A Danish Model for Sustainable Energy and Climate Policy?

Denmark’s aggressive policies promoting clean energy, which have benefitted from decades of consistent support by the country’s political leadership, demonstrate that the crippling economic shortfalls currently facing governments can be an opportunity for, rather than an obstacle to, the development of energy efficient and climate friendly economies.  Over the past three decades, Denmark has been able to sustain economic growth while energy consumption has remained almost unchanged and CO2 emissions have dropped.   Danish energy policy has also made Denmark a leader in the export of greentech, particularly wind turbines, which have been a boon to the country’s economy, helping to keep unemployment low and growth rates for the most part relatively consistent over time.  As the world confronts the threats of economic stagnation and long-term climate change, few are looking to the one of the world’s smallest countries for answers.  Nevertheless, the Danish model may offer a solution – or at least an example of success – for managing the transition toward a greener economy without relying on massive public sector expenditures.

The Key Policy Components

As a small Nordic coastal country without significant hydrocarbon resources, Denmark found itself desperately dependent on imported oil in the 1970s. 

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