Energy aid aims to promote the use of renewable energy and increase energy efficiency. Energy aid can be used for investments that increase the use or production of renewable energy or to promote energy-saving investments.
Business Finland's Energy Aid for 2023 has ended in its basic form. TEM has granted additional authorization to be used in 2023 with the following restrictions: Energy Aid is granted primarily to projects that promote new technology and its commercial utilization and secondly to investments related to energy efficiency. In this case, priority is given to well-prepared projects that can cost-effectively promote the goals of the energy subsidy program and that are not estimated to have significant harmful environmental effects.
Due to the large number of applications being processed, the Energy Aid application service will be closed on November 13, 2023 and will be reopened at the beginning of 2024 at a time to be announced later.
Energy aid can be granted for investment and investigation audit projects that promote the production and use of renewable energy, energy saving, more efficient production or utilization of energy, or otherwise contribute to a low-carbon energy system in the long term. The aid must have a significant impact on launching the project.
The energy aid is paid based on the actual costs reported by your organization. The investment costs of the project must be at least EUR 10,000 (energy efficiency) or EUR 30,000 (renewable energy), and there is no upper limit on the size of the project. The funding is provided as an aid and does not need to be repaid. Aid is not granted for projects launched before the aid decision is made. At the earliest, the aid can be granted to cover costs arising as of the date of the funding decision.
You can apply for energy aid if your organization has not yet launched the project for which you are applying aid. Your organization must be planning an investment or audit project in renewable energy or energy saving with investment cost of at least EUR 10,000 (energy-efficiency investment) or EUR 30,000 (renewable energy investment and other low-carbon investments). If the investment aims to utilize waste heat as district heat, the investment cost is at least EUR 30,000.
Energy aid can be used for
Priority is given to projects involving new technology. "New technology" means novel solutions that have not been experimented with on a broad scale in Finland and that play an important role in achieving long-term energy and climate goals. Typically, this is the first commercial implementation or one of the first implementations. The adoption of new technology usually entails extra costs or risks compared to a corresponding project implemented using conventional technology.
Conventional technology projects can also be supported with discretion, with priority given to well-prepared projects and well-drafted aid applications.
Aid for new technologies may be increased on a case-by-case basis. The need for and level of increased aid will be assessed on a case-by-case basis, considering the risk involved in introducing new technology and the associated profitability analysis. For new technology projects, we may ask the applicant to provide an independent opinion on the project’s novelty, if the funder considers it necessary to verify that the project is novel.
In particular, for large demonstration projects, (MEAE) the need for increased aid is assessed on a case-by-case basis.
Below are the conventional technology investments and their aid percentages:
* excluding projects related to the use of waste and residual heat, which are subject to aid percentages related to energy savings)
** Small CHP project refers to a plant with an electric power of less than 1 MWe.)
Please note: The market value of guarantees of origin is taken into account in determining the amount of aid.
We cannot grant your company funding if:
The funding terms and conditions describe the costs that Business Finland can fund, how we monitor your project costs, and how you should report on the progress of your project.
Do you want to discuss the terms in more detail with us before submitting an application?
Send your application and attachments via our online service. You can also keep track of the processing of your application in the online service. The applicant must appoint a director for its energy investment project from its organization. A contact person, who can be from the applicant's organization or from some other organization of the applicant's choice, must also be appointed for the project.
APPENDIX 1: Appendix to an investment project application
APPENDIX 2: Appendix to an investigation project (used for energy audits)
APPENDIX 3: Energy aid assessment form
APPENDIX 4: Project plan
APPENDIX 5: Application appendix to the In-depth investigations project
Submit a project plan as part of the application. Attach the plan as a separate file to the application. We cannot grant your company funding, if the project plan does not exist or is vague.
Please detail at least the following items in your project plan:
Business Finland accepts the costs at the earliest from the date of the financing decision. Aid is not granted for projects launched before the aid decision is made.
Eligible project costs are:
To ensure the effectiveness of the funding, only purchases and work for which a written order or contract has been made after the funding decision has been made can be approved for the project. A purchase ordered for a project prior to the decision to finance the energy subsidy can only be approved if the order agreement or deed of sale contains a condition that the purchase will be cancelled if the financing decision is negative. Even then, the costs are only acceptable from the date of the financing decision.
There is no obstacle to the costs arising from the grant of energy support from the date of the financial decision, if the customer has at the same time pending a larger investment project to be implemented outside the energy support project, which has already been started and in which energy support is applied for a limited part related to the included new technology or energy efficiency measure and this part of the project has not yet been started. There is also no obstacle to the costs incurred from the date of the funding decision to grant the energy subsidy, if the clearing and earthworks related to the investment project have started before the decision to grant the subsidy has been made.
The following costs cannot be accepted as project costs:
In addition, the eligible costs for investment projects do not include a beneficiary's travel costs, interest during construction, cost reserves, connection fees other than those referred to in the funding terms and conditions in section "Equipment purchases", and payments based on Act on Criteria for Charges Payable to the State (150/1992).
The schedule mentioned in the grant decision must be respected. If the schedule needs to be changed, submit an application to make changes in the project.
See also Ministry of Economic Affairs and Employment and the Economy's Application for investment aid for new energy technology and large demonstration projects and its separate instructions.
Plan a project and define its goals. Ensure the sufficiency of self-financing.
Submit your application through online services. Submit the additional information requested.
Business Finland will assess your application and notify you of its decision. Read the decision and its terms and conditions, and approve the decision in online services.
Arrange project accounting. Notify Business Finland of any changes.
Report your project's implementation and costs. Attach the additional information requested with your report.