Tax on emissions Denmark asks farmers to pay for farting cattle

dpa

26.6.2024 - 23:30

Cows on the Danish Baltic coast.
Cows on the Danish Baltic coast.
IMAGO/blickwinkel

Farmers all over Europe are protesting against tougher environmental protection regulations. The Danes, however, agree on a compromise.

DPA

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  • From 2030, Denmark will levy a tax on greenhouse gases emitted by livestock during digestion.
  • The government had previously reached an agreement with farmers, agriculture and trade unions on a corresponding levy.
  • According to the plans, livestock farmers will initially be taxed 300 crowns (around 38 francs) per tonne of carbon dioxide equivalent over six years. The tax is to rise to 750 kroner (around 96 francs) by 2035.

Denmark is not stopping at the flatulence of cows, pigs and sheep on its way to climate neutrality. From 2030, a tax will be levied on the greenhouse gases emitted by livestock during digestion, said Tax Minister Jeppe Bruus after the government reached an agreement with farmers, agriculture and trade unions. Conservationists spoke of a historic compromise.

According to the plans, livestock farmers will initially be taxed 300 kroner (around 40 euros) per tonne of carbon dioxide equivalent over six years. The tax is to rise to 750 crowns by 2035. The actual cost will be 120 crowns per tonne in 2030 due to an income tax deduction, rising to 300 crowns by 2035. The tax still has to be approved by parliament, which was considered certain given the broad consensus.

New Zealand withdrew similar plans

Bruus said Denmark would be the first country in the world to introduce a real carbon tax on agriculture. "We will be a big step closer to the goal of becoming climate neutral in 2045," said Bruus. He hoped that other countries would follow suit.

New Zealand had already decided on a similar tax for 2025. However, the plans were withdrawn on Wednesday following a change of government and fierce protests by farmers. Farmers in Europe also protested for months against tougher climate protection regulations.

Methane has a high greenhouse effect

The Danish Society for Nature Conservation welcomed the agreement in Copenhagen. "We have succeeded in reaching a compromise on a CO2 tax that creates the basis for a restructured food industry - even beyond 2030," said chairwoman Maria Reumert Gjerding, who took part in the talks.

In the discussion about greenhouse gases, carbon dioxide is at the center of attention. However, according to the US National Oceanic and Atmospheric Administration (NOAA), methane has a much greater greenhouse effect. According to the UN Environment Program, livestock farming is responsible for around 32 percent of man-made methane emissions. Converted to carbon dioxide, the average Danish cow produces six tons of CO2 equivalent per year. According to the Danish Statistics Authority, there were almost 1.5 million cows living in the Scandinavian country at the end of June 2022. Although pigs and sheep emit significantly less methane into the air, they are also to be taxed.