Environment at a Glance: Denmark
Table of contents
The OECD Environment at a Glance Country Notes are designed to support transparent, evidence-based information. They provide concise and descriptive overview of progress across major environmental issues, including climate, air quality, freshwater resources, waste and the circular economy, and biodiversity conservation. They feature selected environmental indicators, building on harmonised datasets available on OECD Data Explorer. Differences with national data sources can occur due to delays in data treatment and publication, or due to different national definitions and measurement methods. See the Reader’s guide to the Environment at a Glance Country Notes for more information.
Denmark is a small, open and prosperous economy, with gross domestic product (GDP) per person well above the OECD average. The population enjoys high living standards and relatively low-income inequality.
Located in northern Europe, Denmark comprises the Jutland Peninsula and an archipelago of more than 400 islands. Its long coastline and its many fjords, give the country a distinctly coastal character. It enjoys abundant water resources, mostly in the form of streams, rivers and several hundred lakes, as well as drinkable groundwater resources stored in sedimentary bedrock. The landscape is made up of plains and low-lying hills, formed by moraine from the last two glacial eras. The highest point is only 175 metres above sea level. Most of Denmark’s surface is covered by croplands.
Denmark has some petroleum and natural gas resources, as well as fish, salt, limestone, chalk and gravel. It also benefits from favourable wind conditions that support extensive wind power generation. The resilience of the Danish economy is reinforced by its low dependence on fossil fuel imports.
Environmental governance is decentralised, as responsibilities are shared among the national, local and, to a lesser extent, regional levels. Denmark’s 98 municipalities are responsible for most aspects of local environmental management.
The per person production-based (i.e. produced within the territory) and demand-based (or footprint, i.e. including emissions incorporated in imported goods) GHG emissions have been steadily declining since 2005, but remain above the OECD averages. Demand-based emissions are lower than production-based ones, meaning that Denmark is a net exporter of GHG emissions.
Denmark has significantly reduced its greenhouse gas (GHG) emissions since 2003 mainly thanks to the shift from coal to natural gas and renewables (mainly wind), as well as reduced wood consumption for residential heating.
Carbon dioxide (CO2) is the most important GHG, contributing to the total with 62.6% in 2024, followed by methane (CH4) with 23.3 % and nitrous oxide (N2O) with 13.3 %. The increasing emission of CH4 is due to the increasing use of gas engines in decentralised cogeneration plants, albeit with a decrease in recent years. After an increase in CH4 emissions from residential combustion (mainly wood), its use has been decreasing in the past decade.
The agricultural and transport sectors represent the largest sources of emissions, followed by energy industries, the residential sector and manufacturing industries. The agricultural sector represented 30% of the total in 2024 (excluding land-use, land-use change and forestry - LULUCF), mostly due to livestock production. The decrease in the number of dairy cattle drove down CH4 from enteric fermentation. However, the emissions from manure management have increased, mainly driven by a change from traditional housing systems towards slurry-based housing systems. Rising road traffic drove emissions from transport upward until they peaked in 2007 and 2018. Transport emissions are expected to continue to decrease as more electric vehicles enter the fleet. Emissions/removals from the LULUCF sector fluctuate. The sector is a net sink since 2022 (Denmark, 2026).
The contribution of fossil fuels to the energy mix dropped significantly, from 88.6% of total energy supply in 2000 to 46.4% in 2025, mainly due to the decrease of coal and natural gas, and the large increase in renewables. Denmark has one of the highest shares of renewables (mainly biofuels, waste and wind) in energy supply among OECD countries.
Emissions of most major air pollutants have decreased. Since 2014 the reduction stalled due to increased economic activity. The main sources of air pollution are agriculture (ammonia - NH3 and non-methane volatile organic compounds - NMVOC), transport (nitrogen oxides - NOX), wood combustion (fine particulates -PM2.5) and industry (sulphur dioxide - SOX). Denmark reached its 2020 Gothenburg Protocol objectives for sulphur dioxide (SO2), NOx, NMVOC and NH3 emissions.
