Renewable energy in Finland
Encyclopedia
Renewable energy in Finland of electricity was (2005): Water 60%, forest industry black liquor
Black liquor
Black liquor is the spent cooking liquor from the kraft process when digesting pulpwood into paper pulp removing lignin, hemicelluloses and other extractives from the wood to free the cellulose fibers....

 22%, other wood residues 16%, wind power 0.2% and other RE 1 %. The European objectives are: 22% renewable source electricity and 12% renewable of primary energy in 2010 (directive and white paper). This includes e.g. the objectives of 40 GW wind power, 3 GW PV and 5.75 % biofuels (2010). The wind power objective was reached in 2005. The leading wind power countries have set new, more ambitious goals.

Olkiluoto 3 nuclear plant represents 85% of Finland's planned investments in new power generation between 2006-2010. Investments in new renewables, including wind and solar heating, is negligible. Renewable energy targets (wind, solar, biogas, biofuel) have not been taken seriously or binding in the energy politics development program as Finland will not fulfill even its modest national renewable energy targets for the year 2010.

Energy in Finland

Finland's energy consumption increased 44% in electricity and 30% in total energy use during the period 1990-2006. The increase in electricity consumption of 15,000 GWh (1995–2005) was more than Finland's total hydroelectric power capacity. The consumption increased almost equally in all sectors (industry, residential, and services). The share of renewable electricity in Finland has been stable (1998–2005): 11-12% plus yearly variable hydroelectric power, totaling 24-27%. The forest industries contributed 57 % of the RE power generation via black liquor
Black liquor
Black liquor is the spent cooking liquor from the kraft process when digesting pulpwood into paper pulp removing lignin, hemicelluloses and other extractives from the wood to free the cellulose fibers....

 and wood burning in 1990. By 2005 this share had grown to 67%. The rest consisting primarily of hydroelectric power. As with most first world countries, the vast majority of commercially viable hydroelectric sites in Finland have already been developed. The forest industry uses 30% of all electricity in Finland (1990–2005). Its process wastes, wood residues, and black liquor were used to produce 7-8000 GWh of electricity in 2005. However, during that year electricity consumption fell 10 % compared to 2004 as a result of a prolonged forest industry labour dispute. Finland's power consumption was (2005) 17.3 MW electricity per capita compared to Germany 7.5 MW per capita. This number includes the power losses of the distribution.

The objective of RE (2005) of electricity was 35% (1997–2010). However, (2006) the Finnish objective was dropped to 31.5% (1997–2010). According to ‘Renewables Global Status Report’ Finland aims to increase RE only 2 % in 13 years. This objective to add the RE use with 2% in 13 years is among the most modest of all the EU countries.

Finnish CO2 emissions grew 14.5% (1990:2004), while the EU average was - 0.6%. According to the Finnish RE organizations and Finnish public the potential of RE increase in Finland is huge. Owing to its exceptionally low population density and abundance of natural resources.

Politics

Finland does not use feed-in tariffs, fixed premiums, green certificate systems or tendering procedures. From the European countries, Finland, Malta
Malta
Malta , officially known as the Republic of Malta , is a Southern European country consisting of an archipelago situated in the centre of the Mediterranean, south of Sicily, east of Tunisia and north of Libya, with Gibraltar to the west and Alexandria to the east.Malta covers just over in...

 and Slovenia
Slovenia
Slovenia , officially the Republic of Slovenia , is a country in Central and Southeastern Europe touching the Alps and bordering the Mediterranean. Slovenia borders Italy to the west, Croatia to the south and east, Hungary to the northeast, and Austria to the north, and also has a small portion of...

 are the only ones (2006) that use only tax incentives to promote wind energy and other renewable electricity. Finland has no obligations or binding recommendations for the power companies to promote RE.

Wind power
Wind power
Wind power is the conversion of wind energy into a useful form of energy, such as using wind turbines to make electricity, windmills for mechanical power, windpumps for water pumping or drainage, or sails to propel ships....

