Metsä Group CEO warns EU restoration rules could cost Finland EUR 1.5bn a year

Metsä Group President and CEO Jussi Vanhanen has warned that poor implementation of the EU Nature Restoration Regulation could weaken Finland's public finances by EUR 500 million to EUR 1.5 billion annually. He cited government estimates of EUR 400-900 million in direct restoration and protection costs, plus EUR 150-500 million in lost tax revenue if forest use is curtailed. Finland is preparing its national restoration plan for submission to the European Commission.

Why this mattersRestrictions on Finnish boreal forest harvesting could tighten wood fibre supply and raise costs for Nordic pulp, paperboard and forestry-linked packaging producers.

• Vanhanen estimates poor implementation could cost Finland EUR 500m-1.5bn annually
• Government estimates put direct restoration and protection costs at EUR 400m-900m a year
• Welfare losses and lower tax revenue estimated at EUR 150m-500m if forest use is cut
• Finland's forest sector generates about EUR 10bn in economic benefit and EUR 3-4bn in direct tax annually
• Comments made on Yle's Ykkösaamu programme
• Finland is preparing a national restoration plan for the European Commission

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