European Energy and Maersk are now forced to change their plans for a methanol production setup to supply Maersk with green fuel. A proposed test zone included in the original project has been rejected, while current framework conditions only serve to impede the process, writes Danish media Børsen Bæredygtig.

"The current tariff structure is a barrier to developing PtX projects in Denmark, and the sooner the announced changes are implemented, the better. We fear that the Denmark's potential to become a pioneering country within PtX will be impeded if you have to wait until 2023 and perhaps even 2024 before the proper framework conditions are set up," says Head of Power-to-X at European Energy Emil Vikjær-Andresen to Børsen Bæredygtig:

"That not only goes for tariffs, but also the conditions for building out new green energy, which is currently far below the ambition level that Denmark ought to have."

By filing an application with the Danish Energy Agency, the two companies hoped to set up a test zone as part of the establishment of a production facility for methanol, which would ensure lower prices on the tariffs needed to be paid today for transporting power in the electrical grid.

But the application didn't meet the regulations for test zones that can be exempt from paying the full tariffs, which is why the companies were turned down.

European Energy absorbs REintegrate

Maersk requires 360,000 tonnes of green methanol a year for its new container fleet

Maersk exec considers green methanol supply a "fundamental challenge"