Country Report Finland
Jussi Hirvonen
Delegate of Finland
Executive Director, Finnish Heat Pump Association SULPU ry

The HPT TCP is part of a network of autonomous collaborative partnerships focused on a wide range of energy technologies known as Technology Collaboration
Programmes or TCPs. The TCPs are organised under the auspices of the International Energy Agency (IEA), but the TCPs are functionally and legally autonomous.
Views, findings and publications of the HPT TCP do not necessarily represent the views or policies of the IEA Secretariat or its individual member countries.

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Finland

Facts about the Happiest Country in the World••

The Most Amount of Heavy Metal Band Per Capita in The World
There Are More Than 3 Million Saunas in Finland••••

Heavy Drinkers of Coffee... as well as Milk
The Wife-Carrying Race and Swamp Football Originated in Finland
The Inventor of Text Message Is Finnish
The Longest Palindromic Word Comes From the Finnish Language…
SaippuakivikauppiaS
The Finns Invented the Molotov cocktail•

5,5 million population, 1,2 million single family houses, 0,5 million freetime houses, 190 000 lakes, 338.440 km2, GDP 45 372€, no gas network

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ELECTRICITY BY ENERGY SOURCE AND NET IMPORTS 2021

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4.2022
CO2-EMISSIONS OF POWER GENERATION
EU-27, v. 2019: 275 g CO2 / kWh
Source: EEA

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MARKET SHARE OF SPACE HEATING 2020
RESIDENTIAL, COMMERCIAL AND PUBLIC BUILDINGSHeat pump: includes the electricity
consumption of heat pumps
Electricity: includes the electricity
consumption of heat distribution
equipment and electric sauna stoves
Wood: includes the wood used bysauna stovesSource: Statistics Finlandwww.heatpumpingtechnologies.org

6.2022
ENERGY SOURCES OF DISTRICT HEATING (2021)• Recovered (recycled) heat:
energy that would otherwise
go to waste• Other biofuels: includes also
the bio share of municipal
waste• Other: non-bio share ofmunicipal waste, plastic orhazardous waste, electricity.

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Share of renewables and recovered heat well more than a half in
district heat supply• Fossil fuels have increasingly
been replaced by biomass
and recovered heat.
• Use of biomass has morethan doubled during lastdecade.
• Amount of recovered heathas more than tripled since2010. Recovered heatconsists mainly of waste
heat. Fuel consumption isavoided by making use ofsurplus heat.

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HEATING CHOICES IN NEW BUILDINGS

Source: Statistics Finland, Granted building permits (heated cubic volume)

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Heat Pumps – a glorious story in FinlandØHeat Pump sector is big, 13 TWh/a, 16 % of the heating ofFinland (80 TWh/a) (+DH production with HPs)
ØInvestments in 1.2 million heat pumps already 7 billion eurosØInvestment level now about 1 billion/a in 150.000 HPs/aincrease about 1 TWh/a HP heat production

Market shares of space heating(~80TWh/a)ØMarket–based business, investments made mainly by private
consumers

Unique bridge technology between heat and electricity=>
demand response, storage technology
Suits as well to individual as centralized heating and coolingsystems

Source: Finnish Energy, 2021

CUMULATIVE HEAT PUMP SALES IN FINLAND (PCS)

PCS

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ANNUAL HEAT PUMP INSTALLATIONS IN FINLAND (PCS)PCSANNUAL HEAT PUMP INVESTMENTS IN FINLAND 2021
MEUR

Average investment: GSHP 33.000€, AWHP 15.000€, EAHP 9.000€, AAHP 2.400€(emphasis by the capacity of sold heat pumps)

Heat Pump Market Potential by sector
Oil burners (over 100.000 pcs) or water based electric heating systems (100.000 pcs)
- => GSHP or AWHPs- 4-7 TWh/a
Direct electricity heated houses or cottages- => AAHPs or GSHPs, AAWPs- 0,5 million of 1,2 million still without HP or wrong HP)- 5 TWh/a30.000 district heated apartment houses with exhaust ventilation- => Exhaust HP (+ GSHP),- 3-7 TWh/a
Commercial and service buildings (shopping centres , IKEAs , office houses etc.)- => GSHP heating and cooling- xx TWh/aIndustry- Waste energy + RES with HP (GSHP, AWHP…)- 20 TWh/a?
Production of District Heating- Waste energy + RES with HP (GSHP, See, Air…)- xxTWh/a?

2030:
30 TWh/a heat production by over 2
million HPs

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ELECTRICITY CONSUMPTION NOT INCREASED IN SPITE OF 1,2 MILLION HPS• Electricityconsumption 86
TWh in year 2021

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16.2022
Peak loads of electricity(maximum electricity MW)

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Policy•

Finland carbon neutral 2035•

Coal ban 2029•

Building and other codes (EPBD, RED, F-gas…) according to EU Directives, no special national requirements•

Primary Energy Factor PEF 1.2 for electricity helps•

Subsidies––––•

Subsidising level modest about 50 M€/a for HP-related-systems
Small houses: 2500€-7000€ subsidy for replacing oil burner by HP, DH or Electricity
For apartment houses a subsidy for projects with which you improve energy efficiency subsidy can beeven 4000€/flat
Modest subsidies (15 -40%) for pilot projects for industrial and corporate HP system investments

Building permission situation challenging especially for drill holes. Fast lane plans in the works.

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R&D
No special R&D program for HP sector => plenty of separate, fragmented projects
A lot of pilot projects like
-Medium-deep geothermal wells (1-2 km)-

Many energy storage projects (water caves , drill hole fields,

Customer behavior /role of social media - studies in Aalto University
IEA TCP HPT Annex 52 and maybe joining with NEXTHEPS project in Annex 58 (High temperature HPs /DH)We have great HP market but spend too little money on HP R&D

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