Asylum, Social Assistance, Rent: The Government Program in Detail

The government program of the candy coalition of ÖVP, SPÖ, and NEOS is more than 200 pages long and bears the title "Do the Right Thing Now. For Austria". It emphasizes "consensus and pragmatism".

Asylum, Tenancy Law, and Social Issues Important Points in the Government Program

The government announces strict measures, especially in the area of asylum. Family reunification is to be "immediately" stopped at least temporarily, and a headscarf ban for underage minors is also targeted. Measures in tenancy law are also included in the program, such as increasing the minimum duration of fixed-term rental contracts to five years. The plan for the federal army will be maintained, as well as participation in Sky Shield. The ORF fee will not be increased until 2029. In childcare facilities, a healthy snack will be provided for free. Women's hygiene and contraceptive products are to be exempt from VAT.

According to the draft, innovations are also planned in the area of poverty and social issues. Child poverty is to be countered with a "child basic security" and halved by 2030. The previous social assistance is to become a "new social assistance" with a uniform daily rate based on the compensatory allowance guideline rate. The social assistance created in 2019 under the black-blue coalition instead of the minimum security set maximum limits instead of the minimum standards that were valid until then.

The Government Program in Detail

Asylum

Temporary Stop for Family Reunification

Unexpectedly strict, given the SPÖ's participation in the government, are the measures planned by the coalition in the area of asylum and integration. Family reunification will be temporarily stopped with immediate effect. When it is allowed again, spouses can only join from the age of 21, not as previously from 18. A headscarf ban for girls is to be reintroduced. There are difficulties with citizenship.

The joint asylum policy of the Union is to be further developed according to the government program so that the number of applications in Austria itself is reduced to zero. If necessary, the EU emergency clause would be triggered in the event of rising application numbers, which would de facto mean no more applications would be allowed. In resettlement programs, no one would be taken in until border protection functions.

Return Procedure Centers to Prevent Disappearance

Return procedure centers are to be established. In these, people whose asylum applications have been rejected are to be accommodated to prevent them from disappearing.

In basic care, the model of a benefits card is to be expanded. Furthermore, performance checks are to be intensified. Accommodation providers are to be automatically compensated for inflation.

Antisemitism Declaration

A mandatory integration program for those entitled to protection and asylum seekers with a high probability of staying is being introduced. This ranges from a competency screening to values and German language instruction. If German courses are not passed, there should be penalties, such as co-payments. All asylum seekers and those entitled to subsidiary protection must sign an antisemitism declaration.

Headscarf Ban

A constitutionally compliant headscarf ban is to be developed for underage minor girls (up to the completion of their 14th year).

Before naturalization, a citizenship course must be completed in the future. Higher German language skills are required for this. For people in urgently needed professions, financial requirements should be lowered. Minor administrative offenses should also no longer be an obstacle.

Promotion for Nikolo

Another point: Austrian festival and holiday culture - such as Nikolo and the Harvest Festival - should be promoted in schools and kindergartens.

Extremism and Terrorism

Regarding the topics of extremism and terrorism, which have been strongly present in public awareness since the attack in Villach and a suspected foiled attack at Vienna's Westbahnhof, the government agreement includes a commitment to fight against "political Islam." Further criminal law provisions against religiously motivated extremism are planned. Surveillance of messenger services for counter-terrorism is also to be introduced.

Existing provisions in the Criminal Code (StGB) against "political Islam" are to be expanded and tightened, and new criminal provisions are being considered. The possibility of further freedom-restricting measures against so-called threats is to be "examined," according to the coalition agreement.

Tightening is also planned in administrative criminal law and accompanying administrative regulations. This is intended to address organizations classified as extremist. For "organizations that do not recognize the basic principles of our democratic state and the values derived from them," the Association Act is to be further tightened. The Documentation Center for Political Islam (DPI) is to be further developed.

Surveillance of Messenger Services "for the Purpose of Targeted Counter-Terrorism"

In principle, the upcoming government is eager to combat any form of extremism with enhanced "legal, systemic, and personnel measures." "For the purpose of targeted counter-terrorism," the surveillance of messenger services, recently demanded by the ÖVP and the Directorate for State Protection and Intelligence Service (DSN), is to be made possible, which is referred to in the government agreement as "constitutional threat surveillance."

Measures Package Against Online Radicalization

With a package of measures, the government aims to counteract online radicalization on platforms like TikTok, where especially young people, sometimes even children, quickly develop into Islamists by consuming videos from Salafist or jihadist influencers or preachers. Domestically, the dissemination of extremist, Islamist, and terrorist propaganda is to be criminalized, especially when it expresses rejection of the Austrian legal system. In this context, there is a push for increased regulation and control of digital platforms at the European level based on the Digital Services Act and the Digital Markets Act. Interim injunctions should allow for the suspension of accounts of hate preachers. There should be a more consistent approach against disinformation and deepfakes, with increased responsibility for moderation and deletion obligations.

Action Plan Against Right-Wing Extremism

Regarding the "threat from the right," an annual report on right-wing extremism is to be published in the future. The government also plans to create and develop a National Action Plan against Right-Wing Extremism, following international examples. The anti-Semitism strategy, considering the special need for protection of the Jewish community, is to be revised and expanded.

"Certain Types of Knives" to be Banned "for Comprehensive Violence Prevention"

To counter extremist and terrorist threats, the upcoming government wants to focus more on deradicalization measures and extremism prevention. Regional prevention programs against extremism in schools and youth centers are to be expanded. A publicly accessible list of extremist organizations is planned. "For comprehensive violence prevention," the carrying of "certain types of knives" is to be banned, following recent incidents where attackers at home and abroad have increasingly used stabbing weapons to carry out their terrorist intentions.

Regarding further legal frameworks, the protection of classified information of the DSN is to be expanded by introducing a so-called authority report. A cross-state data network of police and state protection is intended to enable faster recognition and combating of threat situations. An amendment to the Security Police Act is to improve security checks of natural and legal persons.

Rent

The government program of ÖVP, SPÖ, and NEOS also provides relief for tenants. Accordingly, category rents, benchmark rents, and rents in non-profit housing will not be increased at all this year, with a maximum increase of one percent allowed next year and up to two percent in 2027. From 2028, a cap on rent increases of a maximum of three percent will apply to the "entire housing sector."

If inflation exceeds three percent, increases will then be curbed and only half will be passed on to tenants. Additionally, the minimum duration of fixed-term rental contracts is to be increased to five years. Currently, it is at least three years.

Location Surcharge Under Scrutiny

The so-called reference rent applies to old buildings (constructed before 1945) and rented after March 1, 1994. The rent cap decided by the ÖVP-Green government in 2023 limited the increase of category rents, reference rents, and rents in non-profit housing to five percent for 2025 and 2026. For this year, it would have been increased by the annual inflation rate of 2024 of 2.9 percent - the rent cap would not have applied.

