Denmark opened a government tender worth DKK 1.25 billion to support the production of green hydrogen. The PtX tender is an important step towards jump-starting the Danish hydrogen industry and supporting the enormous potential that Denmark has for producing sustainable fuels based on hydrogen produced using electricity from wind turbines and solar cells.
PtX, or Power-to-X, is a technology that uses electrolysis to split water into oxygen and hydrogen, which can be included in fuels, chemicals, and materials. Due to the country’s excellent conditions for wind energy, Denmark has a massive potential to become a global leader in hydrogen production.
Denmark has set a target to build 4-6 GW electrolysis capacity by 2030, and the tender will contribute to achieving that goal. The PtX sector is growing rapidly, and a collaboration agreement with Germany to enable a land-based hydrogen pipeline from Denmark to Germany has been concluded.
Green hydrogen can contribute to the development of sustainable fuels for aircraft, ships, and industry. Minister for Climate, Energy, and Utilities Lars Aagaard stated, “This is a significant step towards our climate goals and the goal of independence from Russian gas.”
The Danish Parliament is considering a bill that strengthens the framework conditions for green technologies such as PtX plants. In parallel, the PtX task force is working to ensure transparency in connection with the approval of PtX plants for the benefit of market players.
This tender will be a crucial factor in Denmark’s path to achieving its climate goals and establishing itself as a leader in the hydrogen market.
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