We got word this afternoon that the Institute for Energy Research (IER), a polluter front-group, has released a study from CEPOS, a Danish think-tank, that claims to show that wind power’s contribution to the power supply in Denmark is overstated.
We need to look at the substance of the charge, but in the meantime it is well worth knowing that both IER and CEPOS are tied to polluter funding. IER is run by former Koch Industries and Petroluem Refiners lobbyist Thomas Pyle. And IER has recieved $150,000 from the Charles and David Koch-controlled Claude R. Lambe Foundation since 2006.
CEPOS, the originator of the study, was also awarded a $100,000 grant from the Atlas Economic Research Foundation, which in turn received funding from the Charles G. Koch Foundation.
This is reminiscent of the "Spanish" study, a bogus analysis trashing green jobs that has been debunked by the US, Spanish governments and others. The Wall Street Journal noted that the author is a fellow at a think-tank that has received funding from ExxonMobil, and just as with the Danish study, it was the Koch-funded IER that pushed the Spanish study out as well when it hit US shores.
It kinda makes me think that the polluters are so desperate to debunk the value of clean energy they are having to import their studies from overseas.
POWER POLITICS: Big Oil behind shady climate bill attack By Sue Sturgis
In an effort to scuttle key climate legislation being considered by Congress, a mysterious group calling itself the American Energy Alliance is running radio ads targeting 11 key moderates on the House Energy and Commerce Committee. The bill in question — the American Clean Energy and Security Act sponsored by Reps. Henry Waxman (D-Calif.) and Edward Markey (D-Mass.) — would create a cap-and-trade system for greenhouse gas pollution with tougher targets than those proposed by President Obama, promote renewable energy and expand electric vehicle production.
In recent days, questions have been raised about who’s behind AEA.
So we looked for clues and discovered Big Oil’s fingerprints — more specifically, those of Koch Industries, the nation’s largest private oil and gas company.
Last week, the Climate Progress blog reported on the shadowy 501(c)(4) advocacy group, which on its website says it’s an "independent affiliate" of the Houston-based Institute for Energy Research. Climate Progress wrote (bracketed correction ours):
Aside from the cryptic nature of the oxymoronic phrase "independent affiliate," it is worth noting that the Institute for Energy Research "has received $307,000 from ExxonMobil since 1998." The [CEO] of IER is one Robert Bradley "who previously served as Director of Public Policy Analysis at Enron, where he was a speechwriter for CEO Kenneth Lay," who was convicted on fraud and conspiracy charges on May 25, 2006.
AEA’s website says the group started in May 2008. But Sourcewatch points to a 1993 Time magazine story that documents a group by the same name launched by the National Association of Manufacturers and the American Petroleum Institute to fight the so-called B.T.U. tax, a proposed Clinton-era levy that would have hit oil especially hard. Adding to the questions around AEA, the New Mexico Independent tried to learn more about the group but could find no Federal Energy Regulatory Commission or Internal Revenue Service filings.
National Public Radio’s Secret Money Project helpfully shined some light on AEA last year, when it reported that the group is run by Thomas Pyle, who also serves as IER’s president. Previously a policy analyst for former U.S. Rep. Tom Delay (R-Texas), Pyle recently lobbied for the National Petrochemical & Refiners Association — and Koch Industries.
We discovered another curious connection between AEA and Koch Industries: It appears that for a time AEA shared a Washington, D.C. suite with the Charles G. Koch Charitable Foundation, one of the Koch Family Foundations whose funding comes from Koch Industries. AEA lists its address as 655 15th Street, NW Suite 825 in Washington; that was also the address for the Charles G. Koch foundation until that outfit moved to Arlington, Va. about eight months ago, according the foundation’s receptionist. A filing with Washington state’s Secretary of State for fiscal year 2007 gives as AEA’s address the 15th Street location.
Charles G. Koch, head of his eponymous foundation, owns Kansas-based Koch Industries with his brother David, who also operates a charitable foundation bearing his own name. Charles and David Koch respectively are the 19th and 20th richest people in the world, according to Forbes magazine. The sons of ultraconservative John Birch Society founding member Fred G. Koch, the Koch brothers have used their oil wealth to fund an extensive network of free-market advocacy groups.
