Public Affairs

The aim of our public affairs activities is to support decisionmakers and stakeholders in recognising the changing role of electricity grids and highlight what kind of action is required to enable economic growth, improve security of supply, and advance the clean energy transition.

With the the right measures that support grid development, we can secure investments, boost electrification and reduced reliance on imported fossil fuels.

Caruna strives for an effective collaboration with decision makers, media, associations and public officials. The goal of public affairs is also to develop Caruna's public image and act as a partner in the societal field.

Caruna is committed to good lobbying practice.

Electricity grids as a value creator for society

As Europe faces slow growth, rising security pressures and rapid digitalisation, the foundations of prosperity are being reshaped. The debate around electricity now extends beyond energy and climate policy to the role it plays in ensuring competitiveness, resilience and the ability to attract investment in an uncertain world. At the same time, Finland’s energy system is undergoing an unprecedented transformation. Rapid electrification, a more distributed and intermittent power supply, artificial intelligence compute power and broader digitalisation are redefining the role of electricity distribution grids, as society seeks new paths to renewed economic growth after a stagnant decade.

This is happening in the midst of a challenging, complex geopolitical environment. Traditional relationships are being reassessed and new alliances formed, with Finland’s recent accession to NATO just one such example. Grids are, therefore, becoming a strategic asset for clean industrial renewal, resilience and growth. Timely and future-ready grid capacity increasingly determines where investments happen, how quickly climate goals are achieved, how resilient both supply and society is to disruptions, and how customers benefit from the transition. With electricity consumption and production forecast to triple by 2040, distribution grid capacity must double over the next decade to meet demand while keeping energy affordable.

This progress is at risk. The current economic conditions distribution system operators operate under do not enable us to make the required investments in the time needed, as the revenues generated by the regulatory methods are insufficient for the scale of investments required, while providing a reasonable return. Unlocking the benefits outlined above requires a supportive policy framework and, above all, amendments to the Electricity Market Act to enable grid investments, safeguard security of supply and support growth.

Electricity grids are the backbone of a modern economy: without them, electrons – and the investments they enable – cannot flow. With the right tools, grids can secure investments, accelerate electrification and reduce reliance on imported fuels.

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Key messages to decisionmakers

Amending the Electricity Market Act and Supervision Act to enable anticipatory and economically viable distribution grid investments, with sufficiently considering the prerequisites for growth, security of supply and clean transition

The legislative amendments should secure a predictable operating & investment environment.

The resilience of distribution grids is strengthened via legislative measures and regulatory methods that deliver a supportive financing mechanism for costs related to security of supply

Critical preparedness should be strengthened through legislative obligations. Costs related to security of supply and cybersecurity must be able to be covered by the revenues of the regulated electricity distribution business.

Accelerating and simplifying permitting and land-use processes

Smooth and efficient processes are needed to reduce time-to-grid and unlock clean industrial investments. Alongside streamlining existing permitting procedures, it is essential to avoid introducing additional regulatory burdens.

Growth, security and competitiveness – grids at the core

The electricity grid is the foundation of Finland’s economic growth and vitality. Grid investments, as a financial contribution, are often only a small part of the overall cost of large-scale industrial projects, but their importance for the feasibility of such projects is decisive: with sufficient transmission capacity and timely development of the electricity grid, industrial investments worth billions can be realized.

Peak consumption records were set in 12 municipalities – the electrification of heating is a key driver behind the increase in peak load

Early 2026 has been exceptional from an electricity consumption perspective: peak consumption records were measured in 12 municipalities within Caruna’s network area, while at the same time electricity use reached record levels in both the Espoo and Central Uusimaa regions.

Becoming a European energy champion is not easy

The clean energy transition is not only about climate targets, but also economic growth, local and European competitiveness, as well as safety and security of supply. A successful energy transition is vital to all us Europeans, and all tools available to achieve it must be utilised. The European Commission and European Council have added breaching the distribution grid investment gap to their agenda in a completely new way this year, which is great.