In Finland, the Ministry of Economic Affairs and Employment has announced that it has granted a total of EUR 26.6 million to three industrial biogenic carbon dioxide capture and utilization (CCU) projects. The decision was made on September 9, 2026, and the captured biogenic carbon dioxide will be used to produce electrofuels (eFuels).
The investment aid aims to accelerate the launch of the first industrial projects to capture biogenic carbon dioxide (bioCO2) and scale capture solutions in subsequent projects.
According to the Government’s call for applications, support would be granted to projects in which the captured carbon dioxide is either permanently stored or utilised in products.
Finland has great potential to become a leader in the capture of biogenic carbon dioxide. These investments will help speed up the introduction of new solutions and reduce emissions while creating growth and new business opportunities, said Minister of Climate and the Environment Sari Multala.
Competitive bidding process
The Ministry launched a competitive bidding process for the investment aid in early 2026. The maximum amount of aid available was EUR 90 million.
By the end of March 2026, the Ministry had received eight applications for total aid of about EUR 101 million.
The aid was granted to the following projects:
- EUR 21 million to Metsä Fibre Oy for a plant to capture bioCO2 from the flue gases of Metsä Group’s Rauma pulp mill. The capture capacity is 100,000 tonnes per annum.
- EUR 2.8 million to Nurmon Bioenergia Oy for capturing bioCO2 from the Nurmo biogas plant. The capture capacity is 17,500 tonnes per annum.
- EUR 2.8 million to Suomen Lantakaasu Oy for capturing bioCO2 from the Kiuruvesi biogas plant. The capture capacity is 17,500 tonnes per annum.
The selected projects must meet the eligibility criteria defined in the government decree on which the aid scheme is based.
These include a minimum capture capacity and a verified method of utilising or storing the captured carbon.
In addition, carbon dioxide capture must begin by 2030 at the latest and continue at least until the end of 2035, while other aid to cover the same costs is not permitted.
Carbon capture at national and EU level
The European Commission considers negative emissions and carbon dioxide capture important elements in meeting its climate targets and recognises the need for further measures in this regard.
In summer 2026, the Commission proposed amendments to the Emissions Trading Directive, including several proposals relevant to carbon capture.
However, the Finnish Ministry of Economic Affairs and Employment notes that it is unclear whether the proposals are enough to accelerate investments to any significant degree.
The proposals may increase the demand for carbon capture solutions, especially in sectors where reducing emissions remains challenging.
Overall, progress in introducing carbon dioxide capture in recent years has been slower than expected because of high project costs, insufficient incentives and, in particular, incomplete EU regulation.
The call for applications for investment aid organised by the Finnish Ministry of Economic Affairs and Employment ended on March 31, 2026.
The criteria set for the projects, especially the timetable, the requirement to verify the method of utilising or storing the carbon dioxide, and the prohibition of other aid for the same costs, reduced the number of eligible projects.
Before this aid scheme, support for carbon capture was provided through investment aid for large-scale demonstration projects in new energy technology.
The tax credit supporting clean industrial investments, currently being prepared at the Ministry of Finance, might be used to subsidize large-scale carbon capture plants.
