Energy Policies of IEA Countries, Denmark, 2006 Review

This publication examines the key developments and challenges facing the Danish energy sector, under the headings of: general energy policy, energy and climate change, energy efficiency, renewable energy, electricity, fossil fuels, energy research and development. The review finds that Denmark has had a very pro-active energy policy in both energy efficiency and renewable energy whilst at the same time opening its gas and power markets to competition. The percentage of electricity generation produced by renewable energy increased to 25 per cent in 2004, although renewable support policies came with a high cost for consumers and taxpayers. However, current government policies are now focused on cost-effectiveness and inclined to market-based approaches. Energy efficiency programmes have historically been more cost-effective than renewable programmes in lowering emissions and enhancing energy security.