In brief
The new levy aims to tackle methane from livestock while also enhancing biodiversity and restoring natural habitats.
In a significant move towards addressing agricultural emissions, Denmark has finalized plans for the world’s inaugural tax targeting livestock-related methane emissions, colloquially recognized as a "flatulence tax." Following extensive negotiations among government officials, farming representatives, labor unions, and environmental organizations, the initiative was officially introduced under the Green Tripartite agreement, first unveiled in June.Commencing in 2030, the new levy will impose a fee of 300 kroner (approximately $43; £34) per tonne of methane emissions generated by livestock, primarily cows and pigs. This amount is set to increase to 750 kroner by 2035. Jeppe Bruus, the Green Tripartite minister, emphasized the significance of this initiative, stating the government is committed to meeting its climate objectives with the support of a “broad majority” in parliament.Highlighting the challenges ahead, Bruus remarked, “a huge, huge task that is now underway: to transform large parts of our land from agricultural production to forestry and natural spaces.” The comprehensive strategy of the Green Tripartite not only includes the methane tax but also targets a reduction in nitrogen pollution, with an aim to eliminate 13,780 tonnes annually by 2027, thereby restoring Denmark's coasts and fjords.Moreover, the plan envisages extensive tree-planting efforts, set to create 250,000 hectares of new woodland, while 140,000 hectares of currently cultivated peatlands will be reverted to their natural state, recognizing peatlands as vital carbon storage ecosystems. Currently, 60% of Denmark's land is utilized for agriculture, ranking the country alongside Bangladesh for the highest agricultural land use percentage.As Mr. Bruus pointed out, this transformation will be unprecedented since the wetlands were drained in 1864. The Danish Minister for Climate, Energy, and Utilities, Lars Aagaard, underscored the agreement as indicative of Denmark’s proactive stance on climate obligations, reinforcing the political unity within the Danish parliament, and the collaborative spirit with affected sectors and environmental entities. Aagaard noted, "these elements provide invaluable lessons for global cooperation in the fight against climate change."
