The Danish government cancelled all future licensing rounds in line with decarbonisation goals in 2020. No new licences will be awarded. The existing licences operate under a concession fiscal regime. Terms are not biddable or negotiable. The current fiscal regime comprises corporate income tax and an additional profits tax, known as the hydrocarbon tax. There are incentives such as a higher capital uplift and an accelerated depreciation for capital costs. The Danish state holds a 20% equity stake in all new licences.