Renewable energies: The key to curbing prices in Austria!

Renewable energies: The key to curbing prices in Austria!

On September 2, 2025, the federal government will meet in closed session to discuss measures to combat current inflation and achieve an economic recovery. At the heart of the debate is the urgent need to fully take into account the price-dampening effect of renewable energies. The umbrella organization for renewable energy Austria (EEÖ) has appealed to the government to focus more on the advantages of expanding wind and solar energy. A related study by the consulting firm enervis predicts that a rapid expansion of these energies could reduce electricity prices in Austria by around 20 percent by 2030. This would not only benefit consumers, but also reduce dependence on fossil energy imports, especially gas imports by 1.8 billion cubic meters, which means an economic benefit of around 3.1 billion euros.

Martina Prechtl-Grundnig, Managing Director of the EEÖ, emphasizes that the expansion of renewable energies is a crucial contribution to combating recession, inflation and dependency. At the same time, however, there is skepticism among companies and investors. This is due in particular to the tightening of the energy crisis contribution and additional network fees in the draft Electricity Industry Act (ElWG). The EEÖ warns that these regulations could undermine investor confidence and prevent future projects.

Concrete measures required

The EEÖ has formulated four central demands on the government:

• Nachbesserung beim ElWG: Streichung zusätzlicher Netztarife für heimische Erzeugungsanlagen und keine Bevorzugung von Importstrom.
• Beschleunigung im EABG: Vereinfachung der Genehmigungsverfahren durch ein Erneuerbaren-Ausbau-Beschleunigungsgesetz.
• Kontinuität beim Heizungstausch: Langfristige Sicherung von Förderungen für den Umstieg auf erneuerbare Heizsysteme.
• Erneuerbares-Gas-Gesetz (EGG): Verabschiedung eines Gesetzes zur Förderung von grünem Gas noch in diesem Jahr.

The government meeting is therefore seen as a decisive moment for the energy transformation in Austria, with the EEÖ expecting measures to support renewable energies.

Economic framework conditions

The economic forecasts show that the year 2023 will be marked by the economic and energy crisis, with a slight recovery in industrial production compared to previous years. According to the Federal Ministry for Economic Affairs, the German economy proved to be adaptable in the winter half of 2022/23, although it had to contend with massive price increases and delivery bottlenecks. Despite government support measures, the sectors have recently experienced a decline in economic performance, particularly in construction, where unfavorable conditions also contribute to the challenges.

The federal government forecasts price-adjusted GDP growth of 0.4 percent in 2023 and 1.6 percent in 2024. The inflation rate rose to an average of 6.9 percent in 2022, but will fall to 5.9 percent in 2023 and 2.7 percent in 2024. This creates room for a recovery in foreign trade, where exports are expected to increase by 1.3 percent in 2023 and 3.3 percent in 2024.

The geopolitical tensions and the increased refinancing problems still pose risks for economic development. However, a stronger return in consumer prices and a robust global economic recovery could also offer opportunities to promote energy investments.

A comprehensive transformation of the energy industry will require investments of around 721 billion euros by 2030 to advance the transition to renewable energy. These investments can create significant gross added value and contribute to stabilizing the economy, especially after the setbacks caused by the energy crisis and the Ukraine conflict, as the Energy Transition 2024 Progress Monitor shows.

Overall, it is clear that the rapid expansion of renewable energies is not only a response to current inflation, but also represents a long-term strategy to secure energy supplies and strengthen economic resilience in Austria and Germany. The federal government's upcoming decisions will be decisive in determining whether this potential can actually be exploited.