Case

The world’s biggest electrolyser and e-fuel facility

Transport is responsible for a relatively large share of Denmark’s overall CO2 emissions and the same is true globally. While emissions are declining in other sectors, they are continuing to grow in the transport sector

Challenge

Transport is responsible for a relatively large share of Denmark’s overall CO2 emissions and the same is true globally (20 and 25 per cent respectively). While emissions are declining in other sectors, they are continuing to grow in the transport sector. Electrification is an increasingly viable option for short routes, however decarbonising longer routes, particularly in the maritime and aviation industries, which offer limited possibilities for refuelling, is more problematic. Although sustainable fuels are available, they are not yet cost-competitive with fossil fuels or available widely. Therefore, the challenge is how can we replace fossil fuels with sustainable, affordable, and readily available alternatives in the heavy transport sector?

Solution

The Danish companies Copenhagen Airports, A.P. Moller – Maersk, DSV Panalpina, DFDS, SAS and Ørsted have joined forces to develop a hydrogen and e-fuel production facility by 2023, which can supply green fuel for buses, trucks, maritime vessels, and airplanes. It would be one of the world’s largest electrolyser and sustainable fuel production facilities, helping to advance the production of sustainable fuels on an industrial scale that can compete with the cost of fossil fuels.

It is envisaged that the electrolyser will be powered by renewable electricity from offshore wind and built in three stages, comprising a 10MW, a 250MW, and finally a 1.3GW electrolyser installation. If successful, the facility could supply renewable hydrogen for zero-emission buses tendered by Movia and heavy-duty trucks managed by DSV Panalpina, renewable methanol for A.P. Moller – Maersk vessels and renewable jet fuel (e-kerosene) for SAS airplanes and air transport out of Copenhagen Airports.

Results

The project will not only accelerate the development of sustainable fuels, but also act as an economic stimulus to a COVID-ravaged economy in the form of jobs and potentially securing Denmark a role as a leading Power-to-X hub. Furthermore, it will assist the companies involved in decarbonising their own operations as well as contribute substantially to fulfilling the Danish government’s objective of reducing its CO2 emissions by 70 per cent by 2030.

The project can potentially replace 5 per cent of fossil fuels used at Copenhagen Airport by 2027 and 30 per cent by 2030. When fully scaled-up by 2030, the facility could deliver more than 250,000 tonnes of sustainable fuel and reduce Denmark’s annual carbon emissions by 850,000 tonnes.

It is hoped that the project can act as a catalyst for similar projects in other areas in Denmark and internationally

Contributors: Copenhagen Airports,  A.P. Moller – Maersk, DSV Panalpina, DFDS, SAS and Ørsted.

Cowi and BCG (knowledge partners)

The City of Copenhagen (supporting partner)

About author

The Danish Energy Association is a commercial and professional organisation for Danish energy companies.

Primary contact
Birgitte Hougaard

Case location

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