In 1995 the Danish Government formed a committee to define the main areas in Danish waters suitable for establishing offshore wind farms. In total an area of approximately 1,000 square kilometres has been identified, corresponding to 7,000‐8,000 megawatt (MW). Most of the areas are located at a distance from the coast of 15‐30 kilometres, and at a water depth of 4‐10 meters.
The possibilities for utilizing shallow waters for offshore turbines in Denmark were evaluated in collaboration between the Danish Utilities and the Danish Energy Authority. An action plan was proposed in which two of the main recommendations were to concentrate offshore development within a few areas and to carry out a large‐scale demonstration programme. In 1998, an agreement was reached between the Government and the production companies to establish a large‐scale demonstration programme. The objective of the program was to investigate economic, technical and environmental issues, to hasten offshore development and to open up the selected areas for future wind farms.