G/SCM/N/284/EU/Add.9  
 
1 September 2015  
(15-4373)  Page: 1/24  
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES 
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1  
OF THE GATT 1994 AND ARTICLE 25 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES 
EUROPEAN UNION 
Addendum 
The following addendum to the notification of the European Union relates to subsidy programmes 
of Finland . 
 
_______________ 
 
 G/SCM/N/284/EU/Add.9 
 
- 2 - 
 
  FINLAND  
 
 
TABLE OF CONTENTS 
1   AID TO SMALL AND MEDI UM-SIZED ENTERPRISES ..................................................... 3  
1.1   State aid for the inte rnationalisation of SMEs ................................................................. 3  
1.2   Loan programme for SMEs (Finnver a plc) ...................................................................... 3  
1.3   Entrepreneur lo an (Finnver a plc).................................................................................. 4  
1.4   Guarantee provision aid .............................................................................................. 5  
1.5   Rescue and restructuring aid to small and medium-sized enterprises ................................. 6  
1.6   Development se rvices for SMEs ................................................................................... 6  
2   AID FOR RESEARCH  AND DEVELO PMENT ..................................................................... 7  
2.1   Aid for pr omoting R& D&I ............................................................................................ 7  
2.2   R&D tax allowance ..................................................................................................... 8  
3   REGION AL AID ............................................................................................................ 9  
3.1   Business development aid ........................................................................................... 9  
3.2   Regional transport subsidy ......................................................................................... 10 
3.3   Accelerated regional depreciation ................................................................................ 11 
3.4   Grant for in vestments (Åland) .................................................................................... 11 
4   AID IN THE FIELD OF ENERGY ................................................................................... 12  
4.1   Energy grants .......................................................................................................... 12 
4.2   Feed-in tariff fo r renewable energy ............................................................................. 13 
4.3   Energy grants for LNG-terminals ................................................................................. 14 
4.4   Differentiated tax rate for electricity consumed by industry ............................................. 15 
4.5   Energy tax refund for energy intensiv e enterp rises ........................................................ 16 
4.6   Carbon dioxide tax discount for natural gas, coal, light and heavy fuel oil and biofuel 
oil used CHP-power plants ................................................................................................. 16 
4.7   Waste oil management fi nanced by wast e oil charges .................................................... 17 
4.8   Aid for bioe nergy prod uction ...................................................................................... 18 
4.9   Production aid for electricity from renewable energy sources in Åland ............................... 19 
4.10   Electricity cable between mainland Finland and Åland ................................................... 19 
5   OTHER SU BSIDIES .................................................................................................... 20  
5.1   Innovation aid scheme for th e Finnish shipbuil ding industry ............................................ 20 
5.2   Vessels for the purpose of im proving environmen tal protection ....................................... 21 
5.3   Aid in the field of rural development ............................................................................ 22 
5.4   Tax deferral of taxable capital income for Business Angels Scheme .................................. 23 
5.5   Subscription for shares .............................................................................................. 24 
 
 G/SCM/N/284/EU/Add.9 
 
- 3 - 
 
   
1  AID TO SMALL AND MEDIUM-SIZED ENTERPRISES 
1.1  State aid for the internationalisation of SMEs 1. Title of the subsidy programme 
 
State aid for businesses internationalisation of SMEs.  
2. Period covered by the notification 
 
2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
The subsidy is granted to SMEs for development of their promotion, marketing and 
internationalization skills. The purpose of the subsidy is to increase the number and growth of the 
exporting SMEs in Finland.   
4. Background and authority for the subsidy 
 
Ministry of Employment and the Economy (Enterprise and Innovation Department). (Act on Discretionary Government Transfers 688/2001), Centre for Economic Development, 
Transport and the Environment for Häme in Lahti, Centre for Economic Development, Transport 
and the Environment for Southwest Finland in Turku.  
5. Form of the subsidy 
 
Grant. 
 
6. To whom and how the subsidy is provided 
 The state aid for businesses internationalization is provided to Finnish SMEs on an application to 
Ministry of Employment and the Economy or the Centres for Economic Development, Transport 
and the Environment for Häme in Lahti and for Southwest Finland in Turku.  
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The total amount of grants in 2013 was MEUR 18,6. 
The total amount of grants in 2014 was MEUR 9,7.  8. Duration of the subsidy and/or any other time limits attached to it 
 There are no time limits attached to this programme.  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
1.2  Loan programme for SMEs (Finnvera plc)  
1. Title of the subsidy programme 
 
General block exemption Regulation (GBER).  
Soft loans for investments and working capital for SMEs.   
2. Period covered 
 
2013 – 2014. 
 G/SCM/N/284/EU/Add.9 
 
- 4 - 
 
  3. Policy objective and/or purpose of the subsidy 
 
Aid for SMEs: access to risky loans on a reasonable interest rate level. 
 
