EU grants billions to Bornholm energy project

The European Commission has allocated €645 million to the energy island Bornholm project, aimed at establishing three gigawatts of offshore wind power. This amount translates to roughly 4.8 billion Danish kroner but will only partially cover the estimated state subsidy requirement of 31.5 billion kroner. The Danish government has indefinitely postponed the project while awaiting confirmation of Germany’s continued financial participation. The decision may take up to a year. The project, agreed upon in the Danish Parliament in 2020 as part of a major climate agreement, includes building a substantial wind farm to power approximately 3.3 million Danish households and a power link to Germany. However, the project faces criticism for its cost, and new offshore wind projects in Denmark are struggling, with no bids received for the first part of the country’s largest wind farm tender.