Denmark launches digital approval system for heat pump subsidies

Denmark has launched a digital approval system to automate most applications for its heat pump subsidy program. The system streamlines the grant process, which offers up to DKK 27,000 ($3,930) for qualifying heat pumps.

The Danish Energy Agency has launched a digital system to automate most applications for the country’s heat pump subsidy program. The system will handle most approvals, with manual review needed only for complex cases.

A day after the system's launch, a spokesperson for the Danish Energy Agency reported that 1,383 applications totaling DKK 26.6 million had been submitted. The person said the system automatically approved 930 of these applications “in just a few minutes … Now that’s what you call mega-fast digital support that just works.”

The heat pump subsidy program offers households a grant of DKK 17,000 for switching to an air-to-water heat pump or DKK 27,000 for a liquid-to-water heat pump. Subsidies are also available for large-scale heat pump systems in buildings over 400 square meters.

Homeowners are eligible if they live in their residence year-round, currently use an oil boiler, gas boiler, electric heating, or bio-boiler, and do not live in areas with district heating or where district heating is planned. Further details are available on the agency’s website.

The subsidy scheme reopened last year and is set to run through 2026, with new funds allocated each year.