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"Time for a modern autonomy act for Åland"
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"Time for a modern autonomy act for Åland"

| Text: Helena Forsgård, photo: Nya Åland/Stefan Öhberg

Åland has a newly elected parliament and a new government. The MPs have one big question to answer: Will Åland finally get a new and modern autonomy act? Can the effects of the tax border surrounding the archipelago be mitigated to make things easier for the business sector?

Åland held parliamentary and local elections on 15 October. 30 members of parliament and 16 municipal councillors were on the ballot. 

The two largest political parties Ålandic Centre and the Liberals for Åland usually take it in turns to win elections and that was also the case this year. The Liberals, who have been in opposition for the last four years, became the largest party and leader Kartrin Sjögren was asked to form a government.

A friendly tone before the election indicated a future coalition between the Liberals and the Centre. But the question remained: Should Sjögren go to the left or right? Should she choose the Social Democrats or the Moderate Coalition as a third party in order to secure a broad enough government base? 

After four weeks of negotiations, she was ready to present her government with three MPs from her own party, two from the Centre and two Social Democrats.

A never-ending job

As the parliamentary term came to a close with solemn ceremonies at the end of October – in the presence of Finnish President Sauli Niinistö – the outgoing speaker Bert Häggblom had this appeal to the incoming parliament and government: Make sure to land the work on a new autonomy act for Åland! It is very disappointing that no result has yet been reached here.

Sauli Niinistö

President Sauli Niinistö speaks at the opening of Åland's  2023–2024 parliamentary period in Mariehamn on 3 November 2023. Photo: Riikka Hietajärvi/President of the Republic of Finland

Åland’s current autonomy act is from 1991. Work to revise and modernise it has been going on since 2010. One parliamentary committee after the other have worked on the issue – one of them headed by ex-President Tarja Halonen who gave extra heft to the work – but no end result has yet been reached. 

In March this year, a new step in this process was taken. The Ministry of Justice established a working group that will move the process forward together with Åland’s government. An interim report has been promised by the end of the year.

Must be optimistic

Katrin Sjögren, who has 20 years of experience in Åland politics, knows the issue well. It was highly topical also during her last period as head of government between 2015 and 2019.

“We at least managed to secure a part victory back then, with a new and improved system for the economic distribution between Åland och Finland. I have to be optimistic and believe that we will finish the entire job during this parliamentary term.

"So much has happened since our current autonomy act was passed. We have joined both the EU and Nato, for instance. Of course, this is about which areas Åland can take responsibility for, and there are things we need to clarify regarding the autonomy act in relation to the constitution. It is in both our and Finland’s interest that Åland has a modern autonomy act,” she says.

So why has this issue not yet been solved after so many years?

“It has been strangely difficult in fact. This might come down to some sort of mistrust, that such a small nation should be given so many rights to self-governance. But Åland, as one of the oldest autonomous regions in the world, is used internationally as a good example of a peaceful conflict solution. I believe Finland should raise its gaze and start looking at Åland as an asset.”

A source of irritation

Another issue for the new government is the effects of the tax border surrounding Åland. When Finland and Åland joined the EU in 1995, Åland negotiated a special status that included staying outside the EU's tax union. This was considered important to safeguard duty-free trade on the ships that call at Åland when in traffic between Finland and Sweden.

Viking Line

The Viking Line shipping company has two vessels in traffic between Åbo and Stockholm. They leave from opposite sides and meet in  Mariehamn every afternoon. The vessels running the  Helsinki-Stockholm and Stockholm-Tallinn routes also dock daily in Mariehamn. They have considerable height capacity but are also floating entertainment palaces with restaurants, nightclubs and duty-free shops. Photo: Helena Forsgård.

But the tax border meant all goods going to and from Åland had to be declared at customs. Both businesses and private individuals are very irritated with this extra red tape. Some companies outside of Åland do not even want to do business with Ålanders.

The tax border is nevertheless more useful than not, according to Katrin Sjögren.

“Thanks to it, we can maintain the frequent ferry crossings that we have and need. Shipping companies are also important employers for people who do not come from Åland. But we have to review the side effects. We are going to negotiate with customs and the relevant government departments and try to reduce the extra administrative work which today bothers and maybe hinders businesses,” she says. 

An extra seat for Åland in the EU?

Åland has for many years argued it should have a separate seat in the EU Parliament – so far without success. The issue returned to the table when it was announced that Finland would get 15 seats next year, up from 14. Åland’s member of the Finnish Parliament, Mats Löfström, has submitted a motion that the seat should be reserved for Åland.

“This is not an unreasonable demand since we have relinquished our legislative authority, and we could enrich the EU debate with our perspective. The Finnish Parliament is negative, but we will continue to push for that seat,” says Katrin Sjögren. 

Russian consulate

Every day since Russia's 22 February 2022 invasion of Ukraine, people have gathered outside Russia's consulate in Mariehamn to demonstrate against the war. The area next to the building has been unofficially named Ukrainaplatsen (Ukraine square) and the Ukraininan flag flies 24 hours. Photo: Nya Åland/Stefan Öhberg

Demilitarisation remains

Åland’s status as a demilitarised area has also been hotly debated in Finnish media lately, in the wake of Russia’s invasion of Ukraine and Finland’s joining Nato. There is also the issue of Russia’s consulate in Åland. Should this still be manned when Finland revoked the permission for Russia’s general consulate in Turku from 1 October this year? 

President Sauli Niinistö ordered the Ministry for Foreign Affairs to produce a report on this issue, which was presented in November this year. It says the Åland Convention, which regulates Åland’s status as a demilitarised area, cannot be terminated.

The report also concluded that there is no legally secure way to suspend the consulate, which has been on Åland since 1940. The consulate was established as part of the agreement signed by Finland following its loss in the Winter War. The consulate’s mission was to monitor the demilitarisation.

 Åland is happy with the ministry’s report.

“It is very clear and spells out our status. In today’s world, it is very good that some demilitarised zones exist,” says Katrin Sjögren. 

The consulate and its staff, now presumably only the consul and his family, have led an anonymous existence in Åland for decades. But now the building has attracted attention. Every day since Russia invaded Ukraine, locals have been gathering outside it in loud protests against the war.

Katrin Sjögren

could celebrate a double election victory in Åland's October parliamentary elections. She secured the most personal votes of all the representatives and her Liberals party won the most seats. She now returns to the post as lantråd – or head of government – which she also held between  2015 and 2019. The picture above is from the election night.

FACTS ÅLAND

2023 elections

Åland’s Parliament has 30 seats

This is the distribution of mandates after elections on 15 October this year:

  • Liberals for Åland  9 (+ 2)
  • Ålandic Center 7 (-2)
  • Non-aligned Coalition 5 (+1)
  • Åland’s Social Democrats 4 (+1)
  • Moderate Coalition for Åland 4 (0)
  • Sustainable Initiative 1 (-1)

Future of Åland, a party that has made more autonomy a key policy, lost its only mandate.

Katrin Sjögren is Lantråd, or head of government, for the next period. She is the leader of the Liberal Party which won the most seats. She also secured more personal votes than anyone else in the parliamentary elections.

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