According to the new program, the system of location surcharge will also be scrutinized to ensure "an easily understandable transparent approach to calculation." In response to a Supreme Court ruling, the reclaiming of rent payments due to legally ineffective value adjustment or main rent adjustment agreements will be limited to five years. Furthermore, in the future, the "energetic quality of buildings and apartments as well as measures taken or omitted for their improvement in the sense of a bonus-malus system" should be explicitly considered when forming the rent.

Pensions

In the pension sector, much remains unclear even after the presentation of the government program. What is certain is that a sustainability mode will be introduced by law. This stipulates that if the corresponding budget path cannot be maintained by 2030, countermeasures must be taken. The introduction of a partial pension is also clearly defined.

Regarding the countermeasures in the sustainability mode, an increase in the insurance years for the corridor pension from 2035 is mentioned. This would be accompanied by a mix of measures regarding the contribution rate, the account percentage, but also the age of onset and pension adjustment.

Access to Corridor Pension Later and More Difficult

Soon, access to the classic early retirement, namely the corridor pension, is likely to become somewhat more difficult. From 2026, the requirement will be increased from 40 to 42 insurance years over three years. The starting age will be raised from 62 to 63 over two years.

Regarding pension adjustment, there will be a pro-rata of 50 percent in the first year after retirement.

Partial Pension Replaces Partial Retirement

Partial retirement, in turn, will be absorbed into the partial pension. This new form of pension is expected to take effect as early as 2026. Care professions will be included in the heavy labor regulation.

The occupational pension pillar is to be opened to everyone. A general pension fund contract is planned. Improvements are also planned for pension funds. The Pension Security Commission will also discuss the second and third pillars in the future.

Health

In the field of health, long-term efficiency improvements have been planned. This is to be achieved through strengthening the outpatient sector, prevention, and telemedicine. Waiting times for doctor and surgery appointments are to be reduced, payment flows jointly managed, and hospitals relieved. However, the government program remains noticeably vague regarding specific implementation steps or intended legislative changes.

Regarding the reduction of waiting times - a favorite topic of the SPÖ - it is stated that "clear, binding, quality-assured care pathways according to nationwide standards" are to be created. In the outpatient sector, multidisciplinary specialist centers (involving all health professions) are planned. Converting individual practices into group practices is to be made easier, although this is only to be "examined".

First Aid Clinics and Specialist Centers

ÖVP, SPÖ, and NEOS want to expand care centers for chronically ill patients as well as in the psychosocial sector, as well as expertise centers for rare diseases. The expansion of first aid clinics to relieve hospitals and the improvement of outpatient care according to regional needs are also targeted.

Preventive services are to be "massively expanded in all life situations", for example through structured preventive programs. All vaccinations recommended in the national vaccination program are to be offered free of charge - however, "according to scientific prioritization". For children, the parent-child pass is to be extended to 18 and expanded, and the "Healthy from the Crisis" program is to be continued.

24-Hour Care Will Be Expanded

In the interest of patients, there is to be a central application processing for medical aids, an interface between long-term care and inpatient care, an improvement in follow-up care after rehabilitation, and an expansion of hospice and palliative care. Care and support are to receive a nationwide strategy, the 24-hour care is to be expanded and quality-assured. ELGA will be expanded, and in the pharmaceutical sector, more supply security is to be ensured.

Service Catalog and General Contract

The government intends to improve the framework conditions for practicing health professions, namely through a uniform service catalog and a nationwide uniform general contract for compensation. Here, "necessary legal framework conditions", i.e., a legislative change, are also promised.

Part-time insurance contracts are sought for private doctors. Additionally, there is to be an obligation to treat patients at insurance conditions in emergencies. A new paramedic law aimed at modernization and professionalization is also targeted, but the volunteer system is to be maintained. In nursing, efforts are to be made to specifically recruit staff from abroad.

Nothing is likely to come of the discussed partial reversal of the social insurance reform decided under Schwarz-Blau. Only an evaluation has made its way into the government program, and an independent self-administration within the umbrella association is also to be established.

Labor Market

The black-red-pink coalition does not plan a major reform for the labor market, but has numerous individual measures planned. The additional income while receiving unemployment benefits will be handled more strictly. A restricted follow-up model for educational leave is planned from 2026. In the previous government, Labor Minister Martin Kocher (ÖVP) failed in his attempts to reform unemployment benefits and educational leave due to resistance from the Greens.

Unemployment Benefits Additional Income

Currently, unemployed individuals can earn up to the marginal earnings threshold of 551 euros gross per month without a reduction in unemployment benefits or emergency assistance. The future government plans to limit the duration of minor employment for long-term unemployed individuals to six months. Exceptions are planned for older long-term unemployed individuals.

Working in Retirement

For individuals in a genuine old-age pension (not early retirement), the government wants to develop a new model of additional income with social partners. The "Working in Old Age" model is to include, among other things, an exemption from social security contributions for employees, and the additional income of employees should only be taxed at a final rate of 25 percent. The measure is to come into effect on January 1, 2026.

Educational Leave

The existing model of educational leave will be abolished, and a "targeted follow-up regulation" is to be introduced from January 1, 2026, according to the government program. Considerations include employer participation and a "retention period." Currently, educational leave does not cost the employer any money, and the employer can terminate the employee during and after the further training measure. Furthermore, it will no longer be possible to directly connect educational leave to parental leave. According to Wifo data from spring 2024, more than one in ten women went into educational leave after parental leave. Additionally, the new government plans stronger attendance obligations for recipients of further training allowance during educational measures and an increase in the required ECTS credits (study performance). The possibility of educational leave has existed since 1998. Employees can take leave for training and further education for two to twelve months. During the leave period, there is a further training allowance equivalent to unemployment benefits. Educational leave, including social security contributions, cost the public sector around 640 million euros last year. The Court of Auditors and Wifo have advocated for a reform of educational leave in the past to increase the effectiveness of the further training measure.

Short-Time Work, Labor Foundations, and Skilled Workers Initiative

In light of rising unemployment numbers since spring 2023 and the ongoing recession for two years, the future black-red-pink coalition has planned more AMS funds for short-time work, labor foundations, and a skilled workers initiative. An additional 230 million euros are planned for 2025, followed by 100 million euros in 2026, and from 2027 an additional 20 million euros under budget reservation.

Part-Time Work

To encourage more employees to return to full-time work, the future government wants to "rethink" the staggered unemployment insurance contributions. More opportunities for transitioning from part-time to full-time work are to be created. Specific measures for this are not included in the government program. Overall, the model of minor employment is to be "further developed."

Red-White-Red Card (RWR Card)

The "qualitative immigration" is to be increased through an amendment to the immigration law. Planned are acceleration, digitalization, and more flexibility with the Red-White-Red Card. The RWR Card is available for employees from outside the European Economic Area. Furthermore, the recognition of educational qualifications is to be simplified and standardized, and reliability and commitment are to be increased.

