AUSTRIA 2007 Review INTERNATIONAL ENERGY AGENCY
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INTERNATIONAL ENERGY AGENCY Energy Policies of IEA Countries Please note that this PDF is subject to specific restrictions that limit its use and distribution. The terms and conditions are available online at www.iea.org/Textbase/about/copyright.asp AUSTRIA 2007 Review INTERNATIONAL ENERGY AGENCY The International Energy Agency (IEA) is an autonomous body which was established in November 1974 within the framework of the Organisation for Economic Co-operation and Development (OECD) to implement an inter national energy programme. It carries out a comprehensive programme of energy co-operation among twenty-seven of the OECD thirty member countries. The basic aims of the IEA are: n To maintain and improve systems for coping with oil supply disruptions. n To promote rational energy policies in a global context through co-operative relations with non-member countries, industry and inter national organisations. n To operate a permanent information system on the international oil market. n To improve the world’s energy supply and demand structure by developing alternative energy sources and increasing the effi ciency of energy use. n To promote international collaboration on energy technology. n To assist in the integration of environmental and energy policies. The IEA member countries are: Australia, Austria, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Japan, Republic of Korea, Luxembourg, Netherlands, New Zealand, Norway, Portugal, Slovak Republic, Spain, Sweden, Switzerland, Turkey, United Kingdom and United States. Poland is expected to become a member in 2008. The European Commission also participates in the work of the IEA. ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT The OECD is a unique forum where the governments of thirty democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international policies. The OECD member countries are: Australia, Austria, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Republic of Korea, Luxembourg, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Slovak Republic, Spain, Sweden, Switzerland, Turkey, United Kingdom and United States. The European Commission takes part in the work of the OECD. © OECD/IEA, 2008 International Energy Agency (IEA), Head of Communication and Information Offi ce, 9 rue de la Fédération, 75739 Paris Cedex 15, France. Please note that this publication is subject to specifi c restrictions that limit its use and distribution. The terms and conditions are available online at http://www.iea.org/Textbase/about/copyright.asp TABLE OF CONTENTS 1 EXECUTIVE SUMMARY AND KEY RECOMMENDATIONS ..... 7 Executive Summary ..................................................... 7 Key Recommendations ................................................. 9 2 GENERAL ENERGY POLICY ................................. 11 Overview ................................................................ 11 Energy Supply and Demand .......................................... 11 Energy Policy ........................................................... 14 Energy Institutions ..................................................... 15 Market Reform .......................................................... 17 Security of Supply ...................................................... 21 Energy Taxation ......................................................... 21 Critique and Recommendations ....................................... 22 3 ENERGY AND THE ENVIRONMENT ......................... 25 Climate Change ........................................................ 25 International Commitments ............................................ 25 GHG Emissions ......................................................... 25 Policy .................................................................... 25 Local and Transboundary Air Pollution ................................ 32 Legal Requirements ..................................................... 32 Policy .................................................................... 32 Emission Levels ......................................................... 33 Critique and Recommendations ....................................... 33 4 ENERGY EFFICIENCY ....................................... 39 Overview ................................................................ 39 Energy