G/SCM/N/253/EU/Add.8  
 
4 October 2013  
(13-5346)  Page: 1/32  
 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/253/EU/Add.8 
 
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  FINLAND  
 
TABLE OF CONTENTS 
 
 
1   AID TO SMALL AND MEDI UM-SIZED ENTERPRISES ..................................................... 4  
1.1   State aid for the inte rnationalisation of SMEs ................................................................. 4  
1.2   State aid for internationalisatio n projects of SMEs  in Russia ............................................. 4  
1.3   Loan programme for SMEs (Finnver a plc) ...................................................................... 5  
1.4   Development loan programme for SMEs (Finnvera plc) .................................................... 6  
1.5   Entrepreneur lo an (Finnver a plc).................................................................................. 7  
1.6   Environment loan progra m for SMEs (Fi nnvera plc) ........................................................ 7  
1.7   Guarantee provision aid .............................................................................................. 8  
1.8   Rescue and restructuring aid to small and medium-sized enterprises ................................. 9  
1.9   Development se rvices for SMEs .................................................................................. 10 
1.10   Development se rvices for SMEs ................................................................................ 10 
2   AID FOR RESEARCH  AND DEVELO PMENT ................................................................... 11  
2.1   Aid for pr omoting R&D&I ........................................................................................... 11 
3   REGION AL AI D .......................................................................................................... 12  
3.1   Business development aid .......................................................................................... 12 
3.2   Regional transport subsidy ......................................................................................... 13 
3.3   Accelerated regional depreciation ................................................................................ 14 
3.4   Grant for in vestments (Åland) .................................................................................... 15 
4   AID IN THE FIELD OF ENERGY ................................................................................... 15  
4.1   Energy grants .......................................................................................................... 15 
4.2   Feed-in tariff fo r renewable energy ............................................................................. 16 
4.3   Fixed operating aid for power plants using renewable energy sources ............................... 17 
4.4   Aid measures connected to energy taxation .................................................................. 18 
4.5   Differentiated tax rate for electricity consumed by industry ............................................. 19 
4.6   Aid measures connected to biofuels ............................................................................. 19 
4.7   Aid measures connected to biofuels ............................................................................. 20 
4.8   Energy tax refund for energy intensiv e enterp rises ........................................................ 21 
4.9   Carbon dioxide tax discount for natural gas, coal, light and heavy fuel oil and biofuel 
oil used chp-po wer plants ................................................................................................. 22 
4.10   Waste oil management financed by waste oil charges ................................................... 22 
4.11   Aid for chipping  of energy wood ................................................................................ 23 
4.12   Aid for bioenergy production ..................................................................................... 24 
5   OTHER SU BSIDIES .................................................................................................... 25  
5.1   Training aid in Åland ................................................................................................. 25 
5.2   Restructuring ai d to air Åland Ab ................................................................................ 25 
5.3   Construction aid for business ...................................................................................... 26 G/SCM/N/253/EU/Add.8 
 
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  5.4   The scheme on general guidelines on investment aid to vessels for the purpose of 
improving environm ental protection.................................................................................... 27 
5.5   Aid for mari time tran sport ......................................................................................... 28 
5.6   Taxation in the maritime tr ansport sector for passenger ships ......................................... 28 
5.7   Prolongation of the reimbursement scheme for social security costs and costs 
related to personal income taxation in the maritime tr ansport se ctor ....................................... 29 
5.8   Aid in the field of rural development ............................................................................ 30 
5.9   Tonna ge tax ............................................................................................................ 31 
 
 
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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 internationalization of SMEs.  
2. Period covered by the notification 
 
2011 - 2012.  
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 Tranfers 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 2011 was MEUR 25.6.  The total amount of grants in 2012 was MEUR 24.0. 
 
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  State aid for internationalisation projects of SMEs in Russia 
1. Title of the subsidy programme 
 
State aid for internationalisation projects of SMEs in Russia. 
 
2. Period covered by the notification 
 
2012. 
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  3. Policy objective and/or purpose of the subsidy 
 
The Ministry of Employment and the Economy supports Finnish SMEs in developing business activities in Russia, by funding projects analys ing the establishment of businesses and launch of 
production in Russia, or the development of subsidiaries already operating there. 
 4. Background and authority for the subsidy 
 Ministry of Employment and the Economy (Innovation Department). (Act on Discretionary Government Tranfers 688/2001)  
5. Form of the subsidy 
 
Grant. 
 