As Facing South reported earlier this year, the Charles G. Koch Charitable Foundation and the Claude R. Lambe Charitable Foundation — another of the Koch Family Foundations — were the financial forces behind the recent campaign opposing the $787 billion economic stimulus bill approved by Congress. Among other things, the stimulus legislation offered $50 billion for sustainable energy alternatives including financial support for plug-in cars.
It’s not surprising that the Kochs would be involved in the effort to block the clean energy legislation, as they have long financed organizations working to raise questions about the reality and urgency of climate disruption. Those groups include Citizens for a Sound Economy, a national policy think tank headquartered in Washington, D.C. that has called global warming "a verdict in search of evidence," as well as the North Carolina-based John Locke Foundation, whose efforts to scuttle action on global warming at the state level were documented in a special Facing South investigation.
Besides supporting policy organizations that work to oppose action on climate disruption, the Kochs also engage in direct lobbying. DeSmogBlog reports that last year alone, Koch Industries spent $15,450,000 on lobbying — almost 98% of which was used to lobby specifically for oil and gas interests. (Koch Industries also owns Atlanta-based paper giant Georgia-Pacific.) In addition, Koch Industries contributed $1,200,500 to various federal political candidates in 2008 — almost as much as ExxonMobil, whose revenues are five times larger.
The intense politicking around the Waxman-Markey bill has already led its sponsors to seek special deals with some members of the Energy and Commerce Committee. The Washington Examiner reported that Waxman, the committee’s chair, offered some lawmakers generous emissions breaks for their districts in order to protect them from the economic hit of greenhouse gas pollution restrictions. They include Rep. Gene Green (D-Texas), whose Houston-area district has several oil refineries, a major source of greenhouse gas pollution.
According to AEA, its radio ads opposing the climate legislation began airing on April 29 and are scheduled to run for two weeks in the home districts of Reps. John Barrow (D-Ga.), G.K. Butterfield (D-N.C.), Mike Doyle (D-Pa.), Charlie Gonzalez (D-Texas), Baron Hill (D-Ind.), Jim Matheson (D-Utah), Charlie Melancon (D-La.), Tim Murphy (R-Pa.), Mike Ross (D-Ark.), and Betty Sutton (D-Ohio).
AWEA Fact Sheet on Bogus Denmark Wind Study
THE FACTS ABOUT WIND POWER IN DENMARK AND THE UNITED STATES
On September 14, the Institute for Energy Research (IER), an anti-clean energy industry funded group, began distributing a collection of claims–some misleading and others outright false– about wind power in Denmark in a report "Wind Energy – The Case of Denmark".
These claims were presented in a study commissioned by IER and accompanying fact sheets that presented the report’s conclusions in an even more misleading manner.
Here are the facts about wind power in Denmark and the United States.
Wind Capacity, Generation & Potential
-Denmark produced 20% of its electricity from wind power. In 2008, Denmark produced nearly 3,200 megawatts (MW) of wind power – enough to power roughly 1 million U.S. homes.
-Other European countries successfully obtain a sizable share of their electricity from wind energy, including Spain (12%), Germany (7%), Portugal (9%), and Ireland (8%).
-With a much larger demand for power, the U.S produces 1.25% of generation from wind power with our 25,400 MW of wind (enough to power around 7 million U.S. homes) at the end of 2008. But the U.S. has a wind resource potential of nearly 13,000,000 MW, or roughly 20 times the peak electricity demand in the U.S. The U.S. also has 200 times the land area of Denmark and higher average wind speeds, making it an ideal location for the development of wind power.
Production vs. Consumption of Electricity and Emissions Displacement
-Wind power displaces the most expensive fuel source, commonly natural gas, but also coal and oil. Wind energy can also be used to reduce the output at hydroelectric dams, where water can be stored to later displace fossil fuels. Thus, every unit of wind energy offsets a carbon-emitting unit of fossil fuel generation.
