Ørsted has announced the closure of its last coal-fired heat and power plant in Esbjerg, Denmark, on August 31, 2024. This marks a major step towards making Ørsted’s energy generation nearly fossil fuel-free. Once known as one of Europe’s most coal-intensive energy companies, Ørsted has drastically reduced its reliance on coal, achieving a 92% reduction in scope 1 and 2 emissions from 2006 to 2023.
The shutdown of the Esbjerg plant, along with the previously decommissioned units at Studstrup and Kyndby, is part of Ørsted’s strategy to focus on alternative power sources, including wind, solar, and certified sustainable biomass. This transition aligns with the company’s goal to reach a 99% green share of energy generation by 2025.
The Esbjerg facility has been a significant contributor to the Danish energy system, historically consuming around 500,000 tons of coal annually, resulting in 1.2 million tonnes of carbon dioxide emissions. The local heating supply company in Esbjerg is developing alternative solutions to maintain district heating services for the municipality.
Despite the closure, Ørsted will continue its efforts to enhance renewable energy production. The company is also involved in rebuilding a large wood pellet silo at Studstrup’s Unit 3, aiming to eliminate coal as a reserve fuel by the end of 2024. The transition away from coal will impact 50 employees at the Esbjerg plant.
In addition to its efforts in Denmark, Ørsted has partnered with Mission Clean Energy to develop four 1GW battery storage systems in the US Midwest, furthering its commitment to renewable energy solutions.