Finland stresses predictable climate policy at meeting of EU environment and climate ministers – Bioeconomy Strategy and emission standards of automotive industry also on agenda

Finland stresses predictable climate policy at meeting of EU environment and climate ministers - Bioeconomy Strategy and emission standards of automotive industry also on agenda

The EU Environment Council will meet in Brussels on Tuesday 17 March. Minister of Climate and the Environment Sari Multala will represent Finland at the meeting. Minister Multala stresses that now it is highly important to defend a consistent climate policy and, in particular, the emissions trading system.

One of the main topics of the Environment Council is the future of the EU's climate and environment policy: what kind of climate framework supports the achievement of the 90% reduction in net emissions by 2040? What kind of environmental and climate diplomacy partnerships should the EU create, maintain and further strengthen?

"Finland's approach is clear: we will defend a strong and predictable EU climate policy. Emissions trading is the backbone of this policy, and uncertainty will grow if this system is undermined. Businesses and Member States are making investments worth billions of euros in clean solutions, but these will not materialise without a stable outlook for the future," Minister Multala says.

The Commission is preparing EU legislation concerning emissions trading, national climate targets and the role of flexibilities after 2030.

The ministers will discuss how the post-30 climate framework can:

• support investments in competitive and just transition
• build cost-effective flexibilities for different sectors
• contribute to the use of high-quality international credits to meet the targets.

Some Member States have hoped that the Commission would significantly amend emissions trading and lower the price for emission allowances. Finland defends a strong emissions trading system.

"Climate policy has direct impacts on the EU's competitiveness, energy self-sufficiency and energy security. Recent events in the Middle East show once again why phasing out fossil fuels is also an economic and security issue," Minister Multala says.

Before the Environment Council meeting, Finland and seven other like-minded Member States signed a non-paper to defend the emissions trading system. Besides this, the Prime Ministers of Denmark, Finland, Portugal, Spain and Sweden have sent a letter to President of the European Council António Costa, demanding that the EU leaders strengthen the Union's common commitment to the climate targets and emissions trading system to promote competitiveness and the green transition. While in Brussels, Minister Multala will take these messages forward at the Council and in various meetings and discussions with colleagues.

Press release, 12 March 2026: Minister Multala: Strong EU emissions trading system secures investments and competitiveness

EU's environment and climate diplomacy is also concerned with security

Geopolitical tensions slow down the progress in international climate agreements, as we saw in the negotiations on the plastics agreement in autumn 2025, for example. The EU aims to strengthen partnerships and diplomacy so that science-based environmental and climate targets can be turned into policy decisions and commitments. Executive Director of the UN Environment Programme UNEP Inger Andersen will also participate in the discussion.

"To proceed towards the common target both in the EU and globally, the current EU partnerships need to be strengthened and new ones built," Minister Multala says.

Over lunch, the ministers will discuss the EU's next steps towards the COP31 Climate Conference.

Council to approve conclusions on Bioeconomy Strategy and discuss CO₂ regulation in automotive industry

The Council is to approve conclusions on the new Bioeconomy Strategy that will strengthen the competitiveness of the sector and guide the development of sustainable biobased solutions. The key issues for Finland have been stable regulation and smoother market access for innovative bioproducts, as well as the important role of sustainable biomass produced in the EU.

The ministers will also discuss CO₂ regulation in automotive industry. Finland supports limited flexibilities that strengthen competitiveness but does not consider it justified to lower the CO₂ standards, because the regulation should support the Member States' efforts to meet their climate targets.

Inquiries

Juuso Kilpinen
Special Adviser to Minister Multala
tel. +358 295 250 128
[email protected]

Post-2030 climate policy
Laura Aho
Ministerial Adviser, Ministry of the Environment
tel. +358 295 250 135
[email protected]

EU environment and climate diplomacy
Kerstin Stendahl
Senior Ministerial Adviser, Ministry of the Environment
tel. +358 295 250 023
[email protected]

EU Bioeconomy Strategy
Ulla Palander
Senior Specialist, Ministry of Economic Affairs and Employment
tel. +358 295 049 235
[email protected]

Amending regulation on CO₂ emission standards for cars and vans
Sara Österberg
Senior Specialist, Ministry of Transport and Communications
tel. +358 295 342 041
[email protected]