
Article originally published in May 2024.
The use of peat for energy production has been in the balance for some time. According to the Finnish Ministry of the Environment, the goal is to halve the energy use of peat. The uncertain future of peat also has a significant impact on the horse industry, more specifically on the bedding in stalls and yards. According to a 2023 study by the Natural Resources Institute Finland, 59% of horse stables use peat as bedding. Stable owners should therefore consider alternative bedding and assess their costs and availability.
Peat extraction and its use have sparked significant debate in the EU in recent years. Peat use has been criticized for its significant environmental impacts, particularly its role in greenhouse gas emissions and biodiversity loss.
Peat has also been an important economic resource and employer. This conflict between environmental protection and economic interests has led to extensive debates about how peat extraction should be regulated.
Natural wetlands are unique ecosystems that provide an exceptional habitat for many species that are not found elsewhere. Globally, wetlands regulate the climate by storing huge amounts of carbon, and regionally, they prevent flooding and act as a buffer against pollution. In addition, wetlands are historical archives that contain valuable information about biodiversity, climate and pollution.
Conservation and restoration needs
Over the centuries, bogs have been converted into agricultural land or forests by draining and fertilizing, causing dramatic changes to the ecosystem. In the late 19th century, large-scale peat extraction also began, first for fuel and later for garden use. This use continues to this day.
Drained and cultivated swamps release huge amounts of greenhouse gases into the atmosphere. The largest emitter of drained organic soils in the world is Indonesia, followed by the EU.
Peatlands are generally divided into two main types: oasis bogs and aapa bogs. Oasis bogs are mainly watered by rainfall and snow, while aapa bogs develop in depressions in the landscape and are watered by surface water and/or groundwater. Peatlands are found worldwide and although they cover only 3% of the Earth's land area, they store almost 30% of all soil carbon. In Europe, peatlands store five times more carbon than forests.
Here, peat layers grow only 1-2 millimeters per year, so it takes thousands of years for bogs to develop. A natural bog is a wetland ecosystem where the production of organic matter exceeds its decomposition. In the almost constant water saturation and lack of oxygen, dead plants and mosses accumulate, forming peat.
The situation of peatlands in Europe
Peatlands are most abundant in Fennoscandia and the Baltic countries, with almost a third of European peatlands located in Finland and over a quarter in Sweden. Large peatlands are also found in Belgium, Estonia, France, Germany, Ireland, Latvia, Lithuania, the Netherlands, Norway, Poland and the United Kingdom. The total area of European peatlands is approximately 594,000 km², of which 54% is natural peatlands. The total area of peatlands in the EU Member States (EU27) is 268,000 km², of which 51% is natural peatlands.
The EU Habitats Directive distinguishes twelve types of mire. In addition, oasis mire forests, which belong to the deciduous forest group, are considered naturally afforested mires. In total, around 33,000 km² of these 13 habitat types are protected in over 8,700 Natura 2000 sites, representing around 24% of all remaining natural mires.
The EU Habitats Directive and the Natura 2000 network are key to the protection of wetlands, and the LIFE programme has funded several restoration and conservation projects for wetlands. The LIFE programme has supported 363 wetland conservation and restoration projects, and although restoration efforts are extensive, the overall situation of wetlands remains unsatisfactory.

Current situation of peat use and extraction
In Finland and elsewhere in Europe, peat production is usually measured annually in either tonnes or hectares. In 2021, peat production in Finland was approximately 10-15 million cubic metres annually, which corresponds to approximately 6-9 million tonnes. The production area has varied, but has generally been around 60,000-70,000 hectares.
In the rest of Europe, peat production is concentrated in certain countries, such as Ireland, Sweden and the Baltic countries. In addition to Finland, peat production is also significant in the Baltic countries. Estonia produces approximately 1.5-2 million tons of peat annually, although the production figures in Latvia and Lithuania are lower.
Changes are already happening. In the spring of 2024, the Estonian Supreme Court overturned the peat extraction right granted to OÜ Hiiu Turvas in the Elbu bog, which is part of the Lavassaari wetland area. The permit for peat extraction was granted in July 2020, but its impacts on the bog’s bird species and habitat were not properly assessed. The Supreme Court’s decision is expected to have a wider impact on the Environment Council’s future practices.
