Finnish government supports new energy technology demonstration projects
Application for 2020 by the end of March
In its efforts to meet emission targets set be national and EU legislation for 2030, Finland’s government supports the development of innovative energy solutions with substantial subsidies.
For the year 2020, a total sum of EUR 40 million has been earmarked for investment support for large demonstration projects for new energy technologies. The call is open until the end of March. Support is awarded in three categories:
projects related to the replacement of coal and other fossil fuels in urban areas; and
other large-scale demonstration projects in new energy technology.
The award of the subsidy is based on an overall consideration and on a project-by-project comparison which assesses in particular the novelty value of the technology included in the project. In addition, the feasibility, the amount of energy produced, the cost-effectiveness and other effects will be taken into account in the evaluation.
Support may be granted up to a maximum of 40% of eligible costs. Applicants are encouraged to assess the actual need for support and to apply accordingly. The amount requested will be taken into account when assessing the cost-effectiveness of the project.
This subsidy is intended for projects with a total investment of more than EUR 5 million. A separate instrument with similar objectives and criteria exists for supporting smaller projects.
In 2019, a similar program was arranged. At that time, support was awarded to three projects:
Helen Oy received investment support of EUR 7,906,500 for the construction of a 5 MW gasification biorefinery in Helsinki. The gasification plant will produce synthetic biomethane as a transport fuel, as well as heat for district heating.
Lounavoima Oy received support of EUR 2,984,303 for the construction of an energy storage facility for the Salo district heating network. The project will involve six wells with a depth of 2 to 3 km. They would act as seasonal smart heat stores so that heat is stored deep in the rock instead of water.
Adven Oy received a subsidy of EUR 2,528,390 for the construction of a biogas plant in Hanko. The project would involve the construction of Finland's first large-scale biogas plant, using nitrogen-rich sludge from the enzyme industry as a major component.
Support is applied for through Business Finland's online system, but applications are processed by the Ministry of Employment and the Economy. The Ministry has the intention of making the support decisions in the fall of 2020.