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Photo: I, Kaare, CC BY-SA 3.0, via Wikimedia Commons

Hauliers to be compensated for new green tax by Danish government

After a series of protests by hauliers, the Danish government has agreed to pay compensation to road transportation companies to ease the burden the new green tax would place on them, reports the country's national press. The tax was introduced by the government in an effort to reduce pollution, but hauliers argued that it was unfair and would hurt their business.

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Readers may recall the haulier blockades that began in January and lasted for several weeks. The action caused major disruption to traffic and businesses across Denmark, and although the government did not budge on the toll, they have now agreed to assist with the green transition.

The Danish Government has agreed to pay 300 million kroner (about 40 million euros) in compensation to hauliers over the next three years to ease the burden the new tax would place on them, reports dr.dk.

The haulier’s union welcomed the agreement but said that the money was only a drop in the ocean. They said that the compensation package did not go far enough to address the financial hardship that the hauliers had faced.

The union added that they would continue to work with the government to ensure that the compensation is distributed fairly and that the government takes further steps to support the trucking industry.

The government said that it is committed to reducing pollution and improving air quality. However, it also acknowledged that the green tax had caused hardship for some hauliers. The compensation package is intended to help those hauliers who have been most affected by the tax.

However, the agreement is a temporary measure; the Danish government will review the green tax in two years to see if it is still necessary.

What is the newly introduced green tax about?

The green tax was introduced by the Danish government in the first quarter of 2023 with the intention of reducing pollution from HGVs and improving air quality. The amount of the tax depends on the weight of the vehicle and the distance it travels.

The tax is calculated as follows:

  • weight tax: DKK 0.30 per kilogram of truck weight,
  • distance tax: DKK 0.01 per kilometer.

The Euro class of the vehicle also determines the amount to be paid – the tax will be higher for petrol or diesel trucks, with zero-emission lorries paying the lowest tax.

The green tax is applied to all trucks that weigh more than 3.5 tonnes and travel more than 100 kilometres per year and by 2030, these costs will extend to all public roads within the Danish road network.

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