no later than three months after the blades have been mounted (§ 21 RE Act).

DEA