-According to the BTM Consult World Market update for wind in 2008, the wind energy produced in Denmark in 2009 will displace over 5 million tons of CO2 across the European Union.
-In the U.S., wind production by the wind farms installed through 2008 will avoid over 44 million tons of CO2 annually.
The laws of physics (as well as the principles of economics) dictate that electricity will flow from where it is produced to where it is needed. For example, in the U.S. during the winter, electricity flows from California through transmission lines to the Pacific Northwest to heat homes there, while power flows in the opposite direction during the summer to run California’s air conditioners.
In the United States, the displaced source of electricity can be several states away; in Europe, several countries away. In some cases, wind energy allows a hydroelectric plant to store additional water behind its dam, which can then be used later to displace marginal fossil fuel sources.
-Denmark employs nearly 30,000 people in the wind industry.
-The U.S. wind industry employs 85,000 people.
-The European Commission found that “It is therefore of immense value that increasing the share of [renewable energy] not only does not harm the economy, but actually benefits it by creating jobs and increasing GDP.”
Denmark has established itself as a leader in not only wind energy production, but in wind energy companies, manufacturers, and advanced R&D centers, creating 30,000 jobs in the wind energy sector. The manufacturing of wind turbines and components represents a once-in-a-generation opportunity for the U.S. job market as the global wind industry builds out its supply chain and decides where to locate factories, potentially allowing us to transition our manufacturing from declining sectors into the growing wind industry which already employs 85,000. In 2008 alone, the U.S. actually brought online, announced or expanded 55 wind manufacturing facilities, representing over 10,000 manufacturing jobs.
According to a recent report funded by the European Commission, renewable energy technologies like wind and solar contribute additional jobs in the European Union and strengthen its economy: “Policies that support renewable energy sources give a significant boost to the economy and the number of jobs in the EU. Improving current policies so that the target of 20% [renewable energy supply] in final energy consumption in 2020 can be achieved will provide a net effect of about 410,000 additional jobs and 0.24% additional gross domestic product”.
Energy Production and Energy Subsidies
-Supporting energy production, as a public good, is common and prudent national policy. The U.S. Government Accountability Office (GAO) states, “Because of electricity’s importance to producers, consumers, and businesses, the federal government has undertaken a wide range of programs to develop the electricity sector, which includes fuel suppliers, electric utilities, and others in the electricity industry.”
-According to GAO, from 2002 to 2007, fossil fuel energy sources received nearly five times the amount of taxbased subsidies compared to renewable energy sources.
Historically, U.S. subsidies for oil, natural gas, coal, nuclear and hydropower totaled approximately $500 billion from 1950 to 1977, or approximately $18 billion per year (2004 dollars). In the last century, this created an abundance of affordable domestic energy, powering strong economic growth, but also building an addiction to fossil fuels. Today’s rising demands – and volatile prices – are creating a need for a more diverse energy supply.
Denmark as a Leading Example of Wind’s Potential for the U.S.
-Denmark was the first country to produce 20% of its electricity from wind energy.
-The technical and economic feasibility of 20% production and consumption of wind energy by 2030 in the U.S. was confirmed by the Department of Energy in their 2008 report.
The U.S. has one of the largest and strongest wind resources in the world, but Denmark was the first country to produce 20% of its electricity from wind. The fact that Denmark has accomplished 20% electricity production from wind energy suggests it is entirely feasible in the U.S., which has a power network 100 times the size of Denmark’s, a land area 200 times as large, and holds nearly 13,000,000 MW of wind potential. The technical and economic feasibility of 20% production and consumption of wind energy by 2030 in the U.S. was further confirmed by the Department of Energy in its 2008 report (see 20percentwind.org).
Wind power in Denmark: The truth
Authors: Henrik Lawaetz and Jørgen Lemming, Wind Energy Division, Risø DTU; Hanne Thomassen, Danish Energy Agency.
Wind energy in Denmark
Approximately 17% of Denmark’s energy supply came from renewable sources in 2008, and the production from wind turbines alone corresponded to 19.3% of the domestic electricity supply. Another 20% of energy supplies came from natural gas and 23% from coal. Dependence on oil has been about 40%.
