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The European Union has granted support at €2.9 million to Gasum for the expansion of the gas filling station network in Finland. The support is an important step towards the creation of a Nordic gas ecosystem by Gasum. New stations are needed to respond to the increased demand for gas-fueled vehicles and to reach the emission targets outlined in the final report by the Ministry of Transport and Communications Transport Climate Policy working group for carbon-free transport by 2045.
The EU’s Connecting Europe Facility (CEF) for transport, energy and digital infrastructure projects has granted Gasum €2.9 million for the construction of new gas filling stations. With the support, Gasum will continue its determined efforts to implement new filling station projects and expand the Nordic station network.
“The support granted enables us to even better develop the gas infrastructure to meet the growing demand. The huge growth in demand for gas-fueled vehicles over the past couple of years among consumer as well as business customers has proven that there is a need for more stations. The transport use of biogas also facilitates the achievement of Finland’s ambitious environmental targets,” says Jussi Vainikka, Business Development Manager, Biogas, from Gasum.
On December 12, the Transport Climate Policy working group under the Finnish Ministry of Transport and Communications published its final report on actions for eliminating greenhouse gas emissions over the longer term. The working group highlighted biogas as a significant element of the solution for greenhouse gas emissions cuts. According to the working group, the gas distribution infrastructure should also match customer requirements.
The support now granted covers the construction of up to 14 gas filling stations in the Trans-European Transport Network (TEN-T) area in Finland. The support will have an impact on issues such as the use of liquefied natural gas (LNG) in heavy-duty transport.
The stations to be built include both new liquefied natural gas and biogas filling stations for heavy-duty vehicles and compressed natural gas and biogas filling stations for cars, delivery vehicles and waste management vehicles. Gasum has already implemented filling stations in Salo and Vantaa in accordance with its support application. Both of the completed filling stations are key components of the project entity and the granted support package.
The filling stations for heavy-duty vehicles to be opened in Finland are part of Gasum’s wider network of filling stations for heavy-duty transport. The company is planning to construct a total of around 50 stations in Finland, Sweden and Norway in the next few years. The new filling stations will be located at key transport nodes as regards logistics operations, and they will enable significant increases in the use of liquefied natural gas and biogas in heavy-duty transport.
Filling station network expansion responding to growing demand
Gasum has been taking clear action to build the Nordic gas market. Two LNG import terminals have been constructed in Finland and at the same time Gasum has strengthened its LNG supply chain substantially in the Nordic countries. Gasum’s first LNG filling stations are located in Helsinki, Jyväskylä, Turku and Vantaa, Finland.
The demand for cleaner transport solutions is increasing rapidly also for cars and in sectors including municipal deliveries and transport. New gas vehicle models in various vehicle categories and the expanding filling station network create excellent potential for growth in the road fuel gas market. Over the past couple of years, the number of gas-fueled vehicles registered in Finland has more than doubled: the number of gas vehicles in use before 2017 was just under 2,000, while the current figure already exceeds 6,000.
To reach the Transport Climate Policy working group's target set for 2045, the number of gas-fueled cars needs to be increased significantly in Finland. Their number on Finland’s roads should be around 130,000 in 2030 and around 250,000 in 2045. The target set for heavy-duty vehicles is around 6,000 vehicles in 2030 and as many as 22,000 in 2045 and target set for gas-fueled vans is 14,000 and 41,000, respectively.
For more information please contact:
Jussi Vainikka, Business Development Manager, Biogas, Gasum
Phone: +358 40 553 3033, firstname.surname(a)gasum.fi
The Transport Climate Policy working group under the Finnish Ministry of Transport and Communications has published its final report on actions for eliminating greenhouse gas emissions over the longer term. The working group highlights biogas as a significant element of the solution for greenhouse gas emissions cuts. Measured by the amount of energy, the amount biogas used in transport in 2045 would equal that of biodiesel, with hundreds of thousands of cars and heavy-duty road vehicles running on biogas.
The final report of the Transport Climate Policy working group under the Finnish Ministry of Transport and Communications contains a proposal for an action plan for eliminating greenhouse gas emissions over the longer term. Transport currently accounts for around one fifth of Finland’s greenhouse gas emissions, with road transport generating as much as 93% of domestic transport emissions.
“It’s great that gas was highlighted in the report as a key way of reducing transport emissions. To achieve carbon-free transport, we must take all possible immediate action during the next government terms: the vehicle fleet must be renewed and alternative propulsion systems must become more common. The working group raised biogas alongside electricity and liquid biofuels as an equal option in transport use in 2045. The production of Finnish biogas will need to increase considerably for the emission reduction targets to be reached,” says Matti Oksanen, Director, Product Management and Solutions, Biogas, from Gasum.
