Following the economic crisis that Randers Municipality is facing after the Nordic Waste case, several municipalities are now demanding a change to the environmental damage law. This is evident from a statement by Birgit Hansen, chairman of the Climate and Environment Committee in the Danish Association of Local Authorities (KL) and mayor of Frederikshavn. The Nordic Waste case, which went bankrupt and left Randers Municipality with a potential bill of 370 million Danish kroner, has revealed serious deficiencies in the current legislation. “There is a huge gap in the environmental damage law that we were not previously aware of. This gap places an unfair economic burden on the municipalities,” says Birgit Hansen. The consequences of the case could be far-reaching. If the law is not changed, it could mean that none of Denmark’s 98 municipalities will be willing to host similar companies in the future, which could create major challenges for the placement of environmental treatment facilities and depots for oil, chemicals, and waste. “We are facing a potential business problem if the gap in the law is not closed. It will make it difficult for companies in the environmental treatment sector to find a place to establish themselves,” Hansen explains. KL therefore calls for legislators to quickly work on amending the environmental damage law so that municipalities do not bear the sole financial risk of environmental disasters caused by private companies. This is not just a matter of economics, but also of ensuring the environment and public health in the long term.

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