DRAFT

Country template for Helsinki principle 2

Description of climate policy in the Ministry of Finance
FINLAND

1. Government policy and organization

What kind of overall policies and strategies regarding climate change are there and how climate matters
are organized in the Government. What role does the Minister of Finance have in this work?

Yes No Coming
soon
1. Is there overall coordination of climate change matters in the Government? x
2. Is Ministry of Finance involved in the design of policies on climate change? x
3. Is Ministry of Finance leading the climate change work in the government? x
4. Is Ministry of Finance leading any sub-groups that involve climate aspects? x
5. Is Ministry of Finance member of ministerial group on climate change? x
6. Is Minister of Finance collaborating with ministries responsible for climate x
action?
7. Who is in charge of climate policy in the Government (head of state, minister Ministry of the
of x)? Environment

SHORT DESCRIPTION IN WRITING [also in view of specifying the above answers]

The Climate Change Act sets the general framework for the planning and monitoring implementation of
climate change policy. Current government program includes ambitious carbon neutrality remarks. Prime
Minister’s Office monitors the implementation of the programme.

Ministerial working group chaired by Minister of Environment and Climate Change leads coordination
and compilation of climate change policies. Minister of Finance is not a member of this 7 ministers
group. Minister of Finance is represented is this group’s secretariat and provides senior officials to
advisor roles.

In preparation of climate change policies the preparation of Energy and Climate Strategies is done by five
sectoral ministries including Ministry of Finance.

The role of Ministry of Finance is most decisive in budgetary process, where it instructs other Ministries
on e.g. on green budgeting.

2. Climate Change in the Ministry of Finance

How climate matters are taken into account in Ministry of Finance – policies/strategies? How work is
organized?

Yes No Coming
soon
1. Is there a climate strategy (or plan) at the Ministry of Finance? x
2. Are there sub-strategies (plans) on climate change policies (on departments x
etc.)?
3. Is climate work coordinated in the ministry? x
4. Is there a structure for this (coordinator or coordination group)? x
5. Are there people specifically appointed to climate change matters? x
6. Is there director/civil servant level collaboration/programs with sector x
ministries?
 2(3)

7. Are civil servants getting educated on how to consider climate change in x

their position?
8. Are most of the tools the ministry uses up to date for climate change action x
(budgeting, procurement etc.)?
9. Is your ministry part of international collaboration other than the coalition? x
(eg. EU Green Deal)

SHORT DESCRIPTION IN WRITING [also in view of specifying the above answers]

Finance Ministry’s coordination group for climate policy issues started in September 2019. It has 12
members from eight departments. Aim is to enhance knowledge sharing, develop climate policy
knowledge and thinking, and strengthen capacity to influence national climate policy proactively. Group
meets once a month. Special focus is in economic assessment of public sector climate policy measures.

Ministry does not have a climate unit. Instead, consideration of environmental impacts should be part of
every employees’ work. The current strategy does not prioritize climate issues. New strategy in 2020 is
expected to include climate change among priorities.

Ministry has strong expertise on carbon taxation since 1990’s. Competence was recently enhanced on
sustainable finance and green budgeting. Plenty of relevant expertise (e.g. procurement, ETS and
taxation) stands in other ministries. There are gaps in expertise in some areas of Helsinki Principles.
Some goals and tools defining needed expertise are still under consideration. Participation with the
climate work in the EU, MDBs and Coalition has led to a significant intensification of climate focus.

3. Level of ambition currently

Which of the following categories best describes the level of activity of your Ministry of Finance on
climate policy in general?
1/2/3/4

Ca Role Level of ambition Policy implications

t
1 Active role as developer
2 Participator / evolving role
3 Monitoring role
4 Passive role
Climate identified as key policy Policy designs ongoing, tools
area as a whole being utilized
Identified as important matter, Analysis of policy designs
but gaps in skills started, progress in some
areas
Observing what others do and Fact-finding and
learning considerations ongoing
Non-relevant No relevant activity

SHORT DESCRIPTION IN WRITING

Ministry is actively engaged in discussions, but strategy is still under development. There are capacities
and knowledge at place but in many departments. The active role with the Coalition was initiated from
the top, but it has started to increase interest at the ministry. The 2019 government program gives
instructions and ministry’s new strategy is expected to support work to take climate change issues into
account. Some departments have been in active phase for long (tax dept.), some have activated via
 3(3)

international work (e.g. EU, Coalition, MDBs). We assess that the ministry is in category 1 in taxation, but
more generally moving from category 3 to category 2.

4. Table: Staff dedicated to climate work in Ministry of Finance

Staff dedicated to climate tasks and competence, (full and part time), estimate.
Unit Number of Experts Area

Tax Department 6 persons Carbon taxation (energy, traffic, environment)

Budget Department
Economics Department
Financial Markets Department
International Financial Affairs
Ministry’s Chancellor’s office
Total
4 persons Green budgeting, subsidies, in house climate
coordination
2 persons Economic policy context, and EU links
1 persons Greening financial systems, EU taxonomy
2 persons Coalition of Finance Ministers, MDBs, Green
Investment Plans (EU)
1 person Coalition of Finance Ministers, domestic and
international collaboration
Total 16 persons
- Full time (75-100%)
3 persons
- Part time (less than 75%)
13 persons