Finland plans to spend half its recovery funds on ‘green transition’

The “Sustainable Growth Programme”, if approved by the parliament, is a political triumph for the Greens sitting in Prime Minister Sanna Marin’s (SDP) five-party government. [Shutterstock/Sehenswerk]

The €2.9 billion Finland will receive from the EU’s Recovery and Resilience Facility will be divided between three sectors with 50% of the funding going to enhancing the green transition, and the remaining funds divided between digitalisation and research and development investments, according to the government’s plan released on Monday.

The “Sustainable Growth Programme”, if approved by parliament, is a political triumph for the Greens in Prime Minister Sanna Marin’s (SDP) five-party government. Environment and Climate Change Minister Krista Mikkonen quickly hailed the outcome as the single largest climate investment in the country’s history and a gigantic leap forward.

According to the programme, annual greenhouse gas emissions are estimated to decrease by 6% each year. A shift towards electric cars will be supported by taxation and infrastructure, while energy production will focus on increasing the share of wind, solar energy and biofuels. 

Other areas mentioned by the government include the digitalisation of rail transport, faster internet speeds in remote areas and the development of 6G technology and artificial intelligence.

After talks with the Commission, the final Recovery and Resilience Plan will be approved on 30 April and submitted to the EU. The package is forecast to increase Finland’s GDP by 0.5% between 2021 and 2023. (Pekka Vänttinen | EURACTIV.com)

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