Eco-Innovation in Austria

EIO Country Profile 2018-2019

Eco-Innovation Observatory

The Eco-Innovation Observatory functions as a platform for the structured collection and analysis of an extensive range of eco-innovation and circular economy information, gathered from across the European Union and key economic regions around the globe, providing a much-needed integrated information source on eco-innovation for companies and innovation service providers, as well as providing a solid decision-making basis for policy development. The Observatory approaches eco-innovation as a persuasive phenomenon present in all economic sectors and therefore relevant for all types of innovation, defining eco-innovation as: “Eco-innovation is any innovation that reduces the use of natural resources and decreases the release of harmful substances across the whole life-cycle”. To find out more, visit www.eco-innovation.eu and ec.europa.eu/environment/ecoap

Any views or opinions expressed in this report are solely those of the authors and do not necessarily reflect the position of the European Commission.

1 Eco-Innovation Observatory

Country Profile 2018-2019: Austria

Author: Burcu Gözet Wuppertal Institute for Climate, Environment, Energy

Coordinator of the work package: Technopolis Group Belgium

Acknowledgments This brief partly refers to the previous country profile 2016-2017 developed by Burcu Gözet and Stefan Giljum.

A note to Readers Any views or opinions expressed in this report are solely those of the authors and do not necessarily reflect the position of the European Union. A number of companies are presented as illustrative examples of eco-innovation in this report. The EIO does not endorse these companies and is not an exhaustive source of information on innovation at the company level.

This brief is available for download from https://ec.europa.eu/environment/ecoap/country_profiles_en

Table of contents

Summary ………………………………………………………………………………………………………………… 2 Introduction ...... 3 1 | Eco-innovation performance ...... 4 2 | Selected circular economy and eco-innovation areas and new trends ..... 7 3 | Barriers and drivers to circular economy and eco-innovation in Austria . 10 4 | Policy landscape in Austria ...... 12 REFERENCES ...... 16 ANNEX: Policy strategies and instruments ...... 17

1 Summary

Austria is a highly developed country with a strong (export-oriented) economy. Aiming at an extended environmental performance, Austria particularly focuses on waste management and recycling practices, reaching one of the highest recycling rates across Europe. It thereby remains on a worldwide leading position for ecological construction and environmental technology. Austria is a favourable location for green clusters, in which companies have established a front- runner position on the global market of environmental technologies. At the same time, Austria faces environmental challenges such as air pollution and economic barriers with regard to eco-innovation activities and the circular economy. As its economy is dominated by a small-scale supplier structure, limited financial resources and restrained alternatives for development activities are provided. This also implies insufficient resources for eco-innovation research and development (R&D), which is a key driving force for eco-innovation acceleration. However, various steps towards eco-innovation and circular economy have been elaborated within the past few years. Based on the vision to become the leading supplier of environmental technology within the EU, policy measures have been launched scoping technological improvements in particular. The Master Plan Environmental Technology (MUT), for instance, put its focal point on ‘circular economy through digitalisation’ and demonstrates an Austrian best- practice initiative. Furthermore, a transformation towards circular economy has been listed as one of the prioritised targets in the Austrian government programme 2020-2024. With a total score of 130 in the Eco-Innovation Index 2019, Austria ranks fifth in the list of EU countries. Located between Finland and Germany, it belongs to the top performing countries. In four out of five components, Austria performs above the EU average, while its performance is below the EU average regarding eco-innovation inputs.

2 Introduction

Austria has a strong economy that is dominated by a large service sector including trade and transport services, healthcare, social services and tourism. At the same time, Austria’s economy is strongly export oriented. In 2018, exports of products and services reached (with 55.76%) its highest share on the Austrian GDP, which is a result of a steadily increasing trend since 2016. Austria also has a stable industrial sector, including machinery and vehicles, metals, chemicals, and wood and paper products as main industries, and a small, but highly developed agricultural sector. Austria’s total environmental output shows a continuously increasing trend, reaching 36.5 billion Euro in 2017. In comparison, the turnover of the environmental sector in the previous country profile was at 32.1 billion Euro (2015). Hence, the share of environmental output on GDP also increased from 9.9% in 2015 to 10.6% in 2017. As already stated in the previous country profile, Austria has a high environmental performance, covering waste management and recycling, water quality, organic farming and sustainable forestry. In the ‘Sustainable Contest 2019‘, performed by the Austrian Federal Economic Chamber (WKÖ), in which 56 environmental indicators (mainly from EUROSTAT) were considered, Austria ranked 3rd among the EU countries (WKÖ, 2019). In the previous contest ‘Sustainable Contest 2017’, however, Austria was ranked 1st. This can be explained by the environmental challenges that Austria is facing. With regard to air pollution, for example, emissions in various areas are above the allowed EU regulations. Furthermore, weaknesses are observed towards the set of indicators that are used to measure energy and environment goals. The implementation of energy efficiency measures and the promotion of renewable energy sources therefore remain key requirements for Austria. Another major challenge is Austria’s structure of the business sector, as it predominantly consists of small and medium-sized enterprises (SMEs). This often implies insufficient financial and personnel resources for investments in eco-innovation-related research and development (R&D), which is a key driving force for eco-innovation acceleration. In general, however, it can be noted that enterprises in Austria are strongly engaged with circular economy and eco- innovation activities. Particularly high market chances and innovation possibilities for Austrian enterprises are expected in the mobility sector. Here, the legal framework for mobility services, with regard to payment methods and the pricing of those services, is seen as a challenge (IHS, 2014).

