Energy in Finland describes energy and electricity production, consumption and import in Finland. Energy policy of Finland describes the politics of Finland related to energy. Electricity sector in Finland is the main article regarding electricity in Finland.

Finland lacks domestic sources of fossil energy and must import substantial amounts of petroleum, natural gas, and other energy resources, including uranium for nuclear power.

In 2021, Finland's total energy supply (TES) comprised bioenergy and waste (33.6%), oil (20.8%), nuclear (18.5%), coal (6.3%), natural gas (6.4%), electricity imports (4.6%), hydro (4.1%), peat (2.7%), wind (2.2%), and heat (0.6%). Regarding total final consumption (TFC) by sector, the industrial sector accounted for 53%, buildings for 31%, and transport for 16%.

Finland's per capita energy consumption is notably high, driven by its heavy industry sector and significant heating requirements due to its cold climate. In 2021, the industrial sector was the primary consumer of energy, accounting for 52% of Total Final Consumption (TFC)—above the International Energy Agency (IEA) average of 36%. Building energy demand followed, representing 33% of TFC, where electricity (43% of building TFC) and district heating (15% of TFC) were key sources of energy consumption. Finland and Estonia are two of the last countries in the world still burning peat.

Statistics

+2020 energy statistics+Production capacities for electricity(billion kWh)TypeAmountNuclear59.74Hydro41.50Biomass31.84Fossil fuel23.97Wind power21.28Solar0.71Total179.04     +Electricity(billion kWh)CategoryAmountConsumption79.36Production66.98Import21.62Export6.67     +Crude oil(barrels per day)Consumption207,400Production8,300Import232,400     +Natural gas(billion m3)Consumption2.39Import2.57Export0.01

CO2 emissions:36.33 million tons

Consumption Final consumption of energy - i.e. after losses through transformation and transmission - was 1 102 petajoules, which equals 202 gigajoules per capita in 2013. Of this, 43 % is consumed by industry, 16% in transportation, 27% in heating, and 12% by others.

Energy consumption per capita in Finland is the highest in EU. Reasons for this include energy-intensive industry, a high standard of living, a cold climate and long distances. Rise of energy consumption stopped in the 21st century, mainly due to changes of industry. There is now less heavy industry and the energy efficiency has improved. New energy consuming business is the data centres of international enterprises.

Energy consumption increased 44 percent in electricity and 30 percent in the total energy use from 1990 to 2006. The increase in electricity consumption 15,000 GWh from 1995 to 2005 was more than the total hydropower capacity. The electricity consumption increased almost equally in all sectors (industry, homes, and services).

Heating Energy consumption for heating has increased, as population and average size of homes has grown. As of 2019, 2.8 million Finns and half a million Helsinki residents rely on district heating for their homes. In 2017, 66% of the new homes were connected to district heating and usage kept expanding among old buildings as well.

80% of the energy use of households was spent on heating in 2008–2011.Energy consumption in households 2008–2011, GWh 16 November 2012 Statistics Finland

In 2017, traditional fossil fuels (coal, peat and oil) provided most heat, with 39%; gas, 10%; wood and wood residues, 30%; bio and non-bio waste burning and other sources, 12%; energy recovery, 9%: in total, the emissions were 149 g CO2/kWh.

Heat pumps are used to facilitate electrification and energy recovery. In Mäntsälä 80% of the energy is provided by excess heat recovered from the local Yandex data centre. In Helsinki, Helen Oy increases energy efficiency with several heat pumps which recover heat from return water of the district cooling and from warm waste waters before they end up in the Baltic Sea: rock caverns and cisterns under parks are used in the Katri Vala heating and cooling plant under Sörnäinen (123 MW in 2021), Vuosaari (13+9.5 MW with 20% sea water) and Esplanadi.

The coal-powered Hanasaari Power Plant will be replaced by 2024 to reduce Helen carbon emissions by 40%. In addition to heat pumps, 25% of its former output is expected to come from a biomass plant in Vuosaari next to the existing heat pumps, while heat storage to stabilise demand will be provided by water cisterns in place of the former oil cisterns under the Mustikkamaa island. In detail, Helen Oy estimates a 11.6 GWh capacity and 120 MW thermal output for its 260,000 m3 water cistern under Mustikkamaa (fully charged or discharged in 4 days at capacity), operating from 2021 to offset days of peak production/demand; while the 300,000 m3 rock caverns 50 m under sea level in Kruunuvuorenranta (near Laajasalo) were designated in 2018 to store heat in summer from warm sea water and release it in winter for district heating.

Transport Transport uses 30% of all energy, but 40% of the energy is produced with oil. Consumption per kilometre has decreased, but the number of kilometres has grown.

The Kyoto agreement had obligation to restrict the traffic emissions in Finland between 2008 and 2012 in the year 1990 level. According to Ministry report in 2004 the share of public transport in Finland is lower than in most other European countries."Joukkoliikenne nousuun!" –mietintö, Liikenne- ja viestintäministeriö 2004

Electricity

From 2010 to 2021, Finland, a net electricity importer, experienced annual import levels ranging from 11 to 20 terawatt-hours (TWh), or 14% to 31% of its electricity supply. Initially, the majority of imports came from Russia, averaging 88% from 2005 to 2011. After a new interconnection with Sweden became operational in 2012, Sweden became the main supplier, accounting for 87% of imports from 2012 to 2021. In May 2022, following Finland's intention to join NATO amidst the Ukraine invasion and due to payment transfer issues, Russia ceased supplying electricity to Finland. The commencement of the Olkiluoto 3 nuclear reactor in 2023 is expected to reduce Finland's reliance on electricity imports, aiming for the country to become a net exporter by 2030.

