The country’s first tender was launched on 15 November and will accept bids until 31 December. Successful projects, expected to be dominated by wind generators, will receive support for 12 years.
The tender seeks to source 1.4TWh of clean power, the agency said, down from an originally planned 2TWh.
"Electricity generators [will] bid for what price and how much electricity they are willing to generate," it added.
Successful bids will be selected on the lowest price first, up until the generation requirement is met.
According to law firm Borenius, eligible projects must be located in Finland, have valid building permits and plans but not reached a final investment decision. Each generator must also be capable of producing between 800MWh and 10,000MWh annually.
The agency estimated it would cost €7 million a year to support the new generation, which will contribute to meeting the government’s target of sourcing 50% of its electricity by 2020.
It was 40% in 2017, according to the agency.
"Approximately half of the EU countries have tendered for electricity subsidies for renewable energy. The bidding now being organised is the first of its kind in Finland.
"In addition to cost-effectiveness, the aim of the competition is to provide information on the cost levels of different production technologies," the Agency stated.