Two final bids in the run for Denmark’s €3.84 billion carbon capture and storage fund

February 4, 2026, by Nadja Skopljak

The Danish Energy Agency has received two final bids for the DKK 28.7 billion (around €3.84 billion) fund for carbon capture and storage (CCS) aimed at helping the country reach its climate goals.

Sixteen projects applied to be prequalified for this third CCS pool, of which ten were prequalified in May 2025. Eight of the projects submitted initial bids in August 2025.

The two final bids will now be assessed, with the contracts expected to be awarded in April.

“We are approaching the finish line in a tender process that has lasted since the autumn of 2024, and how many players have been in the field up to the deadline,” said Peter Christian Baggesgaard Hansen, Deputy Director General of the Danish Energy Agency.

“I would like to acknowledge the great effort that has been made by the many players, and the broad interest that has been shown in the pool. The bottom line today is that we have two offers, which we are now starting to assess.”

The CCS Fund will cover the costs of capture, transportation and geological storage of fossil, biogenic or atmospheric CO2 over a 15-year contract period, with the subsidies including a requirement for the commissioning of capture facilities by December 1, 2029, and full capture and storage from 2030.

Overall, it is estimated that the fund will reduce Denmark’s annual carbon emissions by 2.3 million tons from 2030, which corresponds to around 5% of the country’s total current emissions over a year.

The first CCUS pool, worth approximately DKK 8 billion, was secured by Ørsted, which will capture and store 430,000 tons of CO2 annually from 2026 and 20 years onwards.

The second pool, the NECCS pool, was concluded in May 2024, when the Danish Energy Agency entered into a contract with three companies to ensure the capture and storage of 160,350 tons of biogenic CO2 annually in the period from 2026 to 2032.