Support to cushion consumers against high energy costs
"By providing a package of support worth around 4 billion euros, we are taking concrete action to counter price increases in the energy sector and making a major contribution to reduce the burden on the Austrian people and our domestic companies. Life has to remain affordable for people, and we will make sure it does, now and in the future."
Finance Minister Magnus Brunner
In recent weeks, the Federal Government has launched numerous measures designed to relieve the burden on the population and the economy and to reduce the effects of the current high energy prices. In total, almost 4 billion euros are being invested to deal with the current situation. This will allow the Federal Government to reduce the costs of daily life for all Austrians and give businesses more breathing space.
The full list of measures at a glance
- At the beginning of the year, the green electricity subsidy and the green electricity subsidy flat rate were set to zero. This saves every household an average of 90-100 euros.
- The inflation credit has been doubled from 150 euros to 300 euros for the worst-affected sections of the population. This will deliver targeted help to those most affected by inflation. The measure benefits the unemployed as well as recipients of minimum incomes, compensatory allowances and study grants, and holders of mobility scholarships.
- Energy Costs Credit of 150 euros. The Energy Costs Credit is worth 150 euros. It will be sent to households in the form of a voucher, and it will kick in when annual electricity bills are issued and rising prices hit home for consumers. You can find detailed information about the scheme, including FAQ on the Energy Cost Credit here (PDF, 857 KB) (PDF, 389 KB) and at oesterreich.gv.at/energiekostenausgleich (in German).
- 50% increase in the lump sum for commuters and quadrupling the value of the "commuter euro" allowance by 30 June 2023. A one-off tax-negative allowance of 100 euros for taxpayers whose income is below the tax threshold This measure provides tax relief amounting to over 400 million euros.
- At the same time, 150 million euros will be made available this year to reduce fares on public transport and expand services. This gives people an incentive to switch to public transport where possible.
- Since gas and electricity prices in particular represent a massive additional expense in daily life and for businesses, the specific energy levies (the natural gas and electricity levies) will be reduced by around 90% by 30 June 2023. These reductions will bring relief amounting to 900 million euros.
- Instructions have been issued to the monopolies regulator (BMJ) to investigate the oil industry and companies in the oil/diesel/gasoline value chain. A situation report on this issue will also be sent to the Austrian Federal Competition Authority.
- Agricultural Diesel Cost Compensation based on the nEHS system, to the extent currently permitted under European law (with a deadline of 30 June 2023).
- Credit to compensate for increasing costs in public transport and prevent price increases (for example, for school trips).
- Relief for domestic SMEs with high fuel costs, especially for crafts and sole-traders, via a fuel refund worth around 120 million euros (available until 30 June 2023).
- Liquidity support for companies by reducing advance payments for income tax/corporate tax payments (limited to 30 June 2023).
- Support for companies to help them switch quickly to alternative, de-carbonised forms of energy. Funding totals 120 million euros for 2022 and 2023.
- Launching an investment drive to make Austria more self-sufficient by supporting wind and solar power projects: total funding amounts to 250 million euros.
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