The broad electrification of society was expected, but the speed and scale of the new, very large consumption projects – particularly from data centres, battery facilities and Power-to-X plants – wasn't anticipated at this magnitude and far exceed official forecasts. Danish state-owned grid operator Energinet therefore introduced a three-month temporary pause on new grid connections.
Demand for connection to the Danish electricity grid has grown significantly over the past year. Currently, around 60 gigawatts of new electricity consumption projects are waiting for connection across the transmission and distribution networks. By comparison, Denmark’s peak electricity demand is approximately 7 gigawatts.
“Energinet is already expanding the electricity grid at a historic pace, with more projects underway than ever before. But we need to build even more grid infrastructure – and we must do it faster. At the same time, we are facing a situation where demand exceeds the capacity we can realistically make available in the short term. This not only affects customers directly connected to the transmission grid, but can also be felt in local distribution networks. We therefore need to temporarily pause and establish a clear overview so we can act responsibly and ensure that capacity is used where it has the greatest impact,” says Kim Willerslev Jakobsen, Director of System Operations at Energinet.
Temporary
The temporary pause will last three months, or until a comprehensive overview has been established regarding the consequences of current demand and new measures have been implemented to increase capacity. Energinet assesses that the pause is necessary to safeguard security of electricity supply for both existing and future grid customers.
Projects that have already signed grid connection agreements will not be affected. All other projects should expect longer processing times, and no new grid connection agreements will be signed during the pause. Energinet will keep the market and affected grid customers informed of developments on an ongoing basis.
Accelerating work on an rapid capacity package
Energinet is simultaneously accelerating work on a rapid capacity package aimed at releasing as much grid capacity as possible and strengthening coordination between the transmission and distribution networks.
The package focuses on three key tracks:
- Faster investment decisions and acceleration of projects at the interface between the transmission and distribution networks.
- Technical measures that can increase available grid capacity in the short term.
- Stronger and more consistent prioritisation of the grid connection queue in cooperation with distribution system operators, including reserving capacity for the ongoing development of the collective electricity system.
“The electricity grid functions as one integrated system. This means that, for a period, we must make faster investment decisions, sharpen prioritisation and ensure that capacity does not simply follow new applications but also supports the organic growth and stability of the collective electricity supply system,” says Kim Willerslev Jakobsen.
As part of the emergency package, Energinet will introduce stricter prioritisation in the grid connection queue, focusing resources on the most mature projects and initiatives that can deliver tangible capacity improvements. The Danish Energy Agency has assessed that current regulations allow the use of more differentiated and transparent prioritisation criteria. However, further prioritisation based on broader societal considerations would require new political agreements and adjusted regulatory frameworks.
A trend seen across Europe
Denmark’s situation is not unique. Across Europe, transmission and distribution system operators are experiencing rapidly increasing demand and long connection queues for electricity grids that were historically designed for a different reality. Several countries have already introduced new planning and prioritisation tools to address this development. These experiences will feed into Energinet’s continued work.
“Electrification is crucial for the climate, competitiveness and security of supply. That places a particular responsibility on us to bring stakeholders together around solutions that work in practice. The pause is a necessary step to allow us to act both wisely and quickly. Now we must ensure that capacity is used responsibly and that grid expansion is adapted to the new reality,” says Kim Willerslev Jakobsen.
