In recent months, there have been numerous news reports about fraudulent electricity companies in Denmark. With some of these companies facing bankruptcy, many have started wondering what this means for them and their families.
When someone moves to a new country, city, or into a new home, one of the first things to take care of is to find an electricity utility company in the area. As a newcomer, one may not immediately know the ropes, which could make them vulnerable to organized fraud.
Despite having a culture of high trust, Denmark is just as vulnerable to scams and fraudulent activity. Fraudulent utility companies have recently been outed for their crimes, including some that initially appeared legitimate but required customers to subscribe before accessing electricity.
At first, they seem to be the ideal company, playing the role of the savior before dragging you into their web of lies and manipulation to drain your wallet. They offer you really attractive entry prices to gain your trust, only to later pester you with their aggressive demands and expensive prepayments.
How to identify a scam
Suspicious behaviour to look out for:
- Asking you to make payments 3-6 months in advance, with exorbitant total amounts.
- Threatening customers with additional fees and legal notices if they don’t register their payment information (Mobilepay or Credit Card), which gives the company access to your finances.
- Charging exorbitant early-cancellation fees.
These fraudulent companies have no intention of building a reputable brand with reliable long-term service. Instead, they are built with the intention of slapdash service, closing down when suspicion arises. As of July 2026, some of these companies have faced legal repercussions, such as indemnity costing 800 DK. This fee is meant to refund the defrauded customers
Awareness of the Danish Utility Business Model is an important aspect of seeking accountability from these companies. As consumers often focus on the cheapest deals, they can easily fall right into the hands of these fraudsters. Consumer rights groups are fighting the good fight against these scammers by calling out the companies and informing newcomers about the dangers at play.
Looking into sites like Strømligning, Hofor (or equivalent forsyning company in your region), and Trustpilot can be an essential know-how. These serve as guides on how to find the cheapest and most eco-friendly electricity producer, so you avoid a scam while also supporting the environment with green energy.
Posting complaints on social media or the internet is also important to make your voice heard and even protect as many newcomers as you can. Nicolas Kofoed Jørgensen is a data specialist who has a personal blog and a Reddit account that aims to warn people of these scams and better understand the electricity market. Below is a list created by Nicolas naming the companies that consumers should stay away from:
Companies that were recently shut down:
- Vest Energi
- Budget Energi
- Energi+
- Energiselskabet ELG
- Velkommen A/S
- Nettopower A/S
- Cerius
- Radius
- Vedvarende A/S ( now known as only Vedvarende)
- Power Fuel
- b.energy
As of the 23rd of July, customers of the previous companies of the Welcome group – Velkommen A/S, Vedvarende A/S, Nettopower ApS and b.energy gas ApS – will be transferred to Energidrift A/S, as their lawyer Flemming Jensen proposed to make Energidrift pay off their accumulated fee of DKK 16.7 million. This smooth transition shows that there might be relations between the aforementioned companies. This claim seems to be supported by various companies such as Strømligning.dk and eltjek24.dk. As they openly stated their worries.
Based on a research from the Consumer Council TÆNK, every fifth electricity company continues to break the law in one way or another. This continues to happen, but not all hope is lost, because the companies are not only facing backlash, but the implementation of increasingly strict regulations and standards.
Gasel is the company that has the highest rating and customer satisfaction. Meanwhile, these companies are not recommended for use:
- Dansk Strøm: Flex Strøm
- Energidrift: Variabel
- Fair Strøm: Fair Spot Kvartal and Fair Spot Måned
- Fairpris: Fair Flex and Fair Fast
- Green Power Energy: Variabel pris
- Lokal Energi: Lokal Variabel
- Modstrøm: EnkEl and NemEl
- Nordisk Energi: Spot, Spot+, Flex og Flex+
- Vindstød: TimeEl
Legal side of the scam
In the event this happens to you, here are a few simple steps you can take:
Start with cancelling your subscriptions, as much as they are fraudulent, they are still bound to legal contracts and cannot demand more from you when you cancel.
Request your owed money and pressure them until they refund it. Don’t let them bully you. Consider sharing your complaint (on Trustpilot, Google Reviews, Social Media Hashtags #dkpol) to inform others.
For now, these are the only steps one can take against these companies, as there are currently limited legal repercussions. Consumer complaints that lead to callouts and bankruptcies appear to be the best route. Additionally, consumers can use and recommend platforms like Min Strøm or Tænk.
Have you been affected by these companies or similar fraudulent practices? Let us know in the comments or get in touch with info@lwid.dk.