Budget and Taxes

When it comes to budget and taxes, saving is the order of the day in the coming years. According to the EU consolidation path, more than 6.3 billion euros are to be saved this year, and 8.7 billion next year. This is to be achieved, for example, by abolishing the climate bonus and educational leave, cutting subsidies, and savings in ministries. On the revenue side, the government program includes a bank levy and higher federal fees. There will be no millionaire or inheritance taxes.

Climate Bonus Abolished, New Regulation for Educational Leave

The climate bonus, introduced in 2022 as compensation for the CO2 tax, will be abolished without replacement. The measure is considered the largest chunk, with experts estimating that nearly two billion euros can be saved this year. According to the government program, there should be at least partial compensation for commuters from 2026 through a tax deduction. Educational leave will also be abolished, but a more limited successor regulation is to be introduced from 2026.

Bank Levy and Windfall Tax Increase

The SPÖ's demand for a bank levy was one of the reasons for the failure of the first three-party coalition negotiations. Now, an increase in the stability levy for domestic credit institutions is coming. According to the government program, the bank levy is expected to bring around 500 million euros into the budget in 2025 and 2026, and around 200 million euros in subsequent years. The expired windfall tax on domestic energy companies will also be extended. However, millionaire or inheritance taxes, one of the SPÖ's core demands, are not planned.

Variable Third of Cold Progression Suspended

The distribution of the so-called "variable third" from cold progression is suspended. The automatic adjustment of tax brackets to compensate for the remaining two-thirds of the creeping tax increase in the area of wage and income tax remains in place. The top tax rate of 55 percent on incomes over one million euros, which was originally set to expire in 2025, will be extended for another four years. Tax increases are planned for foundations, the real estate transfer tax for large property transactions, and profits from rezoning. The VAT exemption for PV systems will be removed, and the motor-related insurance tax will also have to be paid for electric cars in the future. The tobacco tax will be increased and extended to alternative products. In the area of gambling, the gambling levy and betting fee will be increased.

Tax Relief for Companies and Self-Employed

The three-party coalition also wants to provide tax relief - especially for companies and the self-employed. The profit allowance and the basic flat rate for tradespeople and freelancers are to be increased, as well as the amount limit for the tax depreciation of company cars. Small trucks are to be exempt from the NoVA. For employees, tax benefits for overtime or bonuses as well as for Christmas and vacation pay are planned, and a tax-free employee bonus is to be introduced.

A tax relief for women is expected to bring VAT exemption for hygiene products and related items (tampon tax) from 2026, and contraceptives will also be exempt from VAT.

Reduction of Payroll Taxes Dependent on Economic Conditions

The long-demanded reduction of payroll taxes by ÖVP and NEOS is expected to occur by the middle of the government's term, but it will depend on economic and budgetary developments. Specifically, contributions to the Family Burden Equalization Fund (FLAF) are to be reduced, with benefits instead being paid from the budget.

Federal Fees Increase Significantly

The federal fees, which have not been increased since 2011, are to be retrospectively adjusted for inflation. Fees for official procedures such as the issuance of passports, driver's licenses, or vehicle registrations are expected to rise by about 44 percent.

Subsidies are to be evaluated by a subsidy task force in terms of effectiveness and precision. Newly approved federal subsidies are to be introduced with a time limit as a general rule.

ORF Reform

The media chapter of the government program envisions a reform of the ORF with public involvement. The broadcaster is to become leaner, more transparent, and more citizen-oriented. Additionally, the ORF fee will be frozen until 2029. A new regulation for the appointment of ORF committees, which the Constitutional Court (VfGH) found to be too government-affiliated and thus unconstitutional, is also to be implemented. Advertising expenses are to be reduced, and fake news combated.

ORF Committees to be Reformed

After the VfGH found in 2023 that the government had too much influence in the appointment of the ORF Foundation Council, its composition is now to be re-regulated. This must be done by the end of March. In the future, the federal government will send six instead of the previous nine foundation council members, following a public call for applications. The Chancellor has the right to propose three members, the Vice-Chancellor two, and NEOS one more. There will no longer be a possibility for reappointment after government changes. The Audience Council will send nine instead of the current six people to the top ORF committee. The qualification requirements for foundation council members are to be redefined based on VfGH jurisprudence.

The Audience Council will be reduced from the current 30 to 28 people, with 14 members directly appointed by legally defined institutions (an additional member will be from the umbrella organization of social insurance carriers) and another 14 representatively appointed by the federal government from existing areas and groups such as education, art, or sports. The representativeness criteria for selection are to be legally refined, and a balanced gender ratio is also being sought.

ORF Fee Frozen Until 2029

Furthermore, a comprehensive reform of the ORF is planned, which is likely to bring additional cost-saving measures. This concerns, for example, the ORF fee, which was already frozen at 15.30 euros per household until the end of 2026. The ORF originally calculated that the fee would be adjusted for inflation after the coming year. Since this is now not possible for at least three more years, the ORF will likely have to expect a medium, double-digit million amount less annually. ORF head Roland Weißmann emphasized in mid-February that the ORF already has a savings package to work through and is saving 80 million euros this year and 104 million euros in 2026. He committed to a frugal ORF, "but at some point, a limit is reached," he said, warning of program cuts with further higher savings.

More Citizen Participation

The government now ultimately envisages strengthening citizen participation, for example in the form of annual surveys, audience formats, or more efficient complaint management. The public service mandate is also to be strengthened and further developed, for example concerning the use of artificial intelligence. Overall, a "leaner ORF with the best quality" is planned. In this context, structures and processes are to be optimized, and the broadcaster's commercial activities further restricted. Stronger cooperation with private media is also a goal. The broadcaster's objectivity requirement is to be sharpened, and the necessity of social media guidelines legally anchored. The right of the provincial governors to be heard in the appointment of ORF regional directors is to be abolished.

The three pages of the media chapter, however, did not mention the channels ORF III, ORF Sport+, and FM4 or the ORF Radio Symphony Orchestra (RSO), whose future has been repeatedly debated recently. The continuation of ORF Sport+ as a linear channel was once on the brink, and a switch to a purely digital channel has already been announced. According to the ORF law, the sports channel, like the culture and info channel ORF III, must only be operated "in accordance with economic viability" (linearly). The future of the RSO was recently unclear from 2027. Until then, ten million euros annually will still be subsidized from the federal budget for the maintenance of the "world-class orchestra," as Weißmann called it. The ORF head recently pointed to economically difficult times but still wants to conduct "tough negotiations" in the interest of the RSO.