6. To whom and how the subsidy is provided 
 
The state aid for businesses internationalisation is provided to Finnish SMEs on an application to 
Ministry of Employment and the Economy.  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 2012 was MEUR 1.0. 
 
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. 
 1.3  Loan programme for SMEs (Finnvera plc) 
1. Title of the subsidy programme 
 
General block exemption Regulation (GBER) and de minimis  aid. 
Soft loans for investments and working capital for SMEs. 
 2. Period covered 
 
2011 - 2012. 
 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 is partially financed by the European regional development fund. 
 
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 serv ice enterprises and tourism industry by Finnvera 
plc (state-owned specialised financing company). Subsidy element is in availability and in interest rate of the loans. G/SCM/N/253/EU/Add.8 
 
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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 2011 the amount of aid was MEUR 11.0. 
  In 2012 the amount of aid was MEUR 11.4 . 
 
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. 
 1.4  Development loan progra mme for SMEs (Finnvera plc) 
1. Title of the subsidy programme 
 
General block exemption Regulation (GBER) and de minimis  aid. 
Soft loans for product development and managerial skills. 
 
2. Period covered 
 
2011 - 2012. 
 3. Policy objective and/or purpose of the subsidy 
 Aid for SMEs.  4. Background and authority for the subsidy 
 The authorisation to grant these loans is decided annually in the State budget.  
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 serv ice 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 2011 the amount of aid was MEUR 0.3. 
 In 2012, the amount of aid was MEUR 0.5.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. The subsidy is given all the years to maturity, usually 5 years. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
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  1.5  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 
 2011 – 2012.  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. 
 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 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 2011 the amount of aid was MEUR 1.9.  
In 2012 the amount of aid was MEUR 1.5. 
 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.  
1.6  Environment loan program for SMEs (Finnvera plc) 
1. Title of the subsidy programme 
 
General block exemption Regulation (GBER) and de minimis  aid. 
Soft loans for environmental investments.  2. Period covered by the notification. 
 
2011 - 2012.  
3. Policy objective and/or purpose of the subsidy 
 
Aid to SMEs: to promote environment protection, energy saving, circulation of raw materials etc. 
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  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. 
 
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 of the loans and in interest rates. 
 
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 2011 the amount of aid was MEUR 0.3.  In 2012 the amount of aid was MEUR 0.3. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate. The subsidy is given all the years to maturity, usually 5-10 years. 
 9. The trade effects of the subsidy 
 No effects on international trade . 
 1.7  Guarantee provision aid 
1. Title of the subsidy program 
 
General block exemption Regulation (GBER) and de minimis  aid. 
 
2. Period covered 
 
2011 - 2012. 
 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 ar e 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.  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. 
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  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 2011 the amount of aid was MEUR 12.1. 
  
In 2012 the amount of aid was MEUR 8.0.  
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. 
 
1.8  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 
 2011-2012.  
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 2011 was MEUR 0.  
The total amount of grants in 2012 was MEUR 1.6. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 
The scheme will expire end of the year 2013. 
 9. The trade effects of the subsidy 
 No effects on international trade.  G/SCM/N/253/EU/Add.8 
 
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1.9  Development services for SMEs 
1. Title of the subsidy programme 
 
Development programmes for SME's. 
 2. Period covered by the notification 
 2011.  3. Policy objective and/or purpose of the subsidy 
 The purpose is to support development of SME's business activities and personnel skills.  
4. Background and authority for the subsidy 
 
Development Services for SME's Act 971/2004. 
 
5. Form of the subsidy 
 Price subsidy (the reduction of the participation fee). 
 
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 20.86 – aid intensity approximately 95-70% per company in the year 2011.  
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. 
 1.10  Development services for SMEs 
1. Title of the subsidy programme 
 
PreciseTraining.  
2. Period covered by the notification 
 
2011 – 2012. 
 
3. Policy objective and/or purpose of the subsidy 
 The purpose is to support development of the vocational skills of SME's personnel. 
 
4. Background and authority for the subsidy 
 
Act on the Public Employment Service 1295/2002 
 5. Form of the subsidy 
 Share of the total costs of the training.  G/SCM/N/253/EU/Add.8 
 
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  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 8.2 – aid intensity 25-80% per company in the year 2011. 
 MEUR 7.35 – aid intensity 25-80% per company in the year 2012.  
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 
 
2011 – 2012. 
 3. Policy objective and/or purpose of the subsidy 
 
Aid for research and development. 
 4. Background and authority for the subsidy 
 Legal basis: Council of State decision on 30 Apr il 2008 on financing of research-, development- 
and innovation activities (298/2008); in force from 7 of May 2008. 
 
