Please be patient, says Voestalpine at the moment in connection with a number of questions. The construction of the electricity line that the group needs for green steel production has been suspended. The decision on how much the steel giant will receive from the transformation fund is also pending.
Less demand in the construction, mechanical engineering and consumer goods industries, plus increased competition from China: all this puts pressure on the steel world. Voestalpine boss Herbert Eibensteiner also spoke of a “sometimes challenging market environment” when presenting the figures for the first half of 2023/2024.
Eibensteiner takes a closer look at politicians. Because in Austria electricity price compensation for energy-intensive companies was only approved for one year, while in 14 other EU countries support is guaranteed for several years, competition for Voestalpine is becoming increasingly fierce. It is still unclear how much money will flow from the transformation fund for the establishment of green steel production in Linz and Leoben-Donawitz. The steel giant is speculating on an amount in the mid to high double-digit millions.
Awaiting the environmental impact assessment
What next with the construction of the 220 kV line needed in Linz? Construction is currently being postponed due to a complaint from a citizens’ initiative. Now we have to wait for the final decision on the environmental impact assessment. When can this be expected? Eibensteiner speaks of weeks to months.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