Emission intensities are generally lower than the OECD average, although per person emissions of NMVOC and NOx are above the OECD Europe average.
Emission reductions went on par with air quality improvements. Average population exposure to fine particulates is below the OECD average but above the guideline value of 5 µg/m3 recommended by the World Health Organization.
Denmark has abundant water resources, mostly in the form of streams, rivers and several hundred lakes, as well as drinkable groundwater resources found in sedimentary bedrock. The country does not suffer from water stress and abstracts much less freshwater per person than the OECD average.
Connection rates to public wastewater treatment plants, which were already high in 2000, have continued to increase. Most (92.3%) households are connected to plants with tertiary (“advanced”) treatment.
Denmark has one of the highest amounts of municipal waste generated per person in the OECD, partly due to the high level of consumption. The country has been an OECD front-runner in diverting municipal waste from landfill, mainly through incineration with energy recovery.
The Danish economy uses a large amount of materials per unit of GDP, which translates into a relatively low resource productivity (at about the OECD average). While domestic material consumption (DMC) has decoupled from economic growth, at the time of the global economic crisis, it has been rising again since 2014. As in most OECD countries, non-metallic minerals account for the largest share of DMC, driven by construction materials. Since the economic slowdown ended, the construction sector has been recovering, boosted by large infrastructure projects such as the Copenhagen metro and the Fehmarnbelt tunnel.
Croplands cover some 60% of Denmark’s area, forests 16%, light-open habitats such as heath, dunes, meadows and marshes 5%, and artificial surfaces (urbanised areas) and inland waters the remaining 18%. However, loss of natural and semi natural areas and gain of artificial surfaces continue to occur and pressures from the fragmentation and degradation of landscapes as well as intensive agricultural and forestry practices result in significant biodiversity loss. In Greenland, climate change constitutes the major threat. Average temperatures are projected to rise by 2 degrees Celsius (°C) in southern Greenland and by 6-10°C in northern Greenland, with an increase in rain and snowfall of 10-50%. There is a risk that most of the high Arctic zone will be replaced by low Arctic conditions.
Some 30 000 species of plants, animals and fungi can be found in Denmark. Species living in agricultural ecosystems and open habitats (commons, heaths, bogs and sand dunes) show a negative trend, while forests are in a rather good conservation status. Forest area is even growing as a result of reforestation policies. Nevertheless, more than half the species on the red list depend on forest habitats for survival.
Denmark is below the OECD average in terms of protected area coverage and only a limited number of sites have strict management objectives (IUCN categories I and II). About 6.2 % of the country’s land is covered by protected areas that have had management effectiveness assessments1 and the same is true for 4.1 % of the exclusive economic zone. More efforts are needed to reach the 2030 Global Biodiversity Framework (GBF) target of protecting 30% of terrestrial and inland water areas, and of marine and coastal areas.
This section shows selected policy instruments based on data available for most OECD countries and does not provide a complete overview of countries’ policy mix to achieve their environment-related objectives. Interpretation should consider the country specific context.
Denmark has a long history of applying environmentally related taxes, being among the front-runners in integrating environmental considerations into its tax system. Many taxes align closely with the estimated external cost of production or consumption activities. Environmentally related tax revenue has been declining since 2011, though it is still above the OECD and OECD-Europe averages when measured in percentage of GDP. This is due to the increased use of biomass for heating production (replacing coal-based production), which is exempted from energy and CO2 taxes. The share of environmentally related taxes also declined in percentage of total revenues.
As in most OECD countries, energy-related taxes account for the largest share of tax revenue. Yet Denmark differs from other countries in its high taxes on vehicles. Taxes on pollution and natural resource use account for a small share of total green tax revenue, although the level is higher than in many other OECD countries.
