A scrapping certificate can be earned by replacing old and
inappropriately situated wind turbines with new and more efficient
turbines. This grants the right to an extra price supplement.
The energy policy agreement of 29 March 2004 between
Denmark’s Liberal Party, the Conservative People's Party, the
Social Democratic Party, the Socialist People’s Party, the Social
Liberal Party and Kristendemokraterne (the Christian Democrats) on
wind energy and decentralised combined heat and power etc. is the
background for the scrapping scheme. According to the agreement,
the scheme was introduced so that the expansion of wind power could
take place along with the decommissioning of older and less
appropriately sited wind turbines.
The scrapping scheme provides an extra price supplement to new
onshore wind turbines, provided the owner has a scrapping
certificate for a wind turbine with an installed capacity of 450kW
or less, which was decommissioned in the period 15 December 2004 to
15 December 2011.
The price supplement is granted to factory new wind turbines, grid
connected in the period 1 January 2005 to 31 December 2011.
As a consequence of the energy policy agreement of 21 February
2008 between Denmark’s Liberal Party, the Conservative People's
Party, the Social Democratic Party, the Socialist People’s Party,
the Social Liberal Party and New Alliance (now Liberal Alliance) on
Danish energy policy for the years 2008-2011, the scrapping scheme
was prolonged so that scrapping certificates can still be
earned until 15 December 2010 for new wind turbines grid connected
before 31 December 2010.
In 2009
the scrapping scheme was extended to 31 December 2011.
The price supplement is DKK 0.12 per kWh and is granted for
electricity production corresponding to 12,000 full-load hours for
double the installed capacity of the decommissioned wind turbine.
However, if the total amount of this price supplement of DKK 0.12
per kWh, the market price and the ordinary price supplement of DKK
0.10 per kWh exceeds DKK 0.48 per kWh, the price supplement of DKK
0.12 per kWh will be reduced.
The energy policy agreement of 21 February 2008 moreover means that
wind turbines connected to the grid on 21 February 2008 or later
are granted an
extra price supplement of DKK 0.08 per kWh
for electricity production corresponding to 12,000 full-load hours
for double the amount of the installed capacity of the
decommissioned wind turbine. The price supplement is fixed
so that it is granted irrespective of the spot market price.
Owners of wind turbines grid connected from 21 February 2008 until
and including 31 December 2011 may, instead of the price supplement
of DKK 0.08 per kWh, choose to receive a price supplement of DKK
0.12 per kWh, provided the sum of the price supplement and the spot
market price on a monthly basis do not exceed a limit of DKK 0.38
per kWh.
The scrapping certificates are issued by the system operator which
is Energinet.dk.
Scrapping certificates may only be issued within a pool which
corresponds to a total capacity of decommissioned wind turbines of
175MW. The system operator will publish a list regularly of the
number of certificates which have been issued and the number of
advance commitments which have been given.
For more information on this see Energinet.dk’s guidelines for
issuing and processing scrapping certificates etc. Follow this link for more
information