EU offers €1.7b in aid to boost Danish renewable gas production

The European Commission has approved a €1.7 billion (DKK 13 billion) Danish scheme aimed at boosting the production of renewable gas, such as upgraded biogas and e-methane, to be injected into the country’s grid.

The initiative aligns with the European Green Deal and the REPowerEU Plan to reduce reliance on Russian fossil fuels and accelerate the green transition.

The scheme will support the construction and expansion of renewable gas plants, aiming to produce 7.9 petajoules of renewable gases annually. It offers a price premium per gigajoule of gas produced, awarded through a competitive bidding process.

The initiative is expected to reduce greenhouse gas emissions by 450,000 tons of CO2 annually starting from 2033, contributing to Denmark’s goal of reducing emissions by 70 per cent by 2030 and achieving carbon neutrality by 2050.

Attribution: The European Commission

Subediting: M. S. Salama