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New cooperation agreement strengthens Sino-Danish green partnership

On 22 March, the Danish TSO, Energinet, co-signed a new framework agreement with Chinese TSO, State of Grid Corporation of China. The objective is to assist China in integrating over 1,000 GW of variable renewable energy in 2030, moving closer to China’s overall goal of reaching carbon-emission peaks before 2030 and becoming climate neutral in 2060.

Thomas Egebo, CEO at Energinet (left) signs the framework agreement, Source: Energinet 

Signing ceremony in Beijing, Source: State of Grid Corporation of China

One of the focus areas will be the development of the Chinese power market and ancillary services. Energinet, has decades of valuable experiences from energy system operation and liberalization of the power market. These experiences have been vital instruments to boost the share of renewable energy in the Danish energy system. Thus, sharing experiences with China can contribute to a fast Chinese transition from fossil fuels to renewable energy.

With a new framework agreement between State Grid and Energinet, the close collaboration will continue, and I hope that our experiences and insights can deliver the decisive parts in reaching our common ambitions in acceleration the green transition. We have the necessary expertise, specifically when it comes to liberating the power market and creating innovative solutions, such as green ancillary services. Therefore, I truly consider the collaboration with State Grid as a catalyst to creating green energy for a better world”, said Thomas Egebo, CEO at Energinet.

China’s potential for accelerating the green transition is immense, as China is the world’s largest energy consumer, accounting for approximately 28 percent of the world’s CO2-emissions and 50 percent of the total coal consumption. This indicates that there is both a massive need and potential within the Sino-Danish cooperation for a collective acceleration of the green energy transition. The Framework Cooperation Agreement is funded by the official energy partnership between Denmark and China, led by the Danish Energy Agency.

We appreciate the good and longstanding collaboration between Denmark and China, which started more than 15 years ago. Denmark has shown it is possible and cost effective to integrate large shares of variable renewable energy, while maintaining a world class security of supply. We are pleased that Energinet can assist State Grid Corporation of China on the green energy transition of China through its comprehensive technical experiences”, said Stig Uffe Pedersen, Deputy Director General at The Danish Energy Agency.

Sino-Danish cooperation

In 2012, the Chinese energy authorities officially opened the China National Renewable Energy Centre (CNREC) in close cooperation with the Danish Energy Agency (DEA). The cooperation also included the Danish Embassy in Beijing and Energinet.

Since the State Grid Corporation of China and Energinet signed the cooperation agreement in June 2017, fruitful cooperation has been achieved. We look forward to deepening exchanges within seven areas, including integration of renewable energy and flexibility of the power sector. We will strive to build a model of Sino-Danish energy cooperation”, said Zhigang Zhang, Director and General Manager at the State Grid Corporation of China.

Learn more about the long-term Sino-Danish energy cooperation here.

Cover photo: Vidar Nordli-Mathisen, Unsplash

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