In total, 65% of GHG emissions in Denmark were subject to a positive Net Effective Carbon Rate2 (ECR) in 2023. Explicit carbon prices in Denmark consist of the ETS, covering 65% of GHG emissions in CO2 equivalent. With roughly 40.5% of total GHG emissions, coverage is largest for carbon taxes. Fuel excise taxes, an implicit form of carbon pricing, covered 41.8% of emissions in 2023. About 61% of GHG emissions have a Net ECR above EUR 60 per tonne of CO2 equivalent, a mid-range estimate of current carbon costs. Net ECRs are highest in the buildings sector, which accounts for 6.2% of the country's total GHG emissions. The Net ECR is on average positive in all sectors (OECD, 2024).
The share of environmentally related government research and development (R&D) budget has declined, from 2.6% in 2000 to 1.4% in 2024. By contrast, the share of renewable energy public research, development and demonstration (RD&D) budget has remained high since 2000, albeit with large fluctuations, albeit it dropped to 28.3% in 2025.
Denmark is an above-average performer in environmentally related inventions, with over 50 innovations per million inhabitants, compared to an OECD average of about 20. The country has developed a high level of specialisation in environment-related technologies. Most inventions are filed for protection in the fields of wind energy and other energy-related climate change mitigation technologies.
Denmark’s development co-operation focuses on partnerships to address poverty and inequality in the context of geopolitical change, with an increasing emphasis on economic development, migration and the green transition. Most of Denmark’s official development assistance (ODA) is provided as bilateral co‑operation, primarily to fragile partner countries in Africa. Denmark’s Global Climate Action Strategy aims to increase global climate ambition, reduce greenhouse gas emissions, and strengthen the focus on climate adaptation and sustainable development. Albeit with large fluctuations, the share of bilateral ODA for climate change, mostly on adaptation, has been increasing, to reach around a third in 2023-24. By contrast, the share for biodiversity has been declining since 2013-14, to increase again in 2023-24 to about 10% of total bilateral allocable ODA, a relatively high percentage by Development Assistance Committee (DAC) standards (OECD, 2026).
References
Denmark. (2026). Denmark's National Inventory Document 2026. Danish Centre for Environment and Energy. Retrieved from https://unfccc.int/documents/656453
Hockings, M., & al, e. (2006). Evaluating Effectiveness. A framework for assessing management effectiveness of protected areas. 2nd Edition. IUCN. Retrieved from https://portals.iucn.org/library/efiles/documents/PAG-014.pdf
OECD. (2024). Pricing Greenhouse Gas Emissions 2024: Gearing Up to Bring Emissions Down. OECD Series on Carbon Pricing and Energy Taxation, OECD Publishing, Paris. doi:10.1787/b44c74e6-en
OECD. (2026). Development Co-operation Profiles. OECD Publishing, Paris. Retrieved from https://www.oecd.org/en/publications/development-co-operation-profiles_04b376d7-en/denmark_49b42438-en.html
Further readings
CBD (2022), Country profiles: Denmark, https://www.cbd.int/countries/profile/?country=dk#facts
Danish Ministry of Climate Energy and Utilities (2019), “Denmark’s Integrated National Energy and Climate Plan”, https://energy.ec.europa.eu/system/files/2020-01/dk_final_necp_main_en_0.pdf
OECD (2019), OECD Environmental Performance Reviews: Denmark 2019, OECD Environmental Performance Reviews, OECD Publishing, Paris, https://doi.org/10.1787/1eeec492-en.
IEA (2017), Energy Policies of IEA Countries: Denmark 2017, Energy Policies of IEA Countries, IEA, Paris, https://doi.org/10.1787/9789264287594-en.
UNEP-WCMC (2024), “Protected Area Profile for Denmark”, the World Database of Protected Areas, www.protectedplanet.net
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← 1. Protected Area Management Effectiveness evaluations, can be defined as: “the assessment of how well protected areas are being managed – primarily the extent to which management is protecting values and achieving goals and objectives" (Hockings & al, 2006).
← 2. Effective Carbon Rate (ECR) is the sum of fuel excise taxes, carbon taxes and tradeable permits that effectively put a price on carbon emissions. The Net ECR equals the ECR minus fossil fuel subsidies that decrease pre-tax fossil fuel prices.