Austria Renewables SWOT

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Austria Renewables SWOT

• 05 May 2022
• Austria
• Renewables

SWOT Analysis

Strengths	The country has a relatively attractive feed-in tariff (FiT) scheme. Transmission networks are well developed and the country continues to make investments to improve and develop grid infrastructure. Domestic firms benefit from expertise in a number of key renewables segments. Austria aims to generate all of its electricity from renewable energy sources by 2030 and has committed funding to the sector via its climate and energy fund.
Weaknesses	Austria's stagnant economy, low electricity consumption levels and prices have led to decreased FiT support. Wind power capacity is largely focused on only two federal states, as state regulations prohibit their construction primarily in Western Austria. Maturity of the sector could lead investors to target other emerging growth markets in Eastern Europe.
Opportunities	There are numerous off-grid and alternative opportunities for biomass, such as heating and cooling or transport. New rebate system for energy storage and photovoltaic systems under the Austrian Climate Fund. Increased budget support for the domestic residential solar subsidy programme is likely to boost installations in the country. The mounting drive towards low carbon green hydrogen will create demand for new renewables capacity. Enhanced rooftop solar rebate payment scheme will increase potential growth outlook
Threats	The Covid-19 pandemic has disrupted business activities, created supply chain bottlenecks and weakened investment, which has the potential to threaten project development in the renewable energy sector. Electricity prices are falling because of extensive government subsidies for renewables power. Slower growth in renewables capacity could increase reliance on imports in the future.

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