By Maggie Johnson
December 7, 2024

Image Credit: “Offshore wind is on the rise, but what does the future hold?” available at Yahoo Images (12/07/2024).
Denmark’s largest-ever offshore wind power tender, a crucial step in significantly expanding the nation’s renewable energy capacity and a cornerstone of the country's ambitious climate goals, ended without a single bid, dealing a significant blow to the nation’s environmental aspirations.
The Danish Energy Agency confirmed on Thursday that no bids were received for three planned offshore wind energy projects in the North Sea by the submission deadline, raising concerns about challenges in the sector. This setback comes as Denmark seeks to more than triple its offshore wind capacity by 2030. The agency announced urgent plans to engage with industry stakeholders to understand the need for more interest in future projects.
Lars Aagaard, Denmark’s Climate and Energy Minister, expressed profound disappointment over the outcome, calling it “far from what was anticipated” when parliament overwhelmingly supported the initiative to boost offshore wind power.
This tender marked the first phase of a larger effort to establish at least 6 gigawatts of offshore wind power across six wind parks by the end of the decade. However, the absence of bids has raised concerns about the feasibility of future rounds. “These results do not inspire great optimism for the remaining projects,” Aagaard admitted, hinting that “other players and business models” could emerge before the next deadline in April.
Denmark, home to leading wind-energy giants like Vestas Wind Systems A/S and Orsted A/S, has long been a global frontrunner in renewable energy. The proposed wind farms, with the Danish government planning to hold a 20% ownership stake, are crucial to achieving the nation’s target of carbon neutrality by 2045.
The unexpected outcome underscores challenges in the offshore wind sector, even in countries with strong renewable energy track records. As Denmark reevaluates its approach, the government must identify and address barriers deterring investors, ensuring that future tenders can help meet the nation’s climate objectives.
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