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Fuel subsidy for fuel oil used in mobile machinery

Ministry of Economic Affairs and Employment
Publication date 22.9.2022 14.00
Press release

The Government proposes on 22 September 2022 a fuel subsidy for fuel oil used in mobile machinery. The proposal would amend the Act on Fixed-Term Fuel Subsidy for Transport Companies. When the Act entered into force in September this year, Parliament issued a resolution calling for the rapid preparation of a similar subsidy for fuel oil.

The subsidy period would run from 1 February to 30 April 2022, and the level of the subsidy for the period would be 5 per cent of the use of purchased fuel oil in mobile machinery. The level of the subsidy corresponds to the transport sector fuel subsidy.

The use of fuel oil in transport is prohibited, which means that the subsidy only applies to mobile machinery. As in the transport sector, price development has caused problems for companies, which in turn may have spillover effects on maintaining Finland’s security of supply. The Act would not apply to the use of fuel oil in primary agricultural production, fisheries, aquaculture or credit or financing operations, where the subsidies have different legal bases in the EU and separate aid schemes. Neither would the Act apply to heating a property with fuel oil. 

A sudden rise in fuel prices took place in the early part of the year (February–April 2022) as a result of Russia’s war of aggression against Ukraine. The proposed act is scheduled to enter into force on 1 November 2022. The State Treasury acts as the government aid authority.

Mikko Huuskonen, Senior Ministerial Adviser, Ministry of Economic Affairs and Employment, tel. +358 29 506 3732

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