Denmark's recovery and resilience plan

The key instrument of this package is the Recovery and Resilience Facility (“RRF”), which involves 750 billion euros –390 billion in grants and 360 billion in loans– aimed at repairing the immediate economic and social damage brought about by the pandemic, by building a greener, more digital and more resilient Europe.

Denmark will receive 1.5 billion euros in grants from the RRF. The EU’s grants to Denmark will be used to support several flagship areas for the EU and Denmark with the aim of accelerating the green transition, digitalise the public administration and provide support to small businesses.
Under the RRF, each national recovery and resilience plan will have to disburse a minimum of 37% for climate investments and reforms and 20% to foster the digital transition.

Denmark’s Recovery and Resilience Plan has, however, devoted respectively 59% to measures that supports climate objectives and 25% to the digital transition, thus significantly exceeding the minimum targets set under the RRF.

Outline of the Danish Recovery Plan

The Danish RRF plan has aptly been subtitled “accelerating the green transition”, as it, in combination with national stimulus funds, aims at ensuring a swift and green recovery from the consequences of the COVID-19 pandemic.

The Danish Recovery plan is structured around seven components, of which the main components (listed by share of total funds) are:

• Green Tax Reform (33.7%). Ministry of Taxation is responsible for this component.
• Energy Efficiency, Green Heating and Carbon Capture and Storage (17.6%). Ministry of climate, Energy and utilities is responsible for this component.
• Green Research and Development (15.5%). Ministry of Higher Education and Science is responsible for this component.
• Sustainable Road Transport (14%). Ministry of Transport is responsible for this component.
• Green Transition of Agriculture and Environment (11.4%). Ministry of Food, Agriculture and Fishery & Ministry of Environment is responsible for this component.
• Digitalisation (5.7%). Ministry of Finance/Agency of Digitisation & Ministry of Industry, Business and Financial Affairs is responsible for this component.
• Strengthening the Resilience of the Health Care System (2.1%). Ministry of Health is responsible for this component.

Practical Aspects

In Denmark specific ministries and their authorities are responsible for distributing the funds within each of the components described above.

For each component, the ministries will determine certain target groups and requirements for applying for the funds. Information concerning this will be available on the website for each ministry.

More detailed information on the Danish Recovery and Resilience Plan can be found here and here (both in English).

For more information, including on how to access the funds, please contact Morten Nissen or Alexander Brøchner.