The Finnish government has introduced a proposal (HE 42/2025) to amend the Act on expedited permit procedures for renewable energy power plants (1145/2020). The reform would extend the scope of the Act to renewable energy production facilities that use only renewable energy as their energy source. However, it remains unclear which types of facilities would be covered and whether, for example, hydrogen facilities would be included.
15.5.2025
Latest regulatory developments for renewable energy in Finland
Marius af Schultén & Konsta Peussa
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Key highlights of the proposal include
1. Binding Deadlines: The reform extends the range of binding deadlines for permit procedures to accelerate renewable energy investments. For example, the duration of permitting for the installation of solar energy equipment with a maximum capacity of 11 kilowatts may not exceed one month. The duration of permitting for renewable energy production facilities with a capacity of less than 150 kilowatts located on land areas may not exceed one year, and for facilities with a larger capacity, two years. In renewables acceleration areas, these deadlines are six months and one year, respectively.
2. Renewables Acceleration Areas: Designation of special areas for accelerated renewable energy development, initially focusing on solar energy. The upcoming Finnish Supervisory Agency will designate renewables acceleration areas based on proposals from municipalities.
3. Streamlined Processes: Shorter permit processing times and potential exemptions from environmental impact assessments (EIA) and Natura evaluations in designated acceleration areas. An exemption could only be granted in an area where the introduction of a specific form of renewable energy is not expected to have significant environmental impacts. In addition, the measures to mitigate adverse environmental impacts set out in the decision designating the area must be complied with. Only certain types of projects, such as wind farms, are eligible for exemption.
4. Enhanced Coordination: Strengthening the role of the upcoming Finnish Supervisory Agency should ensure smooth permit processes. The proposal to expedite permitting of renewable energy projects is a part of a broader a one-stop shop reform which aims to combine regional administrative units under the upcoming Finnish Supervisory Agency.
This proposal aims to foster a more efficient and supportive environment for renewable energy projects, aligning with the goals of the RED III directive. The legislation is intended to enter into force at the same time as the legislation on the reform of regional administration, i.e. on 1 January 2026.
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