Further 1.6 Billion Euros from EU Recovery Plan for Austria
Austria has met the required 67 milestones and targets for the second and third installments. The reforms aim to promote investments in the areas of digitalization, health, pensions, taxation, and the phase-out of fossil heating systems.
EU Recovery Plan for a More Sustainable and Resilient Europe
The payment request includes important steps for implementing 54 reforms and 13 investments. Key measures related to this payment request include accelerating the decarbonization of buildings, including a ban on fossil heating systems in new buildings from 2025, as well as the replacement of over 30,000 fossil heating systems in existing buildings. Other measures include a pension reform, investments in long-term care, and 15,000 digitalization projects with a focus on small and medium-sized enterprises (SMEs).
The Recovery and Resilience Facility was created to support Europe after the impacts of the coronavirus pandemic. It is the centerpiece of the NextGenerationEU recovery instrument. According to the Commission, the fundamental goal is to make Europe more sustainable, digital, and resilient. In total, up to 672.5 billion euros (at 2018 prices) are to be allocated to support investments and reforms. Of this, 312.5 billion euros are earmarked for grants and 360 billion euros for loans.
Austria Receives a Total of Four Billion Euros from EU Recovery Plan
The total amount of around four billion euros for Austria is to be disbursed in the form of grants by 2026. These are performance-based. So-called "milestones" and "targets" must be achieved for this; Austria must accomplish 171 by 2026. With the first payment request, 44 targets have already been ticked off. 1.15 billion euros went to 27 reform and 32 investment projects, focusing on sustainability and digitalization, but also social and cultural aspects. The Commission has now submitted its preliminary assessment of Austria's achievement of the milestones and targets to the EU Economic and Financial Committee (EFC). The EFC has four weeks to provide its opinion. The payment to Austria can be made after the EFC's opinion and the adoption of a payment decision by the Commission.
Plakolm and Marterbauer Welcome Approval
"We have the green light for another 1.6 billion euros to flow from Brussels to Austria. It is important to me that EU funds reach the municipalities and regions and that Austrians benefit directly from them. I stand for a strong Europe of regions, and these funds contribute directly on-site to more competitiveness and sustainability," stated European Minister Claudia Plakolm (ÖVP) in a joint release with Finance Minister Markus Marterbauer (SPÖ). He emphasized: "The EU funds are flowing into forward-looking reforms and investments. It is also important that Austria continues to make rapid progress in implementing the Recovery and Resilience Plan. By the end of 2026, 178 milestones and targets are to be achieved."
(APA/Red)
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