The installation of new wind power capacity in Denmark has been low during the past years. In 2008, the net capacity installed was 38.9 MW, with 77.6 MW of new wind generation installed, and 38.7 MW removed.
The Danish government has continued the energy policy introduced in 2006 which was based on the Strategy 2025, published June 2005 (2), and later followed by A Visionary Danish Energy Policy 2025, published 19 January 2007 (3). This policy includes initiatives that emphasize globalization and the improved use of renewable energy sources, including stronger support for energy research, development, and demonstration.
At the end of 2007, the Danish government established a new Ministry for Climate and Energy to strengthen efforts to abate climate change and to prepare for the Climate Summit COP 15 in Copenhagen in 2009.
1.1 Installed capacity and production in 2008
The capacity of wind power in Denmark increased by 39 MW in 2008, bringing the total up to 3,163 MW. The total number of turbines was reduced to 5,101. During 2008, 51 new wind turbines were installed, and 164 turbines were decommissioned. The average capacity of those installed in 2008 was 1.52 MW, but excluding a number of small turbines under 55 kW, the average was nearly 2 MW. A detailed history of installed capacity and production in Denmark can be downloaded at the Danish Energy Agency Web site (www.ens.dk) (1).
Electricity from wind energy covered 19.3% of the electricity consumption in Denmark in 2008 compared to 19.9% in 2007. The total electricity production from wind energy in 2007 was 6,975 GWh, a decrease from the unusually high value of 7,171 GWh in 2007 due to high wind.
The largest onshore turbine installed in Denmark by the end of 2008 was one 3.6-MW Siemens Wind Power turbine. Other sites with large turbines include three Vestas 3-MW turbines on the Island of Lolland, two Vestas 3-MW turbines in Frederikshavn, and five 2.75-MW turbines at the Tjaereborg site near Esbjerg.
The two largest offshore wind farms are still the 160-MW offshore wind farm at Horns Rev (80 Vestas 2-MW wind turbines placed in the North Sea 14 km to 20 km offshore Blaavands Huk), and the wind farm at Nysted (Roedsand I) south of Lolland in inland waters (72 Bonus 2.3-MW wind turbines).
2.0 Progress Toward National Objectives
A new February 2008 Agreement on Danish energy policy for the years 2008-2011 (4) includes better terms for wind turbines and other sustainable energy sources such as biomass and biogas. The initiatives in the agreement combine policy regulation and market mechanisms. With an aim to realizing its vision, the agreement has set the following targets and initiatives relevant to renewable energy and wind power:
• The goal for the renewable energy share of gross energy consumption is 20% in 2011
• The subsidy to the central power plants’ biomass-based electricity production shall be increased from 0.10 to 0.15 DKK/kWh.
• The subsidy for new wind turbines shall be raised to 0.25 DKK/kWh for 22,000 full load hours + 0.023 DKK/kWh in balancing costs
• Turbines under the repowering scheme shall be given an extra fixed supplement of 0.08 DKK/kWh for the first 12,000 full load hours
• Municipalities shall secure reservation of land for 75 MW of wind turbines in each of the years 2010 and 2011
• Allocation of 10 million DKK to a guarantee fund for supporting financing of local mill guilds’ preliminary studies, etc.
