ANNUAL REPORT 2011 - DONG Energy

e
fremog
gas
BusIness AND STRATEGY
By 2020, the target is to halve DONG Energy’s CO 2 emis-
sions per kWh generated compared with 2006, and CO 2
emissions should be reduced to 100 g/kWh by 2040.
These ambitious targets will be achieved by radical
conversion of DONG Energy’s electricity generation from
fossil to renewable energy. DONG Energy continues to develop
offshore wind farms in Denmark, the UK and Germany,
and the plan is for coal-fired power stations to be
converted to biomass. DONG Energy has also made investments
in power stations that use gas, which emits significantly
less CO than coal. This is the best alternative,
2
among fossil fuels, for safeguarding reliable energy supply.
DONG Energy operates gas-fired power stations in Denmark,
the UK, Norway and the Netherlands.
The transition to greener energy generation entails
greater technological and geographical diversification. DONG
Energy wants to maintain its position as the market-leading
energy producer in Denmark, while reducing its dependence
on the Danish market by increasing its presence in the markets
in northwestern Europe. In 2006, 91% of the Group’s
electricity generation capacity was located in Denmark. The
Danish proportion was reduced to 67% in 2011 and is expected
to account for just over half of capacity in 2015.
Renewable and thermal energy generation capacity, MW
Coal
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
Oil
2006
Gas
Robusthed gennem den
integrerede forretningsmodel
Wind and biomass growth
Udvikling af fremtidens
fleksible energisystem
DONG Energy wants to change the Group via organic growth by means
of investments in green energy from offshore wind farms and conversion of
power stations to biomass
Biomass
2011
Waste
Wind
2015
estimate
Hydro
10
manaGEmEnt’s rEviEw – DONG ENERGY GROUP ANNUAL ANNUAL REPORT REPORT 2011 2011
more renewable energy
Efficient utilisation of DONG Energy’s unique capabilities
in the area of offshore wind has meant that DONG Energy
is the global market leader in the design, construction and
operation of offshore wind farms.
The electricity generation capacity from wind continues
to rise. Together with electricity generation from power stations
based on biomass and waste, plus hydro power, renewable
energy accounted for 31% of DONG Energy’s total
electricity generation capacity in 2011.
The use of coal has been reduced and, compared with
2006, the coal-fired power stations’ proportion of total capacity
for energy production was halved to 24% at the end
of 2011. DONG Energy had five coal-fired power station units
fewer than in 2006. At the end of 2011, gas-fired capacity accounted
for 31% of total electricity generation capacity.
Global market leader in offshore wind farms
The first offshore wind farms in the world were built on
Danish territory. DONG Energy has since built several Danish
and British offshore wind farms and, in 2013, construction
begins on a German offshore wind farm, Borkum Riffgrund
1.
The first offshore wind farms were established project
by project, but, since the start of 2009, DONG Energy has
been working intensively to develop and install offshore
wind farms in an assembly line concept and to enhance efficiency
in all stages of the offshore wind farm value chain.
The first step Water was DONG Energy’s Affaldlarge-scale
contract with
Siemens to buy over 500 offshore
Wind
Biomasse
wind turbines and the
purchase of the installation company A2SEA, which is
Waste
Gas
jointly owned with Siemens. With these and other meas-
Biomass Oile
ures, the farms can be established in a continuous process
with a constant Gas focus on optimum Kul use of skills and resources
and Oil thus maximum value creation at all stages
from design Coal to operation. As the construction cost makes
up three quarters of the total cost in the service life of an