[21] The 1979 energy crisis pushed further change, and in 1984 the North Sea natural gas projects began.

[6] The year 2014 was the warmest on record in Denmark, with the lowest number of degree days in history.

[26] Since 2000, Denmark has increased Gross National Product and decreased energy consumption.

[36][37] The transition towards more sustainable energy sources in Denmark has been driven by the expanded use of wind power and the adoption of biogas and biomass.

[36][37] Denmark has drastically reduced the role of coal in both electricity generation and district heating.

[5][6] Coal constituted 41% of the mass fuels (not wind and sun) in 2015, and is expected to decrease to 14% in 2025, mostly replaced by biofuels.

[45] Danish oil companies donate DKK 1 billion over 10 years to Technical University of Denmark to increase production.

Its stable share over the past decade saw a slight decrease in Total Final Energy Consumption (TFEC) from 45% in 2011 to 38% in 2021, primarily due to shifts in the transport sector.

The share of oil in domestic energy production also decreased from 55% in 2012 to 34% in 2022, with its role in electricity generation remaining minimal at less than 0.9%.

The Covid-19 pandemic and geopolitical shifts, especially Russia's invasion of Ukraine, significantly impacted Denmark's oil demand.

[49] Natural gas was responsible for 6% of the country's electricity production (2019);[38] in district heating, it had a 20% share of the energy mix (2017).

[39] In Denmark, natural gas plays a minor role in the energy system, with strategies aimed at reducing its use and phasing it out entirely.

The country plans to end individual gas heating by 2035 and switch to 100% green renewable gases by 2030.

Despite these reductions, natural gas's proportion of Total Final Energy Consumption (TFEC) has maintained a steady rate of 12% in 2021.

[36][37] Denmark is fourth among International Energy Agency (IEA) member countries in the share of renewables in total final energy consumption (TFEC), with 40% of its TFEC from renewable sources in 2021, surpassing the IEA average of 14%.

Bioenergy leads the renewable energy mix, contributing 18% to TFEC, followed by wind at 10%, solid biomass at 8%, liquid biofuels at 2%, and solar at 1%.

The role of biomass grew as Denmark was phasing out fossil fuels, particularly coal.

20% of electricity produced in Denmark came from biomass (2019), more than from coal and natural gas combined.

[59][60] They may combine with biomass burning, but produce no electricity, as temperatures are too low to run a typical steam turbine; they are used for heating instead.

[62] An average of 10% of domestic energy consumption comes from imports from neighboring countries Sweden and Germany, which both generate nuclear power.

The rest of the electricity generation came from non-renewable sources: coal at 13%, natural gas at 2.9%, and oil at 0.9%.

[77][78] Expansion of wind powered district heating is calculated to be economically efficient without taxes.

[57][86] Denmark aims to focus on intelligent battery systems (V2G) and plug-in vehicles in the transport sector.

[88] The money is a considerable income for the state, and changing the composition of the taxes towards a "greener" mix is difficult.

According to a government official, the majority of taxes are not based on environment concerns,[97] in contrast to the DKK 5 billion per year in PSO-money for cleaner energy, paid by electricity consumers to producers of clean electricity.

[98] In 1992, Denmark issued a carbon tax, charging about $14 for business and $7 for households, per ton of CO2.

[99] In 2022 Denmark approved a carbon tax that will reach 159 dollars per ton of CO2 by the year 2030 for companies that are part of the EU Emissions Trading System (ETS).