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Review period ends: over 330 submissions on Austria's climate law – business rejects 2040 target, environmental groups call it non-binding

This article was translated from Arabic. Read the Arabic original

The public review period (Begutachtung) for Austria’s draft climate law (Klimagesetz) ended on Friday, with more than 330 submissions received by Thursday. Criticism focuses in particular on the target of climate neutrality by 2040: business representatives oppose Austria being ten years ahead of the EU, while other organisations criticise the lack of binding force.

Business location clause at the centre of the debate

The draft commits the state to the 2040 climate neutrality target, but allows the climate roadmap and the target year to be reviewed and adjusted if events with serious economic or social consequences occur that threaten development, the business location or jobs. The Chamber of Labour (AK) criticised the clause as so broadly worded that it could be invoked in any period without an economic boom and full employment.

Martina Prechtl-Grundnig, director of Renewable Energy Austria (EEÖ), said that under this wording high gas prices could lead to the phase-out of gas itself being postponed – the very measure that protects against fossil fuel price shocks. The Institute for Advanced Studies (IHS) said the clause achieves the opposite of planning certainty and recommended measurable indicators and a fixed duration with a return to the target path. Greenpeace, Global 2000 and WWF said the target remains mere words that can be circumvented, while the Foreign Ministry pointed out that the clause could be problematic in light of rulings by the European Court of Human Rights.

Business wants to stick to the EU’s 2050 target

WKO Secretary General Jochen Danninger affirmed the Chamber’s commitment to climate protection and to the EU target of climate neutrality by 2050, warning against a go-it-alone Austrian approach that would burden companies and weaken their position in European competition. The Federation of Austrian Industries (IV) and major companies including Flughafen Wien, Austropapier and Baumit, as well as the province of Tyrol, joined this criticism.

The law provides for a steering group to draw up a climate roadmap by 30 September 2027, to be adopted by the Council of Ministers by the end of 2027. Greenpeace and the VCÖ criticised this delay, as measures would thus not begin before 2028. The Court of Audit criticised the absence of binding sectoral targets, and the City of Vienna noted the lack of any sanctions for failing to comply with the roadmap.

Source: ORF

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