Austria 1MW on grid solar system project-2021

Austria is facing inflationary difficulties due to rising energy costs caused by the Russia-Ukraine conflict, which has led the Austrian government to launch plans to expand the scale of renewable energy.

The Austrian government has revealed that it will provide financial assistance of 250 million euros for the development and installation of photovoltaic power generation and onshore wind power projects in Austria. This is expected to reduce fuel imports and help the country become more independent in meeting its electricity needs.

The Austrian Ministry of Finance recently announced a 2 billion euro package to deal with the inflation currently faced. The €250 million allocation for renewable energy development is part of a larger plan. Last year, the Austrian government released a €1.7 billion investment package.

"Photovoltaic and wind power will not give us more bills, but the gas companies will," Austrian Energy Minister Leonore Gewessler said of the new plan, citing Austria's current economic dependence on natural gas.

Other initiatives are also part of the package. By June 2022, Austrian electricity and gas taxes will be reduced by 90%. This will save the country's electricity consumers €900 million. Companies using alternative and renewable energy sources will receive €120 million in financing.

The Austrian Photovoltaic Association welcomes the country’s government’s decision to provide additional financing for green energy projects. The association also called on the government that the package must not distract from the implementation of the Renewable Energy Expansion Regulation (EAG). The regulation was approved by the Austrian government in July last year. As of now, about 80% of Austria's natural gas comes from Russia, under a contract that will last until 2040.

The Austrian Photovoltaic Association says regulations under the new legislation are urgently needed to quickly develop thousands of green energy projects and combat rising energy costs in Austria.

Austria has set a goal of achieving 100% of its electricity supply from renewable energy sources by 2030, according to the International Energy Association (IEA). The International Energy Association (IEA) said that Austria currently generates about three-quarters of its electricity from renewable energy sources, but still needs 22 to 27 TWh of clean energy to achieve its 2030 net zero goal.