The Danish Energy Agency has recently published the tender material for the CCS pool. The tender will be worth approximately DKK 28 billion and will ensure carbon capture and storage already from 2029.
It is expected that the pool will contribute 2.3 million tonnes of CO2 annually from 2030. The deadline for applications to participate in the tender is 25 March 2025.
Contributing to achieving climate goals
Carbon capture and storage (CCS) is considered one of the most important tools for achieving both national and international climate goals. The CCS pool will ensure CO2 reductions or negative emissions that contribute to the achievement of Denmark's climate goals.
The pool will cover costs for capture, transport and geological storage of fossil, biogenic or atmospheric CO2 over a 15-year contract period. The support is conditional on the capture plant being put into operation by 1 December 2029 and a minimum requirement for full capture and storage from 2030.
Maximum competition
The large pool is designed to ensure maximum competition for funds to maximise CO₂ reduction at the lowest possible cost. The support will be paid per tonne of CO2 captured and stored, and it will be possible to enter into contracts with several different stakeholders. Beneficiaries can be stakeholders from the entire CCS value chain, consortia or a third party that will be responsible for the entire value chain, i.e. capture, transport and storage.
Like the first CCUS tender, this tender will also offer some flexibility with an opt-out option, allowing contract holders to withdraw from the contract if, for example, they see a better business opportunity in selling CO2 for utilisation purposes.
The implementation of the new total CCS pool requires state aid approval from the European Commission.