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 normal maximum aid 
intensity is 100% for basic research, 50% for industrial research and 25% for experimental research. These maximum levels can be raised up to 75% in industrial research and experimental 
research. (Council of State Decision 298/2008). 
 The subsidy is granted by the Finnish Funding Ag ency for Technology and Innovation (Tekes). 
 
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 2011, the commitment amount of grants was: 
 
- for R&D&I activities MEUR 203.2. 
- for young innovative enterprises MEUR 32.6. 
- SME for Innovation advisory and support services MEUR 2.0. 
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  The commitment amount of loans MEUR 101.4 (aid element MEUR 21.4). 
 In 2012, the commitment amount of grants was:  
- for R&D&I activities MEUR 179.4. 
- for young innovative enterprises MEUR 28.9. - SME for Innovation advisory and support services MEUR 0.4. 
 
The commitment amount of loans MEUR 117.0 (aid element MEUR 19.7)  8. Duration of the subsidy and/or any other time limits attached to it 
 7.5.2008 – 31.12.2013.  
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 
 
2011 – 2012. 
 
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 1336/2006 on State Aid for Business Development. 
 
The Act entered into force on 18 June 2006.  Government Decree on State Aid for Business Development (675/2007) including later 
amendments. 
 The aid is granted by the Ministry of Employ ment and the Economy and the 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 development regions only, and only for special reasons. G/SCM/N/253/EU/Add.8 
 
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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 2011 was MEUR 93.6. 
 
The amount granted in 2012 was MEUR 90.4.  
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
Until 31 December 2014. 
 
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 
 
2011 - 2012.  
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 start from regions, which have less than 12.5 inhabitants per 
km2: Lapland, North Ostrobothnia, Kainuu, North Karelia and South Savo, are eligible for subsidy. 
In addition to that the subsidy is granted in th e 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)   
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 
mention under 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 G/SCM/N/253/EU/Add.8 
 
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  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 7 – 29% of the transporting costs on the transports occurring 31 December 2011 and earlier; to the transports occurring from 1 of January 2012 the amo unt 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 2011 were MEUR 5.9.  
The actual payments in 2012 were MEUR 6.7.  
 8. Duration of the subsidy and/or any other time limits attached to it 
 Until 31 December 2013.  
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 
 2011- 2012.  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 per cent (for machinery 
from 25% to 37.5% and for industrial buildings from 7% to 10.5%). 
 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 2011 was MEUR 0.5. 
The amount granted in 2012 was MEUR 0.5. 
 Maximum possible aid intensity that, according to the rules and conditions on which the subsidy is granted, can be obtained in favour of any one project is 1%. G/SCM/N/253/EU/Add.8 
 
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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. 
 3.4  Grant for investments (Åland) 
1. Title of the subsidy programme 
 
Grant for investments (Åland).  
2. Period covered by the notification 
 
2011 – 2012. 
 
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 2011 was MEUR 1.085. 
 The total annual amount of grants committed in 2012 was MEUR 0.820.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
2007 – 2013. 
 
9. Statistical data permitting an assessment of the 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. 
 
2. Period covered by the notification 
 
2011 - 2012. 
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  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 
(1313/2007).  
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 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 2011 was MEUR 113.5.  
In 2012 was MEUR 37.8. 
 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 2012). 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 
 2011-2012.  
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. 
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  5. Form of the subsidy 
 
Form 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.  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 2011 was MEUR 0.058. 
 
The total amount in 2012 was MEUR 33.2.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
The scheme will expire 14 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  Fixed operating aid for power plants using renewable energy sources 
1. Title of the subsidy programme 
 
Fixed operating aid for power plants using renewable energy.  
2. Period covered by the notification 
 
2011-2012 (Scheme was in operation only for the year 2011 and the payments were made 
in 2012) 
 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). Fixed operating aid was granted for wind power, forest chip use in power 
plants, hydropower and for biogas.  The Ener gy Market Authority operates the scheme. 
 5. Form of the subsidy 
 From of the subsidy was fixed operating aid. The aid level was:   6.90 €/MWh for wind power and forest chips G/SCM/N/253/EU/Add.8 
 
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  4.20 €/MWh for biogas and hydropower. 
 6. To whom and how the subsidy is provided 
 
The subsidy can be provided for producers of electricity from the abovementioned sources. 
 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 2012 was MEUR 8.5.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
Scheme was in operation only for the year 2011 and the payments were made in 2012. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 4.4  Aid measures connected to energy taxation 
1. Title of the subsidy programme 
 
Aid measures connected to energy taxation  
2. Period covered by the notification 
 
2008 - 2010. 
 
