MINISTRY OF FOREIGN AFFAIRS

OF DENMARK
Invest in Denmark

2021

HYDROGEN
AND PTX
OPPORTUNITIES
IN DENMARK
www.investindk.com
 Denmark:
the green
facts
#1 IN THE WORLD
on climate change action
Environmental Performance Index, Yale University, 2020

Produced renewable
power by 2019: 0% 100%
47% 3%
Greenhouse Gas Green Electricity by

2027
Emissions by

Wind solar 2050

#1 OECD #3 world
RENEWABLE best ENERGY

64%
ENERGY TRENDS system
World Economic World Energy
Forum 2020 Council 2020

Danish Households
Heated by District
Heating

#2 IN ACHIEVING THE SDGS

Denmark aims to be powered entirely by
SDG Index 2020
renewable sources by 2050

#1: Orsted
Government
#2: Chr. Hansen
#6: Novozymes
climate act target:
Danish corporates receive top
rankings on sustainability
Corporate Knights 2020
70%
reduction of CO2 by 2030
WHY DENMARK?

Denmark has adopted the Climate Act requiring a 70% reduction of CO2
Denmark has
emissions by 2030 and Power-to-X (PtX) plays a crucial part to achieve this.
adopted the Climate
• The Climate Action Plan released mid-2020, so far, sets aside DKK 750m Act requiring a 70%
to boost PtX development in Denmark. A PtX and CCUS strategy will be reduction of CO2
formalized.
emissions by 2030
• Large scale projects are currently under development including the 800-
1000 MW “Thor” offshore wind farm (now in the tendering process), the 1
and Power-to-X (PtX)
GW “Hesselø” offshore wind farm (now in the planning process) as well as plays a crucial part to
two new recently presented energy islands providing an initial capacity of achieve this.
2 and 3 GW each by 2030.
• The potential for offshore wind power is estimated to be 40 GW in the
Danish part of the North Sea; and the Danish power consumption by 2040
is only expected to correspond to 13 GW of offshore wind power capacity.

DENMARK HAS THE PREREQUISITES

• Denmark has affordable, green and reliable electricity.
• Onshore wind and large scale solar projects are commercially viable
without subsidies.
• Denmark has some of the most cost-effective (LCOE) areas for offshore wind.
• Extensive infrastructure for gas (grid and storage).

THE DANISH TSO (ENERGINET) WILL:

• Ensure market players can establish PtX clusters.

• Develop hydrogen storage facilities and seek out partnerships to sup-
port a growing PtX market.
• Engage in partnerships within e.g. passenger transport, aviation, ship-
ping, industry and agriculture.
• Examine scenarios for the development of markets and infrastructure
for hydrogen in Denmark.
PTX & SECTOR INTEGRATED INFRASTRUCTURE ON THE WAY
With vast and rapidly
• We can decarbonise 100% using PtX.
• Euroelectric study finds: up to 60-65% of Europe’s transportation and 50% increasing amounts
of Europe’s industrial processes can be electrified. of renewables in
• Remaining transportation sector expected to focus on e-fuels. the Danish grid and
• The North Sea region is pricewise a ‘sweet spot’ for PtX.
goals of reaching
• Localisation of PtX near large scale wind farms reduces need for excessive
power transmission lines.
100% renewables by
• Pipelines add storage and enable exports to a growing international market. 2050, Denmark is well
positioned to realise
PTX projects.
RECENT MARKET DEVELOPMENTS
• Shell Denmark is establishing green hydrogen production with an initial
capacity of 20 MW. The long-term ambition is 1 GW.
• Scandinavian Airlines System expects to use 10% green fuels by 2025.
Their target is 50% carbon neutral by 2050.
• Maersk Line is developing green fuel solutions with the target to be 100%
carbon neutral by 2050.
• Ørsted, Maersk, SAS, DSV and Copenhagen Airport have collaborated to
build a hydrogen plant, which will produce e-fuels. By 2030, the plant will
be the size of 1.3 GW.
• GreenLab Skive has built a green sustainable business park where renew-
ables are created. A 12 MW PtX facility is being established (e-fuels) and
surplus heat is reused.

