From 2030, Danish farmers will have to pay a climate tax per ton of CO2 emissions. Denmark will be the first country in the world to introduce such a tax.
Denmark aims to reduce greenhouse gas emissions by 70% by 2030 compared to 1990 levels. To achieve this, a group of experts has been tasked with developing various environmental regulations in areas such as transportation, industry, and agriculture.
With regard to agriculture, there has long been talk of introducing a so-called climate tax for farmers, justified by the fact that agriculture accounts for a third of the country’s carbon dioxide emissions.
Now the Danish government has approved the new climate tax, reports The Copenhagen Post. In practice, this means that farmers will have to pay the equivilant of €16 per ton of carbon dioxide. From 2035, this will increase to €40. Other industries will have to pay €100 per ton instead.
– This is a groundbreaking agreement for Denmark’s climate work and for our common nature. And it is an agreement that will set the framework for Danish agriculture and food production for many years to come. That is why it was important for us to be at the table all the way, says Søren Søndergaard, chairman of the Danish Agriculture & Food Council, in a press release.
More forests
The revenue from the climate tax will reportedly be used for investments in climate technology and restructuring of production. It will also be used to plant 250,000 hectares of forest in the country by 2045.
The climate tax comes after five months of negotiations between the government and agricultural organizations.
– These are big and difficult compromises. It was a prerequisite for us to be part of the tripartite agreement, and we were prepared for it. But we have also gained real leverage and made a significant contribution that will be crucial for Denmark’s future food production and for future generations of farmers, said Søndergaard.