4. Background and authority for the subsidy 
 
The authorisation to grant these loans is decided annually in the State budget. Aid was partially 
financed by the European regional development fund until end of the year 2013. 
 5. Form of the subsidy 
 
Loans with inadequate collaterals (in comparison to market terms), interest rate subsidy. 
 6. To whom and how the subsidy is provided 
 The subsidy is granted to manufacturing and service enterprises and tourism industry by Finnvera plc (state-owned specialised financing company). Subsidy element is in availability and in 
interest rate of the loans. 
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 In 2013 the amount of aid was MEUR 2,2. In 2014 the amount of aid was MEUR 0,7. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. The subsidy is given during the maturity, which is 5-10 years. 
 9. The trade effects of the subsidy 
 
No effects on international trade. 
 1.3  Entrepreneur lo an (Finnvera plc)  
1. Title of the subsidy programme 
 
General block exemption Regulation (GBER) and de minimis  aid.  
Soft loans for entrepreneurs when establishing an enterprise. 
 2. Period covered 
 
2013 – 2014. 
 3. Policy objective and/or purpose of the subsidy 
 Aid to new enterprises (entrepreneurs).  
4. Background and authority for the subsidy 
 
The authorisation to grant these loans is decided annually in the State budget. Aid is partially financed by the European regional development fund until end of the year 2013. 
 
5. Form of the subsidy 
 
Loans with inadequate collaterals (in comparison to market terms), interest rate subsidy. 
 G/SCM/N/284/EU/Add.9 
 
- 5 - 
 
  6. To whom and how the subsidy is provided 
 
The subsidy is provided to persons who start a new manufacturing, service or tourism enterprise. It is granted by Finnvera plc (state-owned specialised financing company). Subsidy element is in 
availability and in interest rate of the loans. 
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 In 2013 the amount of aid was MEUR 0,1. In 2014 the amount of aid was MEUR 0. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. The subsidy is given during  the years to maturity, i.e. 10 years. 
 9. The trade effects of the subsidy 
 No effects on international trade.  1.4  Guarantee provision aid 
1. Title of the subsidy program 
 
General block exemption Regulation (GBER) and de minimis  aid. 
 
2. Period covered 
 
2013 – 2014. 
 3. Policy objective and/or purpose of the subsidy 
 
Aid to SMEs. 
 4. Background and authority for the subsidy 
 Finnvera grants guarantee provision aid to the cert ain guarantees that are granted in eligibility 
area of EU's structural funds. Decisions are made by Finnvera Plc. Budget of the guarantee 
provision aid is decided regionally yearly basis and aid is partially financed by the European 
regional development fund until end of the year 2013.  5. Form of the subsidy 
 Subsidy in guarantee provision.  
6. To whom and how the subsidy is provided 
 
The subsidy is provided to SMEs with the guarantee decision as a reduction of provision. The loan 
is granted from the bank. 
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 In 2013 the amount of aid was MEUR 0,9. In 2014 the amount of aid was MEUR 1,4. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
There are no time limits attached to this programme.  
 G/SCM/N/284/EU/Add.9 
 
- 6 - 
 
  9. The trade effects of the subsidy 
 
No effects on international trade.  
1.5  Rescue and restructuring aid to  small and medium-sized enterprises 
1. Title of the subsidy program 
 
Rescue and restructuring aid to SMEs (C 244/2004). 
 2. Period covered 
 
2013 - 2014. 
 3. Policy objective and/or purpose of the subsidy 
 Aid to SMEs.  
4. Background and authority for the subsidy 
 
Rescue and restructuring aid is granted to SMEs in order to turn around enterprises in difficulty. The aid is granted in compliance with the guidelines of European Commission concerning aid for 
enterprises in difficulty. 
 5. Form of the subsidy. 
 Loan, guarantee, reduction of interest, abatement of debts.  
6. To whom and how the subsidy is provided 
 
SMEs in difficulty in compliance with the definition of European Commission. 
 
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The total amount of grants in 2013 was MEUR 0. 
The total amount of grants in 2014 was MEUR 0.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
The scheme has expired 1 August 2014. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
1.6  Development services for SMEs  
1.  Title of the subsidy programme 
 
PreciseTraining.  2. Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
The purpose is to support development of the vocational skills of SME's personnel  
 G/SCM/N/284/EU/Add.9 
 
- 7 - 
 
  4. Background and authority for the subsidy 
 
Act on public employment and business service (916/2012).  
5. Form of the subsidy 
 
Share of the total costs of the training. 
 
6. To whom and how the subsidy is provided 
 The subsidy is targeted to the personnel of SME's. 
 
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 MEUR 7,84 – aid intensity 25-80% per company in the year 2013. MEUR 6,46 – aid intensity 25-80% per company in the year 2014. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 Indeterminate. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 2  AID FOR RESEARCH AND DEVELOPMENT 
2.1  Aid for promoting R&D&I 
1. Title of the subsidy programme 
 
Aid for promoting R&D. 
 
2. Period covered by the notification 
 
2013 – 2014. 
 3. Policy objective and/or purpose of the subsidy 
 Aid for research and development.  4. Background and authority for the subsidy 
 Legal basis: Government Decree on 30 April 2008 on financing of research, development and innovation (298/2008); in force from 7 of May 2008 (until 31 December 2014). 
 
