Minister Ranne: Infrastructure projects throughout Finland and curbing growth of road repair debt

The Government has agreed on the 2024 budget proposal and the second supplementary budget proposal for 2023. The Government agreed to make rapid progress on transport investments. The Government also decided to continue support for regional air services.

Transport investment programme to be launched

During the parliamentary term, the Government will implement a transport investment programme of nearly EUR 3 billion, which will be financed by selling central government assets. The transport investment programme is part of the Prime Minister Orpo Government’s General Government Fiscal Plan for 2024–2027.

In the 2024 budget, a total of EUR 597 million is earmarked for transport investments, of which EUR 250 million is allocated to reducing the repair debt.

“I am particularly pleased that EUR 250 million will be spent next year on repairing our crumbling road network. It is now possible to curb the growth of the repair debt. We will repair roads all over Finland, putting the safety and needs of the transport sector, industry and the daily lives of every Finn first. Investments in roads around Finland are an absolute prerequisite for economic growth. We will rapidly launch new infrastructure projects, says Minister of Transport and Communications Lulu Ranne.

The project authorisations are as follows:

1. Development of the main line between Helsinki and Riihimäki, second and third phases of capacity increase, EUR 110 million 
2. Tampere passenger railway yard project, EUR 163 million
3. Planning of the electrification of the Tornio-Kolari rail section, EUR 7.5 million
4. Pietarsaari harbour road, EUR 7.5 million
5. Main road 4 north of Leivonmäki, Joutsa project, EUR 14 million
6. Main road 4 Oravasaari interchange, Jyväskylä project, EUR 7 million
7. Main road 9 at Lievestuore, EUR 30 million
8. Planning of Suupohja rail line, EUR 5 million
9. Design of the Savonian railway, EUR 3 million.

The Government also decided to accelerate the planning of other transport projects decided in the Government Programme’s investment programme. The Government will take further decisions in accordance with the investment programme in the spring 2024 spending limits session, possibly in supplementary budgets to be adopted during 2024 and in later government discussions.

The Government intends to urgently promote the following planning projects: E18 Turku ring road between Naantali and Raisio, highway 180 between Kurkela and Kuusisto, widening of the Loviisa fairway, main road 5 Leppävirta-Kuopio, Liminka-Oulu double track, Luumäki-Imatra phase 2, main road 8 Edsevö-Lepplax, main road 8 Ytterjepo interchange, deepening of the Vaasa fairway, main road 4 at Vestonmäki, main road 4 at Paloka, highway 642 Äänenkoski bridge, and the Rantarata railway line development plan between Kauklahti and Karjaa. 

Investments in the supplementary budget to improve transport infrastructure

In the second supplementary budget, money will be allocated to improving transport infrastructure, particularly in Lapland. In transport projects, for example, EUR 50 million is proposed for the overhaul of the Oulu-Laurila line, EUR 13 million for the renewal and repair of bridges in poor condition, EUR 2.5 million to deepen the Koverhar fairway, and EUR 4.6 million for the planning of the main road 4 Hirvas-Rovaniemi-Vikajärvi project. 

The central government is also applying for support for several projects under the Connecting Europe Facility (CEF) Transport Military Mobility call for proposals, totalling EUR 43.16 million. Under the Government Programme, the Government will make full use of the European Union’s CEF project funding. The projects aim to improve both civil and military transport. 

Continuation of regional air services secured for a limited period

The budget continues the air services between Helsinki and the five regional airports as central government purchased services. Air services to Kemi-Tornio, Kokkola-Pietarsaari, Kajaani, Jyväskylä and Joensuu airports will be purchased until March 2026. The central government will earmark funding, based on the Savonlinna model, for the organisation of air services to Pori for 2025 in connection with a possible new competitive tender. It is proposed that EUR 38 million be allocated for this. Financing of Savonlinna’s air services will continue in line with the General Government Fiscal Plan.

“Regional air services will continue uninterrupted and we can calmly prepare for 2026 a contract model for internal air services that treats all towns and cities equally and develops air services in a more market-oriented direction,” says Minister Ranne.

What next?

The second supplementary budget proposal for 2023 will be submitted to Parliament on 21 September 2023. The Government will deliberate the budget proposal on 9 October 2023. 

Inquiries:

Requests for interviews with Minister of Transport and Communications Ranne 
Susanna Niinivaara, Communications Director, tel. +358 295 342 330, [email protected]

*This press release was corrected on 20 September 2023 at 10:27. In the second supplementary budget, EUR 4.6 million was allocated for the planning of the main road 4 Hirvas-Rovaniemi-Vikajärvi project, not for the planning of the main road 3 project.