The Danish government has authorized state-owned operator Energinet to proceed with a contract for transmission cables and a transformer station tied to the planned Energy Island Bornholm project in the Baltic Sea.

According to Climate, Energy and Supply Minister Lars Aagaard, the infrastructure will be designed to manage up to 3 gigawatts of offshore wind power, enough to supply electricity for about 3.3 million households. The transformer station will play a critical role in collecting and converting electricity before transmitting it to Denmark and Germany.

While negotiations with Germany over project financing remain ongoing, Denmark stressed the urgency of securing contracts to retain nearly $5.2 billion in European Union support. If the project fails to advance, Energinet could face financial penalties tied to contract withdrawals.

Launched in 2020, the project has seen costs rise to as high as $4.6 billion, with completion now delayed until at least 2034. Still, the approval of transformer and cable contracts represents a decisive milestone for Denmark's largest offshore wind initiative.

The Bornholm Energy Island is expected to strengthen European energy independence by transmitting renewable power across borders while providing cheaper electricity for consumers.

Source: dr.dk