Orsted Relaunches its Fossil Energy Production

Orsted must restart oil and coal-fired power plants to ensure energy security.

Share:

Subscribe for unlimited access to all energy sector news.

Over 150 multisector articles and analyses every week.

Your 1st year at 99 $*

then 199 $/year

*renews at 199$/year, cancel anytime before renewal.

Orsted must restart oil and coal-fired power plants to ensure energy security.

A political decision

Orsted was forced by the Danish government to maintain three oil and coal-fired plants. The objective is to meet the country’s energy needs. Unit 3 of the Esbjerg power plant and unit 4 of the Studstrup power plant use coal as their main fuel.

Unit 21 at Kyndby Peak is oil-fired. The Esbjerg plant was scheduled to shut down on March 31, 2023, following those of Studstrup and Kyndby Peak. The revival of fossil fuel plants guarantees the government significant energy production in the short term.

The Esbjerg and Studstrup power plants have a capacity of 370 and 360 MW respectively. The Kyndby Peak unit has a production of 260 MW. Orsted’s President and CEO, Mads Nipper, states:

“In order to ensure energy security the Danish authorities have ordered us to continue operating some of our oil and coal-fired power plants. We are in the midst of an energy crisis and we will do our best to ensure the security of energy supply.”

A delicate measure

Orsted will have to deal with many technical constraints in order to restart the plants. The operator will be required to conduct maintenance on all three units for the required period. In addition, the operation of the facilities requires highly skilled workers, specifically trained to work on these facilities.

The company believes that the revival of the plants may take some time. Studstrup and Kyndby Peak units are likely to require continued attention. Orsted is committed to making the plants operational as soon as possible.

The Danish government requires Orsted to keep its plants in operation until June 30, 2024. The company thus maintains its goal of net zero emissions by 2025. The company says it will do its best to meet the deadlines.

Brazilian authorities have launched a large-scale operation targeting a money laundering system linked to the fuel sector, involving investment funds, fintechs, and more than 1,000 service stations across the country.
A national study by the Davies Group reveals widespread American support for the simultaneous development of both renewable and fossil energy sources, with strong approval for natural gas and solar energy.
The South Korean government compels ten petrochemical groups to cut up to 3.7 million tons of naphtha cracking per year, tying financial and tax support to swift and documented restructuring measures.
The U.S. Department of Energy has extended until November the emergency measures aimed at ensuring the stability of Puerto Rico’s power grid against overload risks and recurring outages.
Under threat of increased U.S. tariffs, New Delhi is accelerating its energy independence strategy to reduce reliance on imports, particularly Russian oil.
With a new $800 million investment agreement, Tsingshan expands the Manhize steel plant and generates an energy demand of more than 500 MW, forcing Zimbabwe to accelerate its electricity strategy.
U.S. electric storage capacity will surge 68% this year according to Cleanview, largely offsetting the slowdown in solar and wind projects under the Trump administration.
A nationwide blackout left Iraq without electricity for several hours, affecting almost the entire country due to record consumption linked to an extreme heatwave.
Washington launches antidumping procedures against three Asian countries. Margins up to 190% identified. Final decisions expected April 2026 with major supply chain impacts.
Revenues generated by oil and gas in Russia recorded a significant decrease in July, putting direct pressure on the country’s budget balance according to official figures.
U.S. electricity consumption reached unprecedented levels in the last week of July, driven by a heatwave and the growth of industrial activity.
The New York Power Authority targets nearly 7GW of capacity with a plan featuring 20 renewable projects and 156 storage initiatives, marking a new phase for public investment in the State.
French Guiana plans to achieve a fully decarbonised power mix by 2027, driven by the construction of a biomass plant and expansion of renewable energy on its territory.
The progress of national targets for renewable energy remains marginal, with only a 2% increase since COP28, threatening the achievement of the tripling of capacity by 2030 and impacting energy security.
A Department of Energy report states that US actions on greenhouse gases would have a limited global impact, while highlighting a gap between perceptions and the economic realities of global warming.
Investments in renewable energy across the Middle East and North Africa are expected to reach USD59.9 bn by 2030, fuelled by national strategies, the rise of solar, green hydrogen, and new regional industrial projects.
Global electricity demand is projected to grow steadily through 2026, driven by industrial expansion, data centres, electric mobility and air conditioning, with increasing contributions from renewables, natural gas and nuclear power.
Kenya registers a historic record in electricity consumption, driven by industrial growth and a strong contribution from geothermal and hydropower plants operated by Kenya Electricity Generating Company PLC.
Final energy consumption in the European industrial sector dropped by 5% in 2023, reaching a level not seen in three decades, with renewables taking a growing role in certain key segments.
Réseau de transport d’électricité is planning a long-term modernisation of its infrastructure. A national public debate will begin on September 4 to address implementation methods, challenges and conditions.

Log in to read this article

You'll also have access to a selection of our best content.

or

Go unlimited with our annual offer: $99 for the 1styear year, then $ 199/year.