Wind power in Finland
Year MW GWh
1990 0 0
1991 1 1
1992 1 2
1993 5 4
1994 5 5
1995 6 11
1996 7 11
1997 12 17
1998 17 24
1999 38 49
2000 38 77
2001 39 70
2002 43 63
2003 52 92
2004 82 120
2005 82 168
2006 86 153
2007 109 188
2008 142 261
2009 147 277
2010 197


EWEA has predicted that wind power will cover 13-16 % of EU electricity consumption with 180 GW capacity (2020). Europe's total installed capacity is 48 042 MW (2006).

In Finland the capacity of wind power is (2006) 86 MW. This is 0.2 % of electricity consumption. The objective is 494 MW (1995–2010). In 11 years Finland has installed 17 % of its objective. Wind power could produce at least 20–30 % of Finland's energy demand. The capacity 3 500 MW (8 TWh) corresponds 10 % of electricity consumption in Finland. Implementation has slowed down by inefficient support systems. The lack of confidence in the stability of electricity and subsidies has prevented the small power companies to build wind power. According to a public opinion survey in the Pori district 97 % of the area consumers supported addition of wind power (2000). According to the Finnish Ministry of Trade and Industry the goal of 500 MW of wind power (2010) is not possible in Finland, as it would demand intensive tax reductions that are prohibited by the European Union legislation.

Biomass
Biomass
Biomass, as a renewable energy source, is biological material from living, or recently living organisms. As an energy source, biomass can either be used directly, or converted into other energy products such as biofuel....

Finland uses a lot of wood as energy based on the forest industry. Its volume has increased in the industrial use. As the energy consumption has increased, the share of RE is constant. However, simultaneously the use of non-renewable energy has grown about 20 %. In comparison, in Germany
Renewable energy in Germany
The share of electricity produced from renewable energy in Germany has increased from 6.3 percent of the national total in 2000 to over 20 percent in the first half of 2011. In 2010, investments totaling 26 billion euros were made in Germany’s renewable energies sector...

 the non-RE source of electricity grew only 2 % (1990–2005).

Finland uses insignificant wood pellet quantities for thermal energy production. In Sweden and Denmark active energy politics with significant taxation of fossil energy has encouraged an early development of the pellet market. This development has taken place much faster than in Finland where economic incentives are missing, and competing sources of energy are cheap.
Pellets in Finland
Year GWh tonnes
2001 71 15 000
2002 114 24 000
2003 183 39 000
2004 221 47 000
2005 257 55 000
2006 411 87 000
2007 ? 100 000


Pellet production was 192 000 tons (2005). Pellet consumption was 55 000 t (2005), 47 000 t (2004), 39 000 t (2003), 24 000 t (2002) ja 15 000 t (2001). The pellets are mainly exported. Finland has no binding objectives for pellet use promotion.

The Swedish consumption 1 400 000 ton pellets = 6500 GWh, would equal half of Finland's water power. In Sweden, the continuous government support ensures stable market conditions, energy taxes are established many years ago and there are promotion programs for the implementation of pellet heating. In Sweden 40 % of pellets are used in central heating (2006). The small house market potential is estimated to be 1.5-2 million tons of pellet fuel. Thus, there are potentials to double the present pellet use in Sweden. The existing heating boilers can be converted to pellet heating.

Photovoltaics
Photovoltaics
Photovoltaics is a method of generating electrical power by converting solar radiation into direct current electricity using semiconductors that exhibit the photovoltaic effect. Photovoltaic power generation employs solar panels composed of a number of solar cells containing a photovoltaic material...

The PV capacity of Finland was (2006) 4.1 MWp. Solar power in Finland was (1993–1999) 1 GWh, (2000–2004) 2 GWh and (2005) 3 GWh. There has been at least one demonstration project by the YIT Rakennus, NAPS Systems, Lumon and City of Helsinki in 2003. Finland is not a member either in the IEA's Photovoltaic Power Systems Programme or the Scandinavian Photovoltaic Industry Association, SPIA.