5. Form of the subsidy 
 
Grants and soft loan. 
 6. To whom and how the subsidy is provided 
 
The subsidy is provided for enterprises on the basis of applications.  The maximum aid intensity is 
100% for fundamental research, 50% for industrial research and 25% for experimental development. These maximum levels can be raised up to 75% in industrial research and 
experimental development in case of SMEs or collaboration (Government Decree 298/2008).  
 The subsidy is granted by the Finnish F unding Agency for Innovation (Tekes). 
 G/SCM/N/284/EU/Add.9 
 
- 8 - 
 
  7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
In 2013, the commitment amount of grants was:  
- for R&D&I activities MEUR 173,7 
- for young innovative enterprises  MEUR 26,29 - SME for Innovation advisory and support services MEUR 0,99 
 
The commitment amount of loans MEUR 123,61 (aid element MEUR 14,34).  In 2014, the commitment amount of grants was: 
- for R&D&I activities  MEUR 179,0 
- for young innovative enterprises MEUR 28,1 - SME for Innovation advisory and support services MEUR 0,41 
 
The commitment amount of loans MEUR 141,0 (aid element MEUR 17,9).  
8. Duration of the subsidy and/or any other time limits attached to it 
 
7.5.2008 – 31.12.2014.  
9. The trade effects of the subsidy 
 
No / at most very limited effects on international trade. 
 
2.2  R&D tax allowance 
1. Title of the subsidy programme 
 
R&D tax allowance.  2. Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Aid for research and development. 
 
4. Background and authority for the subsidy 
 Legal basis: Act on tax allowance for R&D (992/28.12.2012); in force from 1 January 2013. 
 
5. Form of the subsidy 
 
Tax allowance. 
 6. To whom and how the subsidy is provided 
 The subsidy is provided for limited liability companies or cooperative societies on the basis of claims within  the yearly tax assessment procedure. The normal maximum aid intensity is 100% of the eligible wages paid by the company for employers for basic research, industrial research and 
experimental research. The maximum amount of the allowance per tax year is 400 000 euros, 
minimum is 15 000 euros.   
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 In 2013 the total amount of the subsidy was MEUR 15,9 MEUR. 
In 2014 the total amount of the subsidy was 15,12 MEUR (estimate).  
 G/SCM/N/284/EU/Add.9 
 
- 9 - 
 
  8. Duration of the subsidy and/or any other time limits attached to it 
 
-  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
3  REGIONAL AID 
3.1  Business development aid 1. Title of the subsidy programme 
 
Business Development aid.  
2. Period covered by the notification 
 
2013 – 2014. 
 
3. Policy objective and/or purpose of the subsidy 
 Regional aid. Aid to SMEs. 
 
4. Background and authority for the subsidy 
 
The legal background: 
Act: Laki valtionavustuksesta yritystoiminnan kehittämiseksi (1336/2006). Government Decree: Valtioneuvoston asetus valtionavustuksesta yritystoiminnan kehittämiseksi (675/2007), including 
later amendments.The Act was in force 18.6.2007-30.6.2014.  
 Act: Laki valtionavustuksesta yritystoiminna n kehittämiseksi (9/2014). Government Decree: 
Valtioneuvoston asetus valtionavustuksesta yritystoiminnan kehittämiseksi (716/2014). The Act 
entered into force on 1 July 2014.  
 The aid is granted by the Ministry of Employme nt and the Economy and the Centres for Economic 
Development, Transport and the Environment (ELY Centres). 
 5. Form of the subsidy 
 Grant.  6. To whom and how the subsidy is provided 
 Subsidies can be granted for following purposes:  
Investments: 
 Subsidies can be granted to enterprises for carrying out investments of material and immaterial 
nature. Subsidies can be granted to small and medium-sized enterprises in the whole country. 
Subsidies can be granted to large enterprises in assisted area c only, and only for special reasons.   Other development measures: 
 
Subsidies can be granted to small and medium-sized enterprises for taking development measures (improving business management skills, developm ent of products and production methods, and 
other marked development of business activities).  
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The amount granted in 2013 was MEUR 111,8. G/SCM/N/284/EU/Add.9 
 
- 10 - 
 
  The amount granted in 2014 was MEUR 64,2.  
 8. Duration of the subsidy and/or any other time limits attached to it 
 
Until 31 December 2021.  
 9. The trade effects of the subsidy 
 No effects on international trade.  3.2  Regional transport subsidy 
1. Title of the subsidy programme 
 
Regional transport subsidy. 
 
2. Period covered by the notification 
 
2013 – 2014. 
 3. Policy objective and/or purpose of the subsidy 
 
Regional aid (SMEs). 
 4. Background and authority for the subsidy 
 
Transport of goods in Finland, which are produced and start from regions, which have less than 12,5 inhabitants per km
2: Lapland, North Ostrobothnia, Kainuu, North Karelia and 
South Savo, are eligible for subsidy. In addition to that, the subsidy is granted in the region of 
North Savo, the region of Saarijärvi-Viitasaari, the region of Kaustinen and within the former municipality of Ullava as de minimis  -aid on basis of the Commission regulation 
(EC) No 1998/2006.  
 
