Onshore wind power is the cheapest form of new electricity generation in Denmark, according to a recent study by the Danish Energy Agency (DEA), the government’s energy research body.

An analysis made public on Friday showed that new onshore wind plants due to come online in 2016 will cost just over 30 øre per kilowatt hour (kWh), far less than coal, biomass and other forms of energy production. Offshore wind power, new centralised coal and natural gas power plants – the second cheapest forms of energy – cost almost twice as much at close to 60 øre per kWh.

Rasmus Petersen, the energy minister, said in a statement that the numbers showed that the use of  renewable energy is working.

"Wind power today is cheaper than other forms of energy, not least because of a big commitment and professionalism in the field," he said. "We need a long-term and stable energy policy to ensure that renewable energy, both today and in the future is the obvious choice."

Dong deals
The latest deal by Dong Energy highlighted the growing interest in the offshore wind power market. Dong confirmed last week that it has agreed to sell 50 percent of its 252MW Gode Wind 2 project to a group of German investors. The deal is DONG's third sale of an offshore wind farm, following similar deals with two UK investment funds.

In December, it was announced that wind farms provided over half of Denmark’s power needs that month.