(Copenhagen / Denmark) – The Danish Energy Agency (DEA) has completed a Power-to-X tender. Four different companies are behind the six winners who will receive state aid. According to the authority belonging to the Ministry of Energy, they could now start setting up the production of green hydrogen in Denmark.
Results of the Danish Energy Agency tender. © Danish Energy Agency
Plug Power Idomlund Denmark, as well as the consortia European Energy and Vindtestcenter Måde K/S, European Energy and Padborg PtX ApS, Electrochaea and Biocat Roslev and European Energy with Kassø PtX Expansion ApS will each receive the full amount requested as part of the tender process. The sixth winner with HyPro Denmark and Everfuel will be offered a reduced budget.
Cumulatively, the companies want to install electrolysis capacities of more than 280 megawatts. Plug Power Idomlund Denmark has the lowest subsidy price with a price of 9,3 crowns (1,24 euros) per gigajoule of green hydrogen produced. State support is granted as a fixed price over a period of ten years.
Once the contracts are signed, the companies have four years to build the electrolysis plants and start producing green hydrogen. However, according to the DEA, most assumed that they would be operational earlier.
The tender was launched in April and the market was said to have shown “great interest”. The bidding companies have applied for more than four billion crowns (0,53 billion euros) for electrolysis capacities of more than 675 megawatts. The budget was only 1,25 billion crowns. It is “the first time we have received an indication of the need for support for green hydrogen,” said DEA Deputy Director Martin Hansen.
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The US company Plug Power Inc. will build electrolysers with a capacity of 100 megawatts in Denmark. © Plug Power Inc.
