New report: Insufficient port capacity blocks Denmark’s climate targets
A new report from the CIP Foundation showcases how Danish ports currently lack the necessary capacity to meet the Danish targets for offshore wind expansion. The combination of under-dimensioned ports, uncertain and uneven planning of the offshore wind expansion, and relatively few port areas contribute to significant upcoming bottlenecks in the expansion, potentially hindering the fulfilment of the climate targets and, consequently, also the recently public tender of the largest offshore expansion in Danish history.
The green transition requires a comprehensive expansion of renewable energy. By 2030, Denmark aims to more than quintuple its historical offshore wind capacity built over 20 years. Moving towards 2050, Denmark plans to expand its Danish offshore wind capacity to a total of 52 GW, compared to the current 2.3 GW.
Simultaneously, the wind turbines are getting both larger and heavier. As early as 2025, the 15 MW-offshore wind turbine is expected to be the industry standard. With a weight increase of 50 percent, this poses new requirements for the port’s bearing capacity and channel depth. This creates unprecedented pressure for the ports, from where the turbines are produced and installed.
In their new report, the CIP Foundation establishes that only a few ports can meet this demand today, and that even with upgrades to all Danish installation ports, Denmark will not be able to meet the offshore expansion targets due to bottlenecks in the peak years leading up to 2030.
”The green transition risks getting stuck on the dock because we simply are not capable of installing the offshore turbines required to meet the expansion targets. This is due to the projects becoming more numerous and the turbines becoming larger and heavier. Consequently, there is a need for significant investments into the Danish ports,” says Managing Partner of the CIP Foundation, Charlotte B. Jepsen.
Specifically, the CIP Foundation calls for upfront/transparent offshore wind expansion plans such that investment decisions can be made on a certain foundation.
”It is a challenge that political ambitions are substantial while only a few of the offshore wind projects are known. It creates uncertainty throughout the value chain, when there is a lack of transparency concerning where the specific projects will be installed, when they will be installed, and which developer will be responsible. That uncertainty hinders decisions regarding these large irreversible infrastructure investments in Danish port capacity, due to a missing investment signal from the political side,” says Charlotte B. Jepsen.
Danish ports can play a key role in Europe’s green transition
Despite these challenges, Danish ports are well-positioned in the international competition in Northern Europe which is characterized by an even greater lack of port capacity. Both the capacity in Danish installation ports and the many years of experience with offshore wind turbine installation make the ports a significant player in both the North Sea and the Baltic Sea.
”The good and bad news is that the issue prevails in the rest of Europe, so at this point in time there is limited help to get from abroad. On the other hand, we can, if we handle the challenge correctly, create a new export adventure for Danish ports, which could become central in Europe’s green transition. But that requires action from us. Otherwise, international competitors will overtake us,” says Charlotte B. Jepsen.
In total, the CIP Foundation has identified an expected 91 GW of offshore wind turbines to be installed from Danish ports leading up to 2050. This includes 52 GW of Danish offshore wind and nearby foreign offshore wind farms where Danish ports are closest.
By investing in an upgrade of the Danish installation ports, streamlining regulatory processing, and accelerating offshore wind tenders can help Denmark meet its expansion goals, while creating thousands of jobs and growth of up to 80 bn. DKK over the entire period.
Contacts:
Charlotte B. Jepsen, Managing Partner at the CIP Foundation
Phone: +45 41 93 31 98
About the CIP Foundation:
At the CIP Foundation, we conceive and implement long-term projects that support the transformation of Danish society towards a more sustainable future. We are an independent and non-profit organisation that delivers concrete and implementable solutions for a long-term transformation of Danish society. Our goal is to ensure that the next generation experiences a sustainable Denmark, which is better equipped with a 100% green agricultural and food sector, intelligent digital solutions in the public sector, and a future-proof infrastructure in a cohesive society