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Climate Change Finland’s Sixth National Communication under the United Nations Framework Convention on Climate Change Finland’s Sixth National Communication under the United Nations Framework Convention on Climate Change Committee for Preparing the Sixth National Communication Leena Raittinen, Statistics Finland (Chair) Outi Honkatukia, Ministry of Finance Jatta Jämsén, Ministry for Foreign Affairs Saara Jääskeläinen, Ministry of Transport and Communications Matti Kahra, Ministry of Agriculture and Forestry Bettina Lemström, Ministry of Employment and the Economy Paula Perälä, Ministry of the Environment Riitta Pipatti, Statistics Finland Riina Vuorento, Ministry of Education and Culture Kai Skoglund, Statistics Finland (Secretary) Editor: Suvi Monni, Benviroc Ltd Reference recommendation: Finland’s Sixth National Communication under the United Na- tions Framework Convention on Climate Change. 2013. Ministry of the Environment and Statistics Finland, Helsinki. 314 p. Cover Design and Layout: Hilkka Lehtonen, Statistics Finland Cover Photo: Hannu Lehtomaa/ Image bank of the Environmental Administration Photos: Jouko Lehmuskallio / Image bank of the Environmental Administration, page 9 Kalervo Ojutkangas / Image bank of the Environmental Administration, page 27 Heikki Lehikoinen, page 59 Janne Ulvinen / Image bank of the Environmental Administration, page 91 Sannamari Pehkonen / Image bank of the Environmental Administration, page 149 Milla Popova / Image bank of the Environmental Administration, page 177 Feodor Gurvits / Image bank of the Environmental Administration, page 209 Aarno Torvinen / Image bank of the Environmental Administration, page 227 Tapio Heikkilä / Image bank of the Environmental Administration, page 259 Figures and Tables: Statistics Finland and the ministries, unless otherwise indicated. ISBN 978–952–244–459–2 (pdf) Contents Foreword ....................................................... 7 1 Executive summary ......................................... 11 1.1 National circumstances relevant to greenhouse gas emissions and removals .............................................. 11 1.2 Greenhouse gas inventory information, including information on the national system and the national registry .................... 12 1.3 Policies and measures ........................................ 14 1.4 Projections and total effects of policies and measures .............................................. 16 1.5 Climate change impacts, adaptation measures and vulnerability assessment ................................................ 19 1.6 Financial resources and transfer of technology ...................... 21 1.7 Research and systematic observation ............................. 23 1.8 Education, training and public awareness ......................... 25 2 National circumstances ...................................... 29 2.1 Government structure ........................................ 29 2.2 Population profile ........................................... 29 2.3 Geographical profile ......................................... 31 2.4 Climate profile .............................................. 33 2.5 Economy .................................................. 35 2.6 Energy ................................................... 37 2.6.1 Energy supply and consumption .......................... 37 2.6.2 Energy market ........................................ 40 2.7 Transport ................................................. 41 2.7.1 Passenger transport .................................... 42 2.7.2 Freight transport ...................................... 42 2.8 Industry ................................................... 43 2.8.1 Energy use in industry .................................. 44 2.9 Building stock .............................................. 45 2.9.1 Energy use for indoor heating ............................ 46 2.9.2 Urban structure ...................................... 47 2.10 Agriculture ................................................ 50 2.11 Forestry ................................................... 52 2.12 Waste .................................................... 54 2.13 Peatlands ................................................. 56 3 Greenhouse gas inventory information, including the national system and the national registry ..................................... 61 3.1 Total greenhouse gas emissions and trends ........................ 61 3.2 Greenhouse gas emissions by sector ............................. 64 3.2.1 Energy .............................................. 64 3.2.2 Transport ............................................ 67 3.2.3 Industrial processes .................................... 68 3.2.4 Solvent and other product use ............................ 70 3.2.5 Agriculture .......................................... 71 3.2.6 Land use, land-use change and forestry ..................... 72 3.2.7 Reporting under Article 3, paragraphs 3 and 4, of the Kyoto Protocol .................................. 73 3.2.8 Waste .............................................. 74 3.3 Greenhouse gas inventory system, under Article 5, paragraph 1, of the Kyoto Protocol ........................................ 76 3.3.1 Institutional arrangements ............................... 76 3.3.2 Inventory process ..................................... 78 3.3.3 Quality management ................................... 81 3.4 National registry ............................................ 83 3.4.1 Emissions trading schemes and the national registry ........... 83 3.4.2 Registry users ........................................ 84 3.4.3 Types of account ...................................... 85 3.4.4 Functions of the registry ................................ 85 3.4.5 Roles of ITL and EUTL .................................. 86 3.4.6 Performance under the Kyoto Protocol ..................... 86 4 Policies and measures ....................................... 93 4.1 Climate policy framework in Finland ............................. 93 4.1.1 The Kyoto Protocol .................................... 93 4.1.2 Framework for climate policy after 2012 ................... 94 4.2 Climate policy-making process in Finland .......................... 95 4.2.1 Government and the role of ministries ...................... 95 4.2.2 The Finnish Climate Panel ............................... 96 4.2.3 Other stakeholders .................................... 97 4.2.4 Public access to information ............................. 97 4.2.5 Regions and municipalities .............................. 98 4.3 Legislative arrangements and programmes under the European Community .................................... 100 4.4 National institutional and legislative arrangements under the Kyoto Protocol ............................................ 102 4.4.1 Act and Decree on the Kyoto Protocol .................... 102 4.4.2 Legislation on the Kyoto Mechanisms ..................... 102 4.5 National energy and climate strategies .......................... 103 4.6 National forest legislation and programmes ....................... 105 4.7 Sectoral policies and measures ................................ 107 4.7.1 Energy ............................................. 107 4.7.2 Transport ........................................... 120 4.7.3 International bunkers ................................. 123 4.7.4 Industrial processes .................................. 125 4.7.5 Agriculture ......................................... 128 4.7.6 Land use, land-use change and forestry .................... 129 4.7.7 Waste management .................................. 134 4.7.8 Land-use planning and spatial structure .................... 135 4.8 Energy taxation and related measures ........................... 137 4.8.1 Energy taxation ...................................... 137 4.8.2 Government expenditure on energy and climate policy ........ 139 4.9 Use of Kyoto mechanisms .................................... 141 4.10 Effect of policies and measures on longer term trends ............... 142 4.11 Mitigation benefits other than greenhouse gas reduction ............ 143 4.12 Minimising the adverse effects of policies and measures in other countries .......................................... 143 5 Projections and total effects of policies and measures ............. 151 5.1 Overview of WM and WAM projections ......................... 151 5.2 ‘With Measures’ projection ................................... 153 5.2.1 Total effects ........................................ 153 5.2.2 Sectoral emissions .................................... 155 5.3 With ‘Additional Measures’ projection ........................... 160 5.4 Total effect of policies and measures ........................... 162 5.5 Economic impacts .......................................... 164 5.6 Sensitivity analysis of the projections ............................ 165 5.7 Supplementarity relating to the Kyoto Protocol mechanisms .......... 166 5.8 Methodology ............................................. 167 5.8.1 Approach and responsibilities ........................... 167 5.8.2 Assumptions underlying calculations ...................... 167 5.8.3 Description of models and methods ...................... 170 6 Climate change impacts, adaptation measures and vulnerability assessment ................................. 179 6.1 Climate projections for Finland ................................ 179 6.2 Vulnerability assessment ..................................... 181 6.3 Expected climate change impacts and adaptation measures .......... 182 6.3.1 Overview of impacts and economic consequences.
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