The European Commission has approved a €5 billion Danish State aid scheme to support offshore wind development.
The Commission said the scheme will run for 20 years and support the construction and operation of the Hesselø and North Sea I Mid offshore wind farms.
It added that the projects are expected to have capacities of at least 0.8GW and 1GW respectively, with combined generation equivalent to around 25% of Denmark’s total electricity production last year.
The aid will be provided through a two-way contract for difference mechanism based on a monthly variable premium linked to market prices.
The Commission concluded that the scheme is necessary, appropriate and proportionate under EU State aid rules and aligned with the Clean Industrial Deal.
The approval was granted under the Clean Industrial Deal State Aid Framework adopted in June 2025.