3 1 | Eco-innovation performance

The analysis in this section is based on the EU-28 Eco-innovation Index for the year 2019. The Eco-innovation index demonstrates the eco-innovation performance of a country compared with the EU average. The Index is a composite index that is based on 16 indicators, which are aggregated into five components: eco-innovation inputs, eco-innovation activities and eco- innovation outputs as well as resource efficiency outcomes and socio-economic outcomes. In the Eco-Innovation Index 2019, published by the Eco-Innovation Observatory (EIO), Austria ranks fifth among all EU-28 countries and is located between Finland and Germany (see Figure 1). With the overall score of 130, Austria performs highly above the EU average.

Figure 1 EU28 Eco-innovation Index 2019, composite index

Source: EIO, 2019

Figure 2 breaks the aggregated index into its components, illustrating Austria’s performance for each component compared to the EU average. It can be seen that Austria performs below the EU average in one out of five components (in ‘eco-innovation inputs’). However, its scores higher in the components ‘eco-innovation activities’, ‘eco-innovation outputs’, ‘resource efficiency outcomes’, and ‘socio-economic outcomes’. The component ‘eco-innovation input’ consists of three indicators, while Austria performs particularly low with regard to its government R&D outlays in the area of environment and energy (0.02% of total GDP) and its green early stage investments, which were about 12 USD per capita in the period of 2016-2019. However, as almost 2% of Austrian employees account as personnel and researchers for R&D, the overall eco-innovation input reaches a score of 85. Austria’s performance slightly improves with regard to the component ‘eco-innovation activities’ (score of 105). Indicators accounting the implementation of resource efficiency actions and sustainable products among SMEs score above the EU average (with 1.98% and

4 0.31% of enterprises). As in previous indices, Austria’s performance on ISO 14001 certifications remains relatively low, reaching 122 registered organisations per million population in 2017 (EU average: 172/mln. population). This relates to the fact that Austrian organisations more often implement the EU Eco-Management and Audit Scheme (EMAS) than the ISO system. Regarding the ‘Eco-innovation output’ component, Austria reaches a score of 167 and performs significantly above the EU average. This score is determined by the high number of eco- innovation related patents (22.65 per mln. population) and eco-innovation related publications (7.25 per mln. population). The eco-innovation related media coverage in Austria is thereby slightly below the EU average. Austria’s reaches a score of 127 with regard to its resource efficiency outcomes and is placed between the Netherlands (128) and Sweden (122). With regard to the previous scoreboard, Austria’s efficiency rating remained similar (128 in 2017). Its material productivity increased in comparison to the previous report, from €1.79 to €1.93 per kilogram, indicating a faster increase in economic growth than in material use. The average material productivity of EU countries, however, is €2.24 per kilogram material. Austria’s efficiency performance increases referring to energy productivity (€10.5/toe) and GHG emissions intensity (0.24 CO2-e /GDP). Finally, the last component ‘socio-economic outcomes’ yields Austria’s best performance within this Index. The high score of 183 can predominantly be traced back to the high share of value added in environmental protection and resource management activities (Austria: 3.58% of GDP, EU average: 1.79% of GDP). Another good performance is noted with regard to employment in environmental protection and resource management activities reaching 3.34% of total workforce in 2017 (EU average: 1.43%). Within the past few years, Austria has launched various export-related initiatives in environmental areas, which lifted its performance close to the EU average.

