Helsinki Closes Its Last Coal Plant, Paving the Way for Carbon Neutrality by 2030

Editorial TeamEditorial Team
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April 4th, 2025
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2:17 PM

Helsinki’s closure of its final coal plant marks a historic step toward carbon neutrality. Discover how the city is leading in sustainable energy innovation and clean tech adoption.

Helsinki’s Clean Energy Shift: Closure of the Salmisaari Coal Power Plant On April 1, 2025, Helsinki made a bold and historic move by officially closing the Salmisaari coal power plant, marking a defining moment in the city’s relentless pursuit of carbon neutrality. This milestone is set to reduce the city’s carbon emissions by 30%, bringing Helsinki one step closer to its ambitious goal of achieving carbon neutrality by 2030—two decades ahead of the European Union's target. Helsinki’s commitment to this goal not only demonstrates its leadership in the fight against climate change but also showcases its broader strategy of transitioning away from fossil fuels and adopting innovative clean energy technologies. With this move, Helsinki is sending a clear message about the future of sustainable urban living.

Helsinki's Vision: A Carbon-Neutral Future

Helsinki’s energy transition has been swift and decisive, with the closure of its last coal-fired plant, Salmisaari, now cementing its commitment to clean energy. This marks the culmination of years of progressive policies aimed at reducing the city's carbon footprint. In 2023, Helsinki's municipal energy company, Helen Ltd, decommissioned the Hanasaari B power plant, and now the closure of Salmisaari completes the city’s coal phase-out, reducing emissions from its district heating system by a total of 43%. These closures will collectively decrease Finland’s carbon dioxide emissions by 5%, further amplifying Helsinki’s role as a frontrunner in the global push toward sustainable energy systems.

With the reduction in emissions following the Salmisaari closure, Helsinki is on track to achieve its target of carbon neutrality by 2030. This swift transition is especially noteworthy when considering that only three years ago, coal made up 64% of the district heating production. The closure of both the Hanasaari and Salmisaari plants within two years is a testament to Helsinki's determination and rapid action in combating climate change. By eliminating fossil fuels from its energy supply, Helsinki is setting a benchmark for cities worldwide to follow.

A Comprehensive Strategy for Clean Energy

Helsinki’s energy strategy is built on a comprehensive and forward-thinking approach that integrates clean technologies. The city has made significant investments in carbon-neutral alternatives, such as Europe’s largest electric boiler and the world’s largest heat pump system. These systems are central to the city's energy transition, allowing it to replace +fossil fuels* with +renewable and waste-derived energy sources. The city’s future energy mix will focus heavily on utilizing waste heat, energy storage solutions, and sustainably sourced bioenergy, alongside key renewable sources like *wind, **solar, and hydroelectric power.

Helen Ltd has also focused on developing a more resilient and decentralized energy infrastructure+. The *electric boilers and heat pumps will work in tandem to provide flexible, carbon-free heating and power to the city. Helsinki’s decision to embrace such technologies reflects its ambition not only to meet current sustainability goals but also to position itself as a global leader in clean energy innovation. "Closing the Salmisaari plant is a crucial step, but we won’t stop here,” says Anni Sinnemäki, Deputy Mayor of Helsinki. “Our goal is to be net-zero by 2040, and eventually, carbon negative.”

Hydrogen: The Future of Clean Energy

As part of its comprehensive clean energy strategy, Helsinki is also betting on hydrogen as a key component of its future energy landscape. The city is making substantial investments in hydrogen technology, with the launch of the 3H2 – Helsinki Hydrogen Hub. This project, which aims to begin hydrogen production in 2026, will be a major milestone in Finland’s hydrogen development. The combination of clean electricity, advanced technology infrastructure, and stable investment conditions makes Finland a prime location for large-scale hydrogen production.

Helsinki's hydrogen ambitions are set to capitalize on the city’s strengths, including its abundant clean water and biogenic CO2 resources. By leveraging these advantages, Helsinki is positioning itself to become a major player in the global hydrogen economy, with significant potential for both domestic and international investments. Hydrogen holds immense promise as a clean energy source, and Helsinki’s efforts are expected to catalyze innovation across the entire sector.

This ambitious move into hydrogen also aligns with Helsinki's broader goals of reducing reliance on fossil fuels and lowering the city's overall carbon footprint. Hydrogen is expected to play a crucial role in decarbonizing sectors that are challenging to electrify, such as heavy industry and long-distance transport, offering a pathway to a truly sustainable energy future.

Conclusion

The closure of the Salmisaari coal power plant represents a pivotal step in Helsinki’s journey toward carbon neutrality, showcasing the city’s commitment to transforming its energy infrastructure and adopting cutting-edge technologies. With its investments in renewable energy, clean technology, and hydrogen, Helsinki is setting the standard for urban sustainability and climate leadership. The city’s goal to achieve carbon neutrality by 2030 and its vision for a carbon-negative future are clear signals that the transition to a low-carbon world is not just possible, but already in motion.

As Helsinki continues to make significant strides toward its ambitious sustainability goals, its example offers valuable insights for other cities and businesses looking to embrace clean energy and innovative technologies. Helsinki is leading the way, demonstrating that the future of urban energy is renewable, resilient, and sustainable.