OECD Environmental Performance Reviews: Denmark 2019

242 Pages·2020·5.334 MB·English

by  Oecd

OECD Environmental Performance Reviews
DENMARK
2019
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OECD Environmental
Performance Reviews:
Denmark
2019
This work is published under the responsibility of the Secretary-General of the OECD. The
opinions expressed and arguments employed herein do not necessarily reflect the official
views of OECD member countries.
This document, as well as any data and any map included herein, are without prejudice
to the status of or sovereignty over any territory, to the delimitation of international
frontiers and boundaries and to the name of any territory, city or area.
Please cite this publication as:
OECD (2019), OECD Environmental Performance Reviews: Denmark 2019, OECD Environmental
Performance Reviews, OECD Publishing, Paris, https://doi.org/10.1787/1eeec492-en.
ISBN 978-92-64-56803-7 (print)
ISBN 978-92-64-53715-6 (pdf)
OECD Environmental Performance Reviews
ISSN 1990-0104 (print)
ISSN 1990-0090 (online)
The statistical data for Israel are supplied by and under the responsibility of the relevant Israeli authorities. The use of
such data by the OECD is without prejudice to the status of the Golan Heights, East Jerusalem and Israeli settlements in
the West Bank under the terms of international law.
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© OECD 2019
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FOREWORD  3

Foreword
The principal aim of the OECD Environmental Performance Review programme is to help
member and selected partner countries improve their individual and collective performance
in environmental management by:
 helping individual governments assess progress in achieving their environmental
goals
 promoting continuous policy dialogue and peer learning
 stimulating greater accountability from governments towards each other and public
opinion.
This report reviews the environmental performance of Denmark since the previous review
in 2007. Progress in achieving domestic objectives and international commitments provides
the basis for assessing the country’s environmental performance. Such objectives and
commitments may be broad aims, qualitative goals or quantitative targets. A distinction is
made between intentions, actions and results. Assessment of environmental performance is
also placed within the context of Denmark’s historical environmental record, present state
of the environment, physical endowment in natural resources, economic conditions and
demographic trends.
The OECD is indebted to the government of Denmark for its co-operation in providing
information, for the organisation of the review mission to Copenhagen (26-29 November
2018) and for facilitating contacts both inside and outside government institutions.
Thanks are also due to the representatives of the two examining countries, Andrew McNee
(Australia) and Arthur ten Wolde (Netherlands).
The authors of this report were Rafal Brykowski, Nathalie Cliquot, Britta Labuhn and
Simon Apelblat Thomsen from the OECD Secretariat. Nathalie Girouard and
Gérard Bonnis provided oversight and guidance. Carla Bertuzzi provided statistical
support, Annette Hardcastle provided administrative support and Rebecca Brite
copy-edited the report. Natasha Cline-Thomas provided communications support.
Preparation of this report also benefited from inputs and comments from several members
of the OECD Secretariat, including Aad van Bohemen, Nils Axel Braathen, Ivana Capozza,
Nathalie Delrue, Kathleen Dominique, Mikkel Hermansen, Katia Karousakis, Hannah
Leckie, Xavier Leflaive, Eeva Leinala, Eugene Mazur, Will Symes, Özlem Taskin and
Jonas Teusch.
The OECD Working Party on Environmental Performance discussed the draft
Environmental Performance Review of Denmark at its meeting on 25 April 2019 in Paris
and approved the Assessment and recommendations.
OECD ENVIRONMENTAL PERFORMANCE REVIEWS: DENMARK 2019 © OECD 2019

