7. Nordic policy landscape and instruments supporting uptake of nature-based solutions

This chapter briefly introduces the Nordic countries and their governance systems, including some examples of central policies related to nature-based solutions (NBS). The Nordic region includes the sovereign states of Denmark, Finland, Iceland, Norway and Sweden and the autonomous territories of the Faroe Islands, Greenland and Åland. The countries have a long history of political unions, and many communalities in their governance systems, culture and economies. In the handbook we give advice across the different countries, but of course there are also unique qualities and contexts that should be considered.

For more on the differences and similarities between the Nordic countries’ environmental legislation, see: Darpö (2023); spatial planning systems: Nordregio (2016); perceptions of climate policies: Tapia, Sánchez-Gassen & Lundgren (2023).

Denmark does not have a mainstreamed policy around NBS and does not yet use the term NBS in policy related contexts. There is, however, many types of policy that govern nature and climate issues, and there has been a lot of development in these fields within the past few years. While the overarching legal framework is regulated by the EU for the environment and sectors such as forestry and agriculture, national law has large influence on spatial planning and climate adaptation. The state is responsible for implementation of EU directives in national law as well as guiding and partially financing municipalities in local implementation. For example, the state appoints flood-risk areas according to the Floods Directive and affected municipalities are obliged to develop risk-management plans. Similarly, the state appoints water bodies in need of restoration actions to reach good ecological status under the Water Framework Directive, obliging municipalities to select and implement actions.

Spatial planning is governed at national and municipal levels in Denmark, regulated by the Planning Act. The regional level does not have formalised governance of environmental and climate topics but have been involved through regional collaboration and development plans. In Denmark, climate adaptation is handled by the municipalities, which have developed local climate action plans. According to data from the beginning of 2024, 25% of the municipalities mentioned NBS when describing their efforts to decrease climate risks through climate adaptation (Lind & Hansen, 2023).

Some of the main efforts related to NBS in a Danish context are connected to afforestation, ceasing of agricultural protection on lowland soils, coastal protection and rainwater management. Denmark has tradition as a highly productive country, with over 60% of the land dedicated to agriculture, and this presents a challenge in terms of the spatial aspect of NBS.

In 2024, an agreement was made between the government, green organisations and industry organisations, resulting in the green partite agreement, and a Ministry for the Green partite (Regeringen, 2024). This Ministry will be responsible for the implementation of activities such as construction of 250,000 hectares of forest, extraction of 140,000 hectares of carbonaceous lowland soils, increase of protected nature areas, and reduction of greenhouse gas emissions. Two new agencies are going to work on the implementation of the agreement.

Many policies influence the political landscape for NBS in Denmark. Relevant policies are currently particularly focused on coastal and marine areas, agricultural soils and forests, reflecting the countries nature and environmental challenges.

For coastal areas, interventions are regulated by the coastal protection act (Miljø- og Ligestillingsministeriet, 2024). A coastal protection fund administered by the Danish Coastal Authority provides funding for climate adaptation projects. In 2024, the fund prioritises coastal protection where NBS are integrated (Kystdirektoratet, 2024).

In terms of agricultural policy, the Danish Common Agricultural Policy announces the right to seize production on carbon-rich agricultural soils with the purpose to decrease CO₂ emissions and restore nature (Ministeriet for Fødevarer, Landbrug og Fiskeri, 2023a; Ministeriet for Fødevarer, Landbrug og Fiskeri, 2023b). Afforestation is a highly prioritised, and among the policies promoting this there is funding for afforestation on private land, funded by the EU CAP as well as national funding. This is administered by the Danish Agricultural Agency. Specific funding is also directed towards forest biodiversity, which promotes planting of native trees. Multi-functional land distribution schemes are a policy tool that is more and more commonly used to distribute land between landowners, private and public, in order to free land which can be used for wetland construction, afforestation, or other types of NBS (Landbrugsstyrelsen, 2022). These projects have multifunctional purpose and aim to address climate adaptation, biodiversity, recreation, as well as productive land and other objectives.

Finland as part of the EU adopts the EU legislation and monitors its implementation. Governance is organised from the national to regional to local (municipal) level with elective powers at national and municipal levels. Regions have regional councils which can set targets for the regions and develop regional strategic documents. Eleven Finnish regions and cities are the signatories of the EU Mission Adaptation charter aiming to develop activities to reach the climate adaptation goals (EU, 2023). While the deciding power lies with the local governments, regions are still actively participating in developing their climate mitigation and adaptation agenda.