Ministry of Employment and the Economy is responsible for the subsidy programme. The aid 
is granted by the regional Centres for Economic Development, Transport and the Environment 
(ELY-Centers). 
 The legal background: 
 
Government Decree (21/2009), including later amendments.  5. Form of the subsidy 
 
Grant paid semi-annually on basis of applications and evidence.  
6. To whom and how the subsidy is provided 
 
The subsidy can be granted for transports in Finland starting from the place of processing of 
products that have been processed by small or medium-sized companies within the regions 
mentioned in point 4. The subsidy will be granted to the part that has paid the transport fare to the carrier. Subsidies are not being granted to the following sectors: primary production of the products referred to in Annex I to the Treaty es tablishing the European Community, coal industry, 
shipbuilding, steel industry, synthetic fibres industry. The amount of transport subsidy is 2,8 – 
11,6% of the transporting costs.   
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The actual payments in 2013 were MEUR 3,6. 
The actual payments in 2014 were MEUR 1,1.  
 G/SCM/N/284/EU/Add.9 
 
- 11 - 
 
  8. Duration of the subsidy and/or any other time limits attached to it 
 
Until 30 June 2014.   
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
3.3  Accelerated regional depreciation 
1. Title of the subsidy programme  
 
Depreciation allowance in development areas for SMEs. 
 2. Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Regional aid for SMEs.  
4. Background and authority for the subsidy 
 
Legal basis: Act 1262/1993 as amended by acts 1736/1995, 32/1998, 1215/1998, 964/2000, 
901/2001, 914/2003, 979/2006, 749/2008 and 1523/2011. The responsible authority is the 
Ministry of Finance.  
5. Form of the subsidy 
 
Tax benefit (accelerated depreciation).  
6. To whom and how the subsidy is provided 
 
The subsidy is granted in the national development areas I and II. Eligible sectors for this aid are 
manufacturing, hotel and lodging services for their investments in buildings and machinery. From 
1998 onwards this aid has been granted only to sm all and medium sized enterprises and sensitive 
sectors of agriculture, synthetic fibres, the auto mobile industry, steel and shipbuilding have not 
been included. The maximum depreciation rate is increased by 50% (for machinery from 25% 
to 37,5% and for industrial buildings from 7% to 10,5%). The investment must have been made during a tax year 2013 at the latest.  
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The amount granted in 2013 was MEUR 0,5. 
The amount granted in 2014 was MEUR 0,5.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
The latest year the Act on Accelerated Regional Depreciation is applicable is a tax year 2016.  
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
3.4  Grant for investments (Åland) 
1. Title of the subsidy programme 
 
Grant for investments (Åland).  G/SCM/N/284/EU/Add.9 
 
- 12 - 
 
  2.  Period covered by the notification 
 
2013 - 2014.  
3.  Policy objective and/or purpose of the subsidy 
 
Regional aid (investments in equipment and buildings). 
 
4.  Background and authority for the subsidy 
 Company aid act of Åland (ÅFS 2008/110). 
 
5  Form of the subsidy 
 
Grant. 
 6.  To whom and how the subsidy is provided 
 The aid is provided to SMEs. The subsidy is granted by the Government of Åland.  7.  The total amount or the annual amount budgeted for the subsidy (indicating if possibly, the 
average subsidy per unit in the previous year) 
 The total annual amount of grants committed in 2013 was MEUR 1,238. 
The total annual amount of grants committed in 2014 was MEUR 1,643. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 2013-2020.  9.  Trade effects of the subsidy 
 No effects on international trade.  
4  AID IN THE FIELD OF ENERGY 
4.1  Energy grants 1. Title of the subsidy programme 
 
Energy grants (Energy aid scheme).  2. Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Promotion of energy conservation, energy efficien cy and the use of renewable energy; reduction of 
negative environmental impacts associated with en ergy production and usage and contribution to 
energy security and diversity of energy supply.  4. Background and authority for the subsidy 
 Legal basis: Decree of the Council of State on th e general conditions for awarding energy grants 
(1063/2012). 
 
5. Form of the subsidy 
 
Grant. 
 G/SCM/N/284/EU/Add.9 
 
- 13 - 
 
  6. To whom and how the subsidy is provided 
 
Subsidies can be granted to enterprises and communities on a case-by-case consideration. Subsidies are granted by the Mi nistry of Employment and the Economy (Energy Department) and 
Centres for Economic Development, Transport and the Environment (ELY Centres) on application 
and they are paid according to the progress of the project.  
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
In 2013 was MEUR 39,2. 
In 2014 was MEUR 102,2. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 The duration of the subsidy programme is five  years (valid to the end of year 2017). The 
programme commenced in its present form in 1999. 
 
9. The trade effects of the subsidy 
 No effects on international trade. 
 
4.2  Feed-in tariff for renewable energy 
1. Title of the subsidy programme 
 
Feed-in tariff for renewable energy.   
2. Period covered by the notification 
 
2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Environmental protection.  
 
4. Background and authority for the subsidy 
 
Legal basis: The Act on Production Subsidy for Electricity Produced from Renewable Energy 
Sources (1396/2010). The aid is granted to wind power, biogas, small-CHP and for forest chip use in multifuel plants according to the electricity produced. The Energy Market Authority operates the scheme. 
 
