Insurance and Pension Denmark has welcomed the Danish government’s new climate target of an 82 per cent reduction in greenhouse gas emissions by 2035, calling it a “strong signal to the world”.

Under the Climate Act of 2019, the Minister for Climate had to set new target for 2035 by the end of 2025. As a result, the government has announced it is going beyond the 2030 target of a 70 per cent reduction, compared to emissions in 1990, to 82 per cent by 2035.

The new target set by the current Minister for Climate, Energy and Utilities, Lars Aagaard, is one of the highest climate reduction targets in the world.

I&P Denmark CEO, Kent Damsgaard, called the target an “important milestone” for Denmark's green transition and a signal that Denmark wants to remain a world leader in green initiatives.

He noted that for several years, the pensions industry has invested in several Danish and foreign climate projects, such as solar and wind power. Indeed, the association highlighted that the pension industry currently has DKK 385bn invested in the green transition worldwide.

“At [I&P Denmark], we are convinced that this signal will give further impetus to the green transition, and our industry is ready to contribute to achieving the goal,” he stated.

“[The 82 per cent target] is a goal that we find both good and realistic and compatible with maintaining strong Danish competitiveness.”

Damsgaard argued that the past climate law with a goal of a 70 per cent reduction of greenhouse gases has been “incredibly important” for driving the green transition in Denmark.

He suggested that with the revision, the government is now “sending a strong signal to the world and to the actors in the green transition that we are still at the forefront”.

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