Greenhouse gas emissions are slowly decreasing

The Finnish Climate Act, revised in 2022, requires Finland to become carbon neutral by 2035. Emissions and carbon sinks must be in balance by that time. Finland is also bound by the obligations of the European Union. Under the Paris Agreement, the EU committed to reducing greenhouse gas emissions by at least 55% by 2030 (compared to 1990 levels). The EU aims to achieve carbon neutrality by 2050.

There are two ways to achieve emission reductions: through emissions trading and through non-ETS (non-emissions trading) emissions reductions. The latter has specific percentage reduction targets. In the EU, these targets are individually defined for each member state in the so-called burden-sharing. Finland must reduce these emissions by 50 percent from 2005 levels by 2030. Emission quotas will be adjusted in the second half of the 2020s if necessary.

The Finnish Climate Act requires that non-ETS emissions are reduced by 60% by 2030 compared to 1990 levels and by 80% by 2040. By 2050, the reduction should be at least 90%, with an aspiration towards reaching 95%.

Total emissions are slowly decreasing

Greenhouse gas emissions in Finland peaked in the early 2000s, after which there has been a declining trend. Compared to the reference year 1990, emissions have decreased by about a third. Carbon dioxide emissions have the most significant impact, while other important greenhouse gases include methane, nitrous oxide, and certain fluorinated compounds.

Energy consumption and transportation are the largest contributors to emissions

More than 70% of Finland's greenhouse gas emissions come from the energy sector. It includes all emissions from the production, distribution and combustion of fuels, including those from transportation. The next significant sources of emissions are agriculture and industrial processes and product usage.

Emissions from the energy sector have decreased

Emissions from the largest source of emissions, the energy sector, have decreased by half since their peak in 2003. Significant emission reductions have also been achieved in waste management/treatment. Emissions from other sectors have remained roughly the same or decreased slightly.

Imports increase the climate burden on Finns

Finns also burden the climate by consuming foreign products, whose production and transportion cause emissions outside Finland's borders. The climate burden calculated based on consumption, accounting for both imports and exports, is approximately one-third larger compared to Finland's official emissions, which only consider emissions generated within the country's borders.

Emissions trading is effective in curbing emissions from large facilities

Finland's and the entire European Union's emissions are curbed by the EU-wide emissions trading system. Emissions trading mainly covers large industrial plants and electricity and heat production. Since 2013, emissions from these facilities in Finland have decreased more sharply than Finland's total emissions. The emissions trading sector now produces about 40 percent of Finland's climate emissions.

A separate plan for emissions outside of the emissions trading

For activities not covered by emissions trading, a medium-term plan has been developed to curb emissions. This plan includes sectors such as transportation, building-specific heating, agriculture, and waste treatment. The plan assesses emission trends and scenarios, and proposes actions to mitigate emissions in each sub-area.

Municipalities in Finland are striving for carbon neutrality

Finnish municipalities are involved in emission reduction efforts. Although a municipality's own operations typically account for only about tenth of greenhouse gas emissions within its area, municipality can accelerate emissions reductions among local businesses and residents. More than 60 percent of Finns live in municipalities that aim for carbon neutrality by 2030.

Climate policies drive emissions reductions

Global climate policy aims to combat climate change, and this is also the goal of the climate policy of the and Finland - emission reductions are accelerated and intensified until the target is reached. The toolbox for achieving this goal is broad. In the European Union, measures include improving energy efficiency, expanding emissions trading to aviation and maritime transport, and phasing out fossil fuels in personal vehicle transportation. A carbon duty is imposed on carbon-intensive imported products.

Read more about greenhouse gas emissions