3. Policy objective and/or purpose of the subsidy 
 The general aim of the programme is environmenta l. The purpose is i.e. to promote the use of 
renewable energy. 
 4. Background and authority for the subsidy 
 Legal basis: Act 1260/1996.  
5. Form of the subsidy 
 
Grant.  
6. To whom and how the subsidy is provided 
 
The aid is granted for power plants producing electricity from wood forest chips, for small hydro 
power plants max 1 MVA, for wind power, for bio gas as well as for recycled fuels. The aid is 
(EUR 0.0069 per kWh for wind power and forest chips, EUR 0.0042 per kWh for bio gas and hydro power plants and EUR 0.0025 for recycled fuels). 
 
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 2008 was MEUR 11.66 (last notification was not final amount). 
 The amount of aid in 2009 was MEUR 12.41. 
  
The amount of aid in 2010 was MEUR 16.17.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
Indeterminate.  G/SCM/N/253/EU/Add.8 
 
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  9. The trade effects of the subsidy 
 
No effects on international trade.  
4.5  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 
 
2011 - 2012. 
 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. All other cases fall under category I. 
 
Electricity tax rate: cent/kWh    2011  2012   - category I                   1.703  1.703 
 - 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 2011 was MEUR 382.0.  
The amount granted in 2012 was MEUR 371.1. 
 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  Aid measures connected to biofuels 
1. Title of the subsidy programme 
 
Individual aid to Neste Oil Plc for pilot manufacture of NExBTL biodiesel. 
 2. Period covered by the notification 
 2011 - 2012.  G/SCM/N/253/EU/Add.8 
 
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  3. Policy objective and/or purpose of the subsidy 
 
To enable testing of new eco-friendly biofuel.  
4. Background and authority for the subsidy 
 
The relief is granted by the Ministry of Finance and it is paid by the district customs offices 
according to use of new biodiesel. 
 5. Form of the subsidy 
 
Relief. 
 6. To whom and how the subsidy is provided 
 Company which manufactures and delivers testfuel to  be used has to pay excise duty on diesel oil 
(36.40 c/litre), but after the use company can apply refund 31.94 c/litre. Maximum relief cannot 
be more than 7,154,560 euro, when fuel is used during period 1.7.2007 – 31.12.2010. 
 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 2011 was MEUR 0.95.  
The amount granted in 2012 was MEUR 0. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 2007 – 2010 (fuel used 2010 the refund can still be applied before 31.12.2013).  9. The trade effects of the subsidy 
 No effects on international trade.  
4.7  Aid measures connected to biofuels 
1. Title of the subsidy programme 
 
Excise duty exemption for biofuel granted to St 1 Oy for ECO-100 project bio-ethanol production. 
 2. Period covered by the notification 
 
2011 - 2012. 
 3. Policy objective and/or purpose of the subsidy 
 To enable testing of new eco-friendly biofuel.  
4. Background and authority for the subsidy 
 
The relief is granted by the Ministry of Finance and it is paid by the district customs offices 
according to use of new bio-ethanol. 
 
5. Form of the subsidy 
 
Relief. 
 6. To whom and how the subsidy is provided 
 Company which manufactures bio-ethanol to be used has to pay excise duty 62.70 c/litre when bio-ethanol is used replace gasoline and 36.40 c/li tre when it replace diesel oil. After the use G/SCM/N/253/EU/Add.8 
 
- 21 - 
 
  company can apply refund according excise duties paid for this testfuel. Maximum relief cannot be 
more than 2,696,100 euro, when fuel is used during period 1.4.2009 – 31.3.2011.  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 2011 was MEUR 0.22. 
 
