
Blog: Ostrobothnia and the importance of being innovative in reducing the reliance on fossil fuels
How to boost clean and just competitiveness? The Regional Council of Ostrobothnia was invited to participate in a panel discussion at the conference Territories in Action: the Journey Begins, held on April 29 in Brussels. The conference launched the collaboration between approximately 200 EU territories and the European Commission’s Joint Research Centre (JRC) to implement the EU Preparatory Action on Innovation for Place-Based Transformation over the next two years.
The Preparatory Action combines dissemination, outreach, capacity building and co-creation activities that will push further the capacities of the territories and mobilise resources to face pressing challenges, ranging from decarbonisation to digitalisation.
Ostrobothnia has a dual ambition with Territories for Action: decarbonizing our own region and levelling up innovation together with our industrial base, especially the clean technology export industries.
One of the most industrialised regions in Finland
CO₂ emissions have decreased by around 40% over time. However, there is still much to do in order to reach net zero by 2035 — and the final stretch will be the most challenging. We have special challenges. We are a peripheral coastal region in northern Europe, and we need to travel long distances for work, exports and imports. Agriculture, transport and heating are the sectors with the largest emissions. And they are going to be hard to abate.
We are also one of the most industrialised regions in Finland and the EnergyVaasa cluster in the Vaasa region is actually a hub for clean technology exports. So, it is both a challenge and an opportunity for us to reduce our reliance on fossil fuels.
To be energy efficient and to provide innovative means for decarbonisation is crucial for our competitiveness. Reducing reliance on fossil fuels is a matter of deciding about your own future development. And we need to be very innovative to succeed in this.
Aligning needs and innovation through co-creation and ecosystem collaboration
The current regional S3 strategy is closely aligned with the challenge of reducing reliance on fossil fuels. Making the final stretch to net zero is going to be tough, and at the same time a great potential for innovation. There are no simple solutions or low hanging fruits, and that is why we need to push for even more transformative actions. We need to address the challenges at their root. That is why co-creation and ecosystem-based approaches are needed, to solve new kinds of complex issues.
Our businesses have a big global handprint. The companies in our region provide decarbonization solutions all over the world. In Finland, more than half of all renewable energy passes through transformers and power stations manufactured in Ostrobothnia. The energy technology cluster, EnergyVaasa, stands for a stunning 30% of Finland’s total export in clean energy technology. More than a quarter of the world’s sea vessels operate using clean and energy-efficient marine technology developed in Ostrobothnia. Additionally, 10% of global electricity distribution is automated and monitored using technological solutions developed in Vaasa. These are all examples of products from even centuries-long processes of entrepreneurship and innovation.
The entire region has a keen interest to keep levelling up on innovation to stay competitive. In our region's living labs, these challenges are addressed in tight-knit networks with business and academia. One of our flagship living labs is, quite literally, a passenger ferry. The Aurora Botnia, operating between Vaasa in Finland and Umeå in Sweden, also serves as a floating living lab where companies test and pilot ultra-low emission concepts. Going net zero means that smart grids, batteries, energy storage, utilizing hydrogen and exploring its potential for other industrial applications, synthetic fuels, are all ways to create new value chains.
In innovation experimentation, co-creation and orchestration of ecosystems go hand in hand. When you experiment, you also have a responsibility to ensure that solutions are beneficial for society. In Ostrobothnia we strive to a world-class innovation system. We already have the building blocks, especially thanks to the energy cluster.
I am looking forward to the co-operation with Territories for action, because I see it gives us additional edge and can help us become more innovative in the transformation process. Thanks to the JRC for including us in your work to develop place-based transformation to boost innovation policies.
Mats Brandt
Regional Mayor
Regional Council of Ostrobothnia