Figure 2 Five sub-components of the Eco-innovation index for Austria, 2019

Source: EIO, 2019

5 Figure 3 All indicators of the Eco-innovation index for Austria, 2019

Source: EIO, 2019

6 2 | Selected circular economy and eco- innovation areas and new trends

In 2019, a survey on circular economy has been compiled, covering consumers and enterprises located in Austria1. According to that study, circular economy is seen as a chance by enterprises; Activities towards a transition are either planned or implemented, with focal points on waste management and re-use of goods and packaging. On the consumer side, a high consciousness towards a circular economy has been reported. Particular actions from consumers, however, have been rated as relatively low. Against the background of this study, the first Austrian Circular Economy Index (2019) has been compiled, stating the willingness of Austria for a circular economy (ARAplus and Gfk, 2019). Austria reaches one of the highest waste management and recycling rates across Europe. In 2018, Austria recycled 57.7% of its municipal waste, which represents the third highest recycling rate in Europe, after Slovenia (59%) and Germany (67%). At the same time, however, a stagnating trend can be seen. Already back in 2012, Austria had reached the recycling rate of 57.7%, which decreased the following years down to 56.3% and got back to its current rate by 2017 (Eurostat, 2020). Despite that fact, Austrian recycling innovations are highly demanded on international markets as they are known to cover holistic system solutions. According to the Eurobarometer 2016, 84% of Austrian SMEs report to have undertaken circular economy activities within the past three years. About half of these activities were related to energy usage, while 46% of the circular economy activities were self-financed (Eurobarometer, 2016). Regarding eco-innovation activities, another survey among Austrian enterprises revealed that more than 85% of eco-innovations were realised among the three thematic areas: energy covering, construction, and mobility (IHS, 2014). Against this information, recent trends in those three fields are outlined in the following paragraphs. Austrian companies have a worldwide leading position in environmental technologies, which is partially explained by its growing green technology hubs. The high number of green patents (covering green technologies) mostly refers to the fields of renewable energy and waste management. About 12% of Austrian environmental technology firms have a leading position in the EU market (ABA, 2015). In 2018, the share of energy from renewable sources covered 33.4% of Austria’s final energy consumption and was close to its national 2020 target of 34% (Eurostat, 2020). The consumption of renewable energy in Austria is expected to increase continuously in accordance to the EU Renewable Energy Directive. Austria also remains on a worldwide leading position for ecological construction, particularly in the field of passive house building. The passive house concept applies to new construction work but also to refurbishments. Since the mid-1990s, passive houses and buildings had attained a 25% market share of new construction buildings in Austria. In the past few years, however, a steady decline of its demand has been noticed, which might have negative consequences on the future market share. A new initiative has been launched by Austrian ministries, rewarding Austrian construction competencies on the international level (the Austrian Green Planet Building award). In 2018, around 38 thousand electrical vehicles were registered in Austria as a result of a steadily increasing trend. According to this, five thousand charging stations have been installed

1 https://www.ara.at/fileadmin/user_upload/bilder/news/GFK_Studie_Ergebnisse.pdf.

7 throughout the country. With regard to the European average, however, Austria’s share on electrical vehicles remained rather low. The demand for e-bikes covered 21.8% of the Austrian bike market in 2016, which increased to 33% by 2018 (Statista, 2019). This might have been a consequence of Austria’s incentives to promote domestic e-mobility within the past few years.

Secontrade. The Platform for safe raw material trade

Europe’s first and largest online market for secondary raw materials has been launched in Austria. Since 2018, ‘Secondtrade’ represents © secontrade.com the digitalisation of waste management and enables the trade of recycled materials across Europe.

All secondary raw materials on offer are recovered through the processing of waste. The vendors on the platform supply the market with materials of the required quality, also providing the necessary individual certificates. The digitalisation of raw material trade like this has the potential to accelerate the use of recycled materials and to increase the share of secondary raw materials within the European market accelerating the transformation towards a circular economy. Keywords: online-market, recycling, secondary raw materials Internet link: www.secontrade.com

RepaNet Re-Use- und Reparaturnetzwerk Österreich In 2017, repair initiatives throughout Austria created a re-use network. Within this network, Repair Cafés opened, where people receive guidance on repairing their personal things. RepaNet has also created the Repa-Thek, which the biggest online literature platform on Re-Use in German. It provides a big range of © Repanet.at literature on the topics re-use, recycle, and circular economy. Sorted by publishing year, it also provides a short summary of each paper or report, enabling a quick access to and overview of relevant information. Thus, RepaNet prevents the creation of waste and contributes actively to a circular use of goods and products. Keywords: online library, re-use, circular economy Internet link: www.repanet.at

beeanco

8 accordance to a list of sustainable criteria. This allows consumers to choose and filter sustainability criteria and, for instance, purchase ‘recycled products‘ only. By digitalising the access to sustainable goods and services, and thus, providing an easily accessible platform for green start-ups, beenanco can be seen as an innovative business that strengthens the access to and use of sustainable and recycled products. Keywords: online platform, green certificate, recycle Internet link: www.beeanco.com