Government Wants to Save on Advertisements

The new government wants to save on the allocation of advertisements. They commit to a "frugal use of public funds" and will reduce information budgets by ten percent. Furthermore, the Media Cooperation and Promotion Transparency Act, which provides for the quarterly publication of advertisement expenditures by the public sector, is to be evaluated concerning the European Media Freedom Act. The federal ministries are also required to list the expenditures for information activities transparently in the detailed budget. In the first half of 2024, the media transparency data of the turquoise-green federal government showed advertising expenditures of 18.7 million euros.

Subsidies in the media sector are to be "further developed in the sense of a unified funding strategy with a focus on quality journalism, accuracy, future viability, and media diversity." Existing funding criteria are to be expanded, for example by including an editorial statute as a basic requirement, with the goal of creating a "resilient media location." Quality journalism is to be supported regardless of the form of publication. A nationwide newspaper delivery in the regions is also to be ensured. The earmarking of funds from the digital levy for media funding is to be examined.

Digital Platforms to be Held Accountable

The government also places special emphasis on digital platforms, which are to be held more accountable for moderation and deletion obligations. To this end, they want to advocate at the EU level and examine national measures. Ultimately, this is also intended to combat disinformation, deep fakes, and criminally relevant content. More transparency is to be provided regarding algorithms and the use of user data. On the topic of AI, the new government wants to take a proactive approach and highlights the opportunities of new tools, as they are essential for a digital transformation in the media sector. The RTR service center is to function as a competence center and also offer training.

To counteract fake news, free access to digital offerings from local media is to be provided for students and apprentices, with a new platform based on the APA kiosk being considered. At the same time, media literacy is to be promoted, both in schools and in adult education.

Climate and Environmental Protection

The chapter "Climate and Environmental Protection" in the government program comprises nine pages, whereas it was over 50 in the black-green government. However, under the traffic light coalition, the environmental department - again without the energy and transport agendas - is to be merged with the Ministry of Agriculture. The goal of climate neutrality by 2040 is maintained, a new "governance structure" is to enable this, but overall there are no major breakthroughs.

Climate protection is initially referred to as a "central concern" together with environmental protection in the preamble. In terms of specific projects, the environmental chapter mentions the "creation of a governance structure" to achieve climate goals, as well as a climate law "that establishes the regulatory framework for measures, tools, and governance to achieve climate goals and climate neutrality, climate change adaptation, and the circular economy." The "Climate Protection Act with binding reduction paths until 2040 and binding interim targets until 2030" along with sector targets, as provided for in the black-green government program, was not implemented as is well known.

Sectoral Greenhouse Gas Budgets, Binding Caps for Total Emissions

The specific sector targets mentioned in the previous government program were removed from the Austrian National Energy and Climate Plan (NEKP) of August 2024, but they can be found again in the new government program. It states that the new steering group will create a climate roadmap that "includes indicative reduction paths or greenhouse gas budgets for each sector, against which projections of emission developments will be compared." However, binding commitments are only mentioned in relation to the annual caps for total emissions. As for the NEKP, it is to be revised by the new federal government.

Task Force for Climate Change Adaptation

In the subchapter "Climate Change Adaptation and Protection from Natural Hazards," the establishment of a corresponding task force with members from science and technology to advise the federal government is announced. The necessity is mentioned to "make public infrastructure more adaptable to global warming and extreme weather, especially."

On the topic of "circular economy," it is stated regarding the single-use deposit that "small businesses" should be exempt from the obligation to take back. This is followed by a commitment that active soil protection makes an important contribution to the preservation of "green and open spaces," although a binding cap on land consumption is not yet found. However, the government commits to effectively reducing land consumption to 2.5 hectares per day. For this purpose, "planning and zoning competencies should be more strongly bundled at the state level, and a clear target path should be developed by the end of 2026."

Transport

According to their program, the coalition also wants to further expand public transport and maintain and further develop an "affordable climate ticket." However, the construction of highways and expressways that already have approval is also announced. This should be "realized as quickly as possible" - which would likely bring the construction of the controversial Lobau Tunnel back to the table, even though the government program explicitly only mentions the "e.g., S1 Spange."

Construction of Lobau Tunnel Possible

The measure is necessary to "stimulate the domestic economy and to urgently relieve the population from through traffic." Pending procedures and planning should be continued swiftly. The then Climate Protection Minister Leonore Gewessler (Green) stopped the construction of the Vienna Lobau Tunnel at the end of 2021. The plans for a Lobau highway with its tunnel through a nature reserve were not pursued further afterward. According to the current government program, the construction of the Aspern Spange (S1 Spange), that is, the highway branch that would connect the Seestadt with the S1 following the city street, is to come.

Harsher Penalties for Speeders

In addition, the often publicly demanded separate offense for participating in illegal street races is to be introduced to take tougher action against "notorious speeders to protect the population."

The "dependence on cars, especially in rural areas" is also to be reduced. A gradual decarbonization of public transport is being pursued. For this purpose, there will be an expansion of e-infrastructure along the major road network, particularly at rest areas.

The government announces a commitment to climate goals and wants to support environmentally friendly initiatives - but with limitations. "We ensure that economic, social, and regional aspects remain in harmony," it says. However, it is emphasized that the share of bicycle traffic should grow from the current seven to 14 percent. For this purpose, a coordinated strategy by ÖBB and Asfinag is advancing the construction of bike paths or bike highways. These climate-relevant "accompanying measures" should be planned from the outset in road and railway construction projects.

Strengthening of Bus Lines in Rural Areas

In rural areas, there should be a strengthening of interregional bus lines. The new connections of express bus lines are intended to help areas that are poorly connected to the public transport (PT) network on a supra-regional and inter-state level. In addition, good framework conditions are announced that will quickly guarantee small-scale public transport connections for municipalities and federal states. This is particularly an important addition in rural and tourist regions.

"They enable the population, guests, and employees to have a comfortable connection to transport hubs. In the further development of such measures, both innovative and social aspects are considered," the program states. Additionally, an enhancement of bike paths in rural areas and the consistent consideration of pedestrian and bike paths in infrastructure planning is promised.

Bicycle Regulation to be Reviewed

To ensure an integrated mobility transition, the government announces that central traffic management will be consolidated. An infrastructure development program for strategic mobility solutions in the road and rail sectors is to be created. This should be oriented towards demand, economic effects, and CO2 reduction targets. Additionally, a construction site coordination is promised to ensure the "efficient maintenance of smooth traffic flows."

The bicycle regulation is also to be reviewed, namely "in light of ongoing developments." This could involve a ban on e-mopeds on bike paths and the legalization of bicycles with two child seats, which have been discussed for some time.

National Booking Platform in Focus

"The development of One Mobility is to be accelerated to enable nationwide cross-company and non-discriminatory sales solutions for public transport," the paper states. One Mobility GmbH was founded in 2021 as a 100 percent subsidiary of the federal government. It has already organized the sale of the climate ticket for the Ministry of Climate Protection. With the improvements, it should become easier for customers to book cross-border travel within the EU in the future.

