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EUDP contributes to green growth and job creation

By State of Green, July 11, 2019

A new evaluation of the 10 years of public investment in green energy technology development documents both positive effects and return.

Since 2008, Danish taxpayers have invested just over DKK 3.4 billion in green energy technology through the Energy Technology Development and Demonstration Program (EUDP) – and it turns out that money was well spent.

Companies that have received EUDP support have achieved an additional turnover of DKK 12.2 billion, with another 5.3 billion expected in the future.  Furthermore, the evaluation documents that the grant scheme has resulted in 3,200 additional full-time employees and suggests that this figure will increase to 5,400 in forthcoming years.

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World needs diversified renewable energy sources

The assessment of grant applications are based on technology neutrality. As long as a project is linked to energy technology; has the potential to promote growth and employment; and can contribute to the realisation of Denmark’s energy and climate policy objectives; the project may qualify as a candidate for public investment support.

According to Thea Larsen, Chairman of the EUDP Board, the world needs a mix of renewable energy sources that can produce stable, cheap and green energy, regardless of weather conditions. For this reason, the EUDP has a strong interest in diversity among applicants in order to improve or further develop the many different forms of energy.

-Related solution: DTU Renewable Energy Policy, Planning, and Integration Advice Group – REPLI

Denmark’s climate adventure

The EUDP is in several ways directly linked to Denmark’s green objectives of securing green energy supply and becoming completely independent of fossil fuels, while focusing on the strong Danish know-how – often in interaction between companies and research institutions.

Out of the 591 EUDP projects receiving support, 93 per cent have been successful, when assessed against the original objectives stated in their application to EUDP.

The evaluation was prepared by Damvad Analytics and Muusmann. It is the third evaluation in EUPD’s lifetime, and the first evaluation focusing solely on EUDP and the program’s ability to generate revenue, exports and employment within green energy technologies.

 “A global shift towards green energy can make Denmark a major player in the export of know-how and green energy technology solutions. We have real opportunities to create a green Danish climate adventure.” Thea Larsen, Chairman of the EUDP Board.

Energy solutions lie beyond the tech sector

The EUDP budget has been steadily increasing over the past few years and will rise to DKK 500 million in 2020. While energy technology know-how is among Danish stronghold positions, there are still many unresolved challenges related to the optimization energy systems.

Therefore, it is necessary that more Danish competencies are brought into play in order to address the issue areas that currently lack solutions – whether it is an IT company or an SME in fine mechanics, diverse businesses may hold the unique skill-set to solving different global challenges.

“One real danger is that merely companies with energy technology as their core business are interested in applying for the EUDP grant shceme. More entrepreneurs and SMEs should be interested in whether their expertise within the field of technology can support the development of a more stable and profitable green energy system,” says Thea Larsen.

In June, the EUDP announced that 31 new energy technology projects will recieve DKK 182 million from the 2019 funds.

Source: Danish Energy Agency

 

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