9 3 | Barriers and drivers to circular economy and eco-innovation in Austria

3.1 Drivers to eco-innovation According to the European Innovation Scoreboard 2019, Austria is a strong innovator country. It scores highly above the EU average with regard to performance and structure of the economy. The only low score is reached by the indicator ‘Turnover share large enterprises (%)‘, which can be traced back to Austria’s business structure mainly consisting of small and medium-sized enterprises (SMEs). This economic characteristic, among others, is one key barrier to a circular economy and eco-innovation in Austria, as outlined in the following. • Long history of environmental protection approaches on the policy level Austria has been addressing environmental protection since the 1970s. It has elaborated environmental legislation, developed detailed regulations and enforced its policies. During the 2000s, two strategies for sustainable development have been launched; The principle of sustainability has been established into federal policies and actions in 2002. This was followed by a common framework for actions at both the federal and land level in 2010. Austria was the first country in Europe to adopt such an approach (OECD, 2013). Furthermore, the Austrian government programme 2017-2022 has defined circular economy as one of six goals within the environmental division (Bundeskanzleramt, 2017). • Strongly implemented environmental technology sector Within the past years, Austria has developed a comparative advantage in environmental technology. According to the latest report on Austrian environmental technologies, more than 41 thousand jobs and a turnover of 12.3 billion Euro has been generated by 2015. The high export rate in 2015, (which was about 72%) indicates the relevance of the Austrian environmental technology sector to the international market (IWI, 2017). • State financial incentives above the EU average This trend can be traced back to the State financial incentives provided for the development and application of innovative environmental technologies. In 2019, Austria spent 4.5% of its GDP for Research and Development, which was above the European average of 3%. • Strong location for green clusters Austria is a favourable location for green clusters. The Green Tech cluster in Styria, also known as Green Tech Valley, covers about 200 companies. As the World ś 1st Green Tech Cluster, it represents a hotspot for advanced energy and environmental technologies. The Cleantech- Cluster, also located in Austria, adds another 250 companies to the field of green technology. This guarantees Austria a unique position in the eco-innovation market.

3.2 Barriers to eco-innovation The key barriers weakening Austria’s green transformation are closely linked to its economic structure, its business sectors, and its network capital. • Small-scale suppliers dominated economy

10 Austria’s economy is dominated by small-scale suppliers. For SMEs financial and human resources are limited resulting in restrained alternatives for development activities. Difficulties can occur towards the expenditure of limited resources in production and planning (IHS, 2014), international networking, active involvement in joint tenders, and large-scale projects. • Limited creation of a shared R&D infrastructure Related to the small-scale suppliers’ structure, the creation of synergies among enterprises, regions, and clusters is challenging and hinders the creation of a shared R&D infrastructure. A stakeholder meeting on eco-innovation in Austria (based on the framework ‘ECOINN DANUBEEco-innovatively connected Danube Region’) has also highlighted the low networking and communication approaches particularly between businesses and research institutes and marked this a major barrier for transformation. • Businesses face structural challenges In addition to these points, a survey of Austrian business representatives listed a number of structural points that might hinder green transition and eco-innovation development. These include investments into eco-innovative technologies, limited access to government aid and tax incentives, missing financial and human capacities, and limited incentives provided by current regulatory frameworks (IHS, 2014).

11 4 | Policy landscape in Austria

4.1 Strategic policy framework Besides the elaboration of eco-innovation activities, new approaches towards circular economy have been initiated. In Austria, the main institutions involved in these processes include the Federal Ministry of Agriculture, Regions and Tourism (BMLRT former BMNT), the Ministry of Transport, Innovation and Technology (BMVIT), and the Ministry of Science, Research and Economy (BMWFW). Organisations such as the Austrian Federal Economic Chamber (WKÖ) play an important role in the budgeting of eco-innovation activities and the circular economy transformation. A summary of the Austrian policy framework with relevance for eco-innovation and circular economy is provided in the following.

• The Programme Technologies for Sustainable Development by the Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (BMK, former BMVIT) is the biggest programme promoting eco-innovation in Austria. It aims at supporting the economy with future-oriented innovations, initiates and supports trendsetting research and development projects and the implementation of pilot projects. It consists of the four sub-programmes ‘Building of Tomorrow’, ‘City of Tomorrow’, ‘Factory of Tomorrow’, ‘Energy systems of Tomorrow’. • In the Austrian government programme 2020-2024, circular economy is listed as one of the prioritised targets within the environmental division (Bundeskanzleramt, 2020). • The Austrian Resource Efficiency Action Plan (REAP) was adopted in 2012. The REAP was implemented by the former Ministry of Sustainability and Tourism (BMNT). It includes strategies and action plans concerning a wide range of resource efficiency related topics.

