Commission greenlights scheme to support security of electricity supply in Austria
The Commission has approved an Austrian scheme to ensure security of electricity supply for five years starting in October 2026. This program extends and updates the existing network reserve (approved in 2021 and running until 2026). The scheme will maintain reserve electricity capacity outside the market, ready for activation by system operators when transmission congestion prevents matching electricity supply and demand.
Under the scheme, Austrian Power Grid AG (APG) will pay power plants, storage facilities, and demand-response providers to stay available for grid stability. The capacity, located in Austria or nearby regions, will receive grants per megawatt and operational payments when activated. Costs will be passed to consumers via network charges, and aid will be allocated through competitive bidding or, if competition is limited, based on actual costs.
The Commission approved the scheme under the Guidelines on State aid for climate, environmental protection and energy (‘CEEAG’), finding it necessary, proportionate and appropriate to achieve the security of supply objective.
For more information, see the Commission’s PR.