Background information

Due to high energy prices, not least caused by the closure of the Strait of Hormus during the Iran war, numerous measures have been implemented by the Austrian government targeted towards citizens and SMEs. Via the industrial electricity package, industrial entreprises are specifically targeted as they suffer most from high energy prices, especially in energy-intensive sectors. Via an industrial electricity package, the government targets towards increasing the industrial sector's share of GDP from its current level of around 16 to 17 percent back to 20 percent and thus also increasing the competitiveness of the sector.

Content of measure

The industrial electricity package consists of several measures: * The industrial electricity bonus can be applied for retroactively for 2025 starting on 13 April 2026. In total, 150 million euros are provided for 2025 and 2026 (75,000€ for each year) to secure around 30,000 jobs. In order to receive the subsidy, the following requirements must be met: - Only companies in legally defined sectors are eligible for the bonus. Sectors include, among others, the manufacture of paper, cardboard and corrugated board, and the production of iron, steel and ferroalloys. - The prerequisite is an electricity consumption of more than 1 GWh per year. - An energy audit or an energy or environmental management system is required. - 80 percent of the funding must be reinvested in energy efficiency measures. * An industrial electricity price has been fixed, starting to apply from 2027 on: For 50 percent of consumption, a price of no more than 5 cents per kilowatt-hour will apply. The main goal is to cushion extreme electricity prices more quickly in the future and thus prevent new surges in inflation.

A total of €250 million is available for industrial electricity bonuses and industrial electricity prices starting in the application year 2027. The funds are to be used in such a way as to support energy-intensive industries as effectively and efficiently as possible.

Use of measure

No information available yet, but the Economy Minstry expects that around 60 companies would apply for the industrial electricity bonus.

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Larger corporations	Does not apply to citizens

Actors and funding

Actors	Funding
National government	No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement as case not in social partner domain	No involvement as case not in social partner domain
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

No involvement.

Views and reactions

The Federal Economic Chamber WKO welcomes the industrial electricity package as a key lever for strengthening Austria's economic position.

Sources

• 27 May 2026: The Federal Government adopts an industrial electricity package and an energy price crisis mechanism. (www.bundeskanzleramt.gv.at)