Solar heating

The objective in solar heating is 163 000 m2 collector area (1995–2010). In 2006 the collector area in operation was 16 493 m2. Solar heat in Finland was (1997–2004) 4-5 GWh and (2005) 6 GWh. Thus, Finland has installed 10 % of its objective in 11 years time (1995–2010). The solar heating has not been competitive due to cheap alternatives (electricity, fuel oil and district heating) and the lack of support systems. Companies and public organizations may receive 40% investment subsidies, but private houses do not receive subsidies yet. The Finnish Solar Industries (FSI) group was established in 2001. 2006/2005 the markets grew 43 %. Finland's production capacity is 16 000 m²/a. New installations were: 2 380 m2 (2006), 1 668 m2 (2005) and 1 141 m2 (2004). There are growth opportunities in the solar heating.

Biofuels

Use of Biofuels in Finland
Year Bioaethanol Biogas Biodiesel
1995 0 180 0
1996 0 190 0
1997 0 197 0
1998 0 217 0
1999 0 212 0
2000 0 238 0
2001 0 209 0
2002 9 244 0
2003 49 269 0
2004 52 308 0
2005 0 486 0


The European Union has the objective of 5.75 % of biofuels (2010). The biofuels report do not include the Finnish objective. They are not published yet. The Finnish Ministry of Trade and Industry report (KTM 11/2006) admits that Finland would be able to fulfill the 5.75 % objective. The ministry report does not recommend it, because of its expenses. The production price of biofuels in Finland would be equal to other EU countries, 3 cents pro liter.

The Finnish parliament did not consider bioethanol competitive in Finland. The director of Altia
Altia
Altia Oyj or is a Finnish state-owned corporation based in Helsinki, which produces, imports, exports and markets alcoholic beverages. It operates in Finland, Sweden, Norway, Denmark, Estonia and Latvia. Altia has production plants in Koskenkorva and Rajamäki in Finland, in Tabasalu in Estonia and...

 resigned as Altia's major bioethanol project failed; increased costs made it unprofitable. However, the biodiesel production is investigated in a publicly funded research program. Partly state owned power company, Fortum, has informed that it will start the biodiesel production. Fortum is one of the major oil, nuclear power and water power producers. It received the water power in an M&A agreement years ago. Fortum is also a partner in the most wind power projects and the owner of the NAPS Solar Energy (or NAPS Systems).

The public transportation in the Helsinki metropolitan area has decided to use the palm oil biodiesel of Neste Oil. In 2010 half of the busses will use it. Finnish government is supporting financially the biodiesel use. Neste Oil biodiesel will be tax free for the public transportation until 2010. This is worth 7.2 million euros for Neste Oil and may diminish the share of other competing biofuels.

Traffic

National car taxation was reduced in 2003. This reduced the public transportation ca 8 % and increased the annual sell of new cars 25 % from 120 000 to 150 000. In 2007 the government decided to further reduce the price of 80 % of cars. The average car tax is reduced from 26 % to 22 %. The new taxation 1.1.2008 will take the CO2 emissions into account. The petrol price is slightly increased. However, this tax reform is predicted to increase the number of two- and three-car-households and decrease the use of public transportation. The new metro line was considered as more urgent by 58 % of citizens than the new ring road (38 %). This Gallup research about the new traffic projects in Helsinki, Vantaa and Espoo was made in 7/2007. It did not study the support of alternatives. Before 1.1.2004, there were practically no private CNG
Compressed natural gas
Compressed natural gas is a fossil fuel substitute for gasoline , diesel, or propane/LPG. Although its combustion does produce greenhouse gases, it is a more environmentally clean alternative to those fuels, and it is much safer than other fuels in the event of a spill...

 driven cars. Only at this point the legislation was changed so that only CNG driven Euro-4 OEM
OEM
OEM means the original manufacturer of a component for a product, which may be resold by another company.OEM may also refer to:-Computing:* OEM font, or OEM-US, the original character set of the IBM PC, circa 1981...

 cars are not subject to heavy taxation and the number of such cars has been increasing slowly. LPG and E85
E85
E85 is an abbreviation for an ethanol fuel blend of up to 85% denatured ethanol fuel and gasoline or other hydrocarbon by volume. E85 is commonly used by flex-fuel vehicles in the US, Canada, and Europe. Some of the benefits of E85 over conventional gasoline powered vehicles include the potential...

 driven cars are still subject to heavy taxes and fines making it de facto
De facto
De facto is a Latin expression that means "concerning fact." In law, it often means "in practice but not necessarily ordained by law" or "in practice or actuality, but not officially established." It is commonly used in contrast to de jure when referring to matters of law, governance, or...

 not possible to use such or any other alternative fuel cars except electric cars in Finland.

