Feasibility Study for a TDU Center for Green Energy and Sector Coupling

Challenge

In a short timeframe, society must transition to climate neutrality. At the same time, there is growing pressure to create a more sustainable society that emphasizes circular resource use and biodiversity. Adding to this is increasing uncertainty and complexity.

Climate change, resource scarcity, and geopolitical conflicts demand greater innovation based on new knowledge and technology.

Knowledge and technology in green energy and sector coupling need to be developed, demonstrated, and implemented to address these challenges. Test, demonstration, and development facilities (TDU) play a crucial role in this effort. However, Denmark lacks up-to-date TDU facilities that support innovation, approval, and training for new solutions.

The project partners aim to provide businesses in Southern Denmark—and the rest of the country—with access to the necessary facilities to accelerate innovation and ensure that new technologies are safe, effective, and scalable. This will help secure investments and build trust among companies, investors, authorities, and academic institutions.

However, significant technological uncertainties remain, making it difficult to predict which technologies will become commercially viable—and therefore, which technologies need to be developed and tested. Simultaneously, markets for these new technologies often do not yet exist. This creates considerable uncertainty in the market for TDU facilities. Since establishing TDU facilities is also expensive, investing in them involves substantial financial risks.

Solution

A wide range of facility types could come into play. Technological advancements point towards hybrid facilities that combine physical testing with virtual simulation. The diverse technical characteristics of solutions such as ammonia, methanol, hydrogen, and potentially lithium-ion batteries—which are expected to be utilized across various sectors—introduce numerous use cases for TDU facilities.

Expected Impact

The project aims to reduce uncertainty and financial risks associated with investing in TDU facilities. This will be achieved through a feasibility study.

The project partners will map needs, analyze capability requirements, and explore governance, partnership models, and financing opportunities. This will be done in collaboration with potential customers and users, such as businesses, research institutions, authorities, and foundations.

The project seeks to establish a strong foundation for investments in—and the creation of—a TDU center for green energy and sector coupling in Southern Denmark.