Annual Report 2016
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DENMARK

Kim Nielsen Rambøll

SUPPORTING POLICIES FOR OCEAN ENERGY


NATIONAL STRATEGY
The “Danish Partnership for Wave Energy” is a network stimulating innovation and collaboration on wave energy development in Denmark. The Danish Wave Energy developers met under this umbrella, in May and November 2016, to discuss and disseminate results from ongoing projects, either national or international. The Partnership is a result of the National strategy on wave energy proposed in 2012 and responsible for the Roadmaps for Wave Energy Development in 2015.


REGULATORY FRAMEWORK
The Danish policies on climate change mitigation is driven partly by compliance with international climate obligations, and partly by achieving national targets in the energy sector, which is a major source of greenhouse gas emissions from Denmark. The regulatory framework for the Danish climate related policies is laid out in the Danish climate law. The law includes the following main messages:

  1. A council on climate change, independent and academically based, is to be established.
     
  2. An energy policy report is to be submitted by the Government to the Parliament every year.
     
  3. New national climate targets are to be established each year.

The Danish Council on Climate Change was established in 2015, and consists of distinguished academic experts in the fields of energy, transportation, agriculture, environmental protection, nature and economics. They are to publish their recommendations to the Government on the climate effort. Further, the experts are to contribute to the public discussion on the Danish climate efforts. The council is appointed for four year terms, and consists of a chairman and six experts. Read more on the work and recommendations of the Council on Climate Change (http://www.klimaradet.dk/en/frontpage).

The Minister of Energy, Utilities and Climate is obliged by the law to submit an annual energy policy report to the parliament. The report presents a status of current greenhouse gas emissions and Denmark’s outlook on compliance with international obligations.

Finally, the climate law obligates the Minister of Energy, Utilities and Climate to propose national climate targets at least every fifth year. The targets must have 10-year perspectives and the level of ambition needs to point towards the ambitions for Denmark to be independent of fossil fuels by 2050.


MARKET INCENTIVES
In Denmark, the incentives for Wave Power Developments are similar to Wind Energy. The Danish Partnership for Wave Energy has proposed methods to improve the Incentives for stimulating Wave Energy Development in Denmark. The incentives in other countries are explored by Floating Power Plant (FPP) which combines wave and wind on a single floating platform. FPP is moving on in partnership with DP Energy in Ireland, creating two new project companies, Dyfed and Katanes Floating Energy Ltd, developing sites in south Wales and north Scotland respectively. In 2015 Floating Power Plant Ltd, established offices in Scotland, to contribute to these developments, as well as building links to the local supply chain. Floating Power Plant P80 technology platform combines a 5-8 MW floating wind turbine with a 2-3,6 MW wave device.


PUBLIC FUNDING PROGRAMMES
The main source for public funding for Wave Energy is the energy technological development and demonstration programme (EUDP). The purpose of EUDP is to exploit and develop the Danish business potential within the energy sector, as well as reaching a number of political goals including supply security, a cleaner environment, and cost efficiency.

EUDP can provide grants for development and/or demonstration of all energy technologies contributing to reaching political goals for energy in the following areas:

  • Biomass technology and systems for transportation and energy
     
  • Wind and other renewable energy technologies (this is where Wave Energy is placed);
     
  • Hydrogen and fuel cell technologies;
     
  • Low energy buildings;
     
  • Energy efficient solutions, including end-consumption and flexible energy consumption;
     
  • Integrated energy systems (integration of technologies), including transportation of energy;
     
  • More effective recovery of oil and gas;
     
  • More effective and environmentally friendly production overall (electricity and gas), including CO2 storage.

EUDP has a yearly budget of approximately DKK 180 million for co-financing the development and demonstration of new and effective energy technologies. With a successful application of the programme, companies will receive:

  • DKK 2.5-50 million for development and demonstration;
     
  • A network of partners for development and commercialisation
     
  • Technology and knowledge transfer.