Port Esbjerg, Denmark, has evolved from a small fishing port to a major energy hub, playing a crucial role in the country’s green transition. Its strategic location and commitment to collaboration have made it a leader in offshore wind, power-to-X, and carbon storage
The end of the Dano-Prussian War in 1864 resulted in the requirement for Denmark to establish a new port on the west coast of Denmark.
Historical roots and fisheries
This led to the inauguration of Port Esbjerg in 1868 and the first direct shipping route to the United Kingdom. This route is still operated by the same shipping company, which daily ship food products across the North Sea.
However, the benefits by having a sheltered port on the west coast of Denmark was also discovered by the fishermen and from 1920 these activities grew steadily. In 1985 there were more than 600 fishing vessels registered in Port Esbjerg. The fisheries evolved from traditional catch and landing of fish to industrial scale marine ingredient production. The large fishing fleet has since dwindled but the marine ingredient industry remains, and today the world most advanced plant is located within Port Esbjerg.
Energy hub and offshore wind
In the late 1960 the very first wells were drilled on the Danish continental shelf and in 1972 the first oil field commenced production. This field is still producing more than 50 years later, while many new oil and gas development also has entered production. Today, Denmark is a net exporter of oil and gas, but the formation in the Danish sector is also ideal for carbon storage. The Danish part of the North Sea can store 400-700 times the need of Denmark. Hence, the oil and gas industry in Denmark has a specific responsibility in the European climate fight, due to their existing license.
For the Danes the North Sea had been of importance since Viking harvested the winds and headed for new adventures. In our time one largest adventures is the green transition and for that the wind in the North Sea is imperative, as this allows for the vast build out of offshore. In 2022, the Esbjerg Declaration paved the way for further expansion of offshore wind, as Belgium, Denmark, Germany and the Netherlands decided to jointly develop The North Sea as a Green Power Plant of Europe.
Green transition and Power-to-X
This future green power plan, comprising abundant offshore wind turbines, is located off the west coast of Denmark and here Port Esbjerg has a perfect location. This has already resulted in a considerable track record, as 59 offshore wind projects have been serviced from Port Esbjerg since 2001. These activities have resulted in a well-established supply chain in Esbjerg with more than 60 companies operating within the on- and offshore wind industry.
The greenification of societies surpasses the need for renewable power for domestic use, as also the industries and transport and ports need greener fuels. Power-2-x, specifically hydrogen production, in closely linked with the future energy demand in Europe and port play a significant role in this new era. In this context, more than 2 gigawatts of power-to-x plants are under planning adjacent to Port Esbjerg, which can serve as future connection point to the hydrogen back bone.
The evolution of Port Esbjerg exemplifies how port communities can benefit from the opportunities brought both by the hinterland catchment area and the proximity of the activities in the North Sea. Today, more than 7.500 people commute to work in one of the 200 companies located within the port area, which portray a large complex industrial ecosystem. The port ecosystem must change with the green transition in Europe, if it will reap the benefit of the opportunities within offshore wind, power-to-x and carbon storage, but must also fit into the hinterland logistics of the Trans European Network.
Collaborative ecosystem and future opportunities
Port Esbjerg is a self-govern port, which reinvest all profits. The port administration collaborates closely with the companies within the port and consensus exist on the strategic direction. The investments into port infrastructure coupled with the benefits of the location in relation to the opportunities in the North Sea and the hinterland may be argued as predecessors for development.
Nonetheless, any fruitful development requires collaboration and for this to mature, the companies operating within the port must have similar world view. The change in strategic direction of many of these companies is obviously derived from the opportunities in the green transition. The development of these companies is intertwined with the development of Port Esbjerg and the competitive advantage is the capabilities in advancing mutual beneficial goals.
In Port Esbjerg, there is a plethora of examples of collaborative achievements with the companies within the port ecosystem. The turbine manufactures are operating side-by-side and often share the area to gain optimal efficiency and lowest cost, while the engineering team within the Port Esbjerg facilitate site preparations and modifications. The constant change can be said to be the DNA of the offshore wind industry, and this requires continues upgrade of infrastructure, but equally important is the development of people, service companies and innovative solutions.
It was also with that mind set that Port Esbjerg decided to secure the offtake from the first commercially viable hydrogen production from the offshore turbines installed in proximity to the port area. Port Esbjerg contracted a shorepower system for ships based on the fuel cell technology. This meant that a local company was able to develop a new business line. Meanwhile, the team within Port Esbjerg learned how to transport hydrogen between from the production site and this may be scaled up when more green fuels is needed in the future.
In sum, it may be argued that the epitome of Port Esbjerg is joint evolvement with presented opportunities, but it is the collaboration which create the innovation required for the green transition. From 2025, Port Esbjerg can facilitate the installation of 4.5-gigawatt offshore wind every year. Simultaneously, the first CO2 terminal is anticipated to be in operation, and this allow large industrial clusters to transport their CO2 to the intermediate storage in Port Esbjerg prior to shipment and storage in the reservoirs in the North Sea. The large scale hydrogen production will also be the future and for that the initial learning phases are practiced to maintain the ports relevance in the future green transition.
