Climate lowlands

Introduction

Land conversion is accelerating greenhouse gas reductions by restoring carbon-rich lowlands and supporting climate goals

Case metrics

Key Statistics

60%

of Danish land area is used for intensive farming

9

million tons of CO2e emissions per year

7%

of the total farmland account for more than half the GHG emissions from agriculture in Denmark

The challenge

Tackling agricultural emissions with large-scale land conversion

Denmark’s agricultural sector is a major contributor to greenhouse gas (GHG) emissions, with 60% of the country’s land area used for intensive farming, generating 9 million tons of CO₂e emissions annually. A significant portion of these emissions originates from carbon-rich lowlands, which, when drained for farming, release substantial amounts of CO₂. Although these lowlands make up only 7% of Denmark’s farmland, they are responsible for over half of the country’s agricultural emissions. If these areas were taken out of production and restored to natural wetlands, the emission reduction would be equivalent to removing 1.8 million conventional cars from the roads, or 70% of all cars in Denmark.

Recognizing the urgency, Denmark launched an initiative in 2021 to phase out 88,500 hectares of carbon-rich farmland, with an ambition to reach 100,000 hectares, including surrounding buffer zones. The goal was to restore natural hydrology, cut GHG emissions, and contribute to Denmark’s 70% emission reduction target by 2030. However, earlier land conversion programs had struggled to attract sufficient participation from landowners due to complex application processes and long implementation times. Since it takes three years from cessation of plowing to achieving full GHG reductions, delayed execution directly impacted Denmark’s climate targets.

To ensure success, the Danish Environmental Protection Agency (EPA) needed an efficient, fully digital grant management system capable of processing applications quickly, prioritizing projects effectively, ensuring transparent fund allocation, and verifying compliance. Without automation, the process would be slow, administratively burdensome, and unable to scale effectively.

The solution

A fast, digitalized grant management system to accelerate land conversion

To accelerate land conversion and GHG reductions, the Danish EPA implemented the F2 Platform, a fully digital end-to-end grant management system. In just a few months, the system was configured to manage applications, process subsidies, and ensure compliance. This rapid deployment allowed the Danish EPA to meet its climate targets while offering landowners and municipalities a simple, transparent, and efficient application process.

Landowners and municipalities apply individually or in groups through a self-service portal, using GIS tools to mark project areas. The system automatically creates a case, tracks progress, and allows real-time monitoring. Caseworkers screen applications and can request additional details via a secure consultation link for efficient submission.

A master case aggregates applications, prioritizing them based on environmental impact and available funding. Rejected applications are filtered early, while approved ones proceed to automated decision-making, allowing case workers to approve, reject, or request further review.

To ensure financial accountability, a dual-review process requires two case workers to approve each grant before allocation under the four-eyes principle. Integration with the Danish EPA’s finance system enables automatic grant reservation and direct fund transfers. Once awarded, the system generates a payout case, allowing landowners to submit final documentation for approval and disbursement.

By automating workflows, the system accelerates decision-making, ensures transparent fund allocation, and simplifies applicant communication. The intuitive interface has been key to the program’s success, making it easy for landowners and municipalities to engage while ensuring compliance with Denmark’s climate goals.

The result

Driving unprecedented participation and climate impact

The implementation of the F2 Platform has transformed Denmark’s land conversion initiative, ensuring record participation and accelerated GHG reductions. Unlike earlier programs, which struggled to attract landowners, the first round of applications exceeded the available budget by 3 to 1. By the end of the first year, funding had been expanded, resulting in 2,000 hectares of restored land and 35,000 tons of CO₂e emissions reduced.

The simple and transparent subsidy model - which allowed for a single application, one-time compensation, and multiple environmental benefits - was crucial to the program’s success. The Danish EPA emphasized fast implementation and collaboration with municipalities and landowners, enabling efficient execution on a new digital platform.

The second grant round was even more successful, with applications exceeding the budget fivefold, allowing Denmark to accelerate emissions reductions ahead of schedule. The F2 Platform enabled fast processing, transparent prioritization, and easy access, making it a model for large-scale environmental programs.

Today, the system continues to operate as a fully digitalized and streamlined grant system, and as of 2024 projects have been initiated to withdraw and restore up to 56,200 hectares of such lands, contributing substantially to Denmark's climate goals.

The Climate Farmland initiative highlights the importance of execution speed. While the IT platform itself does not cut emissions, it enabled rapid implementation, streamlined participation, and became a key tool for GHG reduction and ecosystem restoration. By adopting a standard software platform, the Danish EPA built a scalable, efficient, and transparent subsidy program, setting a new benchmark for environmental policy execution.

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