Help for entrepreneurs – energy cost subsidy: last spurt in haggling

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After weeks of negotiations, the energy cost subsidy for companies will be presented in the Council of Ministers on Wednesday. Coalition talks are in the finals, government circles said Tuesday, and things look good for an agreement. Economic Affairs Minister Martin Kocher (ÖVP) was optimistic, but at the same time called for being “pragmatic”. The operation of heating pads should not be promoted.

Negotiations were still ongoing on Tuesday. It is known that there are “minor points of discussion with the coalition partner,” Kocher said at a news conference. They are constantly clearing it and he is optimistic about an agreement.

public support
It was recently discussed that companies particularly burdened by high energy costs should be reimbursed by the public sector for about 30 percent or a third of the additional costs. The financing must be applied for retroactively from the spring of 2022. For this year, the negotiators are assuming approximately 2.5 billion euros in costs.

Green for dozens of editions
The haggling between the ÖVP and the Greens is likely to be quite tough, but was heard in negotiating circles. The Greens therefore demanded conditions for financing. Companies that receive the grant are not allowed to pay bonuses to top executives. In addition, the Greens demanded measures against energy waste in order to apply for the subsidy: outdoor heating, for example using heating sponges in the outdoor dining area, would be a reason to request the eco-party, such as opening shop doors, lighting shop windows well past closing time or floodlights on the ski slopes. The economy raged as individual sectors — especially gastronomy, winter tourism and trade — would be disadvantaged in their business model, it said.

The Greens want to “make sure that the energy is not heated out the window”, Green business spokeswoman Elisabeth Götze confirmed on Tuesday in the Ö1 “Mittagsjournal”. Economics Minister Kocher is apparently not happy with bans, but according to his statements it is also “clear” that financing cannot go hand in hand with wasted energy.

Heating sponge against spotlights
A compromise should therefore be within reach: the ÖVP could meet the coalition partner on the issue of the heating sponge, which is also symbolically important for the Greens, it was heard. The Greens, in turn, could do without the floodlight ban, because it would be legally difficult to distinguish between a luxury ski resort and children’s football training anyway, it was said behind closed doors.

Economy urges quick help
Meanwhile, the Chamber of Commerce (WKÖ) and the Federation of Austrian Industries (IV) have again called for more rapid action by the government and the EU to relieve companies of the high energy prices. “Economic livelihoods are at stake – not to mention the jobs associated with these companies if these companies have to close,” warned World Cup president Harald Mahrer. In this situation, there is “no time for political tactics and Sunday speeches” because there is no more time. “The relief for the companies must finally come – noticeable, unbureaucratic and most importantly, quickly.”

Energy price developments are already threatening the survival of many companies that are no longer able to produce economically. Plant closures or shifts in production could result, said IV president Georg Knill. As a result, Austria is threatened with a reduction in competitiveness, value creation and jobs, as well as a loss of wealth.

Source: Krone

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