Denmark utilizes agricultural biomass for district heating

Denmark's district heating sector relies heavily on decentralized, domestic sources, with renewable energy accounting for approximately 80% of heat production. A significant portion of this production, roughly 81%, is managed by cooperatives owned by end consumers, a model that has helped stabilize prices compared to electricity and natural gas.

Agricultural biomass, particularly straw, plays a vital role in the country's decarbonization efforts. In 2024, wood biomass accounted for 42% of systemic heat production, while straw contributed 9%, biodegradable waste 9%, and biogas 4%.

While the total consumption of pellets, wood chips, and straw is projected to decrease from approximately 112 PJ in 2025 to just over 25 PJ by 2050 due to increased electrification and the use of heat pumps, straw is expected to remain critical. By the end of this period, straw is predicted to constitute nearly half of the remaining biomass used, especially within smaller heating systems.