• The Federal Waste Management Programme (Bundes-Abfallwirtschaftsplan BAWP), published by the BMNT in 2017, supports environmental goals by defining targets regarding waste prevention, pollutants reduction and circular economy transformation. The vision of this program is to realise a circular economy through various measurements among the action areas ‘waste prevention’ and ‘waste re-use’. • The National Action Plan on sustainable public procurement – NaBe (‘Österreichischer Aktionsplan zur nachhaltigen öffentlichen Beschaffung’) was adopted by the Council of Ministers in July 2010. The action plan consists of two parts. Part I contains the policy background, the definition of sustainable procurement, targets and initiatives, as well as an implementation strategy. Part II defines key environmental criteria for 16 product groups of key interest for public procurers. In 2016, focal areas have been set on ‘circular procurement’, i.e. purchase of products with a high degree of circularity of the involved raw materials. • The Austrian Climate Protection Law (Klimaschutzgesetz KSG), launched in 2011 and revised in 2017, determines maximum emission levels for six economic sectors including waste management, energy and industry, fluoride gases, buildings, agriculture, and transport. An implementation plan has been elaborated for all six sectors.

• In 2002, Austria implemented the Austrian Strategy for Sustainable Development (Nachhaltigkeitsstrategie des Bundes - NSTRAT), which is currently revised for an updated version. It was prepared by a working group of about 40 representatives from

12 the ministries, provinces and municipalities, the social partners, interest groups and NGO platforms, accompanied and moderated by a professional team. This strategy is based on the idea that products and services procured by public authorities must comply with a basic standard of sustainability, comprising ecological, economical, and social core criteria (Austrian Government, 2002).

• Based on NSTRAT, the Austrian Strategy for Sustainable Development (ÖSTRAT) has been implemented in 2010, as a combined initiative of the Federal Government and the States. It additionally concludes specific targets, such as resource-efficient consumption and the recognition of the ecosystem ś value (BMLFUW, 2010). • The Climate and Energy Strategy of the Austrian Federal Ministry (‘Die österreichische Klima- und Energiestrategie’) has been presented in 2018. It defines several tasks in the fields of infrastructure, energy system, market, or innovation and R&D, in order to reach the decarbonisation targets by 2030 and 2050. Based on this plan, Austria ś climate and energy strategy will be adapted every 10 years (BMNT and BMVIT, 2018) • The Digital Roadmap Austria (‘Digitale Strategie der österreichischen Bundesregierung’) by the Federal Government, presents around 150 specific measures in twelve fields of action in order to ensure that Austria can optimally exploit the potential of digitisation. The measures are based on twelve guiding principles including the support of science and research to develop new digital opportunities.

4.2 Policy instruments, measures, programmes: Throughout the years, Austria has launched an increasing number of policy measures towards a circular economy and eco-innovation. Its eco-innovation policy measures consist of strategies strongly focusing on traditional environmental technologies such as waste management on the one hand, but also on innovative approaches such as energy and resource efficiency on the other. As already stated in the previous report, sustainable product policies in order to support a circular economy have not occurred yet. The launch of the only eco-label in Austria reaches back to 1990, guaranteeing environmental sustainability and regional origin. However, an increasing number of initiatives, funding opportunities and think tanks are observed in Austria. A detailed overview of the overall situation regarding policy instruments and measures towards eco- innovation and a circular economy can be found in the Annex, while changes and new developments of the past 2-3 years are highlighted in the following: • The national programme COMET (Competence Centers for Excellent Technologies) is running since 2006. The competence centres programmes are internationally recognised as best-practice model and have been among the most successful technology policy initiatives in Austria. COMET is sponsored by the Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (BMK) and the Ministry for Digital and Economic Affairs (BMDW), which are following up on the success of their previous competence center programmes. In 2018, new modules have been published including ‘BIO-LOOP – Chemical Looping for efficient biomass utilisation‘. • The initiative RESET2020 – Ressourcen.Effizienz.Technologie, promoted in 2018, aims at improving resource efficiency in the fields of environmental technologies, sustainable production and consumption. The initiative’s objective is to trigger cooperation and knowledge exchange between stakeholders from business, public administration, academia and civil society, and to provide knowledge on key areas of action to improve resource efficiency. Action areas include ‘sustainable consumption’, ‘innovative

13 environmental technology’, ‘sustainable resource management’, ‘renewable resources’, ‘sustainable production’, and ‘sustainable procurement’. • The research and development programme City of Tomorrow focuses on new technologies and solutions for future cities and urban development. It aims to increase the resource efficiency of Austrian cities particularly through the reductions of energy consumption and the increasing use of renewable energies in buildings, neighbourhoods and quarters. In 2018, the sixth call for projects focused on the three topics (1) digital planning, building and operating, (2) plus-energy districts, and (3) innovative greening technologies. • The Smart Cities initiative, launched by BMVIT and the Austrian Climate Fund, supports Austrian economy and research in the development of innovative city projects. The Smart Cities initiative contributes to the Austrian government’s climate and energy strategy and involves communities simultaneously. Within this context, the Smart Cities Days took place in 2018 providing a platform for technology-related questions.

