Today: Thursday, 6 October 2022 year

Austrian business demanded billions from the authorities instead of Russian gas

Austrian business demanded billions from the authorities instead of Russian gas

A tenfold rise in gas prices has created a crisis situation for Austrian enterprises, which can only be overcome with large-scale assistance from the state.

“The situation is more than dramatic. Many enterprises have gone to extremes,” said Georg Knill, president of the Federation of Austrian Industry IndustrieVereinigung (IV).


The article notes that the government promised to increase support for manufacturers, but so far this has not been done.

“Austria is at risk of business closures and unemployment unless consistent and urgent countermeasures are taken,” Knill warned.


He added that the problem is not only in the cost of energy, but also in its very availability.

According to him, in the current situation, the transition to part-time employment due to a reduction in production is not ruled out.

The Federation of Industrialists proposed five support measures, including an increase in subsidies by 2.5 billion euros. Also among the initiatives announced tax incentives.


Western countries, including Austria, faced rising energy prices and a surge in inflation due to the imposition of sanctions against Moscow and the policy of abandoning Russian fuel. Due to the rise in the price of fuel, primarily gas, the industry has largely lost its competitive advantages, which has also affected other sectors of the economy. Also, the United States and European countries are facing record inflation in decades.