Danske Commodities reaches milestone of 100 combined heat and power plants

In just two years, Danske Commodities has quintupled its portfolio of combined heat and power (CHP) plants. The energy trading company is now providing more than 100 CHP plants with access to the wholesale electricity market with Danske Commodities as the balancing responsible party (BRP). The growth in Danske Commodities' customer base is driven by years of trading experience and a robust system platform.

"In recent years, we have heavily invested in our systems. This has resulted in a new module specifically designed to handle heat production planning, while we have also developed a market-leading setup for algorithmic trading. Advanced systems, combined with strong customer relationships, have allowed us to significantly expand our collaboration with CHPs," said Anders Kring, VP, Head of European Power Trading at Danske Commodities.

CHPs and other flexible assets are crucial for the energy transition. A report from the EU’s energy regulatory authority ACER concludes that flexibility in the European energy system must double by 2030 to keep up with the development of renewable energy (Flexibility solutions to support a decarbonised and secure EU electricity system, 2023).

"Flexible energy production and batteries will play an even more important role in ensuring energy security as we increase the share of renewable energy. To succeed, we must make sure that dispatchable assets like CHPs can participate in energy markets from the day-ahead market to the intraday market and also the balancing market. This creates value for both consumers and CHPs," said Kring.

With now over 100 CHPs in the portfolio, Danske Commodities takes the lead in the decentralised market. This also reflects an ambition to be a preferred partner for energy customers.

"We aim to be a preferred partner for flexible asset owners through energy market services for combined heat and power, biomass, waste and batteries. With 20 years of trading experience from wholesale power markets and over 10 years of experience as a balance responsible party, we aim to create value for our customers through balancing and optimisation," concluded Kring.

Danske Commodities currently manages a total contract portfolio consisting of flexible and renewables assets of 12 GW across Europe in close collaboration with its customers, including energy producers and industrial consumers.

FACTS ABOUT DANSKE COMMODITIES' PORTFOLIO OF FLEXIBLE ASSETS

• Assets: CHPs, biomass facilities, waste plant and batteries
• Total capacity: 1,700 MW
• Flex activities in: Denmark, Sweden, Norway and the UK
• Market access to: day-ahead, intraday and all balancing markets (mFRR, aFRR, FCR)
• Balance responsible party (BRP) since: 2012

Danish press release

English press release