Local governments have the power and responsibility to manage about two-thirds of the public services, central government has the responsibility over the remaining one-third. The Finnish Local Governance Act (Kuntalaki) (Valtiovarainministeriö, 2015) grants the municipalities in Finland the power to govern and organise their own services such as stormwater collection and wastewater treatment as well as social welfare, health care, education and culture, and technical services. Regarding urban planning and nature, municipalities are responsible for planning and maintenance of public areas as well as environmental protection. The municipal level is quite advanced in terms of climate planning and many municipalities have climate strategies in place. In the recent survey by the Association of Finnish Cities and Municipalities (Kuntaliitto), 80% of the municipalities already have a climate plan or are preparing one, and 55% have climate targets integrated into their municipal strategies (Miettinen et al., 2024).

119 municipalities responded to the survey

There are several overarching laws and acts that target protection, sustainable use or management of ecosystems and natural resources as well as those establishing more general coordination. Integrity of water bodies is governed by the Water Act (Vesilaki, which implements the Water Framework Directive (Oikeusministeriö, 2011)) and Flood Risk Management Act (Laki tulvariskien hallinnasta (Maa- ja metsätalousministeriö, 2010)), which implements the EU Flood Directive in Finland and coordinates flood risk management. The Stormwater Guide by Association of Finnish Cities and Municipalities (Kuntaliitto Hulevesiopas (Suomen Kuntaliitto, 2012)) is extensively used for planning stormwater management in municipalities and for individual properties. The Stormwater Guide is an established and trusted resource that already highlights the use of green infrastructure for stormwater management. It has strong potential for integrating and strengthening the role of NBS for stormwater management and instructing on their design and monitoring.

Nature Conservation Act (Luonnonsuojelulaki (Ympäristöministeriö, 2023)) aims to safeguard biodiversity and the natural environment. The National Biodiversity Strategy is under preparation, with a planned release in 2024. Preceding efforts included a national action plan for the conservation and sustainable use of biodiversity in Finland 2013-2020, which aimed to halt biodiversity loss (Ympäristöministeriö, n.d.a). 

One of the most significant developments is the new Climate Act (Ilmastolaki (Ympäristöministeriö, 2022)) which came into force in 2022. It focuses on planning and monitoring of measures to mitigate and adapt to climate change as well as providing the possibility for the public to participate in and influence climate policy. The supporting National Climate Change Adaptation Plan 2030 (Kansallinen ilmastonmuutokseen sopeutumissuunnitelma 2030 (Finnish Government, 2024)) prepared in 2022 sets targets and goals for Finland’s adaptation efforts. The new plan presents 24 targets based on ten themes and it explicitly mentions the use of NBS for preparedness against climate risks.

Land-use and Building Act (Maankäyttö- ja rakennuslaki (Ympäristöministeriö, 1999)) concerns land use and construction. It tries to promote sustainable development of land areas and building activities in the ecological, economic, social and cultural ways, and applies among many categories to town planning.

Several programmes have been initiated and implemented targeting biodiversity and ecosystems. One of the key highlights is the Helmi Habitats programme (2021-2030 (Ympäristöministeriö, n.d.b)), which aims to strengthen Finnish biodiversity and ecosystems through negotiated or voluntary restoration and protection actions. Another key programme has been the Forest Biodiversity Programme for Southern Finland (METSO, set to run until 2025)

https://metsonpolku.fi/etusivu

which aims to preserve forest biodiversity and halt biodiversity loss of forest habitats and species through protection and conservation. A unique feature of METSO is voluntary-based conservation, which targets forest owners. The first National Nature Recreation Strategy 2030 (Ympäristöministeriö, 2022) aims to ensure that recreation is possible in healthy ecosystems and delivers health and wellbeing benefits, considering climate change and its impacts.

Iceland is not part of the EU but is an EEA Member State and thus adopts most EU directives, though certain domains, such as agriculture and fisheries, are exempt. Governance in Iceland is organized at national and local levels, each with democratically elected bodies. The responsibility for land use planning lies at the local level, authorised by the National Planning Strategy and enforced through municipal planning (Alþingi, 2024a).