The student and pensioner discount is 50 % in the public transport in the Helsinki metropolitan area in 2007. As one alternative YTV suggests to drop the discount to 30 % and to limit it to students under 25-years and pensioners over 70-years. Public transport in the Helsinki metropolitan area is the most important in Finland. Public transport in the Helsinki metropolitan area includes (zone 1): Helsinki
Helsinki
Helsinki is the capital and largest city in Finland. It is in the region of Uusimaa, located in southern Finland, on the shore of the Gulf of Finland, an arm of the Baltic Sea. The population of the city of Helsinki is , making it by far the most populous municipality in Finland. Helsinki is...

, (zone2): Espoo
Espoo
Espoo is the second largest city and municipality in Finland. The population of the city of Espoo is . It is part of the Helsinki Metropolitan Area along with the cities of Helsinki, Vantaa, and Kauniainen. Espoo shares its eastern border with Helsinki and Vantaa, while enclosing Kauniainen....

 + Kauniainen
Kauniainen
Kauniainen is a small town and a municipality of inhabitants in the Helsinki Metropolitan Area, Finland. It is surrounded by the city of Espoo, in Greater Helsinki...

 + Vantaa
Vantaa
Vantaa is a city and municipality in Finland. Helsinki, Vantaa, Espoo and Kauniainen make up the Helsinki Metropolitan Area.Vantaa, with its population of , is the fourth most populated city of Finland. The biggest airport in Finland, the Helsinki-Vantaa Airport, is located there...

 and (zone 3): Kerava
Kerava
Kerava is a town and municipality in Finland.It is located in the province of Southern Finland and is part of the Uusimaa region. The town has a population of and covers an area of of which is water. The population density is...

 + Kirkkonummi
Kirkkonummi
Kirkkonummi is a municipality of inhabitants in southern Finland. The literal meaning of the words "Kirkkonummi" and "Kyrkslätt" in English is "church moor"....

. As the cities form a single metropolitan area, a 2-zone-travel may take less than 10 minutes. Fares for a single area tickets are 2007 :
  1. zone 1: 1.8-2.1 € (tourists 2,2-2.4 €)
  2. zone 2: 3,2 € (tourists 3,60 €)
  3. zone 3: 5.3 € (tourists 6 €).


There are no restrictions or pay duties for cars in the Helsinki metropolitan area in 2007. The new underground parking lots and road passages have been actively promoted by the Helsinki town leder Jussi Pajunen and Espoo town administration during 2006-2007. Jussi Pajunen wants to promote the use of private cars in the Helsinki city center. This statement aroused criticism. Thereafter he gave some less car intensive statements.

Peat

Finnish politicians and industry actively promote the fuel production from peat. According to European Union and IPCC peat is not biofuel as claimed but have equal CO2 emissions to coal. The EU also promotes the protection of swamps from ecological disasters. The Finnish peat company Vapo Oy is owned by the state (50.1 %) and the forest industry company Metsäliitto
Metsäliitto
Metsäliitto Group is a Finnish forest industry group present in about 30 countries. The Group's five business areas are Wood Supply, Wood Products, Pulp, Board and Paper,Tissue and Cooking Papers...

 (49.9 %)(including Metsä-Botnia, M-real
M-real
M-real Corporation is a Finnish paper and pulp company. It was originally established by G.A. Serlachius, and named Metsä-Serla . The brand Serla is an M-real brand. M-real's slogan is "make it real"....

 and Metsä Tissue and previously also Finnforest
Finnforest
Finnforest was a Finnish progressive rock band formed in the early 1970s from Kuopio, Finland.-Line-up:The line-up has included the following musicians:* Pekka Tegelman * Jussi Tegelman * Jukka Rissanen...

). They want to use the peat as fuel and dry the swamps as forests. Scandinavian peat was formed 10 000 years ago after the ice age
Ice age
An ice age or, more precisely, glacial age, is a generic geological period of long-term reduction in the temperature of the Earth's surface and atmosphere, resulting in the presence or expansion of continental ice sheets, polar ice sheets and alpine glaciers...