5. Form of the subsidy 
 
From of the subsidy is operating aid. The aid amount is the difference between the target price and 
electricity spot price. Biogas and small-CHP are also eligible for heat premium, which is paid, if the plant produces heat as well. 
Target prices: 
Wind power: 83.5 €/MWh (105.3 €/MWh until the end of 2015) Biogas: 83.50 €/MWh + 50 €/MWh heat premium Small-CHP: 83.50 €/MWh + 20 €/MWh heat premium 
 
For forest chip use in multifuel plants, the aid amount is dependent on the emission trading allowance price. If the EU ETS price is less than 10 €/t, the aid amount for produced electricity is 
13.13 €/MWh. When EU ETS increases, the aid amount starts to decrease linearly to 0 €/MWh, 
when EU ETS price is 18 €/t or more.  
6. To whom and how the subsidy is provided 
 
The subsidy can be provided for producers of electricity from the abovementioned sources.  G/SCM/N/284/EU/Add.9 
 
- 14 - 
 
  7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
The total amount in 2013 was MEUR 57,20. 
The total amount in 2014 was MEUR 79,64. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 The scheme will expire 1.4. December 2021. However, the producers within the scheme are 
eligible for the operating aid for the first 12 years of production.  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
4.3  Energy grants for LNG-terminals 
1. Title of the subsidy programme 
 
Investment support for LNG-terminals.  2. Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Environmental protection. 
 
The aim is the construction of a national LNG terminal network in 2013 and 2014. Investment support is intended for terminals used in the import of natural gas, as well as in the discharge, storage and supply of such gas. The primary obje ctive of the scheme is to enable LNG-use in 
maritime transportation in the Baltic Sea.  
 4. Background and authority for the subsidy 
 Legal basis: Decree on General Terms of Granting Investment Support for LNG terminals (707/2013). 
 
5. Form of the subsidy 
 Grant. 
 
6. To whom and how the subsidy is provided 
 
Subsidies can be granted to enterprises and communities on a case-by-case consideration. 
Subsidies are granted by the Ministry of Empl oyment and the Economy (Energy Department) on 
application and they are paid according to the prog ress of the project. All aid decisions were made 
in 2014. 
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year). 
 In 2013 was MEUR 0,0. In 2014 was MEUR 92,88. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
The duration of the subsidy programme is two years (valid 2013-2014). 
 G/SCM/N/284/EU/Add.9 
 
- 15 - 
 
  9. The trade effects of the subsidy 
 
No effects / at most very limited impact. Quantitative data concerning effects on international trade is not available. 
 
4.4  Differentiated tax rate for el ectricity consumed by industry 
1.  Title of the subsidy programme 
 
Differentiated tax rate for electricity consumed by industry.  2.  Period covered by the notification 
 2013 – 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Subsidy to industry: to improve competitiveness of the industry when tax on electricity is levied in 
order to reach environmental and energy policy coals. 
 4. Background and authority for the subsidy 
 
The aid is granted by the district customs offices. 
 5. Form of the subsidy 
 Differentiated tax rate.  
6. To whom and how the subsidy is provided 
 
Electricity is taxed on the basis of category II (industry) if it is used in the mining of minerals, industrial manufacturing and processing of goods or professional glasshouse cultivation. Also 
electricity used in server rooms which capacity is more than 5 MW is allowed to use category II tax 
rate. All other cases fall under category I.  
Electricity tax rate: cent/kWh                 2013  2014 
 - category I                           1,703  1,903  - category II                        0.703  0,703 
 
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
The amount granted in 2013 was MEUR 374,7. 
The amount granted in 2014 was MEUR 454,5.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. 
 
9. The trade effects of the subsidy 
 No effects on international trade. 
 G/SCM/N/284/EU/Add.9 
 
- 16 - 
 
  4.5  Energy tax refund for energy intensive enterprises 
1. Title of the subsidy programme 
 
Energy tax refund for energy intensive enterprises. 
 
2. Period covered by the notification 
 
2013 – 2014. 
 3. Policy objective and/or purpose of the subsidy 
 
The general aim of the programme is to relieve en ergy tax burden of enterprises which has to use 
very large quantities of energy in their production.  
4. Background and authority for the subsidy 
 
Legal basis: Act 1260/1996. 
 
5. Form of the subsidy 
 Excise duty refund. 
 
6. To whom and how the subsidy is provided 
 
In a case where the excise duties paid by the co mpany during the accounting period for electricity, 
coal, natural gas and tall-oil as well as light and heavy fuel oil, and the excise duties contained in the acquisition price of these products exceed 0,5% of the company's value added during the 
accounting period, the company is entitled to appl y on the exceeding amount for a refund of 85%. 
of the amount of the excise duties paid for the products or the excise duties contained in their 
acquisition price. Only the part exceeding 50,000 euro  of the thus calculated excise duty refund is 
repaid.  
 
