In a rapidly evolving renewable energy market, Better Energy sharpens its focus on its core business and prepares for the next phase of the green transition.
Green energy production is inherently linked to progress in other areas of the green transition. The demand side will have to follow the roll-out of renewable energy, and right now this is happening at too slow of a pace to realise the full potential for green energy production.
Delays in the electrification of transport, green fuels, heavy industry and society at large underscore the importance of timing in new green energy production.
"We are looking at a market towards 2030 where, on the one hand, there is a need for a lot of renewable energy in Europe. But on the other hand, we are also looking into a market situation where the rest of the electrification of our societies is lagging behind. We still firmly believe in the necessity and urgency of a full-scale transition to green energy, but it is fundamental that the production of green energy follows the demand," says Rasmus Lildholdt Kjær, CEO of Better Energy.
Green Energy in the Right Place at the Right Time
Despite political commitments aimed at increasing electrification and promoting more flexible electricity consumption, the reality has yet to fully align with these ambitions. A telling indicator of this disconnect is the increasing occurrence of negative electricity prices across Europe. Negative electricity prices are not a new phenomenon, but the number of hours with negative prices is increasing sharply, and the preliminary figures for 2024 in Denmark have already broken a new record compared to 2023, which was also a record year.
"We react swiftly to market signals to ensure that we are in the right position and aligned towards the market situation we are heading into. Specifically, this means that we expect to postpone 3 GW of upcoming solar power capacity from our Danish project portfolio alone until after 2030. At the same time, we are readjusting our organization to an even greater focus on timing our future energy parks with regional need for green energy.
“Until now, our mantra has been as much renewable energy as possible, as quickly as possible. Going forward it will be green energy in the right place at the right time. This is a strategic direction we have already set and which we are now fully implementing," says Rasmus Lildholdt Kjær and continues:
"In 2019, we were instrumental in demonstrating that solar power could operate on market terms, and we adapted and scaled into an organisation that since 2020 has installed around half of all new renewable energy production onshore in Denmark. We are now entering another significant phase of change, and it is important to remember that the companies that can adapt quickly and navigate changes and, not least, make good business out of them, will be the ones that will have the greatest impact in the green transition in the long term."
The Next Phase of the Green Transition
"To an even greater extent, the demand for and the production of green energy must go hand in hand. When we are looking at realisable opportunities that combine new green consumption with new production, it is important to focus on precisely these and ensure that the necessary grid infrastructure is established as soon as possible. In other words, we must find ways to bridge the gap between the increased demand for electricity and the new electricity production, and here timing and location will play a key role," says Rasmus Lildholdt Kjær.
Several municipalities are already placing significant emphasis on combined consumption and production initiatives as part of their agendas. However, governments also play an important role in establishing the necessary infrastructure to prevent lengthy delays previously experienced with the electricity grid. Rasmus Lildholdt Kjær elaborates:
"In a market-driven next phase of the green transition, the state has a clear responsibility to invest in essential infrastructure, such as transmission grids and hydrogen pipelines. Meanwhile, the private sector is well-equipped to manage investments in offshore wind and other renewable energy sources. It is more important than ever that we work closely together to achieve an efficient and rapid transition to green energy.
Meanwhile, at Better Energy, we are adapting our organisation, our priorities, and the locations we focus on, so that we continuously calibrate our efforts according to where different countries, regions, and markets are in their transition. By doing so, we ensure that we remain in a strong position in an evolving and dynamic energy landscape."
Media Inquiries
Christian Bergmann Mølgaard | Better Energy | VP, Head of Communications | +45 26 71 36 34 | cbm@betterenergy.dk
About Better Energy
Better Energy is a fully integrated renewable energy company that builds additional green energy capacity. We develop, build, own and operate large-scale renewable energy parks with a focus on local and regional value creation and a strong commitment to nature. The green electricity we produce provides companies with more certainty and allows them to have an impact beyond meeting sustainability targets.
