Denmark

Social acceptance
was not requested: it was bought

At its peak, 80% of Danish turbines were owned by individuals or cooperatives. It is no coincidence that Denmark is also the country where people least oppose having a turbine next door. When you are a co-owner, the turbine is yours.

0 community turbines (historical)
0 of Danish electricity is wind
0 mandatory shares for local residents
Island energy community

4 - Samso — The 100% Renewable Island

Country: Denmark - Type: Island Energy Community - Founded: 1997 (project), 2007 (self-sufficiency achieved)

History and Context

Samso is a small Danish island located in the Kattegat strait, 140 km from Copenhagen, with approximately 3,929 inhabitants. In 1997, the Danish government launched a national competition to create a model renewable energy community. Of the five communities that applied, Samso was selected as Denmark's first "renewable energy island."

What makes the Samso case extraordinary is that the island had no special technological advantage. It was an ordinary rural farming community. The key ingredient was community leadership: Soren Hermansen, a local schoolteacher and farmer, became the project catalyst, organizing hundreds of community meetings to convince inhabitants to invest in renewable energy.

In just five years (1997-2002), the island achieved its fundamental energy transition. By 2007, the Danish Energy Agency certified Samso as energy self-sufficient and carbon negative: the island exports more clean electricity than it consumes, offsetting its remaining transport emissions.

Milestone Timeline

  1. 1997

    Selection

    The Danish government launches a national competition. Of five applicant communities, Samso is chosen as the "renewable energy island."

    Starting point
  2. 2002

    Transition

    In five years the island completes its fundamental energy transition: onshore turbines, biomass district heating, and solar.

    5 years
  3. 2007

    Certification

    The Danish Energy Agency certifies Samso as self-sufficient and carbon negative. The Samso Energy Academy is founded.

    10 years
  4. 2030

    Current target

    Goal: 100% fossil-fuel-free island, including transport — electric vehicles, electric ferries, and battery storage.

    Target

Milestones declared by the source. There is no annual capacity or renewable percentage series in the research, so no curve is drawn: only the documented dates and facts are shown.

Governance Model

The Samso model is unique because it combines individual, cooperative, and municipal ownership:

  • Individual ownership: individual farmers purchased complete wind turbines as personal investments
  • Cooperative ownership: groups of residents formed cooperatives to purchase turbines collectively
  • Municipal ownership: the municipality of Samso invested in several turbines and district heating infrastructure
  • 90% of turbines are owned by local individuals or local cooperatives
  • The Samso Energy Academy (founded in 2007) serves as the coordination, research, and education center

Governance is characterized by consensus-based community decision-making. Regular public meetings ensure all inhabitants have a voice in the island's energy decisions.

Scale and Capacity

Energy infrastructure

  • 11 onshore wind turbines (combined capacity of 11 MW)
  • 10 offshore wind turbines (combined capacity of 23 MW)
  • 4 district heating plants fueled by local biomass (primarily straw and agricultural residues)
  • Multiple solar installations
  • Biogas plant
  • Solar thermal heating systems

Generation and consumption

  • Onshore turbines cover 100% of the island's electricity consumption
  • Offshore turbines produce surplus exported to the mainland, offsetting transport emissions
  • Biomass plants provide 70% of heating demand with local resources
  • Current goal: 100% fossil-fuel-free island (including transport) by 2030

Financial Model

Total investment: approximately EUR 50 million in renewable infrastructure.

Funding sources

  • Direct investment by inhabitants and farmers (purchase of individual turbines or cooperative shares)
  • Danish government subsidies (renewable energy island program)
  • Municipal funds
  • Bank financing (loans to wind cooperatives)

Returns

  • Turbine owners receive income from electricity sales to the grid
  • The typical payback period has been 7-8 years
  • District heating plants reduce heating costs for connected households

Energy tourism

  • Over 6,000 annual visitors (politicians, journalists, academics, students from around the world)
  • The Energy Academy generates significant revenue through guided tours, conferences, workshops, and seminars
  • Energy tourism has become an important economic driver, diversifying the local economy traditionally dependent on agriculture

Impact

  • Carbon negative since 2007: the island exports more clean electricity than it consumes
  • 100% local ownership of renewable energy investments
  • Creation of local jobs in a context of rural depopulation
  • Radical reduction of household energy bills
  • The Energy Academy has become a global knowledge center, supporting communities in Asia, Australia, North America, and Africa
  • Strengthening of community identity and local pride
  • International recognition: UNFCCC Global Climate Action Award

