Construction has began on Denmark’s first large Danish-owned data center (DDC1). Located at the Port of Esbjerg, DDC1 is designed to integrate intelligently with the surrounding energy system; the project combines digital resilience with the efficient use of energy and resources.
DDC1 will be one of the largest data centres in Denmark and is owned by PensionDanmark, the Thylander Group, and Copenhagen Infrastructure Partners (CIP), through its CI Microgrid Electrification Fund. The project aims to showcase how data centres can be developed in close collaboration with the local energy system, working not just as a consumer of electricity, but as an integral part of the broader energy infrastructure. This approach can deliver benefits for the community, the climate, and the local energy supply.
“Our ambition is not just to build a single data centre, but to set a new standard for how data centres can be developed as an integral part of society,” says Anders Frich Mathiesen, CEO of Thylander Data Centers.
DDC1 addresses a growing need for local data capacity. With the rapid development of AI and digital services, access to data capacity has become a strategic competitive factor and a prerequisite for digital sovereignty.
“Access to data centres is a key competitive factor and a prerequisite for realising AI growth", says Rune Gade Holm, Head of Private Markets at PensionDanmark. "It is therefore natural for us to invest in Danish data centre capacity for Danish businesses. PensionDanmark invests in digital infrastructure globally, so it makes sense for us to develop data capacity for Danish companies while we also get the opportunity to generate attractive returns on our members’ retirement savings.”
Ideal location
DDC1 is a pilot project designed to serve as a framework for the Danish data centres of the future, where digital infrastructure is developed in closer collaboration with the energy system and with a focus on local value creation and resource utilisation. Its location at the NATO port in Esbjerg supports both security of supply and a robust digital infrastructure.
“From an infrastructure perspective, Esbjerg is one of the most important industrial hubs and a very business-friendly municipality. This makes the port an ideal location for a project like DDC1, which is built on strong local collaboration,” says Karsten Uhd Plauborg, Partner at Copenhagen Infrastructure Partners and CEO of Plexar.
From energy consumer to a smart and flexible part of the power system
DDC1 is designed with a focus on resource optimisation and local integration. The data centre is connected to the local power grid via the grid operator, N1, with a capacity of 11.5 MW, emphasising high reliability of supply. It is equipped with advanced energy management from Plexar, which can continuously optimise electricity consumption and reduce the load on the power grid. Electricity consumption can be adjusted to match the current capacity of the power grid, while smart storage will support stable operation and help the data centre play a more active role in a balanced energy system.
“In Denmark, a large proportion of electricity generation comes from renewable energy, and with intelligent management, we can ensure that the data centre operates as efficiently as possible and makes the best possible use of the clean electricity. The goal is for the data centre not to be a burden, but an active part of a more balanced energy system,” says Anders Saaby, Chief Technology Officer at Plexar.
In collaboration with the utility company DIN Forsyning, the goal is to utilise the excess heat from DDC1 for district heating. At the same time, the cooling system will be set up as a closed, circular system in which water is reused to minimise water waste.
“I’ve been looking forward to welcoming DDC1 to Esbjerg. The project builds on the strengths we already have as EnergiMetropol, and it aligns with our ambition for Esbjerg to also be a digital hub. At the same time, DDC1 demonstrates how digital infrastructure can be integrated with solutions, utilities, and business development. In this way, the project will be a positive addition to Esbjerg’s business community,” says Jesper Frost Rasmussen, Mayor of Esbjerg Municipality.
Photo: the groundbreaking ceremony in Esbjerg (via LinkedIn)