Promotion in Denmark


Updated: 04.01.2019

Author: Karl Wikberg

Summary of support schemes

  • Premium tariff. In Denmark, the generation of electricity from renewable sources is promoted through a premium tariff system based on bonus payments. The operators of renewable energy plants usually receive a variable bonus, which is paid on top of the market price. The sum of the market price and the bonus shall not exceed a statutory maximum per kWh, which depends on the source of energy used and the date of connection of a given plant. 
  • Tenders. A premium tariff for wind and solar PV awarded through tenders and a tender scheme for pilot project mills 
  • Net–Metering. Electricity producers using all or part of the electricity produced for their own needs are totally or partly exempt from paying Public Service Obligation on this electricity. The Public Service Obligation is a charge levied to support renewable energy.
  • Loan guarantees. Associations of wind and solar energy plant owners and other local initiatives may apply for guarantees for loans for feasibility studies that are conducted in the run-up to the construction of a wind-energy plant.


VE-Lov governs the promotion of technologies for the generation of electricity from wind energy, biogas, biomass, solar energy, wave and tidal energy as well as hydro-electric power stations whose capacity does not exceed 10 MW.

Statutory provisions

  • VE-Lov (Bekendtgørelse af lov om fremme af vedvarende energi ACT No. 1194/2018 – Decree on the Promotion of Renewable Energy Act)
  • Act on Electricity Supply (Bekendtgørelse af lov om elforsyning ACT No. 1009/2018 – Decree on the Electricity Supply Act)
  • BEK 999/2016 (Bekendtgørelse om nettoafregning for egenproducenter af elektricitet – Decree on Net-metering for the Producers of Electricity for Own Needs)
  • Political Agreement (Stemmeaftale Mellem Regeringen (Venstre, Liberal Alliance, Det Konservative Folkeparti) og Dansk Folkeparti om ny støttemodel for vind og sol i 2018-2019) Political Agreement about new wind and solar support model in 2018-2019


      Further information

      • Energi-, Forsynings- og Klimaministeriet (ESKM) – Danish Ministry of Energy,- Utilities and Climate
      • +45 33 92 28 00
      • EFKM website
      • efkm(at)