Conservation and protection of nature are primarily governed by the Nature Conservation Act (Alþingi, 2024b), which emphasizes the safeguarding of natural habitats, species, and ecosystems, along with promoting the sustainable use of natural resources. In addition to this overarching law, Iceland has adopted several sector-specific regulations that contribute to the management and protection of the environment (Alþingi, 2024c; Umhverfisstofnun, n.d.). Specific provisions also exist for e.g., wetland protection and restoration (Umhverfis- og auðlindaráðuneytið, 2021a), land restoration and forestry (Alþingi, 2019), agriculture (Alþingi, 2023b), marine resource management (Alþingi, 2006), and sustainable tourism Alþingi, 2024d), integrating nature protection and climate resilience into the Iceland’s broader planning frameworks.

In the government’s updated National Planning Strategy, for the years 2024-2038 (Alþingi, 2024a), three planning goals are set out, all of which are based on sustainable development: A. Objectives for the protection of the environment and nature, B. Objectives for the prosperity of society, and C. Objectives for a competitive economy. Under each objective, priorities are presented together with recommendations for their implementation for planning in the central highlands, in rural areas, in urban areas and in ocean and coastal areas. Municipalities are then responsible for enforcing these objectives through their zoning plans.

Iceland’s National Policy on Land Restoration and Forestry (Matvælaráðuneytið, 2022) places an emphasis on the protection, maintenance and integrity of ecosystems, which should be based on an ecosystem approach. It emphasizes the promotion of NBS for climate change mitigation and adaptation, the promotion of sustainable land use, and strengthening cooperation, knowledge building and public health. It promotes the sustainable development of communities across Iceland. The policy is supplemented by an Action Plan (Stjórnarráð Íslands, 2022), where research on the impact of land restoration, forestry and wetland restoration on biodiversity, the creation of new quality criteria for the selection of land for forestry and the evaluation of carbon balances for emission accounting in climate matters, are among the defined measures. Direct actions mainly concern the restoration of ecosystems on disturbed land, the restoration of wetlands, the restoration of natural forests and forestry. The use of NBS is encouraged to reduce the impact of natural hazards in the planning work of municipalities.

Iceland’s Regulation on Sustainable Land Use (Matvælaráðuneyti, 2024) aims to ensure sustainable land use in accordance with the objectives of the Land Restoration Act. The regulation is a guide on how best to manage land to minimize the loss of valuable soil and to restore as much as possible of the ecosystems that have already been lost.

Iceland’s Agricultural Policy (Alþingi, 2023a) aims to promote and support Icelandic agriculture and strengthen its pillars for the future with sustainable development as a guide. The policy promotes ecosystem approaches, increasing food security, restoration, promoting biodiversity and the circular economy, amongst other things.

Iceland’s Food Policy (Matvælaráðuneytið, 2023) serves as a guideline for food production in Iceland. The policy addresses food security, promoting the circular economy, protecting ecosystems in the sea and on land, and the sustainable use of resources based on ecosystem conditions and function. The policy sets a future vision, where food production should be carbon neutral and carbon offsets based on NBS that are in line with international commitments.

Iceland’s first ever Strategy for Climate Change Adaptation (Umhverfis- og auðlindaráðuneytið, 2021b), emphasises that adaptation measures should protect ecosystems and work towards their diversity, and an emphasis should be placed on NBS, such as green infrastructure, when adaptation measures are formulated.

Norway is not part of the EU, but as an EEA Member State adopts EU policies within certain domains (nature and energy is excepted, apart from water governance). The governance hierarchy include the national, regional and local level and generally rests on the principles of ministerial responsibility and local self-governance (Christensen et al., 2019). The county governor (Statsforvalter) has an important role in following up national policies at the regional level.

Climate change is affecting Norway’s regions differently due to a very diverse geography with the world’s second longest coastline and high variations in precipitation between the coastal and inland regions. It also includes polar climate zones and the island of Svalbard. Norway’s strategy for climate adaptation is based on the principle that the actor responsible for a task or function that will be affected by climate change is responsible for adaptation. The different authorities responsible for sectors (such as environment, health and justice and preparedness) are thus required to assess risks and the need for measures within their sector. The Norwegian environment agency is responsible for coordinating these efforts (Miljødirektoratet, 2024). The Norwegian Water Resources and Energy Directorate (NVE) is the national authority responsible for preventing flood and landslides and mentions NBS in their guidance to flood protection (NVE, 2023). Local self-government is a strong principle in Norway, and the municipalities have a central role in climate adaptation and nature management.

