Austria opened its third and final funding round of the year for photovoltaic systems and battery storage on Thursday afternoon. Demand was even higher than in the previous round, according to an announcement issued Friday by the Federal Ministry for Economic Affairs, Energy and Tourism.
Preliminary figures show that around 43,300 application tickets were issued within 10 minutes of the opening of the Renewable Energy Expansion Act (EAG) funding portal, operated by funding agency OeMAG. By comparison, the second funding round in the summer attracted 24,900 tickets in its first 10 minutes.
The ministry said it had anticipated strong demand based on previous funding rounds. The experience has also prompted the government to reconsider its approach to PV subsidies.
Earlier this week, the ministry presented initial proposals for a revised funding scheme following extensive consultations with representatives of the electrical engineering industry, electrical retailers and industry association PV&B Austria.
“We need to move away from a race against the clock and toward a subsidy system that allows individuals and businesses to plan effectively,” said Elisabeth Zehetner, Austria’s state secretary for energy.
Under the proposed scheme, applicants would be able to submit funding requests together with their final invoices after completing their projects, starting in 2027.
Applications would be accepted year-round, replacing the current system of three annual funding windows in which applicants compete to secure funding on a first-come, first-served basis.
The ministry also plans to replace conventional investment grants with a battery storage bonus. The new scheme would prioritize battery storage systems installed alongside new or existing PV arrays, provided they are connected to a smart energy management system.
Such systems would be mandatory to qualify for funding.
The ministry is still finalizing the details, including the storage bonus amount and technical eligibility requirements. It said the necessary legislative amendments are being prepared.
The changes would require a two-thirds majority in parliament, meaning the governing parties would need support from the opposition.
Austria introduced its current system of multiple annual funding rounds in 2021. Although the scheme has supported PV deployment, the ministry said it no longer meets market requirements.
It also pointed to organized efforts to improve applicants’ chances of securing funding, including dedicated training sessions and online courses.
“It is absurd that specific training courses and organized voucher campaigns are being set up just to access a subsidy,” Zehetner said. “This illustrates the grotesque extremes to which this subsidy logic has led. That is precisely why we are changing the rules of the game: subsidies must facilitate investment rather than turning into a race to see who can click the fastest.”
The proposed overhaul aims to give households and installers greater planning certainty while simplifying the application process. The government also wants the scheme to support European manufacturing.
“A ‘Made in Europe’ inverter will be mandatory for storage systems installed alongside new PV systems. An additional ‘Made in Europe’ bonus for storage systems retrofitted to existing PV systems will remain available,” the ministry said.
The proposed changes could also benefit applicants who missed out on funding this year.
According to the ministry, PV systems equipped with smart battery storage that are invoiced or commissioned on or after Nov. 1, 2026, would be eligible to apply for funding under the new scheme in 2027.
Herbert Paierl, CEO of PV&B Austria, welcomed the increased emphasis on battery storage but called for greater flexibility in the proposed European-content requirements.
“We welcome the fact that battery storage is becoming a greater focus of subsidy schemes,” Paierl said.
“Regarding the ‘Made in Europe’ requirement, we see room for a broader and more practical approach. The foundation has been laid. Now, the details must be shaped in a way that ensures planning certainty for businesses, allowing them to know well in advance what framework conditions will apply in 2027.”
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