Mapping climate change - barriers and opportunities for action

According to the government programme from 2011, Danish municipalities are to prepare
municipal climate change adaptation plans over the next two years. Today, accessible and relevant
tools already exist at the Danish Portal for Climate Change Adaptation (www.klimatilpasning.dk),
such as the Sea Water on Land (Havvand på Land) tool, an interactive screening tool that shows the
areas of Denmark that will be affected by an increase in the sea level. Another tool is Coast Planner
(Kystplanlæggeren), a screening tool that shows areas that are potentially vulnerable to high-water
events.
Regulation
The water sector is regulated on the basis of the non-profit principle and it is subject to a price cap.
As a general rule, the water utility companies are able to finance the necessary investments and
maintenance work on the sewerage system via wastewater charges through an investment
supplement to the price cap. However, with the current regulation, the water utility companies may
experience liquidity problems in future. An amendment to the Statutory Order for the price cap
aiming at solving this problem is currently under consultation. In addition, there may be a general
need to look more closely at whether the utility companies have the necessary incentives to make
the investment required in maintenance and expanding the sewerage system, amongst other things
because, for the majority of the installations, the period of depreciation for investments in the water
sector is significantly longer than the term for municipal loan guarantees.
Finally, there may be assessments of whether there are alternatives outside the charges-financed
area which could increase the drainage capacity of wastewater utilities cost-effectively and in a way
that ensures that any amendments to the regulations are not over-exploited. The current chargesfinancing
rules limit possibilities for financing such initiatives through the wastewater charge in
order to ensure that water consumers only pay for the costs that actually relate to wastewater
management. Cost-effective alternatives can also include water management by private consumers
on their own property.
Summary
On the basis of the consequences of extreme downpours, regulations aimed at minimising the
negative effects of flooding are being developed. As a general rule, water utility companies are able
to finance the necessary investments and maintenance work on the sewerage system via wastewater
charges. It would be relevant to assess whether the water utility companies have the required tools
and incentives to adapt to climate change through e.g. investments in maintenance and expansion of
the sewerage system. This should be seen in light of the relationship between depreciation periods
and repayment periods, etc. Finally, it would be relevant to assess whether alternatives exist outside
the charges-financed area to enhance the capacity for draining surface and wastewater costeffectively,
including by letting individual citizens manage water on their own land. The current
charges-financing rules limit possibilities for financing such initiatives through the wastewater
charge in order to ensure that water consumers only pay for the costs that actually relate to
wastewater management. At the same time, pursuant to the 2011 government programme,
municipalities are obliged to prepare municipal climate change adaptation plans within two years.
Groundwater and water supply
Important effects of climate change
The most important effects for the groundwater and water supply are as follows
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