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The amount of aid in 2013 was MEUR 212,75 (final). The amount of aid in 2014 was MEUR 11,57 (not final amount, because refund can be applied 
until 30.6.2015). 
 8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. 
 9. The trade effects of the subsidy 
 No effects on international trade.  
4.6  Carbon dioxide tax discount for natural ga s, coal, light and heavy fuel oil and biofuel 
oil used CHP-power plants 
1. Title of the subsidy programme 
 
CO2-tax discount for fuels used in CHP-power plants. 
 2. Period covered by the notification 
 2013 – 2014.  G/SCM/N/284/EU/Add.9 
 
- 17 - 
 
  3. Policy objective and/or purpose of the subsidy 
 
The general aim of the programme is to relieve CO 2 tax burden of CHP-power plants which are 
part of emission trade sector.  
 
4. Background and authority for the subsidy 
 
Legal basis: Act 1260/1996 and Act 1472/1994. 
 5. Form of the subsidy 
 
Differentiated tax rate and excise duty refund. 
 6. To whom and how the subsidy is provided 
 CHP-power plants which use natural gas, coal, light or heavy fuel oil and biofuel oil.    
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
The amount of aid in 2013 was MEUR 78.32 (not yet final, refund can be applied 
until 31.12.2016). 
The amount of aid in 2014 was MEUR 35.17 (not yet final, refund can be applied until 31.12.2017). 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. 
 9. The trade effects of the subsidy 
 
No effects on international trade. 
 4.7  Waste oil management financed by waste oil charges 
1. Title of the subsidy programme 
 
Waste oil management financed by waste oil charges. 
 
2. Period covered by the notification 
 2011 – 2012. 
 
3. Policy objective and/or purpose of the subsidy 
 
Environmental protection. 
 4. Background and authority for the subsidy 
 The Ministry of the Environment is the responsible authority. 
 5. Form of the subsidy 
 Grant.  
6. To whom and how the subsidy is provided 
 
The subsidy can be provided to enterprises, which have made a contract on waste oil management 
with The Ministry of Environment. 
 G/SCM/N/284/EU/Add.9 
 
- 18 - 
 
  7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
The amount of aid in 2013 was MEUR 0. 
The amount of aid in 2014 was MEUR 0. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 Indeterminate.  9. The trade effects of the subsidy 
 No effects on international trade.  
4.8  Aid for bioenergy production 
1. Title of the subsidy program 
 
Aid for bioenergy production. 
 2. Period covered by the notification 
 
2013. 
 3. Policy objective and/or purpose of the subsidy 
 To increase bioenergy production and to protect environment: Aid for bioenergy production was a discretionary aid. Budget was 5 million euros/year. The main aim of this aid was to promote the 
construction of biogas plants in areas with high numbers of domestic animals and their consequent 
environmental impacts. Aid was granted to co mpanies, municipalities and other entities. 
 4. Background and authority for the subsidy 
 The aid was based on the national law of state subs idies and it was notified to the Commission of 
the European Union after the Commission regu lation (EC) No 800/2008 (declaring certain 
categories of aid compatible with  the common market in application of Articles 87 and 88 of the 
Treaty (General block exemption regulation)).  
5. Form of the subsidy 
 
Investment aid.  
There were specific application periods for the aid. There were two application rounds for biogas 
plant investments. Aid level was decided after the application period and it depended on the amount applied and the money available.  
 
6. To whom and how the subsidy is provided 
 
The aid can be provided for companies, municipalities and other entities. 
 7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 The total amount of budgeted for this aid has been 5 MEUR/year (2008-2011). In 2013 totally 
EUR 3 288 874 € was paid to biogas plant investments. The aid programme for bioenergy 
production expired by the end of year 2013 so year 2014 there were not any subsidies paid. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 The subsidy program ended in 2013.   G/SCM/N/284/EU/Add.9 
 
- 19 - 
 
  9. The trade effects of the subsidy 
 
No effects on international trade.  
4.9  Production aid for electricity fr om renewable energy sources in Åland 
1. Title of the subsidy programme 
 
Production aid for electricity from renewable energy sources in Åland. (Ad hoc aid) 
 2. Period covered by the notification 
 
2013. 
 3. Policy objective and/or purpose of the subsidy 
 Production aid for electricity from renewable energy sources.  
4. Background and authority for the subsidy 
 
Landskapslag om produktionsstöd för el (ÅFS 2013/31) and Landskapslag om ändring av 17 § 
landskapslagen om produktionsstöd för el (ÅFS 2013/71) 
 
5. Form of the subsidy 
 
Grant. 
 6. To whom and how the subsidy is provided 
 The aid is provided to wind turbine operators and one combined heat and power facility using wood chips. The subsidy is based on the amount of electric energy produced.  
7.  The total amount or the annual amount budgeted for the subsidy (indicating if possibly, the 
average subsidy per unit in the previous year) 
 The total annual amount of grants committed in 2013 was MEUR 0,900. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 -  9. Statistical data permitting an assessment of the trade effects of the subsidy 
 No effects on international trade.  
4.10  Electricity cable between mainland Finland and Åland 
1. Title of the subsidy programme 
 
Electricity cable between mainland Finland and Åland. (Ad hoc aid) 
 2. Period covered by the notification 
 
2013 - 2014. 
 3. Policy objective and/or purpose of the subsidy 
 Electricity cable between mainland Finland and Åland.  
4. Background and authority for the subsidy 
 
The annual budget for the Government of Åland. G/SCM/N/284/EU/Add.9 
 
- 20 - 
 
  5. Form of the subsidy 
 
Grant and guarantee.  
6. To whom and how the subsidy is provided 
 
The aid is provided to Kraftnät Åland. The su bsidy is granted by the Government of Åland. 
 
