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The Danish Energy Agency is introducing a new model for calculating economy of energy efficiency

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The Danish Energy Agency is introducing a new model for calculating economy of energy efficiency

Energy Efficiency is and has always been a cornerstone in the Danish energy and climate model, which in contemporary time is getting international attention. To push forward the appreciation of economic advantages from tangible initiatives of energy efficiency, the Danish Energy Agency is now introducing a model for use in Denmark’s international cooperation on energy and climate. The model enables comparison of costs by reducing energy consumption to the corresponding costs by extending energy supply.

Many of the worlds developing and growing countries focus almost only on expanding their energy supply to support growth and living conditions. To secure a more sustainable development of their energy sector and to meet international climate commitments, there has been a wide focus on Danish experience and results on these specific areas. Denmark has been capable of increasing wealth with more than 40 pct. Since 1990, while simultaneously reducing both energy consumption and climate impact. One important element in the Danish development has been the priority of energy efficiency across multiple sectors.

The Danish Energy Agency presented a levelized cost of energy model (LCoE Calculator) at COP21 for estimating countries economy within green solutions compared to conventional solutions along with environmental impacts. The Danish Energy Agency is now expanding the tool to make possible comparison of price on extension of energy supply to the price of reducing energy consumption from investments in energy efficiency.

The objective of this new tool is to give decision-makers in Denmark’s partner countries on energy and climate a broad picture of the economy and to render visible the possibilities of a more sustainable development of their energy sector and energy consumption.

Read more about the LCoE Calculator and give it a try.

About the LCoE Calculator:

  • The LCoE Calculator is able to update Danish partner countries about the effects of the rapidly falling technology prices on energy sources such as solar and wind power.
  • The new module makes calculations of technologies within energy efficiency possible. The price of new capacity can therefore now get compared to the price of saving energy from initiatives such as effective motors or insulation.
  • The LCoE Calculator is part of the Danish cooperation and activities with the purpose of supporting an environmentally sustainable development in the world’s developing economies using Danish experiences with low carbon technologies and systems.


Special Advisor Henrik Breum, Danish Energy Agency, tel: +45 3392 7812, e-mail:

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Ture Falbe-Hansen

Ture Falbe-Hansen

Press contact Head of Media Relations Danish Energy Agency +45 25 13 78 46
Laura Andersen

Laura Andersen

Press contact Press Officer +45 33 95 09 06

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Welcome to Danish Energy Agency!

The work of the Danish Energy Agency involves matters relating to energy supply and consumption, as well as Danish efforts to reduce carbon emissions. The Agency is also responsible for Danish building policy and promotes more sustainable building with regard to energy consumption, use of materials and economic issues.

The Agency is responsible for the entire chain of tasks linked to energy production and supply, transportation and consumption, including energy efficiency and savings as well as Danish national CO2 targets and initiatives to limit emissions of greenhouse gasses. The Agency supports building-policy initiatives to increase the productivity and quality of building as well as the operation and maintenance of buildings, with focus on sustainable building. The Agency also collaborates with the building sector to establish a good framework for the industry.

The Danish Energy Agency was established in 1976, and is an agency under the Ministry of Climate, Energy and Utilities.

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