Thousands of members of Denmark's wind turbine owners association, Dansk Vindmølleforening (DV), are rallying with their pocketbooks to start their own green credits trading company, Vindmølleejernes Energiselskab (VE), the wind turbine owners energy company. With expected start-up in September, the association has already pooled funds amounting to DKK 1.17 million (EUR 157,000).
Already from the first day of year 2000, DV is anticipating immediate business for its company. On January 1, wind turbine operators will only receive the national production subsidy of DKK 0.17/kWh, depending upon turbine size and number of full load hours operated-a caveat of Denmark's Electricity Reform (Windpower Monthly, April 1999).
To replace this subsidy, the Danish market will open for a system of green credit trading. According to a database of Danish wind turbines run by Energy and Environment Data, some 2800 turbines with a collected capacity of 300 MW-most of them older or small machines-will lose their subsidy from January 1. About 600 million kWh of green credits from wind are expected to hit the market at that time, according to the association's Jørn Larsen. At the minimum price of DKK 0.10/kWh, set by the Danish government, this results in a starting market value of at least DKK 60 million.
Larsen says association members, who represent a total wind capacity of 585 MW, have paid DKK 2/kW into the VE fund to show their support. Brokers are now being sought who can take over the business of trading the credits or electricity for VE.