Key Indicators 2003 – Denmark's National Strategy for Sustainable Development A shared future – Balanced development

Key Indicators 2003

Trends

The Danish vision of sustainable development is based on eight objectives and principles:

The welfare society must be developed and economic growth must be decoupled from environmental impacts
There must be a safe and healthy environment for everyone, and we must maintain a high level of protection
We must secure a high degree of biodiversity and protect the ecosystems
Resources must be used more efficiently
We must take action at an international level
Environmental considerations must be taken into account in all sectors
The market must support sustainable development
Sustainable development is a shared responsibility, and we must measure progress

1. The welfare society must be developed and economic growth must be decoupled from environmental impacts

Denmark has enjoyed good and stable economic development. From 1990 to 2002, GDP per capita grew by approximately 24.5 per cent. This corresponds to an average rate of increase of approximately two per cent per year.

For many years, increases in GDP and increasing negative impacts on the environment have been closely linked. This link has been decoupled for emissions of greenhouse gases and acidifying substances. Overall emissions of greenhouse gases have fallen slightly during the period 1990 to 2001. Emissions of acidifying substances have fallen considerably, however, most significantly in regard to emissions of sulphur. At the same time, GDP has increased steadily since 1993, indicating that economic growth and environmental impacts have been decoupled.

Assessment of the value of economic, social, and environmental resources is the basis for the indicator "Genuine Savings". "Genuine Savings" constitute an economic indicator for the development of the total wealth of a society. When combined with the other indicators, "Genuine Savings" can provide a picture of whether the development during any given year is sustainable. "Genuine Savings" in Denmark have increased slightly throughout the last six to seven years. It should, however, be noted that the "Genuine Savings" indicator is still being developed, and that it must be supplemented by analyses of what constitutes critical impacts on health, nature, and the environment. In particular, it should be noted that no value can be assigned to a number of environmental impacts, and therefore these impacts are not included in the indicator.

Seen in an international context, Denmark is characterised by having a very high rate of employment. Since the mid-1990s, employment in Denmark has risen significantly, with an additional 200,000 people (approx.) entering the labour market. This means that continued, significant growth in employment would be an ambitious goal. The challenge becomes even greater in view of the fact that demographic developments will, all other things being equal, reduce the labour force in the years to come. Despite this, increased employment rates and fewer unemployed people make up a substantial part of the Government's growth strategy.

2. There must be a safe and healthy environment for everyone, and we must maintain a high level of protection

Danes are growing older again. In the last seven years, the average life expectancy has increased as much as it did during the preceding 21 years. Men have added 2 years to their average life expectancy from 1995 to 2002, whereas the corresponding increase for women is 1.4 years. The increase has been so significant that in 2000, the average life expectancy of Danish men corresponded to the target figure for 2004. In 2000, women's life expectancy was as high as the 2002 target figure. Only three other EU Member States have experienced greater increases in the average life expectancy after 1995.

In 2001, Denmark's total emissions of greenhouse gases were at 1990 levels after having peaked in 1996. Emissions have fallen within a number of sectors. For example, emissions from agriculture have fallen by approximately 16 per cent, which is mainly due to the implementation of the Action Plans for the Aquatic Environment. Emissions from households have fallen by approximately 15 per cent, which is mainly due to more efficient energy consumption, and emissions from the waste sector fell by almost 11 per cent during the period. By contrast, emissions from the transport sector grew by almost 18 per cent. Emissions from the commercial sector have gone up by almost seven per cent, which is due to e.g. greater energy consumption. In order to reduce Denmark's emissions of greenhouse gases, the goal is to incorporate all reduction opportunities for greenhouse gases in the most cost-effective manner. There is a need for special efforts to reduce emissions of greenhouse gases from the transport sector and the commercial sector.

Classification of chemicals is an important part of the work carried out to ensure a high level of protection, so that the environment is safe and healthy for everyone. A common EU classification of substances creates a basis for common risk management. The number of classified substances and related substances has doubled since 1993. At the end of 2002, the classified substances accounted for a total of approximately 7,000 substances out of the 100,000 substances, which are or have been available on the European market.

3. We must secure a high degree of biodiversity and protect the ecosystems

A high degree of biodiversity must be secured, and ecosystems must be protected. One goal is to increase the extent of Danish woodland areas so that forests will cover 20-25 per cent of Denmark. From 1950 to 2000, the total woodland area has grown steadily. The area of original forest has fallen, while the area of deciduous forest is now once again on the rise after having fallen for some time. The objective is to increase the area of deciduous forest and to retain the area of original forest. The total area accounted for by meadows, dry grassland, moors, and marshlands (open natural habitats) has diminished during the period 1950 to 2000. In 2000, the total area accounted for by these natural habitats was only approximately half of the corresponding 1950 figure. The efforts to increase the area of the open natural habitats: meadow, dry grassland, and moor have not had any discernable impact in the latest inventories.