• A compensation scheme to ensure neighbors of new wind turbines receive compensation for loss of property value due to the installation. Compensations shall be paid by wind turbine owners in connection with installation of the turbines. The object of compensation responsibility shall be based on the ordinary principle of the right to compensation, including a concrete individual evaluation of the loss of property value
• Invitations to tender for two 200 MW offshore wind farms to come into operation in 2012
• All new and existing biogas plants shall be subject to a fixed electricity price of 0.745 DKK/kWh or a fixed-price premium of 0.405 DKK/kWh when biogas is used along with natural gas. The fixed electricity price and price premium shall be adjusted by 60% of the increases in the net price index
• A pool of 30 million DKK over two years for information campaigns, labeling of efficient heat pumps, limited subsidy schemes, etc. aimed at heat consumers outside the areas of district heating
• 25 million DKK/year for four years shall be allocated to small renewable energy technologies such as solar cells and wave power
• CO2 taxes shall be raised from 3 to 90 DKK/ton CO2 to the expected CO2 quota price, which for 2008-2012 is provisionally estimated at 150 DKK/ton
• A new NOx tax of 5 DKK/kg effective from 1 January 2010 for partial fulfillment of the Danish NOx obligation
• A significant increase in funding of research, development, and demonstration in energy, in order to increase the overall publicly financed effort to a total of 750 million DKK in 2009 and to one billion DKK per year from 2010.
To reach the goals mentioned above and fulfill the February 2008 Agreement, several priorities were set. These include additional support for R, D&D in fuel cells, development of second-generation bio-ethanol production, and promotion of new research in wind energy and other renewables. Information about the Danish wind energy policy can be downloaded from the Danish Energy Agency Web site (www.ens.dk).
2.1 New wind turbine projects
Based on the initiatives already taken, the Danish government expects that 1,300 MW of new wind power capacity will be installed by 2012. This additional capacity could potentially cover another 12% of total electricity consumption, thus bringing the total contribution to electrical demand to over 30%.
As reported in 2007, the Danish Energy Authority made a plan for sites for the next generation of offshore wind farms between 2010 and 2025. Three committees have finished their reports on layout and plans for future Danish offshore wind turbine development, sites for future onshore turbines, and sites for testing new industrially developed turbines (0-series) by manufacturers and developers.
2.1.1 Offshore wind farms
In April 2007, the Danish Energy Authority published the report: Future Offshore Wind Turbine Locations – 2025 (4), where the offshore committee charted a number of possible areas where offshore turbines could be built with an overall capacity of some 4,600 MW, which can generate approximately 18 TWh, or just over 8% of energy consumption in Denmark. This corresponds to approximately 50% of the Danish electricity consumption. The committee examined in detail 23 specific possible locations, each of 44 km2, for an overall area of 1,012 km2 divided into seven offshore areas.
2.3 Horns Rev II
The offshore wind farm Horns Rev II is to be located about 10 km west of the existing wind farm at Horns Rev. Construction of the wind farm will start in 2008, and will cover a total area of about 35 km2 when it is commissioned during 2009. Energinet.dk is responsible for extending the electricity grid to the wind farm.
The energy company DONG Energy will own and build the farm. The price to be paid for the electricity was negotiated with the government, and is set to 0.518 DKK/kWh for the first 50,000 full-load hours, which corresponds to about 12 years of electricity production. The wind farm will consist of 91 2.3 MW Siemens turbines on monopiles. The turbines are sited in a fan formation with 13 rows going from East to West and with seven turbines in each row.
The site also gives room for three large test turbines with a total capacity of 15 MW. The distance from the shore (Blåvands Huk) is 30 km. The water depth in the area is between 6 and 18 m.
2.4 Roedsand II
E.ON Sverige AB has won the public tender for an offshore wind farm at Roedsand. DONG Energy Roedsand II A/S also turned in a bid for establishing the 200 MW offshore wind farm south of Lolland, but E.ON offered the lowest price (0.629 DKK/kWh for 50,000 peak load hours) and thereby won the tender process.
The offshore wind farm Roedsand II will be able to supply 200,000 households with electricity, which accounts for around 2% of the Danish power consumption. The wind farm will cover an area of 35 km2 and will be placed around 3 km West of the existing offshore farm at Roedsand. The farm will supply the grid with electricity by 30 September 2011 at the latest.
In the Energy Policy Agreement of February 2008, it was decided to call for tender for two 200-MW offshore wind farms to come into operation in 2012. Later in the year it was agreed to locate a 400-MW offshore wind farm between Djursland and Anholt.
