Finland’s new Government Programme paves the way towards a clean, reliable and cost-effective energy system

The new Finnish Government Programme has been read with joy at Fingrid. The programme contains a number of policies that will contribute to the climate-friendly transformation of the energy system. This change can be implemented cost-effectively and without compromising security of supply.

“The Government Programme clearly paves the way towards a clean and cost-effective electricity system – without forgetting security of supply. If the Government is able to implement the programme’s objectives, Finland will be a pioneer in implementing energy solutions. Naturally, this is a good thing for both operators in the energy industry and consumers”, says Fingrid CEO Jukka Ruusunen.

The Government Programme includes a clear strategy in which electricity production will be completely emission-free. The programme contains concrete measures that will contribute to the use of electricity in reducing emissions in the heating and transport sector. Transitioning to a smart electricity system will improve the position of consumers and create the conditions for a flexible electricity system, which will contribute to the increased use of renewable energy. The Government Programme has set clear targets for planning the placement of wind power, creating opportunities for improving electricity self-sufficiency. Tax reforms, further development of demand flexibility and seasonal electricity storage as well as the goals of electricity, heating, transport and Nordic cooperation will strongly drive Finland towards climate-friendly solutions.

The points relevant to Fingrid included in the Government Programme are:

Improving Finland’s energy self-sufficiency

  • Increasing electrification in society and connecting energy systems (electricity, heat and transport) to one another will require significant growth in renewable electricity production. The proportion of energy produced using wind power will be increased according to market conditions. Administrative, zoning-related and other barriers to wind power construction will be removed. Possibilities to loosen the restrictions on wind power due to radars will be explored.
  • Conditions for the construction of offshore wind power plants will be improved and property tax relief will be provided for offshore wind power plants.
  • Extended permits for existing nuclear power plants will be viewed positively.

Increasing the flexibility of the energy system

  • Double taxation on electricity storage for pumped storage facilities and smaller batteries will be removed.
  • New possibilities for energy storage will be utilised.
  • The potential of smart electricity networks and demand-side management must be utilised to its fullest. Regulations and taxation will be developed in a way that facilitates the utilisation of small-scale energy production for all parties involved, including housing companies, single-family houses and farms.

Electricity system, heating and transport as well as Nordic cooperation

  • Heat pumps and data centres generating heat for district heating networks will be transferred to category II electricity tax.
  • The Nordic electricity market and the integration of energy systems, as well as joint research activities to support these through EU research programmes, will be developed.
  • The security of energy supply will be improved together with Finnish industry operators by developing a smarter electricity and district heating network, improving transmission connections and utilising new possibilities for energy storage.

“The Government Programme is an excellent basis for reforming the energy system. The next step is to move from talk to action. For its part, Fingrid will make every effort to ensure that Finland has the best electricity transmission system in the world and that these objectives are achieved”, Ruusunen says.

Further information: 

CEO Jukka Ruusunen, Fingrid, tel. +358 30 395 5140 or +358 40 593 8428