TABLE OF CONTENTS  5

Table of contents
Foreword ................................................................................................................................................ 3
Reader’s guide ..................................................................................................................................... 11
Abbreviations and acronyms .............................................................................................................. 12
Basic statistics of Denmark ................................................................................................................. 15
Executive summary ............................................................................................................................. 17
Assessment and recommendations ..................................................................................................... 21
1.1. Environmental performance: Trends and recent developments .................................................. 22
1.2. Environmental governance and management ............................................................................. 29
1.3. Towards green growth ................................................................................................................ 34
1.4. Waste, materials management and the circular economy ........................................................... 42
1.5. Chemicals management .............................................................................................................. 46
Notes .................................................................................................................................................. 50
References .......................................................................................................................................... 51
Annex 1.A. Actions taken to implement recommendations from the 2007 OECD Environmental
Performance Review of Denmark ...................................................................................................... 55
Part I. Progress towards sustainable development ........................................................................... 59
Chapter 1. Environmental performance: Trends and recent developments ................................. 61
1.1. Introduction ................................................................................................................................. 62
1.2. Main economic and social developments ................................................................................... 62
1.3. Transition to an energy-efficient and low-carbon economy ....................................................... 65
1.4. Managing the natural asset base ................................................................................................. 79
Notes .................................................................................................................................................. 87
References .......................................................................................................................................... 87
Chapter 2. Environmental governance and management ............................................................... 97
2.1. Introduction ................................................................................................................................. 98
2.2. Institutional framework ............................................................................................................... 98
2.3. Legal framework ....................................................................................................................... 102
2.4. Policy evaluation framework .................................................................................................... 107
2.5. Compliance assurance ............................................................................................................... 109
2.6. Promoting environmental democracy ....................................................................................... 115
References ........................................................................................................................................ 118
Chapter 3. Towards green growth ................................................................................................... 123
3.1. Introduction ............................................................................................................................... 124
3.2. Action framework for sustainable development and green growth .......................................... 124
3.3. Greening the system of taxes, charges and prices ..................................................................... 127
3.4. Support to fossil fuel consumption and agriculture .................................................................. 135
OECD ENVIRONMENTAL PERFORMANCE REVIEWS: DENMARK 2019 © OECD 2019
6  TABLE OF CONTENTS

3.5. Investing in the environment to promote green growth ............................................................ 138
3.6. Promoting eco-innovation and green markets .......................................................................... 145
3.7. Environment, trade and development ....................................................................................... 149
Notes ................................................................................................................................................ 153
References ........................................................................................................................................ 155
Part II. Progress towards selected environmental objectives ........................................................ 161
Chapter 4. Waste, materials management and the circular economy .......................................... 163
4.1. Introduction ............................................................................................................................... 164
4.2. Trends in waste management and material consumption ......................................................... 164
4.3. Objectives, policies and institutions for waste, materials management and circular economy 171
4.4. Promoting waste reduction and recycling ................................................................................. 177
4.5. Fostering the transition to a circular economy .......................................................................... 189
Notes ................................................................................................................................................ 193
References ........................................................................................................................................ 194
Chapter 5. Chemicals management ................................................................................................. 197
5.1. Introduction ............................................................................................................................... 198
5.2. Pressures on health and the environment from chemicals ........................................................ 198
5.3. Policy, regulatory and institutional frameworks ....................................................................... 204
5.4. International forums and regional settings ................................................................................ 215
5.5. Systematic investigation of chemicals ......................................................................................... 217
5.6. Risk management ...................................................................................................................... 223
Notes ................................................................................................................................................ 227
References ........................................................................................................................................ 227

Tables
Table 1.1. Medium- and long-term goals stated in the 2012 and 2018 Energy Agreements ................ 66
Table 1.2. Terrestrial protected areas of Denmark ................................................................................ 81
Table 2.1. Infringements of EU legislation ......................................................................................... 103
Table 2.2. Voluntary agreements with quantitative targets are backed by threats of regulation ......... 115
Table 2.3. Access to justice by the Environment and Nature Appeal Board was expedited ............... 116
Table 3.1. Cost-benefit analysis of selected GHG mitigation measures in agriculture ....................... 126
Table 3.2. Tax expenditure for the environment, energy and vehicles ................................................ 135
Table 3.3. Environmental components of the Danish Rural Development Programme ...................... 137
Table 4.1. Denmark has a mix of mandatory and indicative targets for waste and resource
management ................................................................................................................................. 172
Table 4.2. Imports of waste for incineration have more than doubled in recent years ........................ 181
Table 4.3. Denmark exceeds EU targets for recovery/reuse and recycling of WEEE and batteries ... 184
Table 4.4. Collection of WEEE has decreased and is stabilising ........................................................ 185
Table 4.5. End-of-life vehicles ............................................................................................................ 185
Table 4.6. Packaging waste recycling is increasing ............................................................................ 186
Table 5.1. The EPA’s 2018 budget for chemicals ............................................................................... 210

