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ENERGY

Danes cut electricity use by ten percent with prices ‘the same’ as last year

Electricity prices were similar in January 2022 and January 2023, but consumers in Denmark used around 10 percent less power this year compared to last.

Danes cut electricity use by ten percent with prices ‘the same’ as last year
Electricity prices have returned to more stable levels but Danish consumers are still being efficient. File photo: Bo Amstrup/Ritzau Scanpix

Increased awareness and saving measures appear to have left their mark on Danish electricity consumers, according to a report by broadcaster DR.

As energy bills shot upwards last year because of factors including inflation and the Russian invasion of Ukraine, many began to limit or economise their use of electricity and energy.

Measures included the use of apps to track the hourly price, use of appliances at night and turning down heaters and switching off lights.

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While electricity prices were extremely high during the late summer and autumn last year, reaching over 8 kroner per kilowatt hour in August, they are now back at a comparable level to January 2022, when the price rises were yet to take hold.

Analysis from energy companies NRGi and Norlys have both found that people in Denmark used considerably less electricity in January this year than they did 12 months prior, DR reports.

Norlys said its customers used 13 percent less energy from one January to the next, while NRGi found the same trend, placing the difference at around 10 percent.

“This shows that we have retained good habits,” Norlys Energy’s head of customer service Pernille Storgaard told DR.

That makes sense despite what are currently equivalent energy prices between this year and last, an analyst said.

“The fall in price [since mid-late 2022, ed.] looks like stopping now and then the electricity price will be at the level we have now. That is around 1 krone per kilowatt hour when it’s not windy and a bit less when it’s windy or the sun is shining,” Kristian Rune Poulsen, senior consultant with Green Energy Denmark, told DR.

Denmark’s increased reliance on wind and sun generated power means swings in price are more likely than in the past, he said.

“You can still save money by moving energy consumption by, for example, turning on the dishwasher at night. If you have an electric car, or are a high consumer of electricity, even more money can be saved by being a flexible consumer,” he said.

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ENERGY

Denmark launches its biggest offshore wind farm tender

The Danish Energy Agency on Monday launched its biggest tender for the construction of offshore wind farms, aimed at producing six gigawatts by 2030 -- more than double Denmark's current capacity.

Denmark launches its biggest offshore wind farm tender

Offshore wind is one of the major sources of green energy that Europe is counting on to decarbonise electricity production and reach its 2050 target of net zero carbon production, but it remains far off the pace needed to hit its targets.

Denmark’s offshore wind parks currently generate 2.7 gigawatts of electricity, with another one GW due in 2027.

The tender covers six sites in four zones in Danish waters: North Sea I, Kattegat, Kriegers Flak II and Hesselø.

“We are pleased that we can now offer the largest offshore wind tender in Denmark to date. This is a massive investment in the green transition,”  Kristoffer Böttzauw, head of the Danish Energy Agency, said in a statement.

Investment in offshore wind plummeted in Europe in 2022 due to supply chain problems, high interest rates and a jump in prices of raw materials, before bouncing back in 2023.

A record 4.2 gigawatts was installed in Europe last year, when a record 30 billion euros in new projects were approved, the trade association WindEurope said in January.

It said it was optimistic about the future of offshore wind in Europe, expecting new offshore wind capacity of around five gigawatts per year for the next three years.

However, it noted that that was still far short of what is needed if Europe wants to hit its 2030 target of 111 gigawatts of offshore wind installed capacity, with less than 20 gigawatts installed at the end of 2023.

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