New winds blowing for green transition
Energinet is starting the next chapter of the green transition. It centres on the full conversion of the energy sector, but also on the way in which energy can contribute to the green transition of difficult sectors such as transport, agriculture and industry. The company’s brand new strategy, ‘Winds of change’, has just been published.
“We need to speed up the green transition, and green energy is one of the most important preconditions for creating a world in which global climate change is halted, and where people can live good lives,” says Thomas Egebo, President and CEO of Energinet, about the background for the company’s new strategy entitled ‘Winds of change’.
In the strategy, Energinet talks about the company’s ambitions for the green transition.
“Energinet can play an important role in the next phase of the green transition. But we must be willing to learn new things and develop new solutions. It is a process which calls for greater curiosity and risk appetite,” says Thomas Egebo.
In the ‘Winds of change’ strategy, Energinet commits to exploring and realising the potentials in the next phase of the green transition. These are potentials capable of supporting the completion of the green transition of the energy sector while also making a significant contribution to reducing emissions of climate gases from, for example, aviation, ocean-going ships, agriculture and industry.
“Energinet’s core service is security of supply and ensuring a cost-effective and sustainable energy supply. This is not going to change. But now it is also a matter of taking new steps in the areas where Energinet can contribute to realising the Danish climate objectives for the energy system, and this is what we are focusing on in the new strategy,” explains Lars Barfoed, Chairman of the Board of Directors of Energinet.
“In Denmark, there is considerable potential for expanding the generation of wind power from offshore wind farms. Energinet is responsible for the transmission system connecting the offshore wind farms to businesses and citizens as well as ensuring the necessary interconnectors. There must be sufficient capacity in the main electricity grid, but at the same time, we must promote sector coupling and digitalisation in order to achieve the most efficient energy sector infrastructure possible,” says Lars Barfoed.
Speeding up the transition
The energy sector is undergoing a major transformation as a result of national and international agreements to convert to climate-neutral societies. As is the case for everybody working with energy, Energinet is kicking off its new strategy at a historical moment.
Thomas Egebo, President and CEO of Energinet, says:
“The enormous Danish offshore wind resources can cover a fully electrified Denmark three times, and on land renewable energy is booming on market terms. Through the production of green fuels, Denmark’s position of strength can contribute to significantly reducing greenhouse gas emissions from difficult sectors such as the very heavy goods transport sector.”
In ‘Winds of change’, Energinet is committing to exploring and realising four potentials which, in our view, are key to being able to contribute effectively to the green transition now and looking ahead:
1. Sector coupling and Power to X
Green gas and conversion of electricity to hydrogen, heating and RE-based fuels will be essential to reducing the climate impact of difficult sectors such as agriculture and transport. In this area, Energinet will, for example: Engage in knowledge partnerships within, for example, passenger transport, aviation, shipping, industry and agriculture.
2. Offshore wind power on a large scale
The wind power potential in Danish waters is more than three times higher than the electricity consumption in a fully electrified Denmark. New large-scale solutions will be of decisive importance to the Danish contribution to Europe’s green transition. In this area, Energinet will, for example: Support the political ambitions centring around hybrid solutions and energy islands at sea.
3. Solar and wind power on market terms
Renewable energy generation facilities are popping up in larger numbers and faster than previously anticipated. This is a good and necessary development towards meeting our ambitious climate targets. However, new solutions are needed for this development to continue. In this area, Energinet will, for example: Work for greater agility in decision-making processes concerning the expansion of the electricity grid.
4. Collaboration with society
The development towards a climate-neutral society will require infrastructural expansion. New technological solutions, the consideration of new interests and new forms of collaboration and partnerships in society will be essential. In this area, Energinet will, for example: Optimise on all possible parameters in order to increase capacity in the existing grid without adding new overhead lines as part of the future expansion in so far as this is possible.