. 1.1.2005 the European common carbon dioxide emission system was agreed, and according to the agreement peat is equal to fossil fuel.

Table: RE of electricity

Renewable electricity consumption (GWh)
Year Electricity Non-RE Non-RE
growth %
RE RE % RE
without
water
%
Water Wind
Wind power
Wind power is the conversion of wind energy into a useful form of energy, such as using wind turbines to make electricity, windmills for mechanical power, windpumps for water pumping or drainage, or sails to propel ships....

Black L
Black liquor
Black liquor is the spent cooking liquor from the kraft process when digesting pulpwood into paper pulp removing lignin, hemicelluloses and other extractives from the wood to free the cellulose fibers....

Wood Other RE
1990 62,334 45,882 0.0 16,452 26.4 9.1 10,752 0
1991 62,288 43,371 -5.5 18,917 30.4 9.4 13,066 1
1992 63,196 42,467 -7.4 20,729 32.8 9.1 14,957 2
1993 65,545 45,372 -1.1 20,173 30.8 10.4 13,343 4
1994 68,257 49,238 7.3 19,019 27.9 10.8 11,663 7
1995 68,946 50,068 9.1 18,878 27.4 8.8 12,788 11
1996 70,018 51,915 13.1 18,103 25.9 9.1 11,704 11
1997 73,603 54,334 18.4 19,269 26.2 10.2 11,795 17
1998 76,630 53,585 16.8 23,045 30.1 10.8 14,777 23
1999 77,779 56,398 22.9 21,381 27.5 11.4 12,547 49
2000 79,158 56,482 23.1 22,676 28.6 10.4 14,453 77 5,126 2,920 101
2001 81,188 60,301 31.4 20,887 25.7 9.7 13,018 70 4,765 2,886 149
2002 83 542 64 377 40.3 19,165 22.9 10.2 10,623 63 5,140 3,194 144
2003 85,229 66,871 44.7 18,358 21.5 10.4 9,455 92 5,255 3,389 189
2004 87,041 62,239 35.7 24,802 28.5 11.4 14,865 120 5,779 3,827 210
2005** 84,672 62,086 35.3 22,586 26.7 10.8 13,430 172 5,060 3,649 281
2006 90,024 68,355 49.0 21 670 24.1 11.5 11 313 153 5,900 4,073 231
2007 90,374 66,779 45.5 23,595 26.1 10.6 13,991 188 5,719 3,419 274
2008 87,247 60,277 31.4 26,970 30.9 11.5 16,909 261 5,250 4,346 280
2009* 80,795 59,895 30.5 % 20,900 25.9 % 10.3 % 12,564 276 8,100***
* = preliminary information, ** = decline based on the forest industry strike, RE = Renewable energy
Renewable energy
Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...

, Black L=Black liquor
Black liquor
Black liquor is the spent cooking liquor from the kraft process when digesting pulpwood into paper pulp removing lignin, hemicelluloses and other extractives from the wood to free the cellulose fibers....

 ***=no detailed info

Table: RE of total energy

The renewable energy of primary energy
Primary energy
Primary energy is an energy form found in nature that has not been subjected to any conversion or transformation process. It is energy contained in raw fuels, and other forms of energy received as input to a system...

 was 24.0 % (2005) and 24.1 % (2004). Total primary energy supply was 392 022 (2005) and 418 672 GWh (2004). The primary energy includes in addition to the energy consumption also e.g. the heating up of the Baltic Sea by the nuclear power plant waste heat.
Renewable energy of energy consumption GWh
Year Energy Non-RE
growth %
RE
Renewable energy
Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...

RE % Wood Water Wind
Wind power
Wind power is the conversion of wind energy into a useful form of energy, such as using wind turbines to make electricity, windmills for mechanical power, windpumps for water pumping or drainage, or sails to propel ships....