The final report proposes a broad range of measures from various economic instruments to investments and information guidance. The key targets should be achieving a downturn in the volume of car use, accelerating the renewal rate of the vehicle fleet significantly beyond current plans, and rapidly increasing the share of biogas and other biofuels.
Biogas is a significant option for greenhouse gas reduction
The working group regarded the role of biogas as very important in the efforts to achieve zero-carbon transport: biogas would, alongside electricity, be a significant alternative source of energy to reduce greenhouse gas emissions in 2045. In terms of the amount of energy, the amount of biogas used in transport would be almost as much as renewable diesel, i.e. around 10 TWh. This target means a ten-fold increase in production capacity from the current annual level of only around 1 TWh of biogas being produced in Finland.
“Using biogas to fuel vehicles makes it possible to cut the greenhouse gas emissions generated over the fuel life cycle by up to 85% compared with traditional fuels. Renewable and 100% Finnish biogas is produced from feedstocks such as biodegradable waste, sewage sludge and industrial and agricultural side streams. Biogas production also represents the circular economy at its best as the recycled nutrient and fertilizer products created as by-products can be used for industrial as well as agricultural needs, which helps reduce the emission load even further,” Oksanen describes the benefits of biogas.
New gas-fueled vehicles needed on Finland’s roads
To reach the working group's target, the number of gas-fueled cars should be increased significantly in Finland. Their number on Finland’s roads should be around 130,000 in 2030 and around 250,000 in 2045. The target set for heavy-duty vehicles is around 6,000 vehicles in 2030 and as many as 22,000 in 2045 and the target for gas-fueled vans 14,000 and 41,000, respectively.
The renewal of the vehicle fleet can be accelerated by measures including the excise duty on fuels and support for the acquisition of low-emission vehicles. Applying a sliding scale of the car tax and vehicle tax on the basis of emissions can also enhance the impact of the excise duty on fuels and acquisition support.
“The working group recognized that predictability will be needed in the future, too, for the creation of the biogas market and gave a clear signal for the continued excise duty-free status of biogas. Fixed-term support for the acquisition of clean vehicles can also help accelerate the rate of emission cuts. The acquisition and operating costs of gas-fueled vehicles are already very competitive, whereas the switch to electric is currently only being anticipated as an option for ordinary people,” Oksanen sums up some of the discussions that took place within the working group.
Gas distribution infrastructure must match customer needs
According to the working group, the gas distribution infrastructure must also match customer needs. Support for the development of the distribution infrastructure will therefore be needed at least in the initial stage in Finland.
For several years, Gasum has been taking clear action to build the Nordic gas market. The transport sector plays a key role in the Gasum strategy, and Gasum has increased the number of gas filling stations in Finland. The company is planning to construct a total of around 50 heavy-duty vehicle filling stations in Finland, Sweden and Norway in the next few years. The new stations will be located at key transport nodes as regards logistics operations, and they will support the use of low-emission gas to fuel heavy-duty transport in the Nordic countries.
For more information please contact:
Matti Oksanen, Director, Product Management and Solutions, Biogas, Gasum Ltd
Phone: +358 40 483 6035, firstname.surname(a)gasum.com
The Liquefied Natural Gas (LNG) company Skangas is renamed Gasum. The name change will strengthen the Gasum brand in the Nordic countries and the position of Gasum as the leading provider of LNG in the region. Gasum operates under one strong brand in the Nordic countries.
The energy company Gasum increased its shareholding in Skangas from 70% to 100% in October 2018. The acquisition is part of the Gasum strategy, a core element of which is to develop the Nordic gas market and LNG infrastructure.
“We want to lead the way and take the Nordic countries towards a cleaner tomorrow under one strong brand. Skangas, now being integrated into the Gasum Group, improves our capacity to build and develop the Nordic gas ecosystem and respond to the growing demand. The need for cleaner fuel solutions for industry and transport alike is increasing significantly, and LNG is the most competitive alternative among low-emission fuels. We will continue to provide our customers with as smooth access to services as before,” says Gasum CEO Johanna Lamminen.
There will be no changes to the Business ID codes or contact details. The new companies will be Gasum AS, Gasum LNG Production AS, Gasum LNG Oy, Gasum LNG AB, the two first companies in Norway, Finland and Sweden respectively.
For more information please contact:
Olga Väisänen, Vice President, Communications, Gasum
Phone: +358 40 554 0578, email@example.com
The energy company Gasum is a Nordic gas sector and energy market expert. Together with its partners, Gasum is building a bridge towards a carbon-neutral society on land and at sea. www.gasum.com.
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