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Working group: alternative fuel distribution network to be built mainly on market terms

Working group: alternative fuel distribution network to be built mainly on market terms

Press release 22.11.2016 16.24 fi sv en

A working group appointed by the Ministry of Transport and Communications submitted its proposed plan for implementing the EU Alternative Fuels Infrastructure Directive in Finland. The proposal addresses the development of an alternative transport fuel market and deployment of a related infrastructure. The working group also proposes targets for alternative transport fuels and their distribution infrastructure for 2020 and 2030 as well as measures necessary to ensure that these targets are reached.

- I would like to thank the working group for its meticulous work and comprehensive proposal. This was a crucial task, as alternative fuels have a key role in reducing transport emissions. The Ministry of Transport and Communications will formulate Finland's national policy framework for the implementation of the Alternative Fuels Infrastructure Directive in late 2016, says Anne Berner, Minister of Transport and Communications.

The working group proposes that the distribution station network of different fuels and the recharging points accessible to the public required for electric vehicles be mainly built on market terms in Finland. However, the building projects could draw on different EU and national support forms. The network would mostly be built by various energy companies and other commercial actors, including shopping centres or parking operators.

As Finland's national target for road transport in 2050 is proposed near-zero emissions. By that year, all cars, vans and heavy-duty vehicles would be powered by electricity, hydrogen and gas as well as different biofuels, also in high concentrations of up to 100%. To make the achievement of this target possible, all vehicles sold in Finland should already be compatible with these power sources in 2030, as the Finnish vehicle fleet is replaced slowly at a rate of about once every 20 years only.

The working group considers that while the distribution network will be built on market terms in principle, many new steering measures will also be needed to achieve the targets. These could include amending the Act on the Promotion of the Use of Biofuels for Transport, using and developing the existing methods of economic steering, utilising public procurement, developing guidance by information, and launching various development projects and experiments.

On 15 October 2015, the Ministry of Transport and Communications appointed a working group to prepare for the national implementation of Directive 2014/94/EU of the European Parliament and of the Council on the deployment of alternative fuels infrastructure, or the so-called Alternative Fuels Infrastructure Directive. The directive entered into force in October 2014.

The working group consisted of a broad selection of transport, energy and business sector representatives. Three dissenting and five supplementary opinions were attached to the working group’s final report. Dissenting opinions were submitted by the Ministry of Finance, the Finnish Petroleum and Biofuels Association and St1 Oy. Supplementary opinions were submitted by the Ministry of Economic Affairs and Employment, the Confederation of Finnish Industries EK and the Finnish Port Association. In addition, joint supplementary opinions were submitted by the Ministry of the Environment and the Ministry of Agriculture, and also by Technology Industries of Finland and Finnish Energy.

Further information: Risto Murto, working group chairman, Director of Development Unit, tel. +358 (0)295 34 2639, firstname.lastname@lvm.fi, Twitter @risto_murto