Other*
1990 317,321 0 % 57,895 18.2 46,450 10,752 0 693
1991 312,743 -1.8 % 57,889 18.5 44,064 13,066 1 758
1992 309,616 -4.0 % 60,491 19.5 44,768 14,957 2 764
1993 319,025 -1.8 % 64,275 20.1 50,132 13,339 4 800
1994 340,946 5.0 % 68,515 20.1 56,044 11,662 7 802
1995 334,853 1.6 % 71,397 21.3 57,650 12,788 11 948
1996 349,424 7.0 % 71,847 20.6 59,107 11,704 11 1,025
1997 359,309 8.1 % 78,790 21.9 65,877 11,795 17 1,101
1998 364,033 7.6 % 84,941 23.3 68,788 14,777 23 1,353
1999 372,798 9.0 % 89,947 24.1 75 781 12,547 49 1,570
2000 367,600 6.8 % 90,636 24.7 74,364 14,453 77 1,742
2001 380,769 12.9 % 87,762 23.0 72,573 13,018 70 2,101
2002 392,116 16.0 % 91,209 23.3 78,275 10,623 63 2,248
2003 413,478 23.8 % 92,200 22.3 79,903 9,455 92 2,750
2004 412,040 19.5 % 102,113 24.8 83,961 14,865 120 3,167
2005** 381,568 10.3 % 95,434 25.0 78,036 13,428 168 3,802
2006 417,021 21.0 % 103,213 24.8 87,534 11,313 153 4,212
2007 410,273 18.4 % 103,063 25.1 83,929 13,991 188 4,936
2008 392,776 9.4 % 109,015 27.8 83,929 16,909 261 7,916
2009* 369,837 5.9 % 95,116 25.7 72,722 12,564 276 9,554
RE = Renewable Energy, Non-RE = Non-renewable energy + import, Wood = Black liquor
Black liquor
Black liquor is the spent cooking liquor from the kraft process when digesting pulpwood into paper pulp removing lignin, hemicelluloses and other extractives from the wood to free the cellulose fibers....

, industry and small scale wood fuels, * = Preliminary information 2009, ** = decline based on long forest industry strike in 2005
Other RE 2006 (GWh): Heat pumps – electricity 2,397, Recycled fuel 1,062, Biogas
Biogas
Biogas typically refers to a gas produced by the biological breakdown of organic matter in the absence of oxygen. Organic waste such as dead plant and animal material, animal dung, and kitchen waste can be converted into a gaseous fuel called biogas...

 424, Other Bioenergy 252, Biofuel
Biofuel
Biofuel is a type of fuel whose energy is derived from biological carbon fixation. Biofuels include fuels derived from biomass conversion, as well as solid biomass, liquid fuels and various biogases...

 10, Solar power
Solar power
Solar energy, radiant light and heat from the sun, has been harnessed by humans since ancient times using a range of ever-evolving technologies. Solar radiation, along with secondary solar-powered resources such as wind and wave power, hydroelectricity and biomass, account for most of the available...

 11



In the table is the contribution of RE to electricity production for the EU-25 by 2020.

See also

  • Renewable energy in the European Union
    Renewable energy in the European Union
    The countries of the European Union are currently the number two global leaders in the development and application of renewable energy. Promoting the use of renewable energy sources is important both to the reduction of the EU's dependence on foreign energy imports, and in meeting targets to combat...

  • Energy policy of the European Union
    Energy policy of the European Union
    Although the European Union has legislated in the area of energy policy for many years, and evolved out of the European Coal and Steel Community, the concept of introducing a mandatory and comprehensive European energy policy was only approved at the meeting of the European Council on 27 October...

  • List of renewable energy topics by country
  • List of countries by carbon dioxide emissions per capita
  • Electricity sector in Finland
    Electricity sector in Finland
    The electricity sector in Finland relies on nuclear power, forest industry black liquor and wood consumption, cogeneration and electricity import from Russia. In 2008 the consumption of electricity in Finland was 17 036 kWh/person. The European union average was 7 409 kWh/person...

  • Energy in Finland
    Energy in Finland
    Finland lacks domestic sources of fossil energy and must import substantial amounts of petroleum, natural gas, and other energy resources, including uranium for nuclear power.-Overview:...

  • Finland National Renewable Energy Action Plan
    Finland National Renewable Energy Action Plan
    NREAP - Finland National Renewable Energy Action PlanNational Renewable Energy Action Plans were made by all Member States of the European Union in 2010...

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