Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure FI-2022-36/2872 – measures in Finland
Country | Finland , applies nationwide |
Time period | Temporary, 01 September 2022 – 31 December 2022 |
Context | War in Ukraine |
Type | Legislations or other statutory regulations |
Category |
Responses to inflation
– Support for fuel expenses |
Author | Amanda Kinnunen (Oxford Research) and Eurofound |
Measure added | 14 September 2022 (updated 16 September 2022) |
To mitigate the effect of rising energy costs due to the war in Ukraine, the government of Finland has decided on a temporary fuel compensation for land transport companies. The government justifies the amendment by stating that the rise in fuel prices has put transport companies in a difficult situation, which could also have an impact on Finland's security of supply.
The parliament passed the Act on Temporary Fuel Cost Support for the Transport Sector [Lakikuljetusalan yritysten määräaikaisesta polttoainetuesta] 763/2022 on 4 August, 2022. The act will be in force between 1 September and 31 December, 2022. The aid is also subject to the Act on Government Aid [Valtionavustuslaki] 688/2001.
The support measure is targeted to the transport of goods and passengers by road. The companies can get 5% of their fuel costs compensated for during the period February to April, 2022. The law would apply to all forms of fuel and electrical energy except fuel oil, which is banned for transport use. Each company or group can receive a maximum of €400,000 in support. Applications for support amounting to less than €250 will not be considered.
The application for the aid is expected to open latest in November, 2022. The support is administered by the State Treasury [Valtiokonttori]. The government has earmarked €75 million to the aid.
Around 150,000 people earn their living in the road transport sector in Finland. There are around 9,000 companies in the road goods transport business, with a total turnover of €6 billion. There are around 800 bus and coach transport companies, with a total turnover of €1.1 billion.
Workers | Businesses | Citizens |
---|---|---|
Does not apply to workers |
Sector specific set of companies
|
Does not apply to citizens |
Actors | Funding |
---|---|
National government
|
National funds
|
Social partners' role in designing the measure and form of involvement:
Trade unions | Employers' organisations | |
---|---|---|
Role | Consulted | Consulted |
Form | Any other form of consultation, institutionalised (as stable working groups or committees) or informal | Any other form of consultation, institutionalised (as stable working groups or committees) or informal |
Social partners' role in the implementation, monitoring and assessment phase:
Social partners were consulted in the formulation process of the temporary Act.
The Finnish confederation of Industries (EK) has commented on the government’s proposal stating that even though they endorse the goal of the measure, the eligibility criteria is questionable as the spike in fuel prices have hit many sectors other than land transport.
The trade union for taxi services Suomen Taksiliitto has criticised the measure, as taxi services were excluded form the measure and the support will in practice be targeted to larger transportation companies.
This case is sector-specific
Economic area | Sector (NACE level 2) |
---|---|
H - Transportation And Storage | H49 Land transport and transport via pipelines |
This case is not occupation-specific.
Citation
Eurofound (2022), Temporary cost support for transportation companies, measure FI-2022-36/2872 (measures in Finland), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/FI-2022-36_2872.html
Share
30 January 2023
Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.
Article12 September 2022
Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.
Article12 September 2022
This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.
Article5 July 2022
This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.
ArticleDisclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.