Action plan to promote offshore wind power has been published

In October 2023, the Ministry of Economic Affairs and Employment appointed a working group to examine ways to improve Finland’s competitive position in offshore wind power production compared with other Baltic Sea countries and to promote other targets on offshore wind power set out in the Government Programme. The proposals included in the report published by the working group on 20 August 2024 form an action plan for the promotion of offshore wind power.

Finland has considerable potential for offshore wind energy, and project developers have become more interested in both territorial waters and the exclusive economic zone. However, the rules on offshore wind power have been found to be lacking, especially as regards the exclusive economic zone. For that reason, the rules are being revised.

Last autumn, the Ministry of Economic Affairs and Employment launched also a legislative project on offshore wind power in the exclusive economic zone. The draft bill prepared in the project was circulated for comments in spring 2024. In addition, the Ministry of Finance is currently preparing legislative amendments concerning taxation of real estate and income in Finland’s exclusive economic zone.

The action plan prepared by the working group on the promotion of offshore wind power includes 17 development proposals. The working group considers that in terms of promoting offshore wind energy, it is essential to set clear long-term objectives, improve national coordination and ensure offshore wind power is compatible with other users of marine areas with minimal harmful effects on those users. The premise of the work is that offshore wind turbines will be built on market terms.

As a rule, the proposed measures concern Finland’s exclusive economic zone and territorial waters, with the exception of the sea area under Åland’s control. However, some of the proposed measures may also promote offshore wind power in Åland. 

Summary of the measures proposed by the working group

The working group has listed 17 proposed measures. Their implementation would mainly take place in 2024–2026. A total of 12 organisations with main responsibility have been named for the measures, but several central government operators and other bodies would implement many of them in cooperation. The proposals are:

• Define long-term offshore wind power objectives and improve the predictability of competitive tendering (main responsible party: Ministry of Economic Affairs and Employment)
• Establish a coordination group for offshore wind power (Ministry of Economic Affairs and Employment)
• Develop the collateral arrangements for the rights of offshore wind power projects in the exclusive economic zone (Ministry of Economic Affairs and Employment)
• Lower the real estate tax on offshore wind farms in territorial waters (Ministry of Finance)
• Explore the possibility of streamlining the water permit process as concerns offshore wind power (Ministry of Justice)
• Determine the demolition and restoration obligation for offshore wind power (Ministry of Economic Affairs and Employment/Ministry of the Environment)
• Develop procedures for connecting to the main grid from the perspective of large customers (Fingrid)
• Promote the sustainable placement of submarine cables (Ministry of the Environment)
• Ensure sufficient cooperation between ports to develop the infrastructure needed by the offshore wind power industry and to utilise EU funding opportunities (Ministry of Economic Affairs and Employment)
• Create common planning principles for offshore wind power with Sweden (Ministry of Transport and Communications/Ministry of the Environment)
• Produce more detailed maritime information to support maritime spatial planning and land use planning (Ministry of Transport and Communications)
• Safeguard the operating conditions of the fishing industry (Ministry of Agriculture and Forestry)
• Launch studies on the impacts of offshore wind power on migratory fish, marine mammals, migratory birds and bats (Ministry of Agriculture and Forestry, Ministry of the Environment)
• Improve the coverage of the Finnish Inventory Programme for Underwater Marine Diversity (Velmu) in deeper waters (Ministry of the Environment)
• Improve maritime observation activities (Finnish Meteorological Institute, Finnish Environment Institute)
• Develop information systems to streamline assessment and administrative processes across administrative sectors and to enable anticipation of business project planning (Ministry of the Environment)
• Communicate actively to students about the employment opportunities in sectors developing offshore wind power and encourage educational institutions to create study modules on offshore wind energy (Finnish Energy, Renewables Finland)

Inquiries:
Outi Vilen, Chief Specialist, Ministry of Economic Affairs and Employment, tel. +358 295 047 016
Olli Salo, Senior Specialist, Ministry of Economic Affairs and Employment, tel. +358 295 047 322