In Finland electricity consumption was 83.3 TWh in 2021 compared to 60 TWh in 1990. Consumers in 2021 were industry 49%, residential buildings 29%, service sector buildings 21%.

One of the major electrical grid distribution network operators, Caruna in the south of Finland is majority-owned (80%) by Australian and Dutch holding and property companies.Hallitus antaa Carunan verovälttelyn jatkua Finnwatch 26 October 2018

Energy sources From 2011 to 2021, Finland experienced a significant shift in its energy mix. The share of fossil fuels in Total Energy Supply (TES) declined from 53% to 36%, with decreases seen across all types: oil (26% to 21%), natural gas (9.6% to 6.4%), and coal (11% to 6.3%). Peat's contribution to TES also decreased from 5.8% to 2.7%. These changes were driven by transitions to renewable energy sources, notably solid biomass, with bioenergy and waste increasing from 23% to 34% of TES. Wind energy grew from 0.1% to 2.3%, while nuclear energy remained stable at 18%, expected to rise with the new Olkiluoto 3 reactor's full operation.

Wood About one quarter of energy production in Finland comes from burning wood. There are no forests grown for fuel. Instead, most firewood is byproduct of other uses of wood. The black liquor (by-product of pulp production) and peel and branches (by-product of sawmill industry) are used by the forest industry itself in creating its own energy by wood burning.

The Finnish Association for Nature Conservation (FANC) demands Finland not to burn stumps and sturdy wood that are 15% of wood chips burned according to government energy policy.

Fossil fuels Petroleum Finland does not have any petroleum resources of its own, so it relies 100% on petroleum imports. In 2007 oil imports were almost 11 million tonnes in Finland. In 2006, Finnish oil imports came from Russia (64 percent), Norway (11 percent), Denmark (11 percent), and the rest from United Kingdom, Kazakhstan, and Algeria. Petroleum comprises 24 percent of the Finnish energy consumption. Most of the petroleum is used in vehicles, but about 260,000 homes are heated by heating oil.

Neste Oil is the sole oil refiner in Finland, exporting petroleum products such as gasoline and fuel oil to the Baltic countries and North America. Oil imports were valued at 6.5 billion euros and exports 3 billion euros in 2006.

Coal

Coal is imported from Poland. 5.3 million tonnes were used in 2016.

According to Finnwatch (27 September 2010) there are 13 coal power plants in Finland. The companies Pohjolan Voima, Fortum, Helsingin Energia and Rautaruukki consume coal most.Kivihiilta_idasta_ja_etelasta.pdf Kivihiiltä idästä ja etelästä Vastuullisuus energiayhtiöiden ostoissa FinnWatch 3/2010 (27 September 2010) pages 4–12, page 5 Table of coal imports in 2007–2009 (include www references)

The ILO Agreement 176 (1995) addresses health and safety risks in mines. Finland ratified the agreement in 1997. However, as of 2017 the agreement was not ratified in the following countries that export coal to Finland: Canada, Australia, Colombia, Kazakhstan, Indonesia and China. At least two companies in Finland reported (2010) using the UN Global Compact initiative criteria in their supplier relationships. No Finnish company reported signing the UN Global Compact Initiative.

Coal, which in 2021 accounted for 4.9% of electricity generation, will be banned from 2029.

Natural gas Finland has no production facilities or underground storage facilities for gas.

Natural gas has been used in Finland since 1974 after the first oil crisis. Gasum is the Finnish importer and seller of natural gas, which owns and operates Finnish natural gas transmission system. Natural gas vehicles aren't popular in Finland, but natural gas powered busses exist.

On 21 May 2022, the supply of gas from Russia to Finland was cut off because Gasum refused to pay for the gas deliveries in rubles as required by the Russian gas company Gazprom and Moscow. The import of gas to Finland was then switched over to come through the Balticconnector pipeline. The LNG terminal ship Exemplar was also leased for 10 years to cover Finland's gas needs in the event of any shortages. The ship's annual gas capacity is 35 terawatt-hours (TWh).

Peat

Peat and hard coal are the most harmful energy sources for global warming in Finland. According to VTT studies, peat is often the most harmful one.Jyri Seppälä, Kaisu Aapala, Kimmo Silvo and Raimo Heikkilä 2008: Muistio Suomen IPCC-ryhmän avoimesta Turpeen ilmastovaikutusten arviointi -seminaarista. Suomen ympäristökeskus.

Peat was the most popular energy source in Finland for new energy investments 2005–2015. The new energy plants in Finland starting 2005–2015 have as energy source: peat 36% and hard coal 11%: combined: 47%. The major carbon dioxide emitting peat plants during 2005–15 were expected to be ( kt): PVO 2700 kt, Jyväskylän Energia 561 kt, Etelä-Pohjanmaan Voima Oy (EPV Energia) 374 kt, Kuopion Energia 186 kt, UPM Kymmene 135 kt and Vapo 69 kt. EPV Energy is partner in TVO nuclear plants and Jyväskylän and Kuopion Energia partners in Fennovoima nuclear plants in Finland.Saastuttaminen kannattaa, selvitys energiainvestoinneista 2005–2010 Greenpeace 2009 pp. 14–15 if two owners, the emission is divided between them undepended of the actual share of the plant