Denmark Delays North Sea Energy Island Project

Denmark's Energiø Nordsø energy island project, intended to supply renewable power to three million households, has been delayed by at least three years, with completion now projected for 2036 instead of 2033. Energy Minister Lars Aagaard cited rising costs and high interest rates as key factors, with total investment expected to exceed 200 billion Danish crowns (approximately $29.81 billion), requiring about 50 billion crowns in state support. The project, originally planned as a joint Danish-Belgian effort, is now considered unfeasible due to increased raw material prices and financing challenges, prompting potential redesigns to include connections to Germany. Aagaard expressed disappointment over failed negotiations with Belgium for shared financing, emphasizing the need for a viable project without subsidies. The energy island is designed to serve as a hub for collecting and distributing power generated by offshore wind turbines in the North Sea. This delay follows a previous postponement announced over a year ago, highlighting ongoing pressures in the renewable energy sector from rising costs and supply chain disruptions.