New Energy World™
New Energy World™ embraces the whole energy industry as it connects and converges to address the decarbonisation challenge. It covers progress being made across the industry, from the dynamics under way to reduce emissions in oil and gas, through improvements to the efficiency of energy conversion and use, to cutting-edge initiatives in renewable and low-carbon technologies.
Large-scale power-to-x facility planned in western Denmark
14/12/2022
News
Ørsted and Skovgaard Energy, a Danish renewable energy developer, have signed a letter of intent to jointly develop a power-to-x facility in Denmark that they claim will play a central role in the start-up of the Danish power-to-x industry as well as helping to establish large-scale exports of renewable hydrogen to Europe.
The first phase of the project will have an expected electrolysis capacity of 150 MW and will be powered by onshore wind and solar PV.
The power-to-x facility will be located in Idomlund, near Holstebro in the western part of Denmark, which is also potentially scheduled to be the landfall for parts of the huge offshore wind build-out in the North Sea. According to Ørsted and Skovgaard Energy, the European Union (EU) countries around the North Sea have set combined offshore wind targets of 65 GW by 2030 and at least 150 GW by 2050 and they anticipate that the new power-to-x project will create additional value.
The project partners hope to expand the power-to-x facility’s electrolysis capacity to more than 3 GW in the future, while exporting the hydrogen on a large scale and contributing to the ‘green transformation throughout Europe’. This will also contribute significantly to Denmark’s target of 4–6 GW of electrolysis capacity by 2030 and could make the facility one of the largest in Europe, they add. The partners also note that the European Commission (EC) expects that tens of billions of euros will be invested in power-to-x projects towards 2030, and that Denmark, with its strong offshore wind resources, is well-positioned to play a leading role in the development of this industry.
Anders Nordstrøm, Chief Operating Officer of Ørsted P2X, says: ‘Europe needs green solutions at scale to fight climate change and to secure regional energy independence. Few countries have as strong a potential to become a green energy exporter as Denmark due to its abundant and low-cost offshore wind resources, which are supplemented by onshore wind and solar PV. By partnering with Skovgaard Energy on the Idomlund project, Ørsted is entering one of the most strategically advantageous projects to leverage the strong fit between large-scale renewable energy and power-to-x.’
The two companies are both heavily involved in the development of power-to-x. Skovgaard Energy and partners are building what is claimed to be Denmark’s first dynamic power-to-x plant for the production of green ammonia, while Ørsted has constructed the H2RES renewable hydrogen project at Avedøre power station in Copenhagen, where the flagship ‘Green Fuels for Denmark’ project is also located.
