Changes at the turn of the year in the administrative branch of the Ministry of Economic Affairs and Employment
On this page, you will find information on the changes that will affect the administrative branch of the Ministry of Economic Affairs and Employment.
Production incentive for the audiovisual sector to continue
The production incentive for the audiovisual sector will continue as Business Finland’s support programme in 2024-2026. The production incentive compensates for up to 25 per cent of the costs of production carried out in Finland. The incentive aims to increase international interest in Finland as a country of production and to promote the development, growth and internationalisation of Finnish companies. The Government issued a decree concerning the incentive on 21 December 2023. It will enter into force on 1 January 2024.
The incentive scheme has played a key role in the internationalisation of the audiovisual sector and made it easier for Finnish companies to participate in international co-productions.
A production incentive for the audiovisual sector | Business FinlandLänk till en annan webbplats
Maximum amounts of compensatory fines to be adjusted
On 14 December 2023, the Government issued a decree by which the maximum amounts of compensatory fines laid down in the Collective Agreements Act will be revised in line with monetary revaluation.
According to the Collective Agreements Act, the amounts must be adjusted by decree every three years. The revision is not related to the legislative projects included in the Government Programme.
The decree is scheduled to enter into force on 1 January 2024.
Chargeable services of ELY Centres, TE Offices and KEHA Centre in 2024
On 21 December, the Government issued a decree on chargeable services by the ELY Centres, TE Offices and KEHA Centre for 2024. The content of the decree is mainly in line with the previous decree on chargeable services. Some changes will be made to the decree’s section concerning the fee schedule and the fees charged below the cost price. The decree will remain in force for the entire year.
Government Decree on services of the Centres for Economic Development, Transport and the Environment, Employment (ELY Centres) and Economic Development Offices (TE Offices) and
Development and Administration Centre (KEHA Centre) in 2024 (in Finnish)
EU thresholds for public procurement to rise on 1 January 2024
The European Commission has revised the EU thresholds used in public procurement. The changes are based on the World Trade Organization’s (WTO) Government Procurement Agreement (GPA). The Commission reviews the EU thresholds to correspond with the GPA every two years.
The updates made by the Commission do not affect the national thresholds.
News item of 21 December 2023: EU thresholds for public procurement to rise on 1 January 2024
Distribution obligation for transport fuels to remain at 13.5% this year
The amendment to the Act on the Promotion of the Use of Biofuels for Transport will reduce the distribution obligation to 13.5 per cent in 2024. This means that the obligation will remain at the same level as in 2023. Without the amendment, the distribution obligation would have risen to 28 per cent at the beginning of 2024.
In addition, the additional obligation for 2024 and 2025 will be reduced to two and three percentage points, respectively. The purpose of the changes is to curb the rise in the price of transport fuels.
In the autumn, the Government will submit a proposal on the distribution obligation for 2025–2027. In accordance with the Government Programme, the obligation will gradually rise to 16.5 per cent in 2025, 19.5 per cent in 2026 and 22.5 per cent in 2027. The additional obligation related to advanced category will be raised from the present two per cent to three per cent in 2025 and four per cent in 2026.
More time to Energy Authority to process corrected applications on electricity cost reimbursement and to electricity companies to apply for compensation from the State Treasury
The amendments approved by Parliament to the Act on the Temporary Retroactive Reimbursement for Electricity Costs and related acts will ensure that the Energy Authority has sufficient time to process the applications to correct an error in the payment of the electricity reimbursement and that the electricity companies are able to apply for compensation from the State Treasury for the electricity reimbursements they have paid.
The Act has been supplemented with a deadline of 15 January 2024 by which the end users must submit an application to the Energy Authority to correct an error in the payment of electricity reimbursement costs.
Electricity companies must apply for compensation from the State Treasury for electricity reimbursement they have paid based on a decision of the Energy Authority by 31 May 2024. The State Treasury must pay the compensation to the electricity companies in full by 30 June 2024.
Emissions Trading Act to cover sea transport
The new Emissions Trading Act and the amendment to the Act on Biofuels, Bioliquids and Biomass Fuels repeal the current Emissions Trading Act and the Act on Aviation Emissions Trading. The changes implement the reform of the EU’s Emissions Trading Directive at the national level. The amendments are based on the EU’s tighter emission reduction targets.
The amendment expands and specifies the scope of application of the Emissions Trading Act to correspond with the amended Directive. The number of free emission allowances has been reduced. In addition to aviation and industrial and energy production plants, the scope of the Act has been extended to cover maritime transport. Until now, the EU’s emissions trading system has covered large industrial and energy production plants and aviation within the European Economic Area.
Emissions trading is the key policy instrument at the Union level to achieve emission reduction targets. The new act strengthens economic steering aimed at achieving the emission reduction targets. As a result of the amended Directive, revenues from emissions trading will increase.
Amendments to the Sustainability Act on renewable fuels
The amendment to the Act on Biofuels, Bioliquids and Biomass Fuels (the Sustainability Act) corrects the inconsistency between the Sustainability Act and the Act on Excise Duty on Electricity and Certain Fuels (Electricity Tax Act). In addition, the Act implements a number of provisions of the Renewable Energy Directive which, according to the reasoned opinion issued by the European Commission to Finland, have been inadequately implemented.
The Act defines sustainability criteria for renewable fuels. The application of the Sustainability Act is based on obligations laid down elsewhere in legislation, such as the distribution obligation, emissions trading and taxation.
Biogas used in heating and machinery became subject to excise duty at the beginning of 2023. A precondition for a reduced excise duty on biogas used in heating and machinery is that sustainability can be demonstrated. A reference to the Act on Excise Duty on Electricity and Certain Fuels has been included in the Sustainability Act to enable the producers of biogas used in heating and machinery to demonstrate the sustainability of the gas with a system approved by the Energy Authority.
The legislative amendment also includes lighter sustainability requirements for biogas plants with a capacity of less than 2 MW. The operator is not required to demonstrate that the criteria concerning the origin of the used raw materials and the reduction of greenhouse gas emissions were met if biogas is used for heating in an installation with a total thermal input of less than 2 MW. The operator is also not required to attach a verifier’s statement to the application for approval of the sustainability system if only biogas produced from waste, residue, non-food cellulose or lignocellulose is used in an installation with capacity of less than 2 MW.
The approval of the sustainability system requires that certain qualitative criteria be met and that the operator report on the biogas produced and used annually.