Figures
Figure 1. Denmark has decoupled emissions of GHGs and major air pollutants from GDP growth .... 22
OECD ENVIRONMENTAL PERFORMANCE REVIEWS: DENMARK 2019 © OECD 2019
TABLE OF CONTENTS  7

Figure 2. Denmark is one of the leaders in use of renewable energy sources ....................................... 23
Figure 3. More measures to reduce GHG emissions are needed if Denmark is to achieve its long-
term goal ........................................................................................................................................ 24
Figure 4. Good air quality remains a challenge ..................................................................................... 25
Figure 5. The state of most habitats remains unfavourable ................................................................... 26
Figure 6. The quality of coastal waters is of concern and the agricultural nitrogen surplus remains
above the OECD average .............................................................................................................. 27
Figure 7. Compliance promotion and enforcement vary across municipalities .................................... 32
Figure 8. Environmentally related tax revenue has declined ................................................................. 36
Figure 9. Denmark is a leader in green innovation ................................................................................ 40
Figure 10. Denmark’s municipal waste generation is the highest in the OECD ................................... 42
Figure 11. Denmark is active in evaluation and risk management of chemicals at the EU level .......... 48
Figure 1.1. GDP per capita remains high, but GDP growth lags behind the OECD level .................... 63
Figure 1.2. Services dominate the economy and agriculture’s contribution to exports exceeds the
OECD average ............................................................................................................................... 64
Figure 1.3. Denmark’s average level of current well-being: Comparative strengths and weaknesses .. 65
Figure 1.4. Energy intensity is low and energy use has been decoupled from growth .......................... 67
Figure 1.5. The share of fossil fuels in energy supply has decreased significantly ............................... 67
Figure 1.6. The residential and transport sectors continue to be the largest energy consumers, and
renewables dominate in electricity generation .............................................................................. 68
Figure 1.7. Renewables, chiefly biofuels and wind, have been gaining significance in energy
supply, particularly in power generation ....................................................................................... 69
Figure 1.8. CO emissions in transport are declining but still significant and the pace is slower than
2
in other sectors ............................................................................................................................... 70
Figure 1.9. Stronger measures to reduce GHG emissions will be needed for Denmark to meet its
long-term goal ............................................................................................................................... 73
Figure 1.10. GHG emissions declined more than the OECD average ................................................... 74
Figure 1.11. Air emissions have been on the decline but this trend has slowed ................................... 76
Figure 1.12. Air quality remains a challenge......................................................................................... 77
Figure 1.13. The surplus of agricultural nitrogen remains a source of concern .................................... 78
Figure 1.14. Some 15% of mammal, bird and fish species are threatened ............................................ 80
Figure 1.15. The state of natural habitats in Denmark remains poor .................................................... 83
Figure 1.16. The status of water bodies has improved but remains an issue ......................................... 84
Figure 1.17. Efforts needed to reduce nitrogen emissions vary ............................................................ 85
Figure 2.1. Land-use planning framework .......................................................................................... 106
Figure 2.2. The inspection system is effective in finding violations, but the share of companies
violating environmental rules is unknown .................................................................................. 111
Figure 2.3. Municipalities enforce environmental rules differently .................................................... 112
Figure 2.4. Enterprises adopting environmental management systems peaked in 2012 ..................... 114
Figure 3.1. Environmentally related tax revenue has decreased slightly ............................................ 127
Figure 3.2. Effective energy tax rates are highest in the road sector ................................................... 129
Figure 3.3. Denmark ranks about average in pricing of carbon emissions from energy use ............... 131
Figure 3.4. Environmental expenditure remains relatively constant ................................................... 139
Figure 3.5. The cost of supporting renewables has increased sharply since 2010 .............................. 140
Figure 3.6. Investment in rail infrastructure increased ........................................................................ 143
Figure 3.7. Water and wastewater tariffs are the highest in the OECD ............................................... 145
Figure 3.8. Denmark is a leader in green innovation........................................................................... 146
Figure 3.9. Energy-related R&D budgets have been falling ............................................................... 148
Figure 3.10. Renewable energy production accounts for nearly half of EGS turnover ....................... 149
Figure 3.11. Environment- and climate-related ODA has declined .................................................... 152
OECD ENVIRONMENTAL PERFORMANCE REVIEWS: DENMARK 2019 © OECD 2019
8  TABLE OF CONTENTS