Family and Children

The black-red-pink coalition aims to halve child poverty with a basic child security by 2030. This should include, for example, free healthy meals in educational institutions. In addition to this measure, the family chapter of the government program also includes an initiative in the field of early childhood education and the strengthening of fathers' participation in parental leave.

Child Basic Security Against Child Poverty

The child basic security is intended to be based on two pillars: The first focuses on the expansion of in-kind benefits and child-friendly social infrastructure - including free healthy meals in educational institutions and improved healthcare for children and adolescents. The second pillar involves the further development of existing transfer benefits. Children should be removed as an independent target group from social assistance and secured through a nationwide harmonized income-dependent benefit.

Early Childhood Education Initiative

Black-Red-Pink also plans a "Quality and Expansion Initiative" in the field of early childhood education. An additional resource package is to be available from 2026. This is linked to quality standards and phased plans for a gradual reduction in group sizes and a gradual implementation towards a guarantee of placement in full-day and year-round childcare. Quality standards and phased plans should be legally binding. The funds can be primarily directed by the states, the city, and the municipal association into expansion, but also into ongoing financing as well as educational quality and measures against the shortage of educational professionals.

Strengthening Father Participation

The previously low father participation in parental leave should be strengthened. For this purpose, the government wants to set up an interministerial working group and develop proposals with the involvement of stakeholders and social partners. There should also be information campaigns for fathers, and father participation should be more strongly emphasized in counseling. Income limits for childcare allowance should be regularly evaluated and adjusted. Children's rights should also be strengthened - a model for monitoring the implementation of UN children's rights is to be examined.

Women

In the women's chapter of the black-red-pink government program, there is a commitment to gender-appropriate language: Women should "be represented in the language image and not be made invisible at the expense of exclusively gender-neutral or male formulations," it states. The coalition wants to break gender stereotypes and promote women in security and STEM professions. The value-added tax on women's hygiene products and contraceptives should be abolished.

Incentives for Full-Time Work

Support for women should be available in the police, fire department, and armed forces, and women should be brought into leadership positions, STEM professions (mathematics, computer science, natural sciences, and technology), as well as the field of artificial intelligence (AI). Incentives for full-time work should encourage women to move away from part-time work - specifically, this is only about better information, such as regarding the benefits like economic independence and retirement security. For women and girls, there should finally be "real freedom of choice."

Value-Added Tax Exemption for Women's Hygiene Products

With its own women's primary care units, Black-Red-Pink wants to improve women's healthcare. Additionally, there should be a value-added tax exemption for women's hygiene products and contraceptives, and as part of a pilot project, they should be available free of charge in schools and public buildings.

Violence Clinics in All Federal States

The future government also aims to strengthen protection against violence. They plan to develop a National Action Plan "Against Violence Against Women" and commit to adequate funding for violence protection and prevention facilities. Violence clinics are to be established in all federal states. Overall, victim protection is to be strengthened, for example, by expanding security police case conferences. They also want to address the fight against honor-based violence - by combating forced and child marriages and female genital mutilation, as well as expanding work with men and boys in this area. To better protect women in public spaces, a comprehensive package of measures is to be introduced - including free pocket alarms, increased promotion of a silent emergency call, and better lighting of places like train stations or parks.

Justice

In the field of justice, the introduction of a Federal Prosecutor's Office as the head of the chain of command for public prosecutors stands out in the government program. It is to be established as a collegial body with a six-year term without the possibility of reappointment. However, it will not be appointed from within the judiciary as recently proposed by a reform group, but on the proposal of an expert commission by the parliament.

Federal Prosecutor's Office as a Collegial Body

Currently, the Minister of Justice is the highest professional supervisor of the public prosecutors. This was supposed to change under the previous government coalition - however, the parties did not agree on the structure of a Federal Prosecutor's Office or General Prosecutor's Office. The Greens insisted on a collegial solution as a decision-making body and an appointment based on a nomination proposal from within the judiciary itself. The ÖVP, on the other hand, wanted a single person at the top, accountable to the parliament.

The three-party coalition now meets somewhere in between. The Federal Prosecutor's Office will be established as a collegial body, appointed "on the proposal of an independent commission consisting of recognized personalities, for example, from the judiciary, science, administration, and practice" by the parliament. This should also be involved in ongoing control.

No Lowering of the Age of Criminal Responsibility

Not found in the government program is a previously discussed lowering of the age of criminal responsibility from 14 years. Instead, to combat youth crime, they plan to create specialized socio-educational residential communities for child and youth welfare, for which there will be the "option of tightly limited forms of compulsory residence with review of freedom restrictions by guardianship judges." Additionally, norm clarification discussions are to take place for non-criminally responsible youths. In these, affected individuals are summoned to a police station, for example, to be instructed on lawful behavior. Mandatory case conferences are planned for underage repeat offenders.

Changes in Diversion and Divorce Law

There are also to be changes in diversion: On one hand, the potential measures to avoid criminal proceedings are to be expanded - specifically mentioned are value courses or exit programs from right-wing extremism. On the other hand, a form of diversion is also to become possible in administrative penal proceedings: The execution of substitute custodial sentences can be replaced by community service. The "tense prison situation" is also to be alleviated by expanding electronic monitoring, promoting serving sentences in the country of origin, or increasing release management (during which prisoners are granted outings shortly before release, for example).

Otherwise, they have set out to implement many of the measures that have recently been left unaddressed. These include a reform of divorce law, including a maintenance regulation independent of the fault principle, the expansion of the espionage paragraph, a ban on unsolicited explicit images, and changes to the marriage age. Additionally, the consideration of the child's welfare in all asylum and immigration procedures and in basic care is to be legally anchored through custody from the first day.

Much is Evaluated

Remarkably much remains very vague or is marked with "will be evaluated." For example, there is a plan to "initiate a fundamental reform process of the justice system around 20 years after the last major StPO reform with a focus on criminal law, criminal procedure law, and judicial organization." A not further specified reform of foundation law is also considered, or an "evaluation of criminal threats" in criminal law. The same applies to the witness protection regulation - here, in addition to the evaluation, at least a corresponding (not further specified) reform has been included in the program. So-called SLAPP lawsuits are to be pushed back.

Federal Army

The future black-red-pink coalition commits in its government program to continue implementing the Federal Army's development plan "consistently." For long-term security - until 2032 - the defense budget is to be increased to two percent of the gross domestic product. The National Defense Financing Act is to be amended for this purpose. The commitment to the European air defense shield Sky Shield will also be pursued further.

They want to make military service and the soldier profession more attractive. The proportion of women in the Federal Army should also be further increased through various measures, and the militia should be strengthened. "Clearly," black-red-pink commits to "neutrality in accordance with the constitution." At the same time, they will continue to advocate for multilateral engagement in the UN and the OSCE, "based on the principles of the UN Charter," as it is stated.

