Vehicle registration fees should be dropped, economist says

Head of the environmental economic council says that implementing a ‘pay as you drive’ system would make more sense than Denmark’s sky-high registration fees

The head of Det Miljøøkonomiske Råd, the environmental economic council, said that the nation’s costly vehicle registration fees should be dropped in favour of a road use system.

"We believe that the registration tax should be abolished and replaced by road pricing,” Hans Jørgen Whitta-Jacobsen, a member of the council and professor of economics at the University of Copenhagen, told Politiken newspaper. “The current car taxes are too high and poorly designed.”

Whitta-Jacobsen said that vehicle taxes should be about half of what they currently are, and that registration taxes should vary based on properties like use, weight, engine and the overall size of a vehicle. The bigger the car, the higher the fee.

The registration tax on a regular car is 105 percent of its value up to 79,000 kroner, and 180 percent of the remaining value. On top of that, vehicle owners pay a bi-annual charge of at least 290 kroner and up to as much as 10,080 dependent on the vehicle's fuel efficiency. The taxes for diesel cars range from 120-15,090 kroner. 

Whitta-Jacobsen believes that road pricing – charging fees and taxes based on how much and where a vehicle is driven – is a more efficient way of levying tariffs on cars.

"Car taxes should shift from taxing purchases to usage,” he said. "It is a car’s use that gives rise to the problems of congestion, accidents, pollution and noise.”

He also suggested that taxes on CO2 and other emissions should occur at the petrol pump and not via registration and ownership duties as they are now.

Whitta-Jacobsen said that the high taxes levied on new vehicle purchases encourages owners to hang onto petrol-guzzling polluters for too long, and discourages them from buying newer, safer, more technologically-advanced and cleaner vehicles.




  • In conversation with Conrad Molden: The man behind the mic

    In conversation with Conrad Molden: The man behind the mic

    He’s tickled our funny bone with countless wisecracks and clever wordplay, and in the process, made Denmark feel a little more personable to many expats. An international import himself, funny man Conrad Molden has successfully carved out a niche for himself on the Danish stand-up scene, but it’s taken a solid 13 years, much trial and error, and heaps of Danglish

  • Volunteer Night 2025: when volunteering rimes with integrating

    Volunteer Night 2025: when volunteering rimes with integrating

    On Wednesday, April 30, from 17:00 to 20:00, Studenterhuset will host Volunteer Night 2025, a free event organized by the organization International House Copenhagen, which goal is to ease the relocation process for newcomers in Denmark

  • The international who shaped Copenhagen

    The international who shaped Copenhagen

    Anna Maria Indrio is one of the most important architects in Denmark, having contributed to shaping Copenhagen into what it is today. Among her best-known projects are the extension of SMK and Arken, as well as the Natural History Museum and the Darwin Centre in London. She moved here 60 years ago, when “Copenhagen was gray and dormant. Predictions suggested it would become depopulated. But putting people at the center changed everything,” she said

  • Danish government passes amendment to increase citizenship fee by 50%

    Danish government passes amendment to increase citizenship fee by 50%

    Fees were raised to reflect processing costs and curb repeat applications, creating debate over whether the new charges erect barriers to political participation for internationals.

  • Internationals’ labour contributes 361 billion DKK to Denmark’s GDP, and it is growing strongly every year

    Internationals’ labour contributes 361 billion DKK to Denmark’s GDP, and it is growing strongly every year

    According to a report by the Danish Chamber of Commerce, internationals’ contribution is 12% of the country’s GDP. In 2023, it was 322 billion DKK, and in 2008, it was 136 billion DKK. “Internationals make a gigantic difference in our prosperity and welfare,” comments Morten Langager, the Director of Dansk Erhverv.

  • Inside Denmark’s innovation engine

    Inside Denmark’s innovation engine

    With half of its staff being international, the BioInnovation Institute reflects Denmark’s broader transformation into a global innovation hub. But can the country—and Europe—keep up the pace? “If reforms are made now, we can close the gap in ten years,” explains BII’s CEO

Connect Club is your gateway to a vibrant programme of events and an international community in Denmark.