Managing the wind down and transition of gas networks will be increasingly important for regulators and policymakers worldwide looking to achieve climate neutrality targets by mid-century. Denmark has been one of the most proactive jurisdictions in preparing for the future of its gas network, guided by ambitions to phase out gas heating in households by 2035, and achieving a 100% green gas supply by 2030. This RAP briefing, Nationalisation and wind-down: Regulation of disconnections and decommissioning of the gas distribution grid in Denmark, examines Denmark’s policy and regulatory approach towards the decommissioning of the gas distribution network and disconnections.

At the centre of the decommissioning effort is the government mandated screening of the distribution network that aims to identify potential parts of the network that are not economically viable to operate and the lessons learned from it. The Danish approach also reveals that managing new connections and ensuring a proper framework for disconnections of users will be of critical importance, as users connected today, will become a barrier to transform or decommission the network tomorrow.

While the Danish example takes place within the specifics of the Danish energy system, it highlights key issues that regulators and policymakers need to address when planning the future of the gas network, as well as best practices that can be adapted to other jurisdictions.