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Norlys and Eurowind Energy behind new European power center for commercial energy trading19-05-2020 - 08:56

Norlys a.m.b.a. and Eurowind Energy have joined forces to establish a new company – Norlys Energy Trading A/S. 

Norlys a.m.b.a. and Eurowind Energy have joined forces to establish a new company – Norlys Energy Trading A/S. The ambition is to create a European power center for renewable energy and commercial energy trading. 

 

The new company Norlys Energy Trading A/S, headquartered in Aalborg, will handle energy trading and risk management for Norlys' commercial energy business as well as for the trading for Eurowind Energy. The ambition is to achieve significant market synergies between the production and consumption stages in the green value chain.

 

- The expansion of renewable energy requires huge investment funds in the coming decade when Denmark needs to be electrified. Therefore, it is crucial that we manage our market risks and that we are part of the value creation that the European market offers. We need increased profitability to continue to maintain a very high future level of investment. In our new trading setup, we will be able to handle market developments to a greater extent than today, explains Niels Duedahl, CEO of Norlys and future Chairman of the Board of Norlys Energy Trading.

 

Norlys and Eurowind are already closely connected and, with the establishment of the new trading company, they are expanding their close relationship. In 2019, SE and Eniig merged and founded the joint company Norlys. The energy companies combined and continued their respective renewable energy activities in Eurowind Energy against a 50% ownership interest. The activities consisted primarily of onshore wind turbines, and thus the Eurowind Group's portfolio of onshore wind turbines across Europe increased to approximately 600 MW in operation, and the establishment of an additional 400 MW production is underway.

 

The establishment of a joint trading company is the next step on the path to exploiting common synergies in the electrification that is one of the prerequisites for the greener society of the future.

 

- The electrification accelerates both production and consumption of renewable energy. Flexibility and balance are needed in this value chain, where fluctuations are greater than in the energy system we know today – both in time and capacity. Norlys and Eurowind Energy already play a major role in ensuring the adequate capacity and profitability of the energy system, where energy flows are increasingly moving across national borders. We look forward to expanding and strengthening this role together by bringing together our activities in balancing, risk management and management of renewable energy production, states Jens Rasmussen, CEO of Eurowind Energy and future Vice Chairman of the Board of Norlys Energy Trading.

 

Norlys is Denmark's largest integrated energy and telecommunications group with almost 800,000 electricity and gas customers. Norlys owns 50% of Eurowind Energy, a European top 10 player in renewable energy production. After obtaining the approval of the relevant authorities, the new company will be 50% owned by both parties. Norlys’ CEO Niels Duedahl becomes Chairman of the Board and Eurowind Energy's founder and CEO Jens Rasmussen becomes Vice Chairman.

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