On 22 March, the Danish transmission system operator, Energinet, co-signed a three-year framework cooperation agreement with the world’s biggest transmission system operator, State Grid Corporation of China.
The company says in this press release that the new cooperation agreement aims at supporting China’s +1,000-gigawatt renewable energy target by 2030.
The new framework agreement focuses on sharing experiences on green energy transition and building capacity within State Grid Corporation of China. The objective is to assist China in integrating +1,000 gigawatt of variable renewable energy in 2030, moving ever closer to China’s overall goal of reaching carbon-emission peaks before 2030 and becoming climate neutral in 2060.
One of the focus areas will be the development of the Chinese power market and ancillary services. The Danish TSO, Energinet, has decades of valuable experience from energy system operation and liberalization of the power market. These experiences have been vital instruments to boost the share of renewable energy in the Danish energy system. Thus, sharing experiences with China can contribute to a fast Chinese transition from fossil fuels to renewable energy.
“With a new framework agreement between State Grid and Energinet, the close collaboration will continue, and I hope that our experiences and insights can deliver the decisive parts in reaching our common ambitions in accelerating the green transition. We have the necessary expertise, specifically when it comes to liberating the power market and creating innovative solutions, such as green ancillary services. Therefore, I truly consider the collaboration with State Grid as a catalyst to creating green energy for a better world”, said Thomas Egebo, CEO at Energinet.
China’s potential for accelerating the green transition is immense, as China is the world’s largest energy consumer, accounting for approximately 28 percent of the world’s CO2 emissions and 50 percent of the total coal consumption. This indicates that there is both a massive need and potential within the Sino-Danish cooperation for a collective acceleration of the green energy transition. The Framework Cooperation Agreement is funded by the official energy partnership between Denmark and China, led by the Danish Energy Agency.
“We appreciate the good and long-standing collaboration between Denmark and China, which started more than 15 years ago. Denmark has shown it is possible and cost-effective to integrate large shares of variable renewable energy while maintaining a world-class security of supply. We are pleased that Energinet can assist State Grid Corporation of China on the green energy transition of China through its comprehensive technical experiences,” said Stig Uffe Pedersen, Deputy Director General at The Danish Energy Agency.