The purpose of this Act is to ensure that the country's electricity supply is organized and implemented in accordance with the interests of security, economic, environment and consumer protection. The Act implements parts of the European Parliament and Council Directive 96/92/EC of 19 December 1996 concerning common rules for the internal electricity market. Of the Council Directive 90/547/EC of 29 October 1990 on the transit of electricity through transmission grids. To Council Directive 90/377/EEC of 29 June 1990 establishing a Community procedure to improve the transparency of prices of gas and electricity to industrial end-users. And to the Council Directive 97/11/EC of 3 March 1997 amending the aforesaid Directive, with regard to plants using water and wind marine energy and in the exclusive zone. The Act applies to the distribution, transportation, energy-consumption charges of land and sea energy. Furthermore, it promotes environmentally-friendly energy production, such as establishing wind-turbines at sea in the Exclusive Economic Zone, solar energy, hydro-energy and natural gas. In order to improve the country's environmental awareness, subsidies for renewable energy are granted to new eco-friendly energy projects.
The Act consists of 15 Chapters: Introductory provisions (1); Consumers' position (2); Electricity production (3); Power line (4); Responsibility of system (5); Supply companies (6); Transfer, consumers' influence, elimination of activities (7); General provisions related to appropriations (8); Environmentally-friendly energy production (9); Energy prices and terms (10); DERA - The Danish Energy Regulatory Authority (11); Notification of accounting issues (12); Penalties (13); Appeals, Energy Appeal Board (14); Entry into force, repeal and transitional provisions (15).