Annual Climate Report
Annual Climate Reports are prepared each year under the leadership of the Ministry of the Environment. They examine the general development of greenhouse gas emissions, and whether the planned measures are enough to meet Finland’s national climate targets and EU obligations. This page presents a concise summary of emissions trends and progress towards the targets in Finland.
According to the national Climate Act, Finland’s net emissions should be zero or negative by 2035. By 2030, the total emissions must be reduced by 60 per cent compared to the 1990 level. Finland’s obligations for the carbon sink in the land use sector and for emission reductions in the effort sharing sector are set at the EU level.
Finland’s net emissions fell slightly in 2024
Finland's net greenhouse gas emissions – the difference between the emissions and the carbon sinks that absorb them – fell by just one per cent from the previous year. Emissions in the land use sector increased compared to the year before, and the sector was a major source of emissions. Without the land use sector, emissions went down by six per cent. The clean energy transition is progressing fast, and emissions are continuing to fall especially in energy production.
These figures are based on instant preliminary data from Statistics Finland and will be updated later.
- Emissions from the emissions trading sector decreased by 14%
- Emissions from the effort sharing sector decreased by 1%
- Net emissions from the land use sector were around +13 Mt CO2-eq.
Trends in Finland's greenhouse gas emissions
Under the national Climate Act, Finland aims to be carbon neutral in 2035. This means that Finland’s emissions and sinks must be in balance, i.e. greenhouse gas emissions are equal to the removals or lower. Reaching this climate neutrality target will require major additional action. Sinks must be strengthened and emissions cut, especially in the land use sector where emissions are currently rising. The Climate Act also sets emission reduction targets for the effort sharing and emissions trading sectors for 2030, 2040 and 2050. The Annual Climate Report looks at progress towards these targets over a 15-year period. Combined emissions from the emissions trading and effort sharing sectors must fall by 60 per cent by 2030 and by 80 per cent by 2040 compared to the 1990 levels.
Emissions trading sector: Clean energy transition is progressing fast
In 2024, emissions in the emissions trading sector fell by 14 per cent from the previous year. The sector made up a quarter of Finland’s net emissions. It includes large industrial and energy production plants, flights within Europe and, from 2024 onwards, also maritime transport within Europe and 50 per cent of maritime transport between the EU and non-EU countries.
The clean energy transition is progressing fast: coal use nearly halved and peat use decreased by over a third compared to the previous year. As a result of the act banning coal for energy use, Finland stopped using coal for energy production in spring 2025.
Combustion-based electricity production has decreased, while wind power and nuclear energy have grown significantly.
Effort sharing sector: Uncertainty continues about meeting EU obligations
Emissions from the effort sharing sector fell by just under one per cent from the previous year. The effort sharing sector comprises transport, agriculture, building-specific heating, waste management, non-road mobile machinery and F-gases, as well as small industrial and heat plants. Transport emissions increased, but emissions from other categories, such as F-gases, went down.
Based on instant preliminary data, the sector's emissions exceeded Finland's 2024 emission allocation set at the EU level. Finland needs to speed up emission reductions to meet the targets set for the effort sharing sector.
In 2024, the effort sharing sector accounted for about half of Finland’s net emissions. Transport emissions grew by four per cent from the previous year, because less renewable fuel was distributed. The distribution obligation for renewable fuels has a big impact on transport emissions.
Agricultural emissions remained almost at the previous year’s level. Agriculture is the second largest source of emissions in the effort sharing sector after transport.
Land use sector: Finland’s net carbon sink remains far from target
The land use sector comprises land use, land use change and forestry (LULUCF). According to instant preliminary data from Statistics Finland, the land use sector was a net source of emissions in 2024, with 13.5 million tonnes of CO2-equivalent.
Emissions continued to rise compared to the previous year. Forests have become a net source of emissions because the carbon sink from trees no longer offsets emissions from forest soils.
The land use sector used to be a major net sink in Finland, but between 2018 and 2024 it has been a net source. The LULUCF net sink or emissions are calculated by adding up the sector’s emissions and removals.
Of the land use categories, forest, which used to be a carbon sink, has become a source of emissions. In fact, new data shows forest has been a source of emissions since 2021. The situation in the land use sector has changed significantly over the past decade. The current trend does not support Finland’s climate targets, and the sector needs more effective measures.
Monitoring of climate actions in previous years
According to the Climate Act, the Government submits the Climate Report to Parliament on an annual basis. The Annual Climate Reports have been published since 2019.