It was also established that a "fundamental decision" is required regarding the Eurofighter succession (the interceptors are to be retired in 2035). The acquisition of the first successor aircraft is targeted for 2033. For airspace surveillance, a "powerful" successor for the retired Saab-105 training jets is to be procured. For air defense, medium and long-range missile systems are to be acquired for protection against missiles and drones.

Development Plan "Our Army 2032+" Continues

The development plan of the Federal Army, initiated under Defense Minister Klaudia Tanner (ÖVP), is to be continued. However, it is to be continuously evaluated. For long-term security, the budgetary target will be raised to two percent of the gross domestic product with an amendment to the National Defense Financing Act. "Appropriate legislative steps" are also to be taken to enable better framework conditions for the defense and security industry. This particularly affects producers of key technologies, such as microchips, life science, cyber security, defense tech, or climate tech.

Airspace Security and Engagement with Sky Shield

Regarding airspace security, black-red-pink wants to "consistently" continue the commitment to the European air defense shield Sky Shield. For this purpose, medium and long-range missile systems are to be purchased. The procurement of long-range air defense missile systems is also included in the development plan. A decision regarding the succession of the Eurofighter and the Saab-105 is also sought. Here, too, a "cooperative procurement, training, education, and maintenance with European partners" is to be examined. For critical personnel such as air traffic controllers, the implementation of special contracts is targeted.

Enhancing the Attractiveness of the Soldier Profession and Military Service

The black-red-pink coalition also wants to further enhance the attractiveness of the soldier profession as well as military service. In addition to increasing the pay, a military service commissioner is to be appointed. The eligibility criteria will be further evaluated and adjusted, and information campaigns expanded. There will also be a personnel offensive, the service and salary law will be amended, and the working environment of soldiers will be made more attractive. Efforts to increase the proportion of women will continue, including strengthening the strategic equality and diversity office. To strengthen the militia, among other things, pension and salary disadvantages are to be eliminated, and insurance coverage improved.

Commitment to Neutrality and Engagement at the UN and OSCE

"Austria clearly commits to neutrality in accordance with the constitution and is committed to multilateral engagement at the UN and the OSCE," states the government program. Additionally, a strong common foreign, security, and defense policy of the EU is supported. For this purpose, Austria will continue to "actively" contribute to the further development of the CSDP. Collaborative procurements within the EU are to be increasingly utilized. Besides solidarity in the deployment of units and individuals abroad, there will also be increased engagement in the area of bi- and multilateral military advice and support.

Gambling and Tobacco

In the area of gambling, more taxes are to be generated. This also applies to the tobacco sector. According to the program, gambling, whose supervision and licensing are to become independent, is expected to bring in an additional 50 million euros this year. The following year, it should be 129 million euros, then 150 million in 2027, and around 200 million euros each in 2028 and 2029. In 2030, it concerns 220 million euros, and finally 240 million euros in 2031. E-cigarettes will be taxed like regular "cigarettes" in the future.

This year and in 2026, there will be an increase in the betting fee towards 5 percent as well as the administrative cost contribution. The gambling levy will rise to 10 percent. The monopoly in gambling is to be further developed and illegal gambling further reduced, also to minimize the number of gambling addicts. In this regard, the areas of player protection, supervision, regulation, licensing, as well as the fiscal and ownership interests of the Ministry of Finance, will be disentangled. The responsibility for supervision and licenses is to be transferred to an independent, instruction-free supervisory authority as an "operational gambling supervision." A judicial concession senate for licensing is to be established there.

More Player Protection

In the area of player protection, many measures are announced. This includes "the examination of the introduction of an operator-independent player card with various functionalities to ensure player protection, taking into account administrative effort and effectiveness."

Licenses for video lottery terminals are to expire, with no new tendering to occur. As with betting, duplications with the federal states are to end. "The betting fees will be adjusted to the European level, while maintaining the previous revenues of the local authorities."

Tobacco Monopoly is Renewed

The tobacco monopoly is being renewed, with talk of "sustainable taxation of tobacco and nicotine products." In 2026, it will be expanded to include novel, non-medical nicotine products, such as electronic cigarettes and so-called nicotine pouches. The introduction of a licensing system for e-cigarettes is being considered. Novel tobacco products are to become easier to approve. Currently, there is a tax loss compared to EU neighbors. There should be an administrative simplification in the area of approval. People with disabilities are to continue to experience inclusion within the framework of the distribution monopoly, which will be expanded and secured.

E-Mobility and Transport

The government program on the topic of transport is very general, with many details still open. The climate bonus will be abolished, but from January 2026, there will be a "partial compensation" for commuters - how high this will be remains open. It is certain that the mileage allowance for cars and motorcycles will be reduced to 25 cents. Bitter for e-car owners: The motor-related insurance tax will be expanded. The economy will receive a NoVA exemption for small trucks.

The standard consumption tax for trucks under 3.5 tons - the so-called "Sprinter" class - was introduced under the ÖVP/Green government and has significantly increased the cost of purchasing small buses and pick-ups. Now the NoVA is being abolished, but not until July 1, 2025. In another point, the new government is accommodating a demand from the transport industry: There should be a "practical" regulation for "home drivers" with small trucks, concerning the permitted driving times.

Agricultural Diesel and Tax Benefits for Company Cars Remain

There is also good news for caravan owners, as the toll obligation is to be at least "evaluated." Those traveling with a fairground ride to an event should also be relieved of tolls. Improvements are expected for the top youth ticket for apprentices who commute across state borders.

The often criticized diesel privilege, meaning lower taxation on diesel compared to gasoline, is not mentioned in the government paper. The tax-favored agricultural diesel also remains untouched. And there is good news for company car users: The planned abolition of the imputed income for electric cars is off the table. If this significant tax advantage had been removed, it would have dealt a death blow to the registration numbers of electric cars, according to the automotive industry.

The government paper is not very specific about public transport. "Public transport will continue to be expanded and quality improvements will be implemented," it states. The future government is committed to public transport and to "reducing dependence on cars, especially in rural areas." There should be "additional" express bus lines in the regions. The climate ticket is to be maintained and "further developed."

For the ÖBB, the "continuous financing of the ÖBB framework plan" for the expansion and maintenance of the ÖBB infrastructure should be ensured. "The currently granted federal subsidies for rail freight transport should be continued," is emphasized in the transport chapter. The government paper also addresses cable cars. These are a "significant factor" for the economy, and "urban cable cars" are encouraged. These would strengthen mobility and regional value creation.

Mobility Plans to be Revised

The mobility master plans are to be revised once again. There is a commitment to climate goals, but these should remain "in harmony" with economic, social, and regional aspects. The energy tax for railways is to be abolished to make rail travel and freight transport by rail more attractive.