Lessons for Colombia

Directly applicable
  • Community leadership by a single individual (Soren Hermansen) was the catalyst. Colombia has similar community leaders in its territories who could fill this role
  • The "energy island" model is replicable in isolated Colombian rural communities, ZNI (off-grid areas), and Pacific and Caribbean islands (San Andres, Providencia)
  • Energy tourism as a supplementary income source is applicable to Colombian communities with existing tourism potential
  • The combination of individual and cooperative ownership allows flexibility for different investor profiles
  • Use of local biomass (agricultural residues) for heating can be adapted to crop drying, refrigeration, or agro-industrial processing in Colombia
Requires adaptation
  • The Danish climate requires heating; in Colombia the need would be refrigeration, food processing, or productive cold chains
  • Investment amounts per inhabitant were high (facilitated by Danish income levels); Colombia would need micro-investment schemes and stronger subsidies
  • The Danish institutional framework (municipalities with high autonomy and fiscal capacity) differs from the Colombian one
  • The scale (an island of 4,000 inhabitants) is ideal for Colombian pilots in small rural municipalities
Offshore wind cooperative

5 - Middelgrunden — Copenhagen's Urban Wind Cooperative

Country: Denmark - Type: Offshore Wind Cooperative - Founded: 1996 (cooperative), 2000 (park inauguration)

History and Context

Middelgrunden is an offshore wind cooperative located off the coast of Copenhagen, just 3.5 km from the port. It is one of the most emblematic examples of urban-scale community wind energy in the world. The wind farm, inaugurated in 2000, was at the time the world's largest offshore wind farm and resulted from a citizen initiative born in 1996.

The story begins when a group of Copenhagen citizens proposed building a wind farm off the city's coast. Instead of leaving the project exclusively in the hands of the city's utility company (Copenhagen Energy, now HOFOR), citizens negotiated a unique co-ownership model: 50% citizen cooperative, 50% municipal utility.

This public-citizen partnership model was innovative and has become a global reference for community participation in large-scale renewable energy projects.

Governance Model

Ownership structure

  • Middelgrundens Vindmollelaug I/S (Middelgrunden Wind Turbine Cooperative): owns 50% of the park (10 turbines)
  • HOFOR (Copenhagen's municipal utility): owns the other 50% (10 turbines)

This is a real and exclusive division of the total, declared by the source — that is why a donut chart is appropriate here.

Shares and members

  • 40,500 shares issued in total
  • Over 8,500 shareholders, mostly residents of Copenhagen and surroundings
  • Each shareholder holds a stake corresponding to 1/40,500 of the cooperative's total per share acquired
  • Each member has one vote regardless of the number of shares held (cooperative principle)

Organization

  • Constituted as I/S (partnership), where each member has one vote
  • Board of directors elected at general assembly
  • Professionalized management with technical support from HOFOR

Scale and Capacity

  • 20 turbines Bonus 2 MW (10 cooperative, 10 HOFOR)
  • Total capacity: 40 MW
  • Annual generation: approximately 100 GWh
  • Each share represents a production of 1,000 kWh/year
  • The park generates enough electricity to supply approximately 40,000 households
  • The turbines are installed in a curved arc off the coast, designed both aesthetically and to maximize wind capture

Financial Model

Initial investment

  • Total project cost: approximately EUR 46 million
  • Cooperative contribution: EUR 23 million, raised entirely through share sales to citizens
  • HOFOR contribution: EUR 23 million

Shareholder returns

  • 7.5% annual return after depreciation
  • Investment payback period: 8 years
  • After the 8 years, all income is net profit for shareholders
  • Revenue comes from electricity sales to the Danish grid at market prices, initially supplemented by government feed-in tariffs

Share purchase financing

  • Original price per share: approximately EUR 570
  • Many citizens acquired multiple shares
  • Access was facilitated through payment plans and bank financing

Impact

  • Demonstration that cooperatives can participate in large-scale projects (40 MW), not just small turbines
  • Estimated reduction of 76,000 tonnes of CO2 annually
  • Creation of citizen ownership over Copenhagen's energy infrastructure
  • Reference model for Danish legislation and the European Renewable Energy Directive
  • Visibility: the turbines are visible from the Copenhagen coast, constantly reminding citizens of their participation in the energy transition
  • Contribution to Copenhagen's goal of being the first carbon-neutral capital in the world

Lessons for Colombia

Directly applicable
  • The 50/50 co-ownership model (citizen cooperative + utility) is highly relevant for Colombia, where companies like EPM, Celsia, or EBSA could partner with citizen cooperatives
  • Issuing accessible shares (equivalent to COP 2-3 million) enables urban middle-class participation
  • The park's aesthetic design demonstrates that renewable infrastructure can integrate harmoniously into the urban landscape
  • The 8-year payback with 7.5% returns is a powerful financial argument for attracting citizen investors in Colombia
Requires adaptation
  • Offshore wind requires massive investments; in Colombia, the most realistic equivalent would be community solar parks near cities
  • Colombian regulation on distributed generation and energy communities needs further development to enable such schemes
  • The cooperative investment culture is less mature in Colombia, requiring greater financial education and awareness campaigns
National regulatory framework

6 - Danish Energy Community Model

Country: Denmark - Type: National Regulatory Framework - Period: 1970s-present

This is not an organization

The Danish Model is a regulatory framework built over five decades, not a cooperative. That is why it has a period and not a founding year, and why it does not appear as a pin on the case map.