2050
DIRECT ELECTRIFICATION INDIRECT ELECTRIFICATION (PTX)

ELECTRIFICATION AND POWER TO X

Denmark's
Denmark’s hugehugeRE-potentials
RE-potentials
can can
be be utilized
utilized for electri cations
for electrifications and
and to to indirect
indirect
electri cationvia
electrification viaPtX
power to X for
for sectors sectors
that cannotthat
runcannot run on electricity.
on electricity

Source: Energinet.dk
 2030 TARGET
THE DANISH
STATUS 100% GREEN ELECTRICITY

GREEN
55% GREEN ENERGY
75% green electricity
36% green energy
TRANSITION 10% green Gases 2050 TARGET
100% GREEN ENERGY

THE DANISH TSO’s

ACTION PLAN
Feed-in zones: Where large
amounts of power can be
received without the power
being transported in the grid
on land. Abundant and affordable renewable power needs to be stored
Hydrogen infrastructure: and converted. Waste incineration plants and our many biogas
Hydrogen pipelines making it plants can provide the CO2 that in combination with hydrogen can
possible to store and transport create green fuels for the future.
hydrogen across the country.
Distributed PtX: Smaller
decentralized plants connected
HYDROGEN OPPORTUNITIES:
to the grid.
Documentation of green
energy: Certification to ensure
the end-user that a PtX-product
is produced using green power.
Oil Refinery Transport Industrial Shipping Storage

With vast and rapidly increasing amounts of renewables in the

Danish grid and goals of reaching 100% renewables by 2050, Denmark
is well positioned to realise PTX projects.

AIRPLANES

CO2

WATER HYDROGEN SHIPS

RE ELECTRICITY
FUEL
TRANSITION OF DIFFICULT SECTORS
The figure
The gure shows
showsthe
thesize
needof for
therenewable
need for renewable fuels
fuels (PtX), (PTX), if decarbonisation
if decarbonisation of difficult sectors is to
succeed. The figure shows the energy requirements which are greater than the aggregated Danish INDUSTRY
slightly larger than the Danish electricity consumption for the three shown sectors together.
electricity consumption. Aviation and maritime is based on the portion refueled in Denmark.
Aircraft and ships are based on the part that is tanked in Denmark.
 Denmark:
best country
for business Gateway to the Nordics
Four international airports serve tourism, business
and cargo. Copenhagen Airport has direct international
routes to more than 184 destinations as per January
2020 making it by far the largest airport and logistics
hub in the Nordics.

#1 in europe for ease USD 60,195

of doing business GDP per capita
The World Bank (2008-2020) OECD (2020)

#1 in the world 22% #3 on the OECD Better Life Index

future readiness to exploit (2020)
digital transformation corporate
IMD (2020) tax

Strong infrastructure
Denmark has a strong infrastructure includ-
ing six international airports, sea ports,
bridges and an integrated railway system.
Together, they enable easy distribution of
goods and services to the Nordic markets.

Denmark aims to be powered entirely by

renewable sources by 2050
#1 in the world
attracting and
retaining talents
Language IMD (2020)
Lowest redundancy
9 out of 10 people
costs in the world
speak English and
Shared #1, IMD (2020)
5 out of 10 speak
German.
#1 in the world
on social responsibility
One of the most flexible labour
markets in the world of business leaders
IMD (2020)
IMD (2020)
Headquarters Asia-Pacific Europe North America
Invest in Denmark Shanghai +86 21 8025 0688 Paris +33 1 4431 2121 New York +1 212 223 4545
Ministry of Foreign Affairs Tokyo +81 3 3496 3001 Munich +49 89 5458 540 Silicon Valley +1 650 543 3180
Asiatisk Plads 2, 1448 Copenhagen K Bangalore +91 80 4113 6068 London +44 207 333 0200 Toronto +1 416 962 5661
+ 45 33 92 11 16 Taipei +886 2 2718 2101 Oslo +47 22 54 08 00
indk@um.dk Barcelona +34 93 487 54 86
www.investindk.com

OUR GLOBAL PRESENCE

Oslo
London
Toronto
Paris
Munich
New York Barcelona
Silicon Valley Tokyo
Shanghai
Taipei
Bangalore

WE LOOK FORWARD TO
WELCOMING YOU TO DENMARK
Want to know more about the opportunities Denmark has to offer?

Kim Schultz Maria Hilligsøe Stubberup Assar Naeem Qureshi

Special Advisor Special Advisor Team Leader
Cleantech ICT & Cleantech Cleantech
+45 2140 8380 +45 4115 3125 +45 3392 0862
kimsch@um.dk marstu@um.dk assqur@um.dk

www.investindk.com