The amount granted in 2012 was MEUR 0.03.  8. Duration of the subsidy and/or any other time limits attached to it 
 2009 – 2011 (fuel used 2011 the refund can still be applied before 31.12.2014).  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
4.8  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 
 2011 - 2012.  
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 3. 7 per cent. (starting 1.1.2012 3.7% is changed to 
0.5%) of the company's value added during the accounting period, the company is entitled to apply on the exceeding amount for a refund of 85 pe r cent. 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. Howeve r, the maximum refund 
may be as high as the excise duties paid for electr icity, coal, natural gas, and tall-oil or the excise 
duties contained in their acquisition prices. 
 
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 2010 was MEUR 7.15 (final) The amount of aid in 2011 was MEUR 69.81 (final) 
The amount of aid in 2012 was MEUR 9.63 (not final amount, because refund can be applied until 
30.6.2013)  G/SCM/N/253/EU/Add.8 
 
- 22 - 
 
  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. 
 
4.9  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 
 
2011 - 2012. 
 
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 2011 was MEUR 64.65 (not ye t final, refund can be  applied until 31.12.2014) 
 The amount of aid in 2012 was MEUR 65.99 (not ye t final, refund can be  applied until 31.12.2015) 
 
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.  4.10  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. 
 G/SCM/N/253/EU/Add.8 
 
- 23 - 
 
  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.  
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 2011 was MEUR 0.3. 
 
The amount of aid in 2012 was MEUR 0.4.  
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. 
 
4.11  Aid for chipping of energy wood 
1. Title of the subsidy program 
 
Aid for chipping of energy wood.  
2. Period covered by the notification 
 
2011-2012.  
3. Policy objective and/or purpose of the subsidy 
 
Environmental protection. By using wood for energy production we can decrease CO 2 emission. If 
we use one solid cubic meter wood for energy it means 0.6 tons CO 2  reduction in CO 2 emissions 
assuming that wood replaces oil.  
4. Background and authority for the subsidy 
 
The aid for chipping of energy wood is one part of the aid scheme on the financing of sustainable 
forestry in Finland. The finance is provided for private forest owners. The wood which has been 
harvested while tending young stands or in connection of non –commercial thinnings is collected 
and chipped for energy production. The applications  on financ e  mus t b e sub mit to the  re g ional 
forest centers and these centers approve of the applications. 
 
5. Form of the subsidy 
 
The subsidy is a grant EUR 1.7 per loose cubic meter. 
 G/SCM/N/253/EU/Add.8 
 
- 24 - 
 
  6. To whom and how the subsidy is provided 
 
The subsidy can be provided for the private forest owners, the entrepreneurs or the forest owners' association if they do the chipping. 
 
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 2011 was MEUR 5.2.  The total amount of grants in 2012 was MEUR 11.3. 
 
8. Duration of the subsidy and/or any other time limits attached to it 
 
The scheme expired 31 December 2012. 
 9. The trade effects of the subsidy 
 No effects on international trade.  4.12  Aid for bioenergy production 
1. Title of the subsidy program 
 
Aid for bioenergy production. 
 
2. Period covered by the notification 
 
2011-2012. 
 3. Policy objective and/or purpose of the subsidy 
 
To increase bioenergy production and to protect environment: Aid for bioenergy production is a 
discretionary aid. Budget is 5 million euros/year. The main aim of this aid is to promote the construction of biogas plants in areas with high numbers of domestic animals and their consequent 
environmental impacts. Aid can be granted to companies, municipalities and other entities. 
 4. Background and authority for the subsidy 
 The aid is based on the national law of state subsidies and it is notified to the Commission of the European Union after the Commission regulation (EC) No 800/2008 (declaring certain categories of aid compatible with the common market in applicat ion of Articles 87 and 88 of the Treaty (General 
block exemption regulation)) 
 5. Form of the subsidy 
 Investment aid.  
There are specific application periods for the aid.  So far, there have been two application rounds 
for biogas plant investments. Aid level is decided after the application period and it depends 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 2011 totally 
EUR 711 129 and in 2012 totally EUR 1 579 518 were paid to biogas plant investments.  G/SCM/N/253/EU/Add.8 
 
- 25 - 
 
  8. Duration of the subsidy and/or any other time limits attached to it 
 
Duration of subsidy program ends 2013.  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
5  OTHER SUBSIDIES 
5.1  Training aid in Åland 1. Title of the subsidy programme 
 
Training aid in Åland.  
2. Period covered by the notification 
 
2011-2012. 
 