Master Plan Environmental Technology (MUT) Austria’s vision is to become the leading supplier of environmental technology and environment services in the European Union. Against this background and based on the idea of a strong collaboration between government, public administration, private sector, and scientific institutions, priorities have been set on promoting environmental and energy technology exports. In 2017, the former BMNT developed a new set of measurements regarding market development, financing, and legal framework in order to create a new path for the Masterplan Environmental Technology (MUT). The idea behind this initiative is to strengthen the positive development of Austria’s environmental technology by joint forces of politics, administration, industry and science. Strategic fields of actions include promotions of exports, research and qualification, financing, and the attempt on creating a more dynamic domestic market. The current programme 2019-2030 puts its focal point on ‘circular economy through digitalisation‘.

Keywords: environmental technology, digitalisation, energy technology Internet link: www.bmlrt.gv.at/umwelt/nachhaltigkeit/green- jobs/umwelttechnologien/aktualisierter-masterplan-umwelttechnologie- veroeffentlicht.html

Goodbye shopping bags (Pfiat di Sackerl) The initiative was launched in 2016 to support the EU Packaging and Packaging Waste Directive. By going

14 beyond the EU target, it set its own target of a maximum of 25 bags per person per year by 2019. Based on this initiative, a new regulation has been revealed in 2018 to ban plastic carrier bags. Hence, with the exception of bags made of renewable raw materials and completely biodegradable materials, shopping bags in Austria are banned since January 2020. The initiative was launched by the former Ministry for Sustainability and Tourism's (BMNT) and the regulation resolved by the Council of Ministers. Keywords: packaging, plastic, waste reduction Internet link: https://www.bmlrt.gv.at/umwelt/abfall-ressourcen/Plastiksackerl- Verbot.html

REFERENCES

ABA, 2015, Österreich: Starker Standort für Umwelttechnologien und erneuerbare Energien, 29 pp.

ARAplus and Gfk, 2019, Circular Economy Barometer Österreichs. Vienna. Available at: https://www.ara.at/presse/presseinformationen?tx_news_pi1%5Baction%5D=detail&tx_ne ws_pi1%5Bcontroller%5D=News&tx_news_pi1%5Bnews%5D=597&cHash=c80eedf97dbf963 797b0f551df003196

Austrian Government, 2002, The Austrian Strategy for Sustainable Development. An initiative of the Federal Government, Vienna.

BMNT, 2017, Bundes-Abfallwirtschaftsplan 2017: Teil 1.

BMNT, 2019, Vereinbarung 2016-2025 zur Vermeidung von Tragetaschen. Bericht 2019.

BMNT, BMVIT, 2018. #mission2030: Die Klima- und Energiestrategie der Österreichischen Bundesregierung.

Bundeskanzleramt 2020, Zusammen für unser Österreich. Regierungsprogramm 2020–2024. de.statista, 2019, Marktanteil von E-Bikes am Fahrradabsatz in Österreich von 2008 bis 2018. Available at https://de.statista.com/statistik/daten/studie/511801/umfrage/marktanteil- von-e-bikes-in-oesterreich/

Eurobarometer, 2016, European SMEs and the Circular Economy: 89 pp.

Eurostat, 2020, Recycling rate of municipal waste. Available at https://ec.europa.eu/eurostat/databrowser/view/sdg_11_60/default/table?lang=en

Eurostat, 2020, Renewable energy statistics. Available at: https://ec.europa.eu/eurostat/statistics-explained/index.php/Renewable_energy_statistics Eurostat, 2020, Recycling rate of municipal waste. % of total waste generation. Availabel at: https://ec.europa.eu/eurostat/databrowser/view/sdg_11_60/default/table?lang=en

IHS, 2014, Das Potenzial von Öko-Innovationen für den Standort Österreich.

IWI, 2017, Österreichische Umwelttechnik – Motor für Wachstum Beschäftigung und Export: - Erstmals Industrie und Dienstleister -. Industrie Wissenschaftliches Institut, Wien, 209 pp.

OECD, 2013, OECD Environmental Performance Reviews: Austria 2013.

WKÖ, 2019, Nachhaltigkeitskontest 2019 (Sustainability Contest 2019), Wien. Available at: https://news.wko.at/news/oesterreich/wkoe-nachhaltigkeitskontest-2019- hintergrundinformationen.pdf.

