Learnings from the liberalisation of the Danish electricity sector

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Together with the Danish Energy Agency, Ea Energy Analyses has prepared a report on liberalisation of the Danish electricity sector. The hope is that the report will provide inspiration and guidance for partner countries that are now commencing the same process of liberalisation.

In the report the key learnings from the Danish liberalisation process are highlighted, both the challenges and the positive outcomes. The development of the wholesale market, which now consists of 23 countries sharing the spot market, is seen as one of the great successes. The large market provides good competition and good opportunities for, for instance, using the variable wind power. Other areas have been more complicated, for instance regulation of the distribution companies, the development of the detail market and the role of the regulator. In all these areas it has been necessary to correct the regulation several times. Even though the liberalisation was started in 1999, it is only at the end of 2020 that all customers are being billed for their actual use of electricity (usage measured by the hour).

The report can be downloaded here.