Following experience with previous tenders for offshore wind farms in Denmark, the Danish Energy Agency has adjusted the tendering procedure, which was used for the tenders for Roedsand II and Horns Rev II. This means that the 400 MW Djursland/Anholt offshore wind farm will first undergo site development before being opened for public tenders. The Danish TSO, Energinet.dk, is responsible for
the site development, which already has commenced.
The Danish Energy Agency expects to offer the 400 MW farm for tender in the first half of 2009 while the preliminary investigations are still being carried out. The tendering procedure will end when the EIA consultation procedure is over, which is expected to be in the first half of 2010. The winner of the tender will then be awarded a concession, permission for preliminary investigations, and permission to establish the farm, after which the main contractor can finalize contracts and start the detailed planning.
The adjusted model for the tendering procedure of the 400-MW farm at Djursland/Anholt is also characterized by the following factors:
• The environmental impact (EIA) report will include the proposed sites for the farm and proposals for alternative sites. The sites will be mapped as early as possible during the process.
• The results of the ongoing analyses of the area will be presented by Energinet.dk. These include for example, analyses of geotechnical surveys, the environment, and sailing/navigation. Tenders will have access to these results.
All communication concerning these results must be in writing and will be accessible for all possible tenders simultaneously.
• The Danish Energy Agency will submit the EIA report for a broad public consultation.
3.0 Benefits to National Economy
3.1 Market characteristics
The sale of wind turbines from Denmark in 2008 is estimated to about 7 GW. As it is noted above, the Danish home market was a low contributor to these sales in 2008.
Therefore, nearly all turbines manufactured were exported and contributed approximately 40 billion DKK to the national economy in 2008. The two large wind turbine manufacturers, Vestas and Siemens Wind Power, together had a world market share of about 25%. It is estimated that more than 25,000 people are employed in the Danish wind industry.
The market for onshore wind power in Denmark in 2008 was characterized by a high electricity purchase price based on the market-based price plus a premium of 0.25 DKK/kWh for 22,000 full-load hours. Offshore, the future market will be driven by political decisions based on the plan described above.
3.2 Industrial development and operational experience
Today, the major Denmark-based manufacturers of large commercial wind turbines up to a size of some MW are Siemens Wind Power (formerly Bonus Energy A/S) and Vestas Wind Systems A/S. Only one company, Gaia Wind Energy A/S (owned by Mita Teknik A/S), currently produces wind turbines for households, but a couple of small companies are planning to produce or import micro-turbines.
The most important suppliers of major components for wind turbines are still LM Glasfiber A/S, a leading producer of composite blades for wind turbines; Mita Teknik A/S, which produces controller and communication systems; and Svendborg Brakes A/S, a leading vendor of mechanical braking systems.
The 3-MW turbines are still the largest commercial turbines installed in Denmark. As a result of experiences at Horns Rev and the problems with the 3-MW turbines, Vestas has made a strong effort to improve the quality of its offshore wind turbines, and the 3-MW turbines are once again for sale to offshore projects.
The technical availability of new wind turbines on land in Denmark is usually in the range of 98% to 100%. For offshore wind, the availability of turbines on the small near-shore farms is also high. Since 2005, all Horns Rev offshore turbines operated at nearly 100%, with an availability of 95% to 97%. During the same time period, the Siemens (Bonus) turbines at Nysted were at the same level except for the three month period in 2007 where the main transformer was out of order.
3.3 Economic details
No new data on operation and maintenance costs (service, consumables, repair, insurance, administration, lease of site, and so on) have been reported. Growing commercialization in the wind energy market makes it more difficult to have data on hardware and O&M costs. The information from a study by the Danish Wind Turbine Owners’ Association about O&M for turbines between 600 kW and 1,300 kW was reported in the 2004 IEA Wind Energy Annual Report.
3.4 Certification of wind-power installations
Wind turbines installed in Denmark must fulfill the Danish Wind Turbine Certification Scheme. The scheme is based on the IEC WT01 System for Conformity Testing and Certification of Wind Turbines. In June 2008, a supplementary set of rules for maintenance and service of the turbines was implemented. Wind turbine owners must now ensure that the wind turbines are maintained and serviced by a certified or approved company, as long as the wind turbines are in operation. Further, the service company must have documented sufficient basis, experience, and expertise in maintenance and service of the specific type of wind turbine that they are contracted to maintain. All documents related to the certification scheme can be found on the Web site: www.wt-certification.dk.