3. Policy objective and/or purpose of the subsidy 
 Main objective is to increase the training of employees. 
 
4. Background and authority for the subsidy 
 
The annual budget of Government of Åland. 
 5. Form of the subsidy 
 Grant.  6. To whom and how the subsidy is provided 
 Granted to specific companies applying for a grant.  
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 2011 was MEUR 0.02. 
 The amount granted in 2012 was MEUR 0.008.  
8. Duration of the subsidy and/or any other time limits attached to it. 
 
2007-2013. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 5.2  Restructuring aid to air Åland Ab 
1. Title of the subsidy programme 
 
Restructuring aid to Air Åland Ab.  
2. Period covered by the notification 
 
2011. 
 G/SCM/N/253/EU/Add.8 
 
- 26 - 
 
  3. Policy objective and/or purpose of the subsidy 
 
Restructuring aid.  
4. Background and authority for the subsidy 
 
Act of the Åland Islands (1988:50) on loans, in terest subsidies and support from the region's 
resources and the regional warranty. 
 5. Form of the subsidy 
 
Loan. 
 6. To whom and how the subsidy is provided 
 One-off payment to Air Åland Ab  
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 2011 was MEUR 0.300. 
 
The total annual amount of grants committed in 2012 was MEUR 0.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
2011. 
 
9. Statistical data permitting an assessment of the trade effects of the subsidy 
 No effects on international trade. 
 
5.3  Construction aid for business 
1. Title of the subsidy programme 
 
Support for  construction of  building for Stiftelsen Hemmet  r.s's activities. 
 
2. Period covered by the notification 
 
2011 – 2012.  
3. Policy objective and/or purpose of the subsidy 
 
Construction of new building for business. 
 
4. Background and authority for the subsidy 
 
Regulation of the Åland Islands  (1993:56) concerning Ålands  Penningautomatförening  and its 
activities.  
 5. Form of the subsidy 
 Grant.  
6. To whom and how the subsidy is provided 
 
The aid is provided to Stiftelsen Hemmet r.s. The subsidy is granted by the Government of Åland. 
 G/SCM/N/253/EU/Add.8 
 
- 27 - 
 
  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 2011 was MEUR 0.260. 
 
The total annual amount of grants committed in 2012 was MEUR 0.278.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
2011 – 2013.  
9. Statistical data permitting an assessment of the trade effects of the subsidy 
 
No effects on international trade. 
 
5.4  The scheme on general guidelines on in vestment aid to vessels for the purpose of 
improving 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 
 
2011 and 2012. 
 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.  
 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. 
 
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 30.0 for the pe riod 2010 to 2012. The total amount of the 
subsidy for the year 2011 was EUR 0 and for the year 2012 MEUR 2.0. 
 G/SCM/N/253/EU/Add.8 
 
- 28 - 
 
  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. 
 
5.5  Aid for maritime transport 
1. Title of the subsidy programme 
 
Aid for maritime transport (Aides au transport maritime). 
  2. Period covered by the notification 
 2011.  
3. Policy objective and/or purpose of the subsidy 
 
The objectives of the scheme are maintaining th e competitiveness of the Finnish merchant navy 
and development of the maritime transport sector. 
 
4. Background and authority for the subsidy 
 
Since 1990-ies Finland has in place the reimbursement scheme with respect to social security 
payments and employees' income tax in the maritime transport sector (Commission decisions N 856/2000, N 801/2001 and N 408/2005). Decision N 67/2009 is extending scheme N 856/2000 
to cover cabotage and towing/pushing and dredging vessels. 
 5. Form of the subsidy 
 
Subsidy scheme. 
 6. To whom and how the subsidy is provided 
 Any shipping company whose vessels sail under Finland's flag is eligible for subsidies.  
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 the subsidy for the year 2011 was MEUR 33.8. 
  
8. Duration of the subsidy and/or any other time limits attached to it 
 
The subsidy programme was valid from 1.1.2009 to 31.12.2011. It is now covered by the 
programme Prolongation of the reimbursement scheme for social security costs and costs related to personal income taxation in the maritime transport sector. 
 
9. The trade effects of the subsidy 
 No effects on international trade. 
 
5.6  Taxation in the maritime tr ansport sector for passenger ships 
1. Title of the subsidy programme 
 
Taxation in the maritime transport sector for passenger ships (Taux de transport maritime de passagers des navires). 
 G/SCM/N/253/EU/Add.8 
 
- 29 - 
 
  2. Period covered by the notification 
 
2011.  
3. Policy objective and/or purpose of the subsidy 
 
The objectives of the scheme are ensuring furthe r development of the Finnish maritime transport 
sector and maintaining the competitiveness of the fleet. 
 4. Background and authority for the subsidy 
 
Since 1990-ies Finland has in place the reimbursement scheme with respect to social security 
payments and employees' income tax in the maritime transport sector. Decision N 120/2009 is amending scheme N 70/2004. 
 