The responsibility for land use planning lies at the regional and local levels in the county authority (fylkeskommune) and municipalities (kommune), authorized by the national Planning and Building Act. Conservation and protection of nature through protected areas are founded on the Nature Diversity Act which also provides provisions and principles for the sustainable management and use of ecosystems. While Norway does not implement EU policies on biodiversity, the Water Framework Directive (WFD) is transposed into national legislation in the Water regulation (‘Vannforskriften’). This is an important tool for ensuring ecosystem-based and coordinated water management and provides opportunities for NBS as it requires the implementation of measures to reach targets for good ecological status of water bodies. To facilitate coordinated water management following the WFD and Water regulation, Norway is divided into several river basin districts. The river basin districts are administered by the county authority and provide water management plans and programmes of measures which are implemented locally in the river sub-basin districts with the municipalities in a central role (Vannportalen, n.d.). Norway also has large marine areas with marine management plans as strategies for ecosystem-based and sustainable management and use (Ministry of Climate and Environment, 2021). While Norway has not adopted the Marine Spatial Planning Directive, an ecosystem-based management of marine ecosystems have been implemented through Ocean Management Plans in Norway (Sander, 2023). As only three per cent of Norway’s total area is arable land, soil conservation is a key principle in the agriculture policy (Ministry of Agriculture and Food, 2014). Norway is not part of the EU common agriculture policy, and agricultural subsidies and measures are negotiated between the state and central farmers’ unions, including a climate agreement. Different agri-environmental measures are promoted through regulations and funding schemes on regional and local level.

In 2018, Norway adopted a central government planning guideline for climate and energy planning and climate adaptation, founded on the Planning and Building Act. It which requires that conservation, restoration and NBS should be considered by the state, county authorities and municipalities in climate adaptation planning and justify why it has not been considered – if that is the case.

The NBS concept is becoming more familiar in Norway on all governance levels, and it is often mentioned in several recent white papers. Both the White Paper on climate change adaptation (Ministry of Climate and Environment, 2023) and the action plan on nature protection and biodiversity (Klima- og miljødepartementet, 2024) highlights the role of NBS and the authorities pledge to contribute to increased knowledge, tools and guidance on NBS. Knowledge about effects and costs related to use of NBS for flood and landslide protection is also a focus area in the white paper “A safer future – prepared for flood and landslides” (Energidepartementet, 2024).

The Biodiversity Act (Klima- og miljødepartementet, 2009) represents a comprehensive framework for the preservation and promotion of biological diversity in Norway. It emphasizes the integration of biodiversity considerations into all policies and decision-making processes, requiring collaboration among various sectors and levels of government. The legislation specifies that decisions affecting biodiversity must be based on knowledge and the precautionary principle.

The Norwegian Environment Agency administers several grant schemes related to climate adaptation and nature restoration that can support NBS, including grants for nature restoration and environmental measures for water bodies (Miljødirektoratet, n.d.a; Miljødirektoratet, n.d.b).

Sweden is part of the European Union, which means EU directives must be incorporated into Swedish law, and EU regulations become directly part of Swedish legislation. If Swedish regulations conflict with EU regulations, the EU legislation take priority. Sweden's governance is organized into national, regional, and local levels, all with democratically elected bodies, similar to Norway. Land use planning and its responsibility are managed by the county administrative boards (at the regional level) and by municipalities (at the local level), both guided by the Swedish Planning and Building Act.

Efforts for more sustainable land and water use, as well as sustainable landscapes, are both international commitments governed through the EU's biodiversity strategy and a part of Sweden's national efforts to achieve environmental quality objectives, Agenda 2030 goals, and outdoor recreation targets. Numerous laws govern climate adaptation work in Sweden, both directly and indirectly. The main law, directly related to climate adaptation, is the Planning and Building Act. An example of an indirectly related law is the Environmental Code, which aims to promote sustainable development and a healthy environment.

The government has issued a regulation on climate adaptation, Myndigheters klimatanpassningsarbete (SFS 2018:1428), requiring 32 national authorities and all 21 county administrative boards to develop action plans for their respective areas of responsibility. The regulation also mandates that these authorities and boards conduct climate and vulnerability analyses, establish objectives/goals for their climate adaptation efforts, and create action plans to achieve these goals.