History and Context

Denmark is the country with the highest proportion of cooperative energy in the world, and its energy community model has become a global reference. The Danish cooperative tradition in energy has deep roots going back to the 1970s, when the oil crisis drove rural communities to seek local energy alternatives.

The most notable fact is that at its peak, 80% of Danish wind turbines were owned by individuals or cooperatives, rather than commercial companies. Although this proportion has decreased with the construction of large offshore wind farms by companies like Orsted, the principle of community participation remains firmly embedded in Danish legislation and culture.

Legal framework evolution

  1. 1970s

    Origin

    First wind cooperatives driven by the anti-nuclear movement and the oil crisis. Generous feed-in tariffs arrive in the 1980s-90s.

    Oil crisis
  2. 2008

    Mandatory participation

    Renewable Energy Act with mandatory community participation requirements: 20% of shares in every new onshore wind farm must be offered to local residents.

    Renewable Energy Act
  3. 2021

    RECs and CECs

    Formal incorporation of Renewable Energy Communities and Citizen Energy Communities into national legislation, transposing European directives RED II and IEMD.

    European transposition
  4. 2022

    Funds and organization

    Executive decree allocating funds to the Danish Energy Agency for community project grants, information campaigns, and energy community organization.

    Executive decree

Legal milestones declared by the source. The 80% community ownership peak is not dated in the research, and no annual series of community participation exists: that is why no decline curve is drawn.

Governance Model

Current legal framework

  • RECs and CECs were officially adopted in Danish legislation in 2021 through an executive decree
  • The Renewable Energy Promotion Act is the main regulation, aligned with the European RED III Directive
  • The two main electricity exchange models are: behind the meter and through the collective grid
  • Currently, CECs and RECs cannot operate their own distribution networks
  • Enabling tariff models and a remuneration or incentive system for energy exchange are under development

Community participation requirements

  • For new onshore wind farms, developers must offer at least 20% of shares to local residents
  • A community compensation fund is established (typically 0.004 DKK/kWh) for communities near the parks
  • Municipalities play an active role in project planning and approval

Scale and Capacity

  • Denmark generates over 50% of its electricity from wind energy
  • Hundreds of wind cooperatives operational across the country
  • The cooperative model has been fundamental to achieving public acceptance of wind energy: as co-owners, neighbors accept turbines in their communities
  • Total installed wind capacity exceeds 7 GW (onshore and offshore), of which a significant proportion has community participation

Financial Model

Tax incentives

  • Specific tax incentives for purchasing shares in wind cooperatives, designed to stimulate individual investment
  • Income tax reduction for income from wind cooperative shares (up to a certain limit)
  • Tax exemptions for cooperatives on a portion of their income

Support mechanisms

  • Historically generous guaranteed feed-in tariffs, now transitioning to auctions and market premiums
  • Danish Energy Agency fund for community project grants
  • Technical and legal support through organizations like Danmarks Vindmolleforening (Danish Wind Turbine Owners' Association)

Typical member returns

  • Historically, 5-8% annual returns for wind cooperative shares
  • Payback periods of 7-10 years
  • Supplementary income from green certificates and grid services

Impact

  • Denmark demonstrates that massive renewable energy penetration with broad citizen participation is possible
  • Public acceptance of wind infrastructure is extraordinarily high, largely because citizens are co-owners
  • The model has been exported globally: Danish experience directly influenced the European Union's energy community legislation
  • Decisive contribution to Denmark's target of 100% renewable electricity by 2030
  • Billions of euros in citizen investments channeled toward clean energy

Lessons for Colombia

Directly applicable
  • The legal obligation to offer 20% of shares in new projects to the local community is a powerful regulatory instrument Colombia could adopt. This would transform the large solar and wind parks of La Guajira, Cesar, and other departments into community participation opportunities
  • Community compensation funds (cents per kWh) are a simple and effective redistribution model
  • The Danish experience demonstrates that citizen participation reduces social opposition to renewable projects, a growing problem in Colombia
Requires adaptation
  • The Danish cooperative tradition (with over a century of agrarian cooperativism) has no direct equivalent in Colombia, so trust-building requires more time and effort
  • Danish tax incentives are sophisticated and require an efficient tax administration; Colombia could implement simplified versions
  • The Danish institutional framework (strong municipalities, welfare state, high levels of social trust) differs fundamentally from Colombia's, requiring additional transparency and accountability mechanisms

Social acceptance was bought with ownership

Denmark generates over 50% of its electricity from wind and has more than 7 GW installed. Since 2008, every new onshore wind farm must offer 20% of its shares to local residents. A single line of law that would turn the large parks of La Guajira and Cesar into community participation instead of conflict.

The Danish model,
translated for Colombia

Energy island in off-grid areas, 50/50 co-ownership with the utility, and 20% mandatory community share

View the 5 lessons View the municipal guide