New rules to pave the way for Danish offshore wind with direct connection abroad

The Government has tabled a bill intended to make it easier to establish offshore wind farms in Danish waters with direct connection to foreign electricity grids. The proposal could have significant implications for future offshore wind projects, including their commercial structure, grid connection and permitting arrangements.

On 7 October 2026, the Minister for Climate, Energy and Utilities introduced Bill L 12 to amend, among other things, the Renewable Energy Act and the Electricity Supply Act.

The bill is intended to remove a number of legal barriers to establishing offshore wind farms in Danish territorial waters and in the Danish exclusive economic zone (EEZ), where the electricity is exported directly abroad without passing through the Danish collective electricity grid.

Direct export of offshore wind generation

Under the proposed rules, the Minister for Climate, Energy and Utilities will be able to grant permits for preliminary investigations, construction and operation of offshore wind projects, including associated power cables and installations, aimed at supplying electricity abroad.

The key change is a new section 29 c of the Renewable Energy Act, which provides an explicit legal basis for such projects.

The bill also allows foreign transmission companies to own and operate electricity infrastructure in Danish sea areas, including landfall facilities connected to foreign bidding zones, and interconnectors between the Danish and foreign electricity systems.

Following a specific decision, foreign transmission companies may be exempted in whole or in part from the provisions of the Electricity Supply Act. At the same time, the Minister is authorised to lay down more detailed rules for their activities and facilities.

Changes to preliminary investigations and permit periods

The bill also amends the rules on preliminary investigations in connection with state offshore wind tenders.

The Minister will be able to have Energinet carry out preliminary investigations as part of preparing tenders. The results must be published, and the starting point is that the winner of the tender bears the costs. However, the state may finance the costs in whole or in part.

For offshore wind projects that form part of so-called offshore hybrid projects, it is also proposed that operating permits may be granted for 30 years, with the addition of all or part of the period required to test the electricity infrastructure.

This may affect project economics, as a longer effective operating period can, all else being equal, improve the prospects of generating a return on the investment.

Implications for project developers and investors

The bill is an important step towards greater international integration of Danish offshore wind.

The option of direct grid connection abroad may give project developers access to other electricity markets and thereby potentially improve the earning potential of offshore wind projects that would otherwise depend on selling power through the Danish electricity system.

However, the bill does not in itself resolve all regulatory issues. The specific structuring of projects will still depend, among other things, on permit conditions, the rules on foreign transmission companies, grid access and the relevant EU legal framework.

In particular for offshore hybrid projects, it will be important to clarify the allocation of responsibilities, costs and risks between the offshore wind producer and the transmission companies involved.

The bill is expected to enter into force on 1 January 2027. If adopted, it will create a more flexible legal framework for developing Danish offshore wind with international grid connections.

SAAF advises on Danish and international offshore wind

SAAF continuously advises offshore wind developers, energy companies, transmission system operators and investors on the challenges of energy projects within offshore wind as well as other renewable energy. We closely monitor developments in the area. We have strong relationships with both the relevant authorities and commercial project developers, and can advise on both the legal and commercial terms of projects.