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Commission approves EUR 1.7 billion Danish aid for renewable gas production – Clayton & Segura

17 December 2024
Press Releases

Commission approves EUR 1.7 billion Danish aid for renewable gas production

Today, the European Commission (Commission) has approved a EUR 1.7 billion Danish state aid scheme to support renewable gas production, contributing to the EU’s climate goals under the European Green Deal and REPowerEU Plan. The scheme supports the production of 7.9 petajoules of renewable gas annually by funding new and extended biogas and e-methane plants that meet strict sustainability criteria.

Aid will be provided as a price premium per gigajoule over 20 years, allocated via competitive bidding rounds from 2024 to 2030, with plants required to connect to the grid within three years.

Expected to reduce annual CO2 emissions by 450 000 tonnes from 2033, the scheme supports Denmark’s targets of a 70% emissions reduction by 2030 and carbon neutrality by 2050. The Commission found the aid necessary, proportionate, and designed to minimise market distortions, with beneficiaries selected through a transparent process.

The non-confidential version of the decision will be made available under the case number SA.102206 in the state aid register.

For further information please see the Commission’s PR.

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