Promoting solar energy

The Danish Energy Agency works in various ways to promote the development of solar energy on land. The Danish Energy Agency administers several rules and schemes, including previously offered subsidy and support schemes, schemes to promote local acceptance of the expansion of renewable energy, grid connection rules, etc. The municipalities are the planning authority for the installation of solar energy on land.


Schemes to promote local acceptance of renewable energy

The Act on the Promotion of Renewable Energy four schemes aiming at promoting the acceptance of the local population of the development of wind turbines and solar PV installations. The schemes are administered by the Danish Energy Agency.

The four schemes

  • The Loss of property value scheme allows neighbors and local citizens to be compensated by the RE plant owner for the value loss of their property caused by wind turbines and solar PV.
  • The Acquisition option scheme gives the nearest homeowners the right to sell their residential property to the RE plant owner, if there is an assessed loss of value of more than 1%.
  • The Bonus Scheme entitles the nearest neighbors to RE plants to receive an annual bonus based on the production of the plant and paid by the RE plant owner.
  • The Green fund scheme obliges RE plant owners to pay a lump sum to a fund administered by the municipality in which the plant is installed. The fund is allocated to the local community.

In addition, the Guarantee Fund provides a guarantee to local communities for the financing of feasibility studies etc. in relation to the installation of wind turbines or solar PV.

Support for solar PV

The Danish Energy Agency administers support schemes for solar PV installations, which include both smaller rooftop installations as well as larger installations in the open countryside.

Historically, large proportions of solar PV installations in Denmark have been dependent on financial support to make electricity production profitable. Therefore, there have been several different support schemes to promote the expansion of solar PV in Denmark over the years. These have both supported electricity production through direct subsidies and more indirect support in connection to the calculation of taxes. Today, subsidies are no longer granted for new solar energy plants and the technology, therefore, operates on market terms.

Overview of the process for setting up solar PV

The Danish Energy Agency has developed a website with information on the establishment of renewable energy installations, including solar PV installations. The website, which is aimed at professional developers, provides a detailed step-by-step guide to the process and the permits required to install renewable energy plants. is the entry for the national contact point and is part of the implementation of Article 16 of the Renewable Energy Directive (EU/2018/2001) (Only available in Danish)


Wind power and Solar PV