Report predicts costs of climate impacts could exceed 100 billion kroner in Denmark by 2100

Failure to enhance climate resilience against heavy rainfall and storm surges could lead to costs exceeding 100 billion kroner in the future, as outlined in a recent report from DTU. The analysis predicts that over the next century, damages to homes, commercial buildings, agriculture, and tourism could amount to approximately 406 billion kroner. Of this, about 157 billion kroner will be attributed to severe rainfall, while storm surges are expected to account for around 249 billion kroner. These estimates are based on an anticipated average global temperature rise of three degrees Celsius by 2100.

According to experts, urgent action is needed, and investments in climate adaptation measures such as dikes, floodgates, wetlands, and stormwater basins in urban areas could be beneficial. For every kroner spent on climate protection today, society could save 1.6 kroner on future cleanup and reconstruction costs. Kirsten Halsnæs, a professor at DTU, emphasizes the report’s role as a call to action rather than despair.

The report also highlights that the four largest cities in Denmark—Aarhus, Copenhagen, Odense, and Aalborg—are likely to face the highest flooding-related building damages, projected to exceed 2.5 billion kroner annually. Coastal municipalities like Aalborg, Vejle, and Copenhagen are particularly vulnerable to storm surges, with expected damages surpassing six billion kroner per year.

Furthermore, the report underscores the implications of climate adaptation costs on equity, notably affecting rural areas with lower average incomes. As such, there is an urgent need for collective agreement on funding responsibilities and practical arrangements to implement these measures effectively.