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Danish carbon tax on agriculture, a model for the rest of Europe or a splendid one-off?

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By illuminem briefings

· 2 min read

illuminem summarizes for you the essential news of the day. Read the full piece on Euractiv or enjoy below:

🗞️ Driving the news: Denmark has unveiled a groundbreaking plan to impose a carbon tax on agriculture, targeting greenhouse gases emitted by livestock
• This initiative, set to become the world’s first carbon tax on agriculture, aims to reduce emissions from cows, sheep, and pigs by 55-65% by 2030

🔭 The context: The Danish proposal emerged from an agreement between the government, farmers, the food industry, and environmental groups
• The tax will be €40 per tonne of CO2, with revenue used to support industry greening
• A basic tax break will limit the impact on production costs, and climate-efficient farms could pay minimal or no tax

🌍 Why it matters for the planet: Agriculture is a significant source of greenhouse gas emissions, and the Danish model could inspire other EU countries to adopt similar measures
• This tax could help the EU achieve its goal of becoming carbon neutral by 2050, addressing climate change through innovative policy

⏭️ What's next: The Danish parliament is expected to approve the tax later this year. While the model may serve as inspiration, other EU member states have different needs and may not adopt the same approach
• Discussions on an EU-wide Emission Trading System (ETS) for agriculture are ongoing

💬 One quote: “The model is based on the challenges we face in Denmark.” – Christian Hoegh, Danish Agriculture and Food Council

📈 One stat: From 2030, Danish livestock farmers will pay a fee of 300 Danish krone (about €40) per tonne of CO2

Click for more news covering the latest on carbon market and sustainable agriculture 

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