Finnish Government: Funding for the EU’s Connecting Europe Facility should be directed towards security

The Finnish Government submitted a communication to Parliament on 13 November 2025 regarding the European Commission’s proposal for a Regulation on the Connecting Europe Facility for the period 2028–2034. The Government welcomes the proposal and emphasises that funding should be more strongly directed towards strengthening defence and security, among other sectors. 

The Connecting Europe Facility (CEF) aims to develop trans-European transport and energy networks. The proposed funding for transport and energy network investments totals EUR 72.25 billion in constant 2025 prices. Of this, EUR 45.75 billion is proposed for transport sector actions, with EUR 15.75 billion allocated to military mobility. EUR 26.5 billion is proposed for energy-related actions.

Finland underlines military mobility and the country’s specific conditions

The proposed Regulation includes increases in transport appropriations. For military mobility, the proposed EUR 15.75 billion appropriation is ten times higher than the current CEF funding. The proposal prioritises cross-border connections, identifying the Umeå–Luleå–Oulu corridor and its maritime ports as key links from Finland’s perspective. Funding would also support the completion of the smart, resilient, decarbonised and sustainable trans-European transport network (TEN-T).

At the outset, Finland welcomes the proposed regulation and finds it important that funding be allocated to the most effective projects through competitive processes. With regard to transport funding, Finland stresses that the various financial instruments within the framework should complement each other appropriately.

Finland is in favour of the emphasis on military mobility. Finland considers it essential that funding be directed to the most critical targets for European security and defence, especially to the countries along the eastern flank. Finland’s key objective in military mobility is to secure future funding for the transition to the standard European track gauge.

It is also important for Finland that the proposal takes into account the country’s specific conditions and its geographic location along the EU’s eastern flank, where cross-border land connections with other Member States are limited. Finland also considers it important that the cross-border dimension be extended to cover European transport corridors more broadly, so that the most critical needs of Finland’s national transport system are eligible for CEF funding. This would ensure Finland’s position is as equal as possible to other EU countries in terms of funding.

Energy sector funding proposed for electricity and hydrogen networks and smart grids

The European Commission proposes a significant increase in CEF funding for the energy sector. The aim is to strengthen the functioning of the Energy Union, improve the integration and competitiveness of energy markets, and ensure affordable and secure energy supply. These goals also promote the achievement of the climate and energy targets for 2030 and climate neutrality by 2050.

Expanding and modernising energy transmission networks is a key prerequisite for the deployment of renewable energy, electrification of industry, decarbonisation and the functioning of the internal market. Energy infrastructure development also supports the EU's energy self-sufficiency, competitiveness, and climate and energy goals.

Finland considers it important that CEF funding continue to be used exclusively for inter-state infrastructure projects. Finland has previously received funding for projects such as the construction of Fingrid’s Estlink2 submarine cable to Estonia, the Aurora Line electricity transmission link to Sweden and the Balticconnector gas pipeline to Estonia.

CEF Regulation as part of the EU multiannual funding package

The proposal for the CEF Regulation is part of the EU’s next Multiannual Financial Framework, published on 16 July 2025. The Regulation would establish a new CEF programme, confirming its objectives and budget for 2028–2034 and laying down the forms of EU funding available and the rules for granting it.

As the proposal is more general than the current CEF Regulation, the work programme to be prepared in the coming years will define the criteria for allocating funding and the different funding levels. The proposal does not include provisions on eligible projects or detailed appropriation levels.

Digital communications infrastructure would no longer be funded under the CEF, as funding would instead come from the European Competitiveness Fund.

Next steps

The Government's Union communication will next be debated in Parliament. 

The Commission's proposal for the CEF Regulation will be discussed in the Council of the EU, with Finland actively participating. The Danish Presidency of the Council of the EU seeks to reach a general approach to the proposal by the end of 2025.

Inquiries:

Ministry of Transport and Communications:

Kaisa Kuukasjärvi, Senior Ministerial Adviser, tel. +358 295 342 030, [email protected] 

Ministry of Economic Affairs and Employment:

Maria Kekki, Ministerial Adviser, tel. +358 295 047 108, [email protected]