Denmark to Boost Biomethane Output by 25% Within Two Years, Eyes Full Gas Transition

Denmark is accelerating its biomethane ambitions, with grid operator Energinet announcing plans to increase the country’s annual production by 25% within the next two years, up from the current level of around 8 TWh. The long-term goal: to fully replace fossil natural gas with biomethane within the next decade.

Strong Foundations for Growth 

According to Jeppe Bilger, Head of Development at Energinet, Denmark’s rapid expansion is enabled by several structural advantages: a highly developed agricultural and logistics system, a transparent regulatory environment, an open market approach, and, crucially, subsidies on par with the heating sector. These factors, he said, not only support domestic deployment but also position Denmark to profit from biomethane exports.

Denmark Among EU Biomethane Leaders

Denmark is already one of the EU’s top biomethane producers, alongside the UK, France, and Germany. Since the sector’s launch in 2013, Denmark has built 60 biomethane plants, all of which are now running at full capacity. The country has quickly become a showcase for how bioenergy can scale under the right conditions.

Rising Investment Interest

The sector has also drawn the attention of major international investors. In 2022, Shell invested nearly €2 billion to acquire several Danish biomethane plants and associated infrastructure, a move seen as a strong vote of confidence in the country’s green gas trajectory.

Outlook

If Denmark achieves its targets, it would become the first EU country to eliminate fossil gas use entirely in favor of biomethane, setting a precedent for Europe’s broader energy transition. With subsidies driving momentum and industrial players scaling up, the Danish model could soon become a blueprint for other nations seeking to balance climate ambition with energy security.

Bottom line: Denmark is betting big on biomethane—not just as a domestic decarbonization tool, but as a future export industry anchoring Europe’s clean energy transition.