Six projects have already dropped out of applying for the state's CCS pool of 28.7 billion DKK and now a seventh is joining the queue, leaving only three projects in the running for the billion-dKK pool.
Thus, the partners Hofor and Elimini have decided not to bid for the state's support pool for CO2 capture. This is despite the fact that the companies are well advanced in the development of the BioCapture Copenhagen project, which will capture CO2 from the biomass-fired block 4 at the Amager Power Plant in Copenhagen. This is stated by Hofor in a press release.
- Hofor and Elimini have developed a project with the potential to remove a large amount of CO2 each year. Extensive preparations and analyses have been carried out, which strengthen the assessment that there is a basis for developing a good project. However, too great risks have meant that we have planned not to bid for the state's CCS support pool this time. Hofor and Elimini are continuing to work to realize the Municipality of Copenhagen's goal of having CO2 capture at the Amager Power Plant, says Gorm Elikofer, Director of Energy at Hofor.
Like several of the other players who have dropped out of the tender, Hofor and Elimini point out that the decision is due, among other things, to uncertain framework conditions. The partners point in particular to uncertainty about Danish final storage for CO2, a tight schedule and requirements for comprehensive guarantees.
The framework of the tender requires that the capture facility must be in operation on January 1, 2030. According to Hofor, this is not realistic because the Danish onshore storage facilities are not expected to make an investment decision until the end of 2027. However, the lack of an application for the CCS pool does not mean that the project will be abandoned.
- Hofor and Elimini therefore assess that the external risks in the project are too great to submit a final bid now. We are of course disappointed by this, but we are still working on the possibilities of establishing a CO2 capture plant at Amagerværket, now just further in the future.
The deadline for submitting final bids for the CCS pool funds was postponed on Friday from December 17, 2025 to January 7, 2026. However, according to the Danish Energy Agency, the postponement was not caused by the many cancellations to bid, but to allow time for a current consideration of a proposed bill that is intended to create clarity about the rules for energy taxation of the process for capturing CO2. The legislative amendment is expected to enter into force on January 1, 2026.
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