Energy and Climate Strategy to boost clean transition and reduce emissions
On 4 December 2025, the Government submitted the national Energy and Climate Strategy to Parliament as a report. In line with the Government Programme, the strategy will accelerate the clean transition, reduce greenhouse gas emissions and strengthen carbon sinks.
“The Energy and Climate Strategy compiles the Government’s energy and climate policies that have been agreed on together. We want to improve the conditions for clean transition investments, economic growth and employment. The strategy is a key tool in our efforts to bolster Finland’s position as a leader of clean energy in Europe, in accordance with the Government Programme,” says Minister of Climate and the Environment Sari Multala.
The detailed actions of the strategy will ensure the secure supply of reasonably priced clean energy for the needs of industry, businesses and households alike. The aim is to create a predictable operating environment that attracts investments and supports the growth of Finland’s clean economy by promoting the development and export of domestic technology while also increasing Finland’s carbon handprint.
Russia’s invasion of Ukraine, the resulting disruptions in the energy markets and the need to phase out Russian fossil energy emphasise the importance of security of supply, the protection of critical infrastructure and better cost-effectiveness of emission reduction measures.
The strategy includes the outlines and policy measures on different energy policy areas, including measures to reduce greenhouse gas emissions in society and to strengthen removals by sinks. The strategy covers all greenhouse gas emissions in the emissions trading, effort sharing and land use sectors as well as the removals by carbon sinks.
The strategy’s main focus is on achieving the EU’s climate and energy targets for 2030 and the objectives of the Climate Act. Scenario calculations will be used to assess emissions trends and energy balances until 2040.
Adaptation to climate change, energy and greenhouse gas balances, and broad impact assessments on the environment, the economy, public finances and various regions are also part of the strategy.
Within the land use sector, agriculture, forestry and other land use are examined comprehensively to ensure the long-term management of forest carbon sinks in a manner that protects the supply of wood for industry and the ongoing use of forests.
The strategy was prepared under the leadership of the Ministry of Economic Affairs and Employment in cooperation with several ministries and research institutes. The EU’s REPowerEU funding was used to conduct an extensive KEITO study (‘New measures and scenarios for national energy and climate policy’) as a background for the strategy. The study was drawn up in coordination with the Medium-term Climate Change Policy Plan (KAISU), which is the responsibility of the Ministry of the Environment. KAISU covers emission reduction measures in the non-emissions trading sector, i.e. the effort sharing sector, which respond to EU obligations and the targets set in the Climate Act.
The strategy also includes an emission debt reduction programme in line with the Government Programme and measures to develop the calculation and monitoring of carbon sinks and carbon reservoirs so that decision-making can be based on a more reliable and transparent knowledge base.
Together with the Government’s industrial policy report, the Energy and Climate Strategy forms a comprehensive action plan to promote a carbon-neutral society and, later, a carbon-negative society in a way that does not increase the everyday costs for citizens unnecessarily, diminish the competitiveness of businesses or raise the costs of agriculture.
Inquiries:
Petteri Kuuva, Deputy Director General, Ministry of Economic Affairs and Employment, tel. +358 295 064 819
Markku Kinnunen, Ministerial Adviser, Ministry of Economic Affairs and Employment, tel. +358 295 064 792 Bettina Lemström, Chief Specialist, Ministry of Economic Affairs and Employment, tel. +358 295 064 116