4.0 National Incentive Programs
In 2008, the subsidy for new wind turbines was increased from a premium of 0.10 DKK/kWh on the top of the market price for 20 years to a premium of 0.25 DKK/kWh for 22,000 full load hours plus 0.023 DKK/kWh for compensation for balancing costs, etc. For turbines under the repowering scheme there is an extra fixed supplement of 0.08 DKK/kWh for the first 12,000 full-load hours. From 2009, owners of new turbines shall pay neighbors compensation for loss of property value due to the installation.
Compensation shall be paid in connection with installation of the turbines. The object of compensation responsibility shall be based on the ordinary principle of the right to compensation, including a concrete individual evaluation of the loss of property value. Details about the incentive system for turbines installed before the end of 2004 and in the years 2005-2007 can be found at www.ens.dk.
5.0 R, D&D Activities
The annual report: Energy 2008 on public grants from the energy research programmes (9) provides overviews of projects that were funded, in progress, and completed under the following research programs:
• The Energy Development and Demonstration Program (EUDP) including Energy Agency’s Energy Research Program (ERP) and Nordic Energy Research (NEF)
• Energinet.dk’s ForskEL program and ForskNG program
• The Danish Council for Strategic Research’s (DCSR) Programme Committee on Energy and Environment
• The Danish National Advanced Technology Foundation.
Grants to wind energy projects supported in 2007-2008 totalled 63 million DKK. Funding of energy R, D&D was increased in 2006 and again in 2007 and 2008. The funding will increase to about 750 million DKK in 2009 and about 1 billion DKK annually from 2010. The trend in public funding for energy research and technological development. Funds are available under the annual Finance Act and Public Service Obligation funds (PSO), which Energinet.dk as TSO is entitled to collect from the electricity users under the Danish Electricity Supply Act and apply toward research in environmentally friendly electricity generation and efficient energy use.
In 2008, the former ERP was replaced by the EUDP. Additionally, the National Research Councils and the newly established High Technology Foundation may also provide funds for energy research. The Danish Energy Authority is responsible for the administration according to the regulation of the new EUDP, which covers research in both conventional energy and renewable energy. Additionally, the EUDP supported international R&D cooperation through the IEA.
The EUDP also includes funding for quality assurance for renewable energy devices, including wind turbines. The secretariat of the Danish Wind Turbine Certification Scheme is assigned to manage quality assurance of turbines. The actual certification of turbines and installations is carried out by private certification companies like DNV and GL. Denmark has also been active in international standardization through IEC and CEN/CENELEC for several years.
5.2 ForskEL and ForskNG programs
Transmission system operators have had PSO-subsidized R&D programs for noncommercial projects concerning new and environmentally friendly energy technologies since 2000. The Energinet.dk’s ForskEL programme and ForskNG programs focus on the development of renewable energy technologies including wind power. Priority areas and the total budget are to be approved by the responsible minister and the Danish Energy Authority. The PSO program emphasizes the interaction between turbines and the power system, including the ability of wind power plants to contribute to regulation and stability.
5.3 Programme Committee on Energy and Environment
Since its establishment in 2004, the Danish Council for Strategic Research (DCSR) has had strategic research funds of various sizes at its disposal for research related to the value chain of energy research. Energy research has enjoyed high political priority since 2004 and represents a limited thematic area. The Danish parliament decides the amount for strategic research funds in the annual Appropriation Act. The DCSR’s Supervisory Board sets up program commissions consisting of acknowledged scientists who are charged with allocating the funds. In 2007, the Programme Commission on Sustainable Energy and Environment advertised a total of 200 million DKK to be allocated on five research areas. The two themes relevant to energy research were: “organized sustainable energy,” and “energy and the environment,” totaling approximately 100 million DKK. The other three themes advertised were: “water as a resource and element in nature’s cycle,” “environmental technology including climate,” and “marine environment research.”