16 ANNEX: Policy strategies and instruments

Table A1: National Policy strategies Name of the policy document Relevance for Relevance for Relevance for the Input and process targets Outcome and impact targets Relevant (strategy, action plan, roadmap) eco-innovation Circular innovation chain implementation or Economy governance system 1 The Climate and Energy Strategy, (Die Cross-cutting Cross-cutting The Austrian strategy Stakeholder processes, Climate change policy targets, no österreichische Klima- und Energiestrategie), for adaption to roundtables, including Energy efficiency targets, 2018 climate change citizens through online Renewable energy targets The Federal Government defines several tasks platform https://www.bmlrt.gv.at/umwelt/klimaschutz/kl for the energy imapolitik_national/mission-2030/Die- system, österreichische-Klima--und- infrastructure, Energiestrategie.html market, innovation, and R&D 2 Federal Waste Management Programme Cross-cutting Dedicated focus Cross-cutting Waste prevention National waste management law no (Bundes-Abfallwirtschaftsplan BAWP), on circular programme 2017 (Abfallwirtschaftsgesetz AWG), BMNT economy (Abfallvermeidungsprogra EU Waste Framework Directive, 2001, 2006, 2011, 2017 mm 2017) 3 Technologies for Sustainable Development, Cross-cutting Cross-cutting Aims at supporting Cross-cutting National sustainability targets no Federal Ministry for Climate Action, Environment, the economy through Energy, Mobility, Innovation and Technology future-oriented (BMK) innovation and https://www.bmk.gv.at/en/topics/innovation/su trendsetting R&D stainable.html projects

4 Climate Active programme (‘klimaaktiv‘), Cross-cutting Aims at Cross-cutting Training activities, Climate change policy targets no Ministry for Climate Action, Environment, Energy, maximising engagement of people, Mobility, Innovation and Technology, 2017 energy and certification system www.klimaaktiv.at resource efficiency 5 Masterplan Environmental Technology MUT, Dedicated focus Cross-cutting optimisation of R&D Dedicated focus on Climate Change targets, no Ministry of Agriculture, Regions, Tourism on funding enterprise cooperation, Waste prevention targets, (BMLRT, Former BMNT), environmental involvement of consumers, SDGs 6,7,9,11,12 2019 technology setting up financial programmes 6 Austrian government programme 2020-2024, Cross-cutting Cross-sectoral Innovative and Climate change policy targets, no Federal Government, circular economy sustainable public Multi-sectoral policy targets 2020 strategies for the procurement industry

17 Name of the policy document Relevance for Relevance for Relevance for the Input and process targets Outcome and impact targets Relevant (strategy, action plan, roadmap) eco-innovation Circular innovation chain implementation or Economy governance system 7 Austrian Resource Efficiency Action Plan (REAP), Cross-cutting Transition to a Cross-cutting Implementation through Waste prevention targets, no Ministry of Agriculture, Regions, Tourism, competitive and RESET2020 sustainable public procurement 2012 resource- targets, environmental efficient circular technology targets economy 8 National Action Plan on sustainable public Focus on circular Cross-cutting Providing information and no procurement (‘Österreichischer Aktionsplan zur public sharing best practices on nachhaltigen öffentlichen Beschaffung‘ - NaBe), procurement sustainable procurement, 2010 reaching out to http://www.nachhaltigebeschaffung.at communities

9 Austrian Climate Protection Law Cross-cutting Cross-cutting Cross-cutting determined binding Climate change policy targets A national climate (Klimaschutzgesetz KSG) launched 2011, revised maximum emission levels protection in 2017 for six economic sectors committee has (waste management, been launched energy and industry, (Nationale fluoride gases, buildings, Klimaschutzkomite, agriculture, and transport) NKK) 10 Austrian Strategy for Sustainable Development Dedicated focus Cross-cutting Cross-cutting N/A Binding national sustainability no (Nachhaltigkeitsstrategie des Bundes und der on eco-efficiency strategies Länder – NSTRAT, ÖSTRAT), Federal Government and renewable 2002, 2010 energy 11 Digital Roadmap Austria (Digitale Strategie der Cross-cutting N/A Strengthening R&D Accessible 5G- Economic targets, No österreichischen Bundesregierung), through digitalisation infrastructure Renewable energy targets Federal Government, 2016 12 Goodbye shopping bags (Pfiat di Sackerl), 2018 Ban on plastic Cross-cutting A binding ban on plastic Multi-sectoral policy targets, no bags promotes shopping carriers. Waste targets, resource efficiency the use of targets renewable raw materials and biodegradable materials.

