Danish city Aarhus introduced CO2 tax on beef & air travel - please copy paste!
The municipal (internal) climate tax in Aarhus, Denmark, is a great example of effective local climate action. Something that can be copied in all governments, institutes and businesses!
Aarhus municipality has introduced a ‘climate tax’, or an internal carbon price on goods purchased by the municipality. And it has been a success!
For example, it has resulted in a 40% drop in beef consumption (lamb: 20%, soft drinks: 7%). Here is a PowerPoint presentation with more info. Here is a link to a description food_for_thought.pdf (Its Initiative 11, on page 42).
So, how does it work?
🥩 The tax applies to high-impact goods, including: air travel, mobile phones, beef and veal
💸 The tax is DKK 1,000 (€134) for every tonne of CO2-eq. emitted by the product
📈 In practical terms, beef bought by canteens costs DKK 32.50 (€4.36) more per kilo. This price increase has to be paid by the municipality's buyers/caterers. After a year, they get the amount back, but by then the changes to the menu (much less beef to avoid the levy) have already been introduced.
👍 The extra revenue will be returned to the municipal institutions. They can decide how to use it. For instance, to lower the prices of climate-friendly choices (e.g. plant-based food), .
‘It's surprising!’ says Jeppe Deleuran, economic advisor at Aarhus Municipality, who had a meeting with Jeroom Remmers, director of TAPP Coalition. Deleuran will give a presentation 25 March 2025 at TAPP's International Advisory Board meeting.
It is a win-win situation for both health and the environment.
TAPP Coalition, which is committed to paying the real price for meat, dairy and eggs, including external environmental costs, welcomes this initiative in Denmark and hopes cities and companies around the world will copy it, including for the sale of cheese and pork, which also have very high CO2 emissions per kg. The city of Amsterdam recently became the 80th partner of TAPP Coalition. Other municipalities may follow. In March 2025, TAPP Coalition will launch a catering covenant for companies and institutions that want to implement ‘true pricing’ of different food products, as dozens of catering venues and caterers already did last year. TAPP Coalition launched a 3-month pilot in 3 universities (Wageningen, Eindhoven, Maastricht) where meat prices increased on average by 20-60% (most for beef, less for chicken) and where prices for vegetables, fruit and vegan meals were 9% cheaper. Result: 20% less meat consumption and 7x more healthy food consumption!
🐄 On average, Danes eat 3x more meat than dietary guidelines suggest.
🏭 Beef emits 18x more CO2-eq. than lentils, 9x more than chicken.
🥕 This programme means canteens and care homes will have more vegetables and pulses on the menu, improving overall nutritional value
The Danish Climate Change Council (Klimarådet) points to taxes as the cheapest and most effective way to reduce Denmark's CO2-eq. emissions. The city of Kopenhagen partly also introduced the same internal CO2-tax.
Of course, equity must be taken into account by ensuring that mechanisms are in place to prevent lower-income citizens from bearing the brunt of higher food prices.
See the article (in Danish):
