Austria records 20% decline in PV capacity expansion in first quarter

21-05-2025

Austria records 20% decline in PV capacity expansion in first quarter

 

  In the first three months of 2024, the addition of new PV systems in Austria was just under 500 MW. This year, according to estimates by PV Austria, the figure is around 20% lower in the same period. The association is appealing to the government not to further stifle the market.

  According to initial industry estimates, Austria's photovoltaic capacity expansion in the first quarter of 2025 fell by approximately 20% compared to the same period last year, photovoltaic association PV Austria announced on Wednesday.

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  According to a report published by E-Control, 497 MW of photovoltaic capacity were added in the first three months of the previous year. However, a downward trend in demand was already evident towards the end of the year. Overall, PV capacity expansion in 2024, at 2.2 GW of newly installed capacity, fell short of the almost 2.5 GW in 2023.

 

  The reasons for this development are not difficult to identify, according to PV Austria. “While the government program invokes the goal of ‘affordable energy' more than 20 times, the same government has been dealing the domestic renewable energy industry one blow after another since taking office,” it stated. The new government took office in March 2025 and immediately decided to end the VAT exemption for small photovoltaic systems, which was originally supposed to remain in effect until the end of the year. The government's argument that it wanted to use the funds to balance the budget was based on “dubious estimates of the additional tax revenue that could be achieved,” the association said. At the same time, the government also extended and tightened the so-called Energy Crisis Contribution for Electricity (EKB-S). According to PV Austria, this particularly affects domestic, medium-sized electricity producers. In addition, there are cuts to all environmental subsidies.

 

Source: www.pv-magazine.com

 

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