7.  The total amount or the annual amount budgeted for the subsidy (indicating if possibly, the 
average subsidy per unit in the previous year). 
 
The total annual amount of grants committed in 2013 was MEUR 7,800 
The total annual amount of grants committed in 2014 was MEUR 5,043 The total annual guarantee in 2013 was MEUR 30,000 
The total annual guarantee in 2014 was MEUR 60,000 
 8. Duration of the subsidy and/or any other time limits attached to it 
 2012 - 2016.  9. The trade effects of the subsidy 
 No effects on international trade.  
5  OTHER SUBSIDIES 
5.1  Innovation aid scheme for th e Finnish shipbuilding industry  
1. Title of the subsidy programme 
 
Innovation aid scheme for the Finnish shipbuilding industry.  2. Period covered by the notification 
 2013 - 2014.  
3. Policy objective and/or purpose of the subsidy 
 
Innovation aid may be granted for the industrial application of innovative products and processes. 
These are technologically new or substantially improved products and processes when compared 
to the state of the art that exists in  the shipbuilding industry in the EU. 
 4. Background and authority for the subsidy 
 The authorisation to grant this aid is decided in the Finnish legislation. Innovation aid scheme has been notified in the EU (State aid SA.34408 (2012/N); State aid SA.37735 (2013/N); and State 
aid SA.38798 (2014/N)).  
 The total amount of aid is decided in the State budget annually. 
 
5. Form of the subsidy 
 Direct grant. 
 
6. To whom and how the subsidy is provided 
 
The aid is granted to the Finnish shipbuilding industry by Centre for Economic 
Development, Transport and the Environment for So uthwest Finland. If the amount of the aid is 
over five (5) million euro, the aid is granted by the Ministry of Employment and the Economy.   
 G/SCM/N/284/EU/Add.9 
 
- 21 - 
 
  7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
In 2013 the amount of the Budget Authority was 39 .0 MEUR. The amount of the aid granted was 
38.9 MEUR. 
In 2014 the amount of the Budget Authority was 10 .0 MEUR. The amount of the aid granted was 
10.0 MEUR. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 The SA.34408 scheme was in effect from 1.8.2012 to 31.12.2013. The subsidy was to be used for 
a project which will be completed until the end of 2016.  
 The SA.37735 scheme was in effect from 1.1.2014 to 30.6.2014. The subsidy was to be used for a 
project which will be completed until the end of 2016.  
 The SA.38798 scheme was in effect from 1.7.2014 to 31.12.2014. The subsidy was to be used for 
a project which will be completed until the end of 2016.  
 9. The trade effects of the subsidy 
 
No effects on international trade.  
 5.2  Vessels for the purpose of im proving environmental protection 
1. Title of the subsidy programme 
 
The scheme on general guidelines on investment aid to vessels for the purpose of improving 
environmental protection. 
 2. Period covered by the notification 
 
2013 and 2014. 
 3. Policy objective and/or purpose of the subsidy 
 The objective of the scheme is to encourage shippi ng companies to adopt environmentally friendly 
technologies and to include investments improving environmental protection in their future vessel 
building programmes.  
 4. Background and authority for the subsidy 
 
Emissions from shipping due to the combustion of marine fuels with high sulphur content 
contribute to air pollution in the form of sulphur dioxide and particulate matter, harming human health, damaging the environment, public and private property and cultural heritage and 
contributing to acidification. 
 Due to the particular contribution of shipping emissions to the acidification problems in northern 
Europe, the International Maritime Organization (IMO) had designated the Baltic Sea, the English 
Channel and North Sea as so-called Sulphur Emission Control Areas (SECAs) in the EU. The stricter sulphur limits for marine fuel in SECA (0,10%) have been applicable as of 1 January 2015.  
5. Form of the subsidy 
 
Subsidy scheme. 
 
6. To whom and how the subsidy is provided 
 
Any vessels operator registered in Finland in shipping operation is eligible for subsidies. The 
scheme does not provide for any particular technology.   G/SCM/N/284/EU/Add.9 
 
- 22 - 
 
  7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 
The budget of the scheme is MEUR 60,0 for the pe riod 2010 to 2014. The total amount of the 
subsidy for the year 2013 was MEUR 28,0 and for the year 2014 EUR 0.  
 8. Duration of the subsidy and/or any other time limits attached to it 
 From 12.11.2010 to 31.12.2014.   9. The trade effects of the subsidy  
 No effects on international trade.  
5.3  Aid in the field of rural development 
1. Title of the subsidy programme 
 
Investment aid for rural SMEs (Rural Development Programme for Mainland Finland 2007-2013: 
measures 123 Adding value to forestry products, 311 Diversification into non-agricultural activities and 312 Creation and development of micro-enterprises).  
 
