Policies in Denmark

Denmark has for many years supported electricity production from renewable energy sources through various support schemes. In recent years, a shift has been made from technology specific support to a higher degree of technology neutrality and a more marked based approach through e.g., multi-technology tenders. Support for certain technologies has also been phased out recently. This includes biomass, where a premium tariff scheme was phased out in 2019 (but remains for depreciated installations) and biogas, where a scheme including direct grants for end-users was phased out in 2020. Concerning biogas, it was however later decided to introduce a new subsidy tender for biogas and other green gasses in the period 2024-2030. This has not yet been adopted (NECP Denmark, 2019; Climate Agreement 2020).
In the 2018 Energy Agreement the Danish Parliament agreed to aim for a renewable share of total energy consumption of approximately 55% in 2030. This is expected to result in a renewable share in electricity above 100% of consumption by 2030 (NECP Denmark, 2019).

• Loan (loan guarantees for local projects) - guarantees for loans for local owner associations and initiative groups wishing to establish certain RES installations
• Premium tariff (test wind turbines and depreciated biomass installations) – support through a premium tariff for test wind turbines within and outside national test centres and for depreciated biomass installations. A premium tariff scheme for biomass in general was phased out in 2019.
• Tenders (offshore wind farms) - site- and size-specific tenders for offshore wind farms decided in broad political agreements.
• Tenders (technology neutral) – tenders covering offshore wind established following an unsolicited application procedure, onshore wind, solar PV, wave power and hydroelectric power.
• Net-Metering – exemption from certain public tariffs and electricity tax on the electricity produced and consumed within one hour.

DEA

In Denmark, the support schemes for RES-T focuses on reducing taxes for zero and low emissions transport as well as mandating that biofuel is mixed in with conventional fuels.
Denmark has set a general goal of a reduction of greenhouse gas emissions of 70% by 2030. For the RES-T sector, Denmark expects to phase out new purchases of fossil fuel-based cars by 2030. It is expected that by 2030, 19% of the energy consumption in the transport sector will be from renewable sources. (NECP Denmark, 2019)

• Biofuel quota – For petrol and diesel fuels, at least 7.6% of the volume must be biofuels and the total greenhouse gas output for fuels must be reduced by 6% (compared to 2010 levels).
• Electricity tax reduction for charging EVs – The electricity tax is reduced for charging EVs at corporate premises.
• Reformed vehicle registration tax – The registration tax for new vehicles is reduced, but a second charge is applied to petrol or diesel-driven vehicles and to plug-in hybrid vehicles at a reduced rate. Until 2030, the tax reduction is gradually tapered off.

• DTA
• DEA
• DRA