Transport Poverty in the Arctic Region of Finland

Abstract This article critically examines the ways in which transport and mobility sustainability regulation causes transport poverty and what can be done to reduce this impact in the Finnish Arctic region (Lapland). It explores how regulatory changes under the European Union’s Green Deal policy may either mitigate or exacerbate transport poverty in this sparsely populated area. Drawing on a comprehensive review of relevant EU and Finnish legislation, the article identifies key legal factors that influence accessibility, affordability, and reliability of transport. These factors are examined in the context of Lapland’s unique characteristics, including its low population density and high dependence on private cars. The analysis reveals that most regulatory measures – except for the Social Climate Fund – are likely to worsen transport poverty for vulnerable groups in Lapland. While the Social Climate Fund may offer short-term relief, it is not sufficient on its own to provide a sustainable long-term solution. To promote a fair and inclusive transition to sustainable transport, the article recommends that Member States prioritise the use of Social Climate Fund resources in remote areas to support alternative transport options such as mobility-on-demand and shared mobility services. While financial support or fiscal incentives for purchase of EV are possible, the prices of EV may still turn out to be too high for low-income households and many residents affected by transport poverty are likely to remain unable to afford electric vehicles in the near term. Despite this, only the minimum necessary should be allocated to direct income support, as it risks prolonging reliance on fossil fuels. The findings underscore the need for comprehensive strategies that effectively address the distinct challenges faced by vulnerable populations in remote regions, ensuring an equitable transition to sustainable transport.