Denmark Targets This Autumn for Offshore Wind Tender Reboot with State Support

May 20, 2025, by Adnan Memija

The Danish government will launch a 3 GW offshore wind tender this autumn, providing support through two-sided Contracts for Difference (CfD), following the suspension of the previous auction round earlier this year.

The tender will open in autumn 2025 and will cover three areas, two in the Danish North Sea and one separating Denmark from Sweden.

The bid deadline for Nordsøen Midt and Hesselø is scheduled for spring 2026, with Nordsøen Syd expected in autumn 2027.

The first two offshore wind farms are expected to be completed by 2032, with the final project scheduled for 2033.

“We have chosen locations in both Eastern and Western Denmark, so that the parks benefit the electricity price throughout Denmark, and there will be local jobs and business opportunities on both sides of the Great Belt. The many parties behind the agreement have chosen the path of action and to take responsibility in uncertain times, and I would like to thank them for that,” said Lars Aagaard, Minister for Climate, Energy and Utilities.

It is expected that 150 turbines of 20 MW each will be installed. The units could have a 150-metre-high tower and a blade diameter of 260 metres, with a total height of 280 metres.

In December 2024, the Danish Energy Agency (DEA) announced that it received zero bids for three offshore wind sites in the North Sea. A month later, the Ministry for Climate, Energy and Utilities suspended all offshore wind tenders and started working on a new auction round that could include state subsidies.

Denmark Cancels 3 GW Offshore Wind Tender, Gov’t Eyes Auction with State Subsidies

Planning & Permitting

The Danish government has now committed DKK 27.6 billion (EUR 3.7 billion) in state support, with insurance coverage of up to DKK 55.2 billion (EUR 7.4 billion) through a two-sided capability-based CfD model.

According to the ministry, the bid price and the development of electricity prices will determine whether it will be necessary to support the projects or whether money will come to the state.

“We need more secure green power and energy to make Denmark and Europe independent of energy from Russia. We are taking a big step towards that now. There have been bumps in the road globally in getting offshore wind up in recent years, and that is why we have also agreed that the state will lend a helping hand to the projects if necessary,” said Aagaard.

Other areas investigated in connection with the 6 GW tenders are said to be put into play at a pace that the market can bear and that can support Denmark becoming a net exporter of green electricity.

“With the three new parks, we will double Denmark’s total capacity of offshore wind. And with the two parks in the North Sea, we can produce green electricity that can, among other things, be used to produce hydrogen, which is crucial for the upcoming hydrogen pipeline from Esbjerg to the German border,” said Henrik Frandsen, Climate, Energy and Utilities Spokesperson for the Moderates.

Last month, TotalEnergies and European Energy signed a joint declaration to pursue offshore wind opportunities in Denmark and expressed their ambition to participate in the upcoming tender.