This summary presents the current fundings gap in Denmark's biodiversity effort towards 2050 to evaluate if existing funding is adequate to ensure the minimum, but not necessarily sufficient, basis for halting and reversing the loss of biodiversity. The report estimates there is a funding gap of at least DKK 162.6 billion, corresponding to DKK 6.5 billion annually, in Denmark's protection and restoration efforts for terrestrial, freshwater and marine ecosystems by 2050.

The five key messages

1. Denmark faces a funding shortfall of at least DKK 6.5 billion per year to achieve biodiversity protection and restoration goals by 2050, corresponding to a total gap of around DKK 162 billion.
2. Government funding allocated to biodiversity objectives should target initiatives with a proven positive impact on biodiversity. Current funding schemes have a very limited impact.
3. Economic policy instruments that promote nature protection and restoration should be strengthened, while incentives that undermine and destroy the fundamental conditions for biodiversity should be revised and minimised. Many current incentives have a potentially harmful effect on biodiversity.
4. The Green Tripartite Agreement plays an important role in supporting marine biodiversity. But the current funding and implementation will only contributes to terrestiral ecosystem protection to a limited degree, and fails to provide the ressources required to enhance overall ecosystem quality.
5. A biodiversity law that effectively protects biodiversity, combined with a clear funding plan and long-term efforts, that are promptly planned and implemented, can provide the foundation for halting and reversing biodiversity loss, as well as delivering substantial benefits for society.

The purpose of the report

The main objective of this report is to estimate the funding gap in Denmark’s biodiversity effort and to evalute the need for more and better targeted funding. The funding gap refers to the difference between the funding requirement and the funding level.

The report answers the following questions which are necessary for understanding and estimating the funding gap:

• Funding requirement: What is the minimum societal cost of protecting and restoring biodiversity across 30% of Denmark’s land and sea area, thereby ensuring the minimum, but not necessarily sufficient, basis for halting and reversing biodiversity loss?
• Funding level: How much of the government funding for area-based initiatives with a stated biodiversity objective contributes to protecting and restoring biodiversity?
• Harmful incentives: What proportion of government funding is spent on financial incentives for area-based activities that are potentially harmful to biodiversity?

The protection and restoration of biodiversity is not just an expenditure – biodiversity initiatives deliver significant environmental and socio-economic benefits. In this report, the Danish Biodiversity Council estimates some of the significant benefits for the climate, water quality and the aquatic environment that could be achieved by converting 30% of Denmark's land area into large, spatially cohesive protected areas.

The analyses and recommendations are a part of the Council's work with quantification of the national biodiversity efforts in Denmark and elucidate different environmental and socio economic aspects of the biodiversity efforts.

Photo by Theis Kragh ©

Content in the main report

The main report is in Danish and can be found here.

Chapter 1 - Background for the estimation of the fundings gap in Denmark’s biodiversity effort

Chapter 1 presents the scientific principles for the protection and restoration of biodiversity in Denmark, which form the basis for estimating the funding requirement, the funding level and the funding gap. The chapter also outlines the current status of biodiversity and the main international agreements and EU legislation by which Denmark is obligated by, including the Kunming-Montreal Global Biodiversity Framework. Together, these form the basis for estimating the biodiversity effort required and the associated funding requirement.

Chapter 2 - Estimation of the funding needs for Denmark’s biodiversity effort

Chapter 2 estimates the funding required to protect and restore biodiversity across 30% of Denmark's land and marine areas. The requirement is based on the fundamental preconditions and principles for biodiversity, and is calculated as the combined establishment and operating costs up to 2050. The estimate represents the minimum — though not necessarily sufficient — basis for halting and reversing biodiversity loss by 2050. The chapter also sets out the funding needed up to 2027 and up to 2030 if national and international targets are to be met within the agreed timeframes.

Chapter 3 – Estimating the level of funding for Denmark’s biodiversity efforts

Chapter 3 assesses how much of the government funding — in the form of economic policy instruments up to 2045 — contributes to the funding required to protect and restore Denmark's biodiversity. The assessment covers funding from the EU's Common Agricultural Policy (CAP), the Green Tripartite Agreement, the European Maritime, Fisheries and Aquaculture Fund (EMFF) and selected national sources. The chapter also quantifies the share of government funding allocated to area-based activities that are potentially harmful to biodiversity.

Chapter 4 – Recommendations for closing the funding gap

Chapter 4 quantifies the funding gap for the protection and restoration of Denmark's biodiversity — the difference between the identified funding requirement and the current funding level. It also estimates some of the environmental and societal benefits of protecting 30% of Denmark's land area. The chapter summarises the report's overall findings and presents the Danish Biodiversity Council's recommendations on how funding can be increased, prioritised and targeted to reduce the funding gap.