18 Table A2: Policy instruments and measures

Category Name of instrument Overall relevance for eco-innovation Relevance for CE Relevance for the innovation chain

Direct financial support for eco-innovation

Climate and energy fund, 2007 Grant funding R&D in the field of environmental Cross-cutting provides grants and guides initiatives, www.klimafonds.gv.at technology, focusing on technologies that are aims to push innovation in sustainable sustainable and climate relevant technologies and scientific research Austrian Science Fund – FWF Cross-cutting Cross-cutting R&D activities in the areas of climate www.fwf.ac.at/en/ and energy

Austrian Research Promotion Agency – FFG Cross-cutting Cross-cutting FFG manages a large number of R&D programmes. It also launched a specific www.ffg.at/en programme to support the building-up and expansion of high-quality R&D infrastructure.

Smart Cities Initiative Cross-cutting Cross-cutting Support of Austrian economy and research in the development of https://smartcities.at/home-en-us/ innovative city projects.

Innovation vouchers The Innovation Voucher Cross-cutting Cross-cutting funding instrument designed to help small and medium-sized enterprises in https://www.ffg.at/en/programme/inn Austria to start ongoing research and ovation-voucher innovation activities.

Loans and credits Kommunalkredit As a specialised bank for infrastructure Cross-cutting Cross-cutting financing. Kommunalkredit ensures sustainable success for projects in areas such as energy & environment, social infrastructure & communications technology and transport

Publicly co-funded venture capital funds (e.g. start-ups)

Fellowships and postgraduate loans and scholarships

19 Category Name of instrument Overall relevance for eco-innovation Relevance for CE Relevance for the innovation chain

Equity financing from public banks

Other (indicate)

Indirect support for eco- innovation

Tax incentives/relieves for Austrian tax allowance for R&D The basis for the R&D tax allowance is eco-innovation expenditure on the development or (businesses, R&D activity) improvement of economically valuable inventions. In 2017, the research premium has been raised from 12% to 14%

Tax relief for consumers adopting/ purchasing green technology/products

Taxation of environmentally harmful technologies

Regulations, targets

Green public procurement

Demand subsidies (e.g. eco-vouchers/subsidies for green products)

Labeling, certification, The Austrian Ecolabel Cross-cutting labelling system for products, Cross-cutting commercialisation standards tourism, education, and green meetings www.umweltzeichen.at/en/home/start

Debt guarantees and risk sharing schemes

Training, advisory, information support, awareness raising

20 Category Name of instrument Overall relevance for eco-innovation Relevance for CE Relevance for the innovation chain

Technology transfer and business advisory services

Business incubation/ accelerations

Eco-innovation Austrian Green Planet Building award rewards Austrian construction competencies Cross-cutting N/A challenges, prizes, awards for climate protection abroad www.agpb.at

Training for companies, consumers,

Public awareness Reset2020 Cross-cutting Cross-cutting campaigns, platforms, and outreach activities

other City of Tomorrow The programme aims to increase the It focuses on new technologies and resource efficiency of Austrian cities solutions for future cities and urban https://nachhaltigwirtschaften.at/en/sd particularly through the reductions of energy development by reaching out to z/ consumption and the increasing use of economy and research. renewable energies in buildings, neighborhoods and quarters

Collaborative platforms and infrastructure

Clusters, networks, Green Tech Cluster The Green Tech Valley is a global hotspot for Cross-cutting Idea development platforms (e.g. industrial innovative energy and environmental symbiosis platforms) www.greentech.at/en/ technologies

Clean-Tech Cluster Resource efficiency throughout the Innovation towards circular design, Idea development production process recycling, and circular business models www.cleantech-cluster.at

Circular Futures Cross-cutting Multi-stakeholder platform for projects Cross-cutting and initiatives that can drive the transition https://www.circularfutures.at to a circular economy in Austria

21 Category Name of instrument Overall relevance for eco-innovation Relevance for CE Relevance for the innovation chain

Dedicated support to new City of the Future Cross-cutting N/A This research and development research infrastructure programme supports new technologies, (piloting facilities) https://www.ffg.at/stadt-der-zukunft- new technological systems and urban das-programm services in the fields of energy-oriented city planning, modernisation and optimisation of buildings.

other

About the Eco-Innovation Observatory (EIO)

The Eco-Innovation Observatory (EIO) is the initiative financed by the European Commission’s Directorate- General for the Environment. The Observatory is developing an integrated information source and a series of analyses on eco-innovation trends and markets, targeting business, innovation service providers, policy makers as well as researchers and analysts.

Visit EIO and DG ENV EcoAP website and register to get access to more information and to access all EIO reports, briefs and databases. www.eco-innovation.eu ec.europa.eu/environment/ecoap