Projects eligible for aid and maximum amount of aid

Energy aid priorities for 2025

General

At least 60% of the budget authority available for energy aid in 2025 (EUR 14.1 million) will be targeted at investments promoting energy saving and energy efficiency.

The budget authority for energy aid (EUR 14.1 million) will be allocated to projects with eligible investment costs of no more than EUR 5 million.

In the consideration of aid, priority will be given to investment projects that promote new technology and its commercialisation and the balancing capacity of the electricity system.

New technology refers to new kinds of solutions that have not yet been extensively tested in Finland. Typically, this means the first demonstration plant or plants. In comparison with similar projects based on conventional technologies, the introduction of new technologies involves additional costs or risks.

The priorities for 2024 will apply to energy aid applications with eligible investment costs of up to EUR 5 million submitted in 2024 for which no decision has yet been made.

Investments in energy savings and energy efficiency in 2025

For studies the maximum amount of aid for eligible costs is:

  • 50% of energy audits in the municipal sector and in micro, small and medium-sized enterprises in connection with energy efficiency agreements
  • 40% of other energy audits, analyses and studies

For studies the maximum amount of aid for eligible costs is:

  • 20% for companies and organisations that have signed an energy efficiency agreement
  • 25% when an energy service company (ESCO) is used in the above
  • 15% for companies and organisations that have not signed an energy efficiency agreement but use an ESCO

Investments in energy efficiency related to buildings and their conventional building services engineering are not eligible for aid.

Aid may also be granted to companies and municipalities that have not signed an energy efficiency agreement if the project involves new technology.

Augmented aid may be granted on a case-by-case basis to projects involving new technology. The need for and level of augmented aid will be assessed on a case-by-case basis.

For large companies, the maximum aid level is 30% for new technology projects as well.

Within investments in energy efficiency, heat pumps with a capacity exceeding 1 MW may only be subsidised in the case of a new technology project or a project connected to a low temperature heating network. In the case where surplus heat is used as an energy source for a heat pump, heat pumps with a capacity of no more than 5 MW can receive aid in conventional technology projects. In terms of new technology, heat pump projects exceeding the capacity of 5 MW are also eligible for aid.

When an ESCO is used, the minimum requirements are guaranteed energy savings of at least 50% and verified savings of at least 80% of the total savings in euros during the reference period.

Aid is not granted to flue gas scrubbers or related heat recovery investments if they concern companies participating emission trading system or heating plants where heat output exceeds 10 MW.

Lighting projects involving conventional and established technology are not eligible for aid. Aid is not granted to doors or lids of refrigeration cabinets or devices or similar solutions.

Aid is not granted to waste heat projects of data centres.

Aid may be granted to heat storages if new technology is involved. Aid is not granted to solutions involving conventional technology that store heat in water or use geothermal heat storages.
 

Investments in renewable energy in 2025

Aid is granted to renewable energy projects only if new technology is involved.

Exceptions to this are investments in biogas plants, which are eligible for aid even if conventional technology is involved. However, priority will be given to biogas plant investments involving new technology and to investments producing biogas for transport use. Biogas projects involving carbon capture will also be prioritised, even if the aid is not directly allocated to carbon capture.

Priority will also be given to biogas plant investments with a concrete and feasible plan for further processing and use of digestate. In all biogas investments, the applicant must submit a plan for further processing and use of digestate. The plan must present the reasons for the selected method of further processing and use of digestate and the state of preparation of the related agreements.

In addition, the plan must explain how nutrient recycling is taken into account in the selected method for further processing and use and describe how the further processing and use of digestate can be developed at the plant in future.

In renewable energy projects the aid level is typically maximum 30 % based on case-by-case assessment. 

In renewable energy projects, fuel filling stations are not eligible for aid.

Investments related to refining, liquefying, transporting, distributing, or using biogas will only be eligible for aid if accompanied by an investment in new reactor capacity. Investments in expanding existing biogas plants are only eligible for aid if the digester gas and biogas production capacity increases. 

In biofuel projects, aid may only be granted for plant projects that do not use saw timber or pulpwood suitable for processing as raw material.

More information: pekka.gronlund(at)gov.fi