Milestone: New Balancing Agreement

Danish energy milestone: New balancing agreement paves the way for future energy clusters

Denmark's first collective micro-grid is now operational following the implementation of a balancing agreement between Norlys Energy Trading and GreenLab A/S on January 1st. The agreement regulates the production, consumption, and balancing of GreenLab’s self-generated renewable energy, distributing it both to the companies within the park and to the collective grid. This agreement lays the foundation for how the electrification of industries can take place in future industrial clusters.

GreenLab powers the industrial park
When companies in GreenLab’s green industrial park switched on their power after the holiday break, it was GreenLab who delivered the electrons flowing through the cables. As of January 1st, GreenLab has become both an electricity provider and distributor for the companies in the park.

The electricity comes from the solar and wind park south of GreenLab, which is directly connected to the industrial park. This means that GreenLab is now operating its own miniature collective electricity grid.

Establishing this agreement required flexibility and innovative thinking from all involved parties, but the benefits are clear: companies in GreenLab can now fully utilise renewable energy, unlocking new synergies and sector coupling opportunities.

New energy flows require new roles
Integrating an industrial cluster like GreenLab with the collective grid is far from business as usual. Every stakeholder had to take on new roles or adjust their traditional ways of operating. GreenLab is no longer just an energy consumer but is now also a power supplier for the companies in the park.

Norlys Energy Trading is not only responsible for balancing energy with Energinet but now also manages the balance between consumption and production within GreenLab’s many companies. New methods had to be developed to enable energy balancing within the industrial cluster. The project demonstrates that the green transition does not necessarily put additional strain on the collective grid. And in addition, that strong data insights and technological expertise are crucial in designing solutions that are both innovative and sustainable.

“It took close and trusting collaboration between GreenLab, Norlys Energy Trading, Eurowind, N1, and Energinet to reach this agreement,” says Anders Borup, Head of PtX Solutions at Norlys Energy Trading. “We all had to think outside the box and develop new solutions to complex challenges in order to create this first-of-its-kind agreement. We are proud of what we have achieved—not just for GreenLab as a project, but also for the green transition as a whole.”

Driving the green transition forward
GreenLab is accustomed to treating the green transition as something you do rather than just theorise about.

“This agreement demonstrates how direct electrification of industry can be realized in practice,” says GreenLab CEO Thomas Helsgaun. “By allowing energy clusters to operate without overloading the collective grid, a crucial barrier to the green transition has been removed. GreenLab now functions as a ‘mini-grid operator’ that delivers and balances green energy internally between companies in the industrial park. We look forward to learning from this experience and applying it to future industrial clusters.”

Next step: Large-scale implementation
The balancing agreement is only the beginning. GreenLab is now an active test zone where new models and technologies can be tested in real-life conditions. The insights gained will help shape the future of energy clusters and provide a blueprint for large-scale industrial green transition efforts.