5.4 Danish National Advanced Technology Foundation
The objective of the Danish National Advanced Technology Foundation is to support risky and capital intensive research and development which would otherwise not be possible without the active participation of the Foundation. The focus, therefore, lies on potentially value-creating technologies which have not yet been sufficiently matured for the commercial market. The tools of the Foundation are twofold:
1. Advanced technology platforms, which involve research in a phase of considerable risk and a correspondingly very large potential for value creation. Research is planned with a view to radical innovation. The platforms, which usually involve private enterprises as well as research institutions, serve as a stepping-stone for future commercial activities in a number of fields. Each platform has a budget of 30-150 million DKK, of which the Danish National Advanced Technology Foundation typically provides 50%. The time frame for the advanced technology platforms is 3-5 years.
2. Advanced technology projects, the focus of which is often closer to the market than that of the platforms. The participating businesses move into new business areas where they develop existing strengths by, for instance, developing a next-generation technology or by applying innovative combinations of know-how and technology. The total budget of the advanced technology projects is 5-30 million DKK, of which the Danish National Advanced Technology Foundation typically provides 50%. The duration of advanced technology projects is 2-4 years.
5.5 Funded projects 2007-2008
Funded wind energy project in Denmark for the period 2007-2008 are presented in Table 2. See www.ieawind.org/AnnualReports_PDF/2008/14%20Denmark.pdf
5.6 Test sites
Risø DTU still owns and manages the test site for multi-megawatt wind turbines at Høvsøre, a site on the northwest coast of Jutland with high wind speeds. The annual average wind speed at the site at a height of 78 m is 9.1 m/s. The test site consists of five test stands allowing turbines with heights up to 165 m and a capacity of up to 5 MW each.
5.7 Collaborative research
Risø DTU plays a leading role in the large European Union project called UpWind. This project aims to design a wind turbine of 8 to 10 MW that will be able to operate onshore and offshore on wind farms of several hundred megawatts. With Risø DTU as the coordinator, 38 partners participate in the project, which started early in 2006. In 2008, Denmark participated in the following IEA Wind Tasks: Task 11 – Base Technology Information Exchange; Task 23 – Offshore Wind Energy Technology Deployment; Task 25 –Operation and Design of Power Systems with Large Amounts of Wind Power; and Task 26 – Cost of Wind Energy. In Task 23, the Department of Wind
Energy, Risø DTU serves as one of the task Operating Agents.
6.0 The next term
It is expected that focus on wind power and other renewables will continue with emphasis on the new, large, offshore projects that are currently in the planning process with the framework of the COP 15 Climate Change Meeting to be held in Denmark in late 2009. The new political agreement for energy begun in 2008, including more offshore wind power and better terms for wind power on land in Denmark, emphasizes that there is a strong political will. The recently enacted initiatives to fulfill the Energy Strategy 2025 will strengthen wind energy R, D&D in Denmark. It is expected that focus in the new EUDP program will be shifted to increase demonstration of new technologies.
(1) The Danish Energy Agency Web site (www.ens.dk).
(2) Strategy 2025, published June 2005.
(3) A Visionary Danish Energy Policy 2025), published 19 January 2007.
(4) Energy Policy Statement 2008, February 2008.
(5) Future Offshore Wind Power Sites -2025. Danish Energy Agency, April 2007.
(6) Horns Rev II project description posted on www.ens.dk (in Danish).
(7) Roedsand 2 Offshore Wind Farm Environmental Impact Assessment. Summary of the EIA-Report. E.ON Sweden AB. June
(8) Offshore action plan 2008. Follow up to Future Offshore Wind Power Sites -2025. Danish Energy Agency Nov 2008.
9) Annual report 2008 on public grants from the energy research programmes, ForskEL, EUDP/ERP, Elforsk and DCSR Energy and
Environment. November 2008.
Authors: Henrik Lawaetz and Jørgen Lemming, Wind Energy Division, Risø DTU; Hanne Thomassen, Danish Energy Agency.