International transport corridors in Northern Finland

1. International transport corridors in Northern Finland Regional Council of Lapland

2. Background Northern Finland has several different transport and traffic corridors, the development of which is promoted by numerous parties • Resources are spent on partly overlapping undertakings • The same corridor receives parallel promotion under different names • This conveys a vague image of the needs and opportunities of the corridors • With each party advocating only for the development of its own traffic corridors, the likelihood of resource allocation to corridor development decreases • Need for cooperation and shared vision

3. Aims of the project The most important aim is for the operators in Northern Finland to arrive at a shared vision of the region’s international traffic corridors and the names of these Aims Outcomes To compile information on the traffic corridors To enable the prioritization of corridors To formulate a consistent view of the corridors Overall view of the international traffic corridors in Northern Finland Views on and reasoning for prioritization of corridors Programming of further efforts Agreement on the commencement of lobbying and the preparation of lobbying materials International traffic corridors in Northern Finland Material Regional plans Studies Plans Interviews with business and the authorities

4. Steering group • Regional Council of Northern Ostrobothnia, chair • Regional Council of Lapland • Joint Authority of Kainuu Region • Regional Council of Central Ostrobothnia • Oulu road district • Lapland road district • Finnish Rail Administration (RHK) • MINTC • Oulu Chamber of Commerce • Ostrobothnia Chamber of Commerce • Lapland Chamber of Commerce • Port of Oulu / ports in the Bothnian Bay • Finavia

5. Northern Finland and the Barents region

6. Traffic and transportation on main roads Average daily traffic 2006 (vehicles par day) Heavy goods transport Source: Finnra

7. Goods and passenger streams in rail traffic Kouvola local region Source: RHK

8. Sea and air traffic Sea traffic • There are six important cargo ports in Northern Finland • Much regular international scheduled traffic • Based mainly on industry’s heavy streams of goods • Foreign sea cargo handled by the ports in Northern Finland totalled 16.8 million tonnes in 2007 (= 16% of all sea cargo between Finland and foreign countries) Air traffic • There is scheduled service to nine airports in Northern Finland • Most international service is operated via Helsinki International Airport • Oulu−Riga and in autumn, Stockholm−Kittilä • Numerous tourism-related charter flights • Air cargo operations

9. Future outlook • Metal industry • Important industry in Finland, Sweden and the Murmansk region • The future outlook is bright due to e.g. the development of the Barents region: Outokumpu, for example, will invest hundreds of millions of euro in the near future • Forest industry • Important industry in Finland, Sweden and Russia except for the Murmansk region • Russian wood duties, restructuring in the forest industry and climate change give rise to uncertainty, yet the industry will retain its strong position also in the future • Bioenergy utilization opens up new possibilities for the industry

10. Future outlook • Tourism • Important industry in Finland, Sweden and Norway • Considerable increase expected in the number of foreign tourists • Substantial investments being planned in Northern Finland • Oil and gas industry • Important industry in Norway and Russia • Some of the world’s largest natural gas and oil fields are located in the Barents region, e.g. Shtokman ja Snøhvit • The focus is shifting from the Norwegian Sea to the Barents Sea • Murmansk region • The region will seen intense development in the near future • Planned investments (excl. investments in the oil and gas industry) > EUR 20 billion

11. Mining industry • Important industry in Sweden, Russia and also Finland • The Barents region has vast mineral resources • The many mine projects being planned in Northern Finland will increase transportation volumes many times over when implemented. • Opening new mines requires improvement of the existing infrastructure • Talvivaara deliveries via the Kokkola port and potential Pajala-Kolari (initial stage) deliveries via the Kemi port Source: MEE

12. Barents Arc – international traffic corridors in Northern Finland • The Barents Arc is made up of several linked traffic corridors • Barents Link • Murmansk Link • Bothnian Link • Narvik Link • A natural complement to the whole consisting of the EU Northern Axis – Motorway of the Baltic Sea

13. Bothnian Link Barents Arc • Finland’s main line – connects the Northern Axis with the Northern Triangle • Most important sources of traffic growth potential • Growth in industry and other businesses in Western and Northern Finland • New mine projects in Northern Finland and Northern Sweden • Russian transit traffic • Increase in rail passenger volumes • Development of the corridor will enable growth for the region’s industry and other businesses

14. Barents / Narvik Link Barents Arc • Part of the Northern Axis corridor defined by the EU on 31 January 2007 • Connects the Nordic countries to northwest Russia and onward to the Far East • Major sources of traffic growth potential • Russian transit traffic • In the long run, increase in cargo traffic between Asia, Europe and North America • Development of the corridor boosts the potential for trade between the Nordic countries and Russia

15. Murmansk Link Barents Arc • Connects northwest Russia to the Nordic countries and is a natural extension of the Motorway of the Baltic Sea • Major sources of traffic growth potential • Intense development in southwest Russia • New mine projects in eastern Lapland • Opening of the Northeast Passage • Development of the corridor enhances the potential for Nordic operators to participate in the major projects in southwest Russia

16. Motorways of the Baltic Sea • Connects the Nordic countries to Central and Western Europe • 80% of Finland’s foreign trade via the corridor • Major sources of traffic growth potential • New mine projects in Northern Finland and Northern Sweden • Development of industry and other businesses • Strong growth in the Russian economy and cargo transportation (transit traffic) • Development of sea connections improves the functioning and cost-effectiveness of multimodal transportation chains

17. Air corridors in Northern Finland • Fast and efficient air service meeting the needs of business and tourism in the Barents region is key • Major sources of traffic growth potential • Sharply rising numbers of tourists • Development and internationalization of the economy of the Barents region • Development of charter flights and increase in direct, regular service sought • Transverse service in the Barents region • Moscow and St Petersburg • Stockholm and Copenhagen • Enhanced air service can compensate for long distances and also respond to the needs of increasing tourism and the developing Barents region

18. Future challenges and opportunities • Opportunities in Northern Finland • New mine projects • Development of industry and other businesses • Intense development in the region of northwest Russia • Increase in tourism • Opening of the Northeast Passage • Challenges in Northern Finland • Availability of skilled labour • Development of infrastructure • Development of cooperation • Climate change • The main goal for the near future is to make the Barents Arc or parts of it an EU TEN-T priority project and to continue developing cooperation in the Barents region