5. Form of the subsidy 
 
Subsidy scheme. 
 6. To whom and how the subsidy is provided 
 
Any shipping company who has registered at least one passenger ship to the Finnish Register of 
Ships is eligible for subsidies.  
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 the subsidy for the year 2011 was MEUR 44.2. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 
The subsidy programme was valid from 1.1.2009 to 31.12.2011. It is now covered by the 
programme Prolongation of the reimbursement scheme for social security costs and costs related to personal income taxation in the maritime transport sector. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 5.7  Prolongation of the reimbursement sc heme for social security costs and costs 
related to personal income taxation  in the maritime transport sector 
1. Title of the subsidy programme 
 
Prolongation of the reimbursement scheme for social security costs and costs related to personal 
income taxation in the maritime transport sector. 
 2. Period covered by the notification 
 2012.  3. Policy objective and/or purpose of the subsidy 
 The objectives of the scheme are maritime empl oyment and improvement of competitiveness of 
the Finnish maritime sector. 
 
4. Background and authority for the subsidy 
 
Since 1990s Finland has in place the reimbursement scheme with respect to social security 
payments and employees' income tax in th e maritime transport sector. The latest 
changes/prolongations of the scheme were a pproved by Commission decisions N 67/2009 and G/SCM/N/253/EU/Add.8 
 
- 30 - 
 
  N 120/2009. Commission decision SA.35110 combines the aforementioned decisions N 120/2009 
and N 67/2009 (and thus all previous notifications related to manning costs).  5. Form of the subsidy 
 Subsidy scheme.  
6. To whom and how the subsidy is provided 
 
The scheme foresees subsidies covering 100% of seafarers' income tax and 100% of the social security payments with respect to seafarers em ployed on Finnish flagged ships. Any shipping 
company whose vessels sail under Finland's flag is eligible for subsidies. 
 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 indicative annual budget of the State aid sc heme is MEUR 81.0. The total amount of the 
subsidy for the year 2012 was MEUR 78.8. 
 8. Duration of the subsidy and/or any other time limits attached to it 
 
The Finnish authorities notified the prolongation  of the scheme from 1 January 2012 for unlimited 
duration, insofar as the applicable EU State aid rules for the transport sector remain unchanged.  
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
5.8  Aid in the field of rural development 
1. Title of the subsidy programme 
 
Investment aid for rural micro-enterprises (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 
 
2011 - 2012. 
 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. 
 G/SCM/N/253/EU/Add.8 
 
- 31 - 
 
  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 2011: grand total: MEUR 7.3. 
 
Expenditure in 2012: grand total: MEUR 11.4.  
8. Duration of the subsidy and/or any other time limits attached to it 
 
2010 – 2013. 
 
9. The trade effects of the subsidy 
 No effects on international trade. 
 
5.9  Tonnage tax 
1. Title of the subsidy programme  
 
Tonnage tax.  
2. Period covered by the notification 
 
2012.  
3. Policy objective and/or purpose of the subsidy 
 
State aid for shipping companies. 
 
4. Background and authority for the subsidy 
 
Legal basis: Act 723/2004 as amended by acts 90/ 2012. The responsible authority is the Ministry 
of Finance.  5. Form of the subsidy 
 Tax benefit (income tax substituted for tonnage tax).  
6. To whom and how the subsidy is provided 
 
The subsidy is granted for certain shipping companies subject to certain conditions. The tonnage 
tax regime is available to limited liability companies and permanent establishments operating 
vessels in international traffic.  Tonnage tax is an alternative to Corporation Tax. Tonnage tax is calculated at a digressive tax 
rate. Tax is based on net tonnage. 
 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 2012 was MEUR 2.7. 
 G/SCM/N/253/EU/Add.8 
 
- 32 - 
 
  8. Duration of the subsidy and/or any other time limits attached to it 
 
Tonnage tax period for a company is 10 years. A company can apply for another period of 10 years. 
 
9. The trade effects of the subsidy 
 
No effects on international trade. 
 
__________