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ENVIRONMENT

Danish farmers could be paid to plant hundreds of new forests

Several hundred new forests could be planted in Denmark after authorities received almost 400 applications from farmers interested in a grant for planting trees on their fields.

An autumnal forest scene in Denmark, one that could become available in more locations due to a scheme offering farmers a grant to plant trees.
An autumnal forest scene in Denmark, one that could become available in more locations due to a scheme offering farmers a grant to plant trees. Photo: Mads Claus Rasmussen/Ritzau Scanpix

The Danish Agricultural Agency (Landbrugsstyrelsen) received 381 applications from farmers interested in the grant, the agency said in a statement.

There are several reasons why the Danish state wants to pay farmers to plant forests, Danish Agricultural Agency head of department Frank Josephsen Kargo said.

“Forestation has its place in major agendas being talked about in current times. It’s all about reducing nitrogen emissions into water environments,” Kargo said.

“It also contributes to reducing CO2 emissions because forests absorb CO2, as well as reducing seepage of pesticides and nitrogen at drinking water sources by planting forest around them,” he explained.

Money for the grants comes from an EU funding programme for rural regions, totalling 70 million kroner.

Farmers can apply for up to 28,000 kroner per hectare of land they want to convert to forest, depending on the type of forest which is planted.

The agency must now review the applications, with the funding to be distributed in the most beneficial way for the environment.

“We will get up to relatively large areas. If these applications come to pass, we think we’ll get around 2,000 hectares of forest,” Kargo said.

“That way it’ll actually be a lot of forest and have a good effect,” he added.

With 34 applications, more requests for the grants came from Vejle Municipality than any other local authority in Denmark.

The mid-sized Jutland town currently boasts two forests, Nørreskov and Sønderskov, close to its centre and has a rugged, hilly landscape atypical for Denmark due to its location at the mouth of Vejle Fjord.

READ ALSO: Eight great places to visit during autumn in Denmark

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ENVIRONMENT

Sweden’s SSAB to build €4.5bn green steel plant in Luleå 

The Swedish steel giant SSAB has announced plans to build a new steel plant in Luleå for 52 billion kronor (€4.5 billion), with the new plant expected to produce 2.5 million tons of steel a year from 2028.

Sweden's SSAB to build €4.5bn green steel plant in Luleå 

“The transformation of Luleå is a major step on our journey to fossil-free steel production,” the company’s chief executive, Martin Lindqvist, said in a press release. “We will remove seven percent of Sweden’s carbon dioxide emissions, strengthen our competitiveness and secure jobs with the most cost-effective and sustainable sheet metal production in Europe.”

The new mini-mill, which is expected to start production at the end of 2028 and to hit full capacity in 2029, will include two electric arc furnaces, advanced secondary metallurgy, a direct strip rolling mill to produce SSABs specialty products, and a cold rolling complex to develop premium products for the transport industry.

It will be fed partly from hydrogen reduced iron ore produced at the HYBRIT joint venture in Gälliväre and partly with scrap steel. The company hopes to receive its environemntal permits by the end of 2024.

READ ALSO: 

The announcement comes just one week after SSAB revealed that it was seeking $500m in funding from the US government to develop a second HYBRIT manufacturing facility, using green hydrogen instead of fossil fuels to produce direct reduced iron and steel.

The company said it also hoped to expand capacity at SSAB’s steel mill in Montpelier, Iowa. 

The two new investment announcements strengthen the company’s claim to be the global pioneer in fossil-free steel.

It produced the world’s first sponge iron made with hydrogen instead of coke at its Hybrit pilot plant in Luleå in 2021. Gälliväre was chosen that same year as the site for the world’s first industrial scale plant using the technology. 

In 2023, SSAB announced it would transform its steel mill in Oxelösund to fossil-free production.

The company’s Raahe mill in Finland, which currently has new most advanced equipment, will be the last of the company’s big plants to shift away from blast furnaces. 

The steel industry currently produces 7 percent of the world’s carbon dioxide emissions, and shifting to hydrogen reduced steel and closing blast furnaces will reduce Sweden’s carbon emissions by 10 per cent and Finland’s by 7 per cent.

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