The fund compensates for disadvantages
For this article, we interviewed experts from the Finnish Ministry of the Environment about the future of peat. The European Union has established the Just Transition Fund (JTF), which supports the regions and sectors most affected by the transition to carbon neutrality. - The fund aims to compensate for the social, economic and environmental disadvantages caused by reducing the energy use of peat, the ministry says.
According to the Ministry of the Environment, Finland has received approximately EUR 466 million in funding from the EU JTF. Together with national public funding, a total of approximately EUR 665 million is available for projects in the 2021–2027 programming period. The funding is distributed by the regional councils and three ELY centres.
The implementation of the fund is carried out through regional transition plans, which have been prepared in a total of 14 JTF regions. These plans are available on the regions' own websites. JTF funding covers seven regions in Eastern and Northern Finland, as well as the regions of Southern Ostrobothnia, Satakunta, Central Finland, Southern Karelia, Kymenlaakso, Ostrobothnia and Pirkanmaa. However, in Pirkanmaa, funding only applies to Parkano, Kihniö, Virtai and Punkalaidunta.
- In Finland, the JTF fund aims to halve the use of peat for energy by 2030, the Ministry of the Environment states. The fund finances measures that promote a just transition towards a more sustainable economy as part of the Renewing and Skilled Finland 2021-2027 program.
In the emissions trading sector, peat consumption decreased significantly in 2023, down 37.5% compared to the previous year. This decrease is part of a broader trend to reduce emissions and shift to more sustainable energy sources.
The future of peat and its impact on the horse industry
Peat is also commonly used in agriculture and gardens. A survey was conducted in Scotland in December 2023, to which various parties that use peat responded. The majority of these were private gardeners. 69% of the respondents stated that they could stop using peat immediately. The responses suggested a ban on the sale of peat and a transition period for ceasing its use. However, the exact transition period was not specified in the survey.
The uncertain future of peat use has significant implications for the horse industry, especially for bedding in stalls and yards. The use of peat as bedding is common. There are no precise statistics on the use of peat as bedding, but according to a study conducted by the Natural Resources Institute Finland in 2023, 59% of horse stables use peat. The figure is 70% for milk production and 82% for beef production.
Peat has been a popular bedding material due to its good moisture and odor removal properties and general availability. However, environmental and climate goals are driving the reduction of peat use, which directly affects stable owners and the well-being of horses.
Replacing peat with other bedding materials can cause significant financial changes for stable owners. The purchase price, availability and handling costs of new bedding options can vary greatly.
Replacing peat with another type of bedding
Replacing peat with another bedding option in the future is very likely. Although the cost of some alternative bedding may be higher than peat, it is not impossible to repair it. In addition to economic reasons, composting or disposing of alternative bedding is a different process than that of easily recyclable peat.
However, as the use of peat decreases, stable owners have to look for new bedding alternatives. Wood chips and sawdust have traditionally been used as bedding and are often inexpensive and readily available. However, their moisture and odor removal capabilities are not as good as peat.
Hemp bedding is one of the most environmentally friendly options, with good moisture and odor removal properties. Straw is an inexpensive and widely available bedding in various forms. Straw pellets have very good absorbency and are easy to store and handle in small bags. If the problem is a greedy horse that likes to eat pellets, straw grit is a better option. Pellets do not contain harmful substances, but can still cause intestinal blockages in the long term, for example.
Stable owners need to consider alternative bedding materials and assess their cost, availability and performance. While replacing peat can bring challenges, it also offers an opportunity to move to more sustainable and environmentally friendly alternatives, which can benefit both the environment and the equine industry in the long term.
Sources:
Peatlands for LIFE (europa.eu)
Ending the sale of peat: consultation analysis - gov.scot ( www.gov.scot )
The judgment of Supreme Court of Estonia annulling the peat extraction permit in the Elbu bog will impact future decisions | COBALT
Finnish Ministry of the Environment