There is a rejection of the freight forwarders' desire for oversized trucks, known as gigaliners. The various regional truck driving bans should be maintained and more strictly controlled, and the circumvention of regulations for heavy trucks through the increased use of small trucks should be prevented. Overall, controls in heavy traffic should be intensified. The government remains very general about air traffic, with no mention of a kerosene tax.

Banks

The much-discussed bank levy will be increased under the new black-red-pink coalition. In 2025 and 2026, the levy is to be raised to 500 million euros. After that, it is to decrease to around 200 million euros, according to the government program published on Thursday. The government is also concerned with cash supply and is committed to strengthening the capital market. However, the program remains largely silent on details.

Bank Levy Rises to 500 Million Euros

The bank levy is intended to make a "fair contribution" to plugging the budget gap. There are no further details on the bank levy. In 2023, banks paid a little more than 150 million euros in the form of the "stability levy." For some time now, there have been calls from the union and the Chamber of Labor for a levy on credit institutions to partially skim off the high profits of banks due to increased interest income. Even the governor of the Austrian National Bank (OeNB), Robert Holzmann, has spoken out in favor of a bank levy. The banks themselves have always rejected the levy.

ATM Supply to be Expanded

The supply of cash and ATMs is to be expanded. The government is committed "to a nationwide cash supply" to close the remaining gaps. The implementation is to take place "together with the National Bank and with the involvement of the banks." Currently, 97 percent of the population already have an ATM within a 5-kilometer radius. Just yesterday, it was announced that the Austrian National Bank (OeNB) will set up up to 120 new ATMs for communities.

Commitment to the Capital Market

The capital market is also to be strengthened, but many concrete measures are not mentioned. "The task of the capital market is the efficient allocation of capital. It is important that all people have access to financial services and the capital market. Fair regulation, transparent rules, and strong independent financial supervision are therefore indispensable," the program states. Discussions are to be held with the Vienna Stock Exchange about facilitating IPOs for small and medium-sized enterprises (SMEs). There is also a rather vague commitment to a "Europe-wide deepening of capital markets," i.e., a capital market union.

The abolition of the capital gains tax (KESt) on securities - for example, with the simultaneous introduction of a holding period, as discussed in the previous black-green government - is not planned in the program. However, opportunities for young people to make provisions through securities, for example through ETF savings plans, are to be explored. Furthermore, an "enhancement of employee participation programs" is sought.

In addition, the government is committed to strengthening "comprehensive financial education" with regard to household budgeting, saving, insurance, and various investment instruments. There should be education on consumer protection and options for preventing over-indebtedness across all population and age groups, which should be addressed "target group-specific," as stated in the government program.

General Pension Fund Contract Back in the Program

In the insurance sector, the government is once again committing to the implementation of a general pension fund contract in occupational pension provision. Such a contract would involve more employees in the second pillar of retirement provision. The previous government also had this point in the program in 2020, but it was not implemented despite constant demands from the industry. Another long-standing request from the insurance industry is found in the program: the annual tax-free allowance for future security is to be increased "within the framework of budgetary possibilities." The allowance currently stands at 300 euros and has not been increased since the 1970s.

Education

The education chapter of the government program includes many long-standing demands of the SPÖ and the NEOS, who are expected to take over the Ministry of Education in a future three-party coalition - from the second mandatory kindergarten year to more money for hotspot schools or children with disabilities. Due to the tight state budget, a good part is subject to budgetary constraints. A strong focus is placed on language promotion and parental involvement in both kindergarten and school.

For kindergartens, a quality and expansion offensive is announced by the black-red-pink coalition, with "an additional resource package" to be provided from 2026. The introduction of binding nationwide quality standards is planned, groups are to be gradually reduced in size, and a guarantee of a full-day, year-round kindergarten place is to be introduced. Under the title "language promotion," a second mandatory kindergarten year is also to be introduced - recently, 95 percent of four-year-olds have already attended kindergarten - and the attendance requirement for five-year-olds with language support needs is to be extended from the current 20 to 30 hours. At the beginning of the penultimate kindergarten year, a language assessment is to be conducted. Those who do not speak German well enough are to be tested again before starting school and receive language support if necessary.

Second Kindergarten Year and Smaller Groups with Question Marks

Various measures are also planned for the training and further education of educators, as kindergartens have been suffering from a shortage of staff for years. Additionally, the educational framework plan, which sets the educational content in kindergartens, is to be updated. Parents are to be held more accountable and sanctioned for lack of cooperation.

A relevant part of these measures will only be implemented if the budget allows, as restricted in the government program. For instance, a "Quality Offensive in Early Childhood Education" with a phased plan for smaller kindergarten groups starting in 2027 and for educator training would cost 10 million this year, 15 million in 2026, and 205 million euros in 2027. The special grant to the states for the long-discussed mandatory second kindergarten year would amount to 80 million euros for 2026 and an additional 20 million from 2027. If the budget permits, the coalition would also like to start a project for a healthy free snack in kindergartens in September 2026.

Comprehensive School Model Regions, Expansion of All-Day Schools, and "Opportunity Bonus"

In schools, the three-party coalition plans measures for more autonomy and less bureaucracy, with timetables and recently revised curricula to be "adapted to the requirements of modern society." Announced are also a nationwide daily exercise unit in schools, an "Opportunity Bonus" for schools with greater social challenges, more reading promotion, and the introduction of a Middle School Certificate to ensure that everyone can demonstrate sufficient basic knowledge in German, math, and English at the end of compulsory schooling.

An eternal point of contention between the ÖVP and SPÖ has also found its way into the new three-party constellation's government program: Model regions for a common school for 10- to 12- or 14-year-olds are to be facilitated. An expansion of all-day schools is aimed at providing parents with seamless freedom of choice. Recently (school year 2023/24), only 31 percent of children in general compulsory schools or lower secondary schools attended a location with school day care. A new attempt is also to be made in reforming the financing of leisure educators.

Additionally, "clear regulations for the age-appropriate implementation of a mobile phone ban" in schools are announced. The education department has just clarified its legal view that such directives from the ministry or the educational directorates in the states are currently not possible, as the decision, according to the law, lies within the framework of school autonomy with the representatives of teaching staff, parents, and - for older students - students on site.

Mandatory German Support in Summer School

A focus is also on German language support. Planned is, among other things, the further development of the controversial German support classes. Extraordinary students who have significant problems with the language of instruction, German, are to be required to attend German support courses as part of the summer school. Special orientation classes are to be made possible for immigrant children and adolescents without school experience.

In schools, a duty for parental involvement is also to be established, with sanctions for repeated non-compliance. Under the title "Values and Integration," the promotion of "Austrian way of life and traditional celebrations" in schools is to be further encouraged. It is also emphasized that religious education must be taught "in harmony with our Western lifestyle (European Islam)." A non-denominational school supervision is also planned, currently undertaken by the specialist inspectorates of the respective religious communities. Under the title "School as a Safe Place," the three-party coalition wants to expand violence prevention measures and establish special "rehabilitation classes" for "children with behavioral difficulties."

