Applications for an “energy cost subsidy” have been possible for companies since yesterday, Tuesday. Energy-intensive companies should be compensated for 30 percent of their additional costs for electricity, natural gas and fuel in the months of February 2022 to September 2022. It is “of course clear” that corporate aid will be “sharpened” in the coming weeks, Brunner promised. The EU subsidy framework will be exhausted.
In what form – an extension of the existing model or a new instrument – and until when there will be further company aid, the finance minister left open when asked. One analyzes continuously and precisely how the German gas price brake could affect the market situation of domestic companies, and there should be no competitive disadvantages for them. “Of course we will react – in whatever form.”
Of course, a Europe-wide solution would be the best, because nationally you can only “fight the symptoms”, that doesn’t bring prices down, noted Brunner. Energy Minister Leonore Gewessler (Greens) also recalled that efforts are currently being made at EU level to lower gas prices. She, too, thought that European solutions (such as joint purchasing) were the best. The EU energy ministers will discuss further at a special meeting on December 13th. In any case, Gewessler is hoping for “concrete decisions” soon.
Brunner rejected calls for a gas price brake like in Germany, at least for private households: He wanted to emphasize “that not everything that looks popular here at first glance actually makes sense”. The conditions in Germany are different: almost half of the households there have natural gas heating, in Austria it is 23 percent. And there are also differences within Austria. In Salzburg, for example, 91 percent of households would not benefit from such a gas price brake, and in Carinthia even 97 percent. Gewessler mentioned the suggestion that the federal government could increase the state heating subsidy.
Electricity price brake applies from Thursday
In any case, from tomorrow (Thursday) (until June 2024) the four billion euro electricity price brake will apply, from which natural persons who have a valid electricity supply contract for a household metering point will benefit. The price is supported by the federal government up to a consumption of 2,900 kWh of electricity per year. The corresponding subsidy comes when the lower threshold of 10 cents/kWh is exceeded. Any part of the price above this should be subsidized up to an upper threshold of 40 cents/kWh. The electricity cost brake brings an average of 500 euros per household and year in relief, explained Brunner.
A separate application is not necessary for this. The funding should be taken into account at the latest in the annual statement. Michael Strugl, President of Oesterreichs Energie, assured that the companies are also trying to ensure that the relief is taken into account as early as possible in the advance partial payments.
Multi-person households should also be relieved
Multi-person households, which are confronted with higher electricity costs, should also be relieved. If more than three people live in the household, you get an additional quota. Each additional person should be supported with a quota of 350 kWh at 30 cents – that corresponds to an additional relief of over 100 euros per person and year, said Brunner. The model is currently being finalized in the Ministry of Finance, and the relief should reach households in the spring of next year. Here, too, the processing should be largely automatic.
Low-income households also receive a network cost subsidy of 75 percent, with an annual limit of 200 euros. Those households that are also exempt from the GIS fee are eligible.
The state cannot compensate for all crises one hundred percent, Brunner affirmed, but it can cushion hardships. Gewessler also spoke of an important component that has a “quick and uncomplicated” effect directly on the invoice. Saving incentives are also retained, because the market price has to be paid above and beyond the specified basic requirement. Gewessler said that the cheapest energy is that which is not needed. Criticizing the lack of accuracy, Gewessler once again replied that it was about helping quickly.
Source: Nachrichten