4. Resources must be used more efficiently

For some indicators, Danish consumption of resources has fallen. After a period of strong growth in energy consumption from 1995-96, both energy consumption and consumption of drinking water have fallen up until 2002. There has been a relative decoupling of energy consumption and consumption of drinking water from economic growth during the period 1996 to 2002. Waste volumes fell during the period 1996 to 1999.This means that the waste intensity (waste generation seen in relation to GDP) also fell during the same period. However, the waste intensity increased again from 1999 to 2000 as a result of greater waste volumes. After 2000, there has once more been a small decrease.

5. We must take action at an international level

Denmark lives up to the goal of contributing to combating poverty in the world. The Danish objectives for promoting global, sustainable development are closely linked to the international development targets set by the UN, and they support these targets. In the years from 1992 to 2002, Denmark contributed approximately 1 per cent of its GNI every year, which is far more than the UN target of 0.7 per cent of GNI. In 2002, environmental assistance accounted for approximately 0.07 per cent of GNI, and this figure has increased in 1998 to 2002.

6. Environmental considerations must be taken into account in all sectors

Concern for nature and the environment within the different sectors of society is elucidated in the indicator report by showing the environmental profile for selected sectors. In 2003, profiles for the energy and transport sectors will be shown.

As regards the energy sector, CO₂ emissions have been reduced throughout the 1990s and up to the present. This is partly due to greater use of natural gas and renewable energy. More efficient use of combined heat and power generation has also reduced CO₂ emissions. The energy sector almost exclusively emits the greenhouse gas CO₂ and accounts for more than 45 per cent of Denmark's total emissions of greenhouse gases. In total, energy consumption accounts for almost 80 per cent of Denmark's emissions of greenhouse gases. Total energy consumption has increased by 8 per cent since 1988, while emissions have increased by almost 3 per cent. The energy produced is used in a more efficient manner. Energy consumption and emissions have not increased at the same rate as economic growth during the period. As regards acidifying substances, SO₂ emissions from the energy sector have fallen by 86 per cent during the period 1990 to 2001. NO_x emissions have been reduced by approximately 26 per cent.

Within the transport sector, total transport activities increased during the period 1990 to 2001. Passenger transport and freight transport both increased by 14 per cent during the period 1990-2001. The total growth is primarily due to increases in motorised road transport. Transport-sector emissions of greenhouse gases (CO₂) increased by 14 per cent during the period 1990 to 2001. Transport emissions of CO₂ have closely followed the rate of economic growth. In Danish towns, traffic is the greatest source of air pollution. Emissions of SO₂ have fallen by 72 per cent as a result of the rules on lower sulphur content in diesel. The pollutants from traffic are mainly nitrogen oxides (NO_x), hydrocarbons (NMVOC), sulphur dioxide (SO₂), and carbon moNO_xide (CO). Despite mounting traffic, emissions of NO_x, NMVOC, and CO are falling. This is due to the 1990 requirement stipulating that new petrol-powered cars must have catalytic converters. During the period from 1988 to 1998, the number of cars with catalytic converters rose from zero to more than 50 per cent of all petrol-powered cars.

For many emissions, the link between economic growth and the environmental impact of transport has been successfully decoupled. It is likely that emissions of NO_x and NMVOC will continue to fall until all petrol-powered cars are fitted with a catalytic converter. New and more restrictive requirements for different types of cars will enter into force in 2005.

7. The market must support sustainable development

Sustainable development and economic growth are not mutually exclusive. Enterprises, which focus on the environment, tend to have a competitive edge.

The increase in the number of eco-labelled products available shows that there is a market for green products. This also shows that the market can be used to support sustainable development. The increase in the number of eco-labelled products has been particularly pronounced in recent years, and in 2003, more than 2,633 eco- labelled products are widely available. The most commonly seen eco- label is the Swan label (the Nordic eco-label), but the Flower (the EU eco-label) is making good progress. In 1999, only two products bore the Flower, and in 2000 the corresponding number was seven. Since then, the number of Flower-labelled products has grown to somewhere between 60 and 80. The number is expected to reach around 100 by the end of 2003.

8. Sustainable development is a shared responsibility, and we must measure progress

Environmental management is one way of integrating environmental concerns into production. In this manner, enterprises assume responsibility for ensuring a more environmentally friendly production chain. Since 1994, the number of enterprises with certified environmental management in the form of EMAS and ISO 14001 has increased year by year. Denmark is among the European countries which have the greatest number of EMAS registered enterprises compared to the size of the population (surpassed only by Austria). Developments in the number of EMAS and ISO registered enterprises show that it is possible to use environmental concern as a competitive parameter.