• Solar PV secured 83 MW of stand alone projects in the country’s second technology neutral renewable energy auction
  • Onshore wind secured 72 MW while onshore wind and solar PV hybrid capacity selected was 97 MW
  • Average winning prices dropped to DKK 0.0154 per kWh compared to DKK 0.0228 per kWh achieved last year
  • Winning projects will be availing only 61% of the total budget reserved for this tender round and the remaining will be diverted to other technologies

In its second technology neutral renewable energy tender, Denmark has selected three solar PV projects with 83 MW capacity, two projects with 97 MW of onshore wind and solar PV hybrid power (34.1 MW being solar’s share), along with two projects of 72 MW onshore wind turbines. In total, it awarded 252 MW to the winners. This capacity was sifted from seven bids of 135 MW onshore wind and 136 MW of solar PV capacity received initially.

The winning projects need to be grid connected within two years of contracts being signed.

The ceiling tariff for the tender when it was launched in September 2019 was DKK 0.06 ($0.0878) per kWh (see 2nd Tech-Neutral Tender Launched In Denmark). The Danish Energy Agency said the weighted average price these projects will be paid on top of the spot market price for electricity at DKK 0.0154 ($0.0023) per kWh is over 30% lower than last year’s support price of DKK 0.0228 per kWh (see 104 MW PV Awarded In Danish Tech-Neutral Auction).

The total budget for this tender round was DKK 258 million, but the winning projects will be using only 61% of this budget, around DKK 157 million ($23.3 million), which means ‘more and more projects are being set up without support’, said Dan Jørgensen, the Danish Ministry of Climate, Energy and Utilities. Adding,“The low support rates mean that money can benefit elsewhere where the need is greater. This may be support for the development of technologies that allow the green power to be stored and converted into, for example, fuel for aircraft and ships.”   

The complete list of the tender winners is available on the website of the agency.