After the “no bid” debacle in last December’s 3GW offshore wind auction, Danish authorities launched an extensive consultation with the wind industry to pinpoint the issues and chart a path forward.

Now, as a direct outcome of that process, a new support mechanism is on the table: a Contract for Difference (CfD) scheme—already proven in other European markets—backed by a €62 billion state aid package. This marks a significant shift in Denmark’s approach to securing its renewable future.

What does this mean for the wind sector, Denmark’s decarbonization goals, and the future electricity market?

Join us at the upcoming DAEE seminar to explore the implications and opportunities of this policy pivot.

 

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RWE (joint presentation)

• Anders Kruger, Senior Commercial Analyst
• Mattia Baldini, Offshore Senior Bid Manager
• Topic: RWE´s latest insights on the current state of offshore wind development in Denmark: How the new CfDs framework may support future growth and outcomes of the latest auction round.

 

DTU 

• Prof Lena Kitzing,
• Prof Dogan Keles

Title: The impact of two-sided Contracts for Difference on debt sizing for offshore wind farms Topic:  

Two-sided Contracts for Difference (CfD) are a remuneration mechanism that stabilizes revenues and leads to better financing conditions for offshore wind farms. Yet, many leading offshore wind markets in Europe still apply one-sided CfDs, which often result in zero bids and merchant risk exposure. We analyse two-sided CfD impact on debt size for offshore wind developers and demonstrate less financial distress compared to projects with merchant revenues.