2. Period covered by the notification 
 
2013 – 2014. 
 
3. Policy objective and/or purpose of the subsidy 
 
The general strategy promotes the diversification of the rural economy by rural micro-sized 
enterprises that play a significant role in preventing unemployment and boosting the local and regional economy in general. The strategic target is to create new businesses, accelerate their growth and create jobs. 
 
4. Background and authority for the subsidy 
 
Legal basis: Investment aid for rural enterprises is granted in accordance with axis 1 and 3 under 
Council Regulation (EC) No 1698/2005 and Commi ssion Regulation (EC) No 1974/2006 laying 
down the rules for its implementation. The national  implementation is based on the Act on Support 
for Rural Development (1443/2006) and Government Decree on Support for Rural 
Enterprises (632/2007).   5. Form of the subsidy. 
 Investment aid.  
6. To whom and how the subsidy is provided 
 
Fifteen regional Centres for Economic Developm ent, Transport and the Environment receive the 
aid applications and grant the aid for the rural micro- enterprises. Centres for Economic 
Development, Transport and the Environment take into consideration the special characteristics of their region when granting the aid.  
7. The total amount or the annual amount budgeted for the subsidy (indicating, if possible, the 
average subsidy per unit in the previous year) 
 Expenditure in 2013: grand total: MEUR 2,66. 
Expenditure in 2014: grand total: MEUR 4,09.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
2010 – 2014.  G/SCM/N/284/EU/Add.9 
 
- 23 - 
 
  9. The trade effects of the subsidy 
 
No effects on international trade.  
5.4  Tax deferral of taxable capital income for Business Angels Scheme 
1. Title of the subsidy programme 
 
Tax deferral of taxable capital income for Business Angels Scheme. 
 2. Period covered by the notification 
 
2013 - 2015. 
 3. Policy objective and/or purpose of the subsidy 
 Aid for equity financing of SMEs.  
4. Background and authority for the subsidy 
 
Legal basis: Act on Risk Capital Tax Deferral (993/28.12.2012); in force from 15 of May 2013.  
5. Form of the subsidy 
 
Tax deferral. 
 
6. To whom and how the subsidy is provided 
 
All private individuals who are generally liable for taxation in Finland are eligible for the tax 
deferral under the measure. Investments eligible under the measure are those made exclusively in 
the form of equity through the acquisition of newl y issued shares in the enterprise (100% equity 
investments). The eligible investors shall not be connected with the target enterprises receiving 
investments. 
 Investors will obtain a tax relief of 50% of the amount of their investment from their capital 
income. This deduction will be considered capital income in full upon the sale of the shares 
(withdrawal of the deduction). The deduction mu st be at least EUR 5 000 and cannot exceed 
EUR 75 000. The investor may invest in several target enterprises, but the deduction cannot 
exceed EUR 150 000 per tax year in such cases. At the level of the enterprise the amount of 
eligible investments is limited to EUR 2.5 million over a period of 12 months.  Only investments in small enterprises (not publicly listed) are eligible, falling within the 
Community SME-definition and incorporated as limited liability companies in Finland (Osakeyhtiö) 
or legally equivalent capital companies in the EEA, which are subject to income tax. Enterprises must have been established less than six years be fore the investment. Enterprises should not be 
engaged in banking, insurance, real estate investments, investments in stock markets and 
farming. Investments in enterprises in the shipbuil ding, coal and steel industry are also excluded. 
Enterprises shall formulate a detailed business plan that shall contain details of the product, sales 
and profitability development and establish the ex -ante viability of the project, illustrating its 
profit-driven character. Together with the investor , the enterprises shall draw up an exit strategy, 
indicating the time and the means of an exit.  
7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual 
amount budgeted for that subsidy (indicating, if possible, the average subsidy per unit in the 
previous year) 
 
In 2013 the total amount of the subsidy was 1 616 065,74 €. In 2014 the total amount of the subsidy was 1 457 810,34 € (estimate). 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 - G/SCM/N/284/EU/Add.9 
 
- 24 - 
 
  9. The trade effects of the subsidy 
 
No effects on international trade.  
5.5  Subscription for shares 
1. Title of the subsidy programme 
 
Subscription for shares. 
 2. Period covered by the notification 
 
1993 – no time limits. 
 3. Policy objective and/or purpose of the subsidy 
 Subscription for shares.  
4. Background and authority for the subsidy 
 
The annual budget for the Government of Åland.  
5. Form of the subsidy 
 
Subscription for shares. 
 
6. To whom and how the subsidy is provided 
 
The aid is provided to necessary investments in infrastructure provided by companies. The subsidy 
is granted by the Government of Åland.  7.  The total amount or the annual amount budgeted for the subsidy (indicating if possibly, the 
average subsidy per unit in the previous year) 
 The total annual amount of subscription for shares committed in 2014 was MEUR 3,750. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
No limits. 
 9. The trade effects of the subsidy 
 
No effects on international trade. 
  
__________