Figure 4.1. Material consumption was decoupled from economic growth but is trending up ............ 165
Figure 4.2. Resource productivity remains low by international comparison ..................................... 166
Figure 4.3. Construction waste accounts for most of Denmark's waste generation ............................ 166
Figure 4.4. Danish per capita municipal waste generation is the highest in the OECD ...................... 167
Figure 4.5. Denmark has nearly eliminated landfilling of municipal waste ........................................ 168
Figure 4.6. Imports of waste rose significantly from 2011 but stabilised in 2014, while exports are
trending down .............................................................................................................................. 169
Figure 4.7. Expenditure and investment trends in municipal waste management ............................... 170
Figure 4.8. The cost of waste management for Danish households is high by international
comparison .................................................................................................................................. 170
Figure 4.9. Waste management expenditure by industry .................................................................... 171
Figure 4.10. Recycling of household waste is increasing in all Danish regions ................................. 179
Figure 5.1. A pharmaceuticals boom stimulated growth in the chemical sector ................................. 199
Figure 5.2. Emissions from industrial processes and product use are generally on the decline .......... 200
Figure 5.3. The number of Danish companies reporting to the E-PRTR and national PRTR/green
account programmes has fallen ................................................................................................... 204
Figure 5.4. A differentiated tax, introduced in 2013, helped reduce the pesticide load ...................... 207
Figure 5.5. Denmark is an active player in evaluation of chemicals at the EU level .......................... 220
Figure 5.6. Denmark actively contributes to risk management of chemicals at the EU level ............. 224

Boxes
Box 2.1. The 2007 municipal reform and the environment ................................................................. 100
Box 2.2. Cross-party political agreements........................................................................................... 102
Box 2.3. Targeting nitrogen regulation improves cost-effectiveness .................................................. 104
Box 2.4. Green Map of Denmark ........................................................................................................ 105
Box 2.5. Monitoring sulphur pollution from ships crossing Danish waters ........................................ 111
Box 3.1. Climate mitigation in Danish agriculture .............................................................................. 126
Box 3.2. Key components of the 2018 Energy Agreement ................................................................. 141
Box 3.3. Using public-private partnerships in development co-operation .......................................... 151
Box 4.1. The advisory board on circular economy and the circular economy strategy ....................... 173
Box 4.2. Taxes on landfilling and incineration ................................................................................... 178
Box 4.3. Exchanging best practices among municipalities: Genanvend platform .............................. 180
Box 4.4. Municipal waste charges ....................................................................................................... 182
Box 4.5. The Plastic Action Plan ......................................................................................................... 183
Box 4.6. Platforms to mobilise the construction sector on a circular economy agenda ...................... 188
Box 4.7. Denmark has a well-developed strategy on green public procurement ................................ 191
Box 4.8. Support for circular economy innovation ............................................................................. 192
Box 5.1. Examples of chemical monitoring/biomonitoring results that have helped shape Danish
chemicals management priorities ................................................................................................ 201
Box 5.2. Danish Chemical Initiatives 2018-21.................................................................................... 205
Box 5.3. Results of the 2013 pesticide load indicator reform are not yet fully known but appear
promising ..................................................................................................................................... 206
Box 5.4. A project to protect children from harmful chemicals shows potential for further work
sharing and co-operation ............................................................................................................. 211
Box 5.5. Denmark is at the forefront of best practices stimulating public involvement in chemicals
management ................................................................................................................................. 214
Box 5.6. Continuing co-operation in the Arctic is important .............................................................. 216
Box 5.7. Assessment of industrial chemicals: The Australian perspective ......................................... 218
OECD ENVIRONMENTAL PERFORMANCE REVIEWS: DENMARK 2019 © OECD 2019