Democracy Education as a Separate Subject?

In the school sector, various prominent measures are also only included in the program with the restriction that they must be financially feasible. There is a budget reservation, for example, for the "Opportunity Bonus," which has been discussed for years, through which locations with particularly many students in need of support are to receive more resources. 20 million would be provided for this in 2025, 65 million in 2026, and an additional 20 million from 2027. Regions with many extraordinary students are also to receive more funds. Together with a planned expansion of school social work, this would incur costs of 55 million in 2025, 90 million in 2026, and an additional 15 million euros from 2027.

Improvements for disabled students, such as the introduction of a legal entitlement to an 11th and 12th school year and the increase of the cap for special educational needs (SPF), for which there are currently additional teaching positions for a maximum of 2.7 percent of students up to the 9th grade, will also only come if the budget allows (cost: 25 million euros from 2027). The same applies to digital teaching and learning materials, measures to strengthen and qualify school management, and the introduction of middle management in medium and large schools or a "further development of pedagogy," for example through an expansion of school autonomy or the introduction of a subject on democracy education in middle schools and lower secondary schools, which has been promoted for months by the rumored future NEOS Education Minister Christoph Wiederkehr.

Companies

Several reliefs for companies are also planned in the government program. Reporting obligations are to be "noticeably reduced," according to the document. With NEOS member Josef Schellhorn, a specially appointed State Secretary for Deregulation is to become a contact point "for suggestions on debureaucratization" and to review duplications. The position will be located in the Ministry of Foreign Affairs, led by Beate Meinl-Reisinger (NEOS).

"The federal government is committed to a bureaucracy brake and to the transparent presentation of bureaucracy costs," the program states rather vaguely. At the same time, the announced measures "should not lead to a weakening of employee protection and consumer protection," it is assured. An annual debureaucratization report is to be presented.

No Receipt Obligation Up to 35 Euros

Liberalization will occur, for example, in retail. "While maintaining fraud security and recording all sales in the cash register ("chaining"), the obligation to issue receipts up to 35 euros will be abolished ("printout") and beyond that, a digital receipt will be introduced as an alternative." Consumers should still receive a printed receipt upon request. The Economic Association is pleased with the measure. "This is an important success that relieves companies and reduces bureaucracy," said Economic Association Secretary General Kurt Egger.

There will also be limited liberalization of store opening hours. "Local suppliers that are operated entirely digitally or digitally during off-peak times and without employed staff" should be completely exempt from the opening hours law.

Trade law is to be modernized. It should also be ensured that the trade regulations are uniformly enforced throughout Austria. The basic flat rate, including the input tax flat rate, is to be increased to "first to EUR 320,000 and 13.5% in 2025 and from 2026 to EUR 420,000 and 15%," according to the document. Currently, the operating expense flat rate is 12 percent and applies to businesses with a previous year's turnover of up to 220,000 euros.

Umbrella Fund for Start-up Financing

Digitization is to contribute to simplification in business start-ups. The business registration in the Business Information System Austria (GISA) is to be expanded. "The goal must be to network all training certificates that are already electronically available with the GISA in the sense of Once-Only (...) This will enable an "instant online business registration" and thus set a significant step in accelerating and digitizing the start into self-employment."

An Austrian umbrella fund is also intended to make it easier for start-ups to access national and international capital. The interest group invest.austria sees this as a "milestone for the Austrian economy," it writes in a press release. "The umbrella fund serves as a risk buffer, making it easier for risk-averse investors such as pension funds and foundations to invest in the Austrian economy," says invest.austria.

Start-ups are also to be supported by the introduction of an activation option for self-created intangible assets. If a company, for example, uses self-developed software in its own operations, this could appear on the balance sheet in the future. The goal is to "eliminate disadvantages in the competition for international investors."

Stricter Investment Controls

To secure the location, "budget-friendly instruments to support entrepreneurial growth" will be increasingly used in the future. To provide the economy with more security through guaranteed energy prices, so-called "Power-to-Purchase models" should become more attractive. At the same time, investment control is to be expanded. In the future, it will be possible to conduct reviews in the media and health sectors starting from a ten percent acquisition by actors from third countries.

Energy Transition

ÖVP, SPÖ, and NEOS aim to pass the energy laws, which failed under the previous government, by the summer of this year. "For a rapid and sustainable energy transition, we see the three flagship laws (EABG, ElWG, and EGG) as a priority for implementation by the summer of 2025," states the government program. The three laws aim to accelerate the expansion of renewables, modernize the electricity market, and increase the input of biogas.

In Austria, energy laws require a two-thirds majority in the National Council. This means that ÖVP, SPÖ, and NEOS also need the votes of FPÖ or the Greens.

For the Electricity Industry Act (ElWG), there was already a draft by ÖVP and the Greens in 2024. It was intended, among other things, to ensure that electricity grid costs are distributed more fairly and that less electricity is lost because generation and consumption are not in sync. In recent years, due to the photovoltaic boom, wind turbines and hydropower plants have had to be shut down more frequently to avoid overloads in the power grid.

ElWG to Include Social Tariff

The government program states that the ElWG is about "creating a modern legal basis for a future-oriented, digital, cost-efficient, cause-based, and sustainable electricity system that ensures affordable and competitive energy prices." The ElWG should also include a social tariff and regulate how electricity providers may change their prices in the future. Electricity from car batteries should also be allowed to be used, with the statement: "In the course of the ElWG negotiations, bidirectional charging should be considered in the sense of supporting the necessary consumption and feed-in flexibility."

With the Renewable Gas Act (EGG), the share of biogas is to be increased. The target value is 6.5 terawatt-hours (TWh) annually by 2030. The Renewable Expansion Acceleration Act (EABG) aims to speed up the approval of energy projects, and a "predominant public interest" will also be legally anchored.

The goal of the future government's energy policy is stable and affordable prices. To achieve this, they want to strengthen competition, advocate at the EU level for the revision of the European pricing mechanism (Merit-Order), and require energy companies to provide affordable energy as a public interest according to the Stock Corporation Act. An expert group to reduce energy prices is also to be established.

Public Sector to Support Grid Expansion

To reduce the costs of expanding the power grid, grid-friendly behavior should be rewarded with flexible grid tariffs, and battery storage should be promoted alongside the expansion of photovoltaics. For new wind and PV plants, peak performance should also be capped. Investment costs should also be reduced through public sector participation and spread over a longer depreciation period.

For the decommissioning of the gas network, there should be "coordinated, forward-looking decommissioning plans" as well as a conversion to hydrogen.

(APA/Red)

This article has been automatically translated, read the original article here.