A Billion Planned – Energy Aid: Key Business Issues Resolved

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After weeks of negotiations, the energy cost subsidy for companies will be presented in the Council of Ministers on Wednesday. This gives incentives to save energy and also blocks manager bonuses if the subsidy is paid. The “Krone” knows the details in advance.

Huge energy costs are also causing problems for local businesses – which is why the call for state aid has been growing lately. On Tuesday, the federal government finally reached an agreement – talks are in their final stages, but things look good for an agreement.

And in fact, the package should already go through the Council of Ministers on Wednesday, according to negotiating circles at the “Krone”. In concrete terms, there should be retroactive support for companies from the spring of 2022. A total of more than a billion euros has been budgeted for the financing measure.

Electricity costs also slow down for companies
“Energy-intensive” companies should be supported – for the government, this means those companies whose purchasing costs for energy and electricity are at least three percent of the production value.

30 percent of the additional costs of the previous year are financed. The subsidy amount for the energy cost subsidy should consist of four levels based on the EU crisis framework. A flat-rate solution must be found for smaller companies. As with the electricity cost brake for private households, part of the energy costs is subsidized – in the case of the energy cost subsidy, 30 percent of the additional costs.

Greens push for energy savings
The haggling between the ÖVP and the Greens has turned out to be quite tough, the negotiators were told. The Greens therefore demanded conditions against wasting energy in order to be able to apply for a subsidy: outdoor heating, for example using heating sponges in the guest garden, would be a reason for exclusion from the subsidy at the request of the eco-party, such as opening shop doors, illuminating shop windows well after closing time or floodlighting the ski slopes.

The economy raged as individual sectors — especially gastronomy, winter tourism and trade — would be disadvantaged in their business model, it said.

In addition, the directive should include – also at the insistence of the Greens – that companies that receive the energy cost subsidy should in certain cases not pay manager bonuses, similar to the economic support Corona.

Source: Krone

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