The EU Commission has given a stamp of approval for a payment of EUR 301m to Denmark on Tuesday, earmarked for climate initiatives and investments in digitization.

The disbursement comes from the EU’s recovery fund as the first of several such payments being distributed to Denmark.

Set up during the Covid-19 pandemic, the recovery fund aims to mitigate the negative impact of the crisis on EU nations’ economies, not least through investments in green transition efforts.

In Denmark, the funds will primarily be directed towards taking carbon rich soils out of production in the agricultural sector and subsidies for energy retrofitting of public buildings, along with funding for research into green fuels.

Denmark is set to collect approx. EUR 1.41bn from the fund. In 2021, Denmark received an advance payment of approx. EUR 200m. 

In December, the Danish government filed its first application for an actual disbursement, which the EU Commission has now greenlit.

The sum of EUR 301m is expected to be disbursed in late April or early May.

Prior to this, the remaining EU nations must approve the EU Commission’s assessment.