Oslo-based sustainable aviation fuel (SAF) producer Norsk e-Fuel AS has been approved for up to EUR 150 million (USD 174.7m) in tax credit support by Business Finland, a government agency for trade and investment promotion, for its first e-fuel project in the country.
The support comes under Business Finland’s Tax Credit Scheme, a large-scale public funding mechanism designed to support major clean transition investments through tax relief. It is linked directly to taxable income and will only be realised once the project is built and generating activity.
Project Rauma, located on Finland’s western coast, is designed as a power-to-liquid facility that will convert fossil-free electricity, water and captured CO2 into synthetic fuels for aviation.
Norsk e-Fuel secured exclusive access to 14 hectares of land in the Port of Rauma in October 2024. The company says the terrain is sufficient to host an e-fuel plant with an annual production capacity of up to 100 million litters (26.4 million liquid gal). The project is implemented in partnership with Fortum, according to Norsk e-Fuel’s website.
“Finland’s policy and funding framework gives e-Fuel projects the predictability needed to move forward. That support is essential for companies like ours to bring industrial-scale solutions to market,” said Ida Marie Larsen, funding and public affairs manager at Norsk e-Fuel.
(EUR 1 = USD 1.164)
