Energy cost subsidy II: Start of the application process

Applications for the Energy Cost Subsidy II for companies have been possible since 9 November 2023. From now on, the aws will also allocate the individual application periods.

A first draft of the funding guideline (RL) was published on the aws website on 8 November, the validity of which is still subject to national agreement and approval by the European Commission under state aid law. Subject to change without notice.

What needs to be done now?

If you intend to submit an application, we recommend that you contact our funding experts in order to prepare and implement the next steps together. We would ask you to inform us immediately of the application slot allocated to you by the aws.

We will also be happy to support you with the subsequent examination of the energy cost subsidy to be applied for.

1. Key points of the energy cost subsidy II

Eligible period: 1 January – 31 December 2023

Funding period 1: 1 January 2023 – 30 June 2023

Funding period 2: 1 July 2023 – 31 December 2023

 

Type of funding:

Non-repayable grant (concept)
First-come-first-served principle
Without legal entitlement

Eligible companies: Energy-intensive, commercial, industrial and non-profit companies of all sizes and entrepreneurial sectors, companies that operate a heatable greenhouse, as well as non-profit associations with their entrepreneurial activities, and licensed public transport companies with their registered office and/or operating site in Austria (point 8 RL).

Excluded companies: For example, energy-producing and oil-processing companies, oil and gas extraction or primary agricultural and forestry production, real estate companies, companies in the banking and financing sector as well as certain state entities (according to the so-called “S-13 list”) and regional authorities.

Eligible energy sources:

• Exclusively in stage 1: fuels, heating oil, wood pellets, wood chips and heat, cooling and steam obtained directly from heating oil, wood pellets and wood chips.
• Electricity, natural gas, heating and cooling

2. Five subsidy levels (overview)

The maximum energy cost subsidy amounts to between EUR 2 million and EUR 150 million per company or group, depending on the level to which it is entitled. Energy cost subsidies I already granted to the applicant company and affiliated companies must be taken into account when determining the upper limits.

Basic level 1 (max. EUR 2 million):

• Basic subsidy for electricity, natural gas, heating/cooling, fuels, pellets, heating oil, wood chips; 50% of the additional costs compared to those of 2021
• No maximum eligible consumption
• From subsidy amount of EUR 125,000: operating loss or EBITDA reduction

Calculation level 2 (max. EUR 4 million):

• 50 % of the additional costs that exceed 1.5 times the energy costs in terms of gas, electricity and heating/cooling in 2021
• Operating loss or reduction in EBITDA
• Consumption is capped at 70 % of energy consumption in 2021

Calculation level 3 (max. EUR 50 million):

• 65 % of the additional costs that exceed 1.5 times the energy costs for gas, electricity and heating/cooling in 2021
• Operating loss or EBITDA reduction
• Prerequisite: energy intensity
• Consumption is capped at 70 % of energy consumption in 2021
• Energy audit required

Calculation level 4 (max. EUR 150 million):

• 80 % of the additional costs that exceed 1.5 times the energy costs in terms of gas, electricity and heating/cooling in 2021
• Operating loss or EBITDA reduction
• Prerequisite: energy intensity
• Consumption is capped at 70 % of energy consumption in 2021
• Energy audit required
• Belonging to a particularly affected sector or sub-sector

Calculation level 5 (max. EUR 100 million):

• 40% of the additional costs that exceed 1.5 times the energy costs for gas, electricity and heating/cooling in 2021
• Operating loss or reduction in EBITDA
• Consumption is capped at 70 % of energy consumption in 2021
• Energy audit required

3. Eligibility requirements

• Implementation of energy-saving measures by 31 March 2024, in particular in the area of lighting and heating in outdoor areas
• The bonus restrictions for board members/managing directors already provided for in connection with COVID-19 subsidies (applies from publication of the final version of the guideline for the current year, max. 50 % of the bonuses for 2021), distribution restrictions (7 months after publication of the guideline) and an obligation to maintain good tax behaviour also apply.
• The energy cost subsidy II is earmarked.
• A speculation ban applies to all levels.
• Employment guarantee (only for levels 2 to 5).

4. Calculation methods

Operating loss method:

• The EBITDA (earnings before interest, taxes, depreciation and amortisation excluding one-off impairments) must be negative in the funding period applied for (without taking the funding into account).
• The funding is limited to the amount that results in an EBITDA of EUR zero for the funding period applied for, taking the funding into account.

EBITDA reduction method:

• The EBITDA of the funding period applied for must be at least 40% lower than the EBITDA of the comparable period in 2021.
• The funding is limited to the amount that would result in the EBITDA of the funding period applied for exceeding the EBITDA of the comparative period in 2021 by more than 70 %.

5. Application procedure

• Processing within the framework of private sector administration by aws (Austria Wirtschaftsservice Gesellschaft) via “aws Fördermanager”
• Confirmation by tax consultant/auditor/accountant required

6. Application period and procedure

• Applications for both funding periods (funding periods 1 and 2) are submitted at the same time in a two-stage process.
• The individual application periods for funding period 1 begin on 9 November 2023 at the earliest and end on 7 December 2023 at the latest.
• The individual application periods for funding period 2 begin on 15 February 2024 at the earliest and end on 6 June 2024 at the latest.
• Applications must be submitted for both funding periods.
• For funding period 1 (January to June 2023), the actual costs are specified, which are determined both for the calculation of the grant for funding period 1 and for the calculation of the maximum upper limit for the grant for funding period 2 (175% of the grant amount for funding period 1 calculated on the basis of actual costs). The actual costs for funding period 2 (July to December 2023) will then be stated in 2024.
• Multiple applications and subsequent improvements or amendments to a submitted application and the uploaded assessment report are not permitted.

 

For more information, please refer to the guidelines (draft) and the FAQs Energy Cost Subsidy II (draft). Further documents, information and official calculation aids can also be found in the aws download area.