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The Energy Regulation and Markets Review - Stikeman Elliott

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Austria<br />

policy for the next 10 years <strong>and</strong> calls for a rapid but sustainable expansion of energy<br />

generation from renewable resources. Based on that strategy, the national renewable<br />

energy action plan (‘the NREAP’) was drawn up, which, under the Renewable <strong>Energy</strong><br />

Directive, had to be notified to the European Commission by June 2010. <strong>The</strong> NREAP<br />

aims at the increase in energy generation from hydropower, wind power, biomass <strong>and</strong><br />

solar sources. Moreover, the NREAP states that wind power, biomass <strong>and</strong> solar sources<br />

will benefit from the green electricity promotion scheme.<br />

Legal provisions concerning renewable energy can be found in the ElWOG<br />

<strong>and</strong> the Green Electricity Act. In compliance with the New EU Electricity Directive,<br />

the ElWOG stipulates that, in case of grid capacity shortfalls linked to the necessity of<br />

dispatching generation installations, the TSOs have to give priority to installations using<br />

renewable energy resources.<br />

In July 2011 a new Green Electricity Act (‘GEA’) was adopted in order to<br />

implement the targets of the AES <strong>and</strong> the NREAP. Contrary to several other EU Member<br />

States Austria strengthened the support scheme by the new GEA 2011. It introduces,<br />

among other issues, a strong increase of the feed-in tariff for energy generated by wind<br />

parks located in Austria (for further details on the extended support scheme see Section<br />

VI, infra). <strong>The</strong> new Cogeneration Act contains provisions on the promotion of combined<br />

heat <strong>and</strong> power plants. This promotion regime was formerly part of the GEA. However,<br />

according to the ElWOG <strong>and</strong> the GEA, there are no obligations or commercial incentives<br />

for TSOs to invest in additional capacity to service renewable energy plants.<br />

ii <strong>Energy</strong> efficiency <strong>and</strong> conservation<br />

A strong increase in energy efficiency is a key part of the AES. To this end the AES<br />

defines measures in the following action fields: reduction of the heat <strong>and</strong> cooling<br />

dem<strong>and</strong> in buildings, reduction of electricity consumption in private households <strong>and</strong><br />

commercial facilities, better use of industrial waste heat <strong>and</strong> a more efficient mobility.<br />

In 2020 the final energy consumption in Austria should be 1100PJ, which corresponds<br />

to consumption in the year 2005. A draft Federal <strong>Energy</strong> Efficiency Act will shortly be<br />

presented for public consultation, which could contain several measures to raise energy<br />

efficiency, in particular in commercial facilities.<br />

Also, the federal states have set up energy-efficiency programmes mainly consisting<br />

of targeted funding <strong>and</strong> monetary support schemes; there are also binding requirements,<br />

such as a m<strong>and</strong>atory energy audits for certain commercial activities.<br />

iii Technological developments<br />

Clean energy technology accounts for around 50 per cent of the additional turnover<br />

generated by the Austrian environmental technology industry since 2003. <strong>The</strong> most<br />

important technologies are cogeneration installations, revamping of existing installations,<br />

biomass <strong>and</strong> hydropower. 3<br />

3 See Austrian Institute for Econonomic Research, Austrian Environmental Technology<br />

Industry (2009), www.energieklima.at/fileadmin/user_upload/pdf/Zahlen_Daten/0908_<br />

Umwelttechnikstudie.pdf.<br />

31

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