Sweden has national environmental goals that partly guide efforts related to biodiversity. There are certain interim targets relevant to climate adaptation, but none explicitly mention NBS.

Sweden has a strategy from 2022 called “The Strategy for Sweden's Global Development Cooperation in Environment, Climate, and Biodiversity (2022–2026)”, which aims to support worldwide sustainable development, by promoting climate resilience, biodiversity conservation, and sustainable resource management through international partnerships, capacity building, and innovative solutions. The strategy also aligns with international frameworks such as the Paris Agreement and the UN Sustainable Development Goals (SDGs).

In August 2018, the government established the National Expert Council for Climate Adaptation, tasked with evaluating Sweden's climate adaptation efforts and providing recommendations for future actions. The first report was submitted to the government in 2022, which also addressed the need for NBS.

In March 2024, the Swedish government updated its national strategy for climate adaptation, emphasizing that NBS should be considered in climate adaptation measures.

Under the Local Nature Conservation Initiative (LONA), municipalities can apply for grants to create new or restore existing wetlands. Projects can also be initiated and managed by associations and other local actors. In 2018, wetlands were introduced as a separate grant category within LONA, and three years later, in 2021, the benefits of wetland restoration for achieving climate goals were highlighted.

Through the Swedish Civil Contingencies Agency (Myndigheten för samhällsskydd och beredskap), municipalities can apply for state grants for natural disasters, including support for NBS. 

The Faroe Islands are a self-governing nation under the external sovereignty of the Kingdom of Denmark with a population of 50,000. The Faroe Islands have exclusive competence to legislate and govern independently in a wide range of areas, for example the conservation and management of living marine resources, protection of the environment, sub-surface resources, trade, taxation, industrial relations, energy, transport, communications, social security, culture, education and research (The Government of the Faroe Islands, n.d.a). Nature and environmental management are thus under Faroese jurisdiction and are mainly governed by the Act of the Faroese Parliament on Environmental Protection from 1988, Act of the Faroese Parliament on the Protection of the Marine Environment from 2005 and Act of the Faroese Parliament on Nature Conservation from 1970 (Petersen, n.d.). This environmental legislation serves to protect the environment from human contamination both on land and at sea, but it also covers climate issues. The administration of environmental issues is divided between the Environment Agency of the Faroe Islands and Faroese municipalities (The Government of Faroe Islands, n.d.b). In 2024, the Faroe Islands passed a sustainable tourism law to safeguard both its nature and culture (The Government of Faroe Islands, n.d.c).

Greenland is an autonomous territory of Denmark and self-governing under the Self-Government Act (Statsministeriet, 2009). It has around 56,000 inhabitants, out of which around one third live in the capital city Nuuk. In 2023, Greenland became signatories of the Paris Agreement, meaning that they will develop a climate strategy and nationally determined contributions to limit carbon emissions, and define strategies for climate adaptation. Environmental policies lie with the Department for Agriculture, self-sufficiency, energy, and environment. Greenland has a Biodiversity Strategy for 2030, outlining five overarching goals for sustainability, environmental policy, monitoring and international collaboration (The Government of Greenland, n.d.a). The agricultural strategy 2021–2030, is developed to promote agricultural productivity in the country and increase self-sufficiency. Exploitation of mineral resources is a growing industry in the country, governed through the Mineral Resources Act (The Government of Greenland, n.d.b).

Åland is a self-governing province southwest of Finland with a population over 30,000 inhabitants spread over 60 islands (of more than 6,700 islands belonging to Åland archipelago). Parliament of the Åland Islands has legislative power to pass laws and set budgets including the matters of the environment. Finnish state law applies to matters related to foreign affairs, customs and other (Ålands Lagting, n.d.). Åland has been developing its sustainability agenda since 2014 and as a result developed an “Everyone Can Flourish” vision in 2016 which includes setting goals and developing policies for sustainable development in line with the SDGs and UN 2030 Agenda (The Government of Åland, 2024). Shared ownership and inclusive decision-making are among the core principles of Åland’s agenda. Systematic monitoring and indicators have been developed to monitor the implementation of the vision. The archipelago set seven strategic development goals among which are preservation of ecosystems and biodiversity (Bärkraft.ax network, n.d.). The Åland energy and climate strategy to 2030 additionally sets targets and goals for climate work, energy efficiency and information sharing on climate, energy and sustainability (Ålands landskapsregering, 2017).