Ministerial and corporate governance

  1. Corporate governance principles
  2. Key duties of the Ministry
  3. Three agencies and three state-owned companies
  4. Ministerial governance principles and practices

1. Corporate governance principles

  • Corporate governance is based on legislation and the Government Programme.
  • The agencies have clear roles and duties in the work.
  • The companies under guidance are required to be efficient and profitable.

2. Key duties of the Ministry

One of the core tasks of the Ministry of Transport and Communications is to guide the sectoral agencies. The Ministry provides guidance for them and makes sure that their performance targets and operations are in line with the Government Programme.

It is the way to implement the decisions made by Parliament and the Government. The working method is similar to the one used in corporations and it is based on partnerships and expert networks.

The Ministry is responsible for the strategies, guidelines and legislation within its branch, while the agencies are tasked with their operational implementation.

3. Three agencies and four state-owned companies

The agencies under the Ministry’s administrative branch include the Transport and Communications Agency, the Transport Infrastructure Agency and the Meteorological Institute.

The Transport Infrastructure Agency is responsible for roads, railways and waterways and the development of the transport system. It also ensures a high standard of transport services.

The Transport and Communications Agency has responsibility for improving transport safety and promoting environmental friendliness in the transport sector. It is also responsible for public authority functions that relate to transport. It also ensures that communications networks and markets function without interruptions and the position of the communication service user is secured.

The Meteorological Institute provides information on weather, sea and climate conditions for the purposes of ensuring public safety and meeting the needs of businesses.

Traffic Management Company Fintraffic Ltd is a wholly state-owned company entrusted with a special assignment that operates as the parent company of the state-owned traffic management group.

The group provides advanced traffic control and management services for all modes of transport and works responsibly to ensure the safety and reliability of transport in all its forms. It is also responsible for the collection, management and use of traffic control data.

Cinia Oy provides intelligent network, cloud and software services. Its customers include national and international companies and bodies responsible for functions fundamental to society.

Nordic Railways Ltd comprehensively develops the railway sector and promotes large-scale rail transport investments.

The Ministry's administrative branch also includes the Finnish Broadcasting Company, Yle. It is steered by an Administrative Council appointed by Parliamen.

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4. Ministerial governance principles and practices

The ownership policy of state-owned companies is in line with the Government Resolution on Ownership Policy, good governance, and the Ministry's governance guidelines.

Guidance and supervision of the agencies aims at clearly defined roles and duties. The goals for the administrative branch are set out in, for example, the corporate strategy and operating and financial plan.

The guidance methods include the performance targets that are set for the agencies and confirmed in cooperation with them in the related agreements.

The companies are required to be efficient and profitable. The aim is that they are able to invest in growth, maintain a healthy finance structure, and meet their performance and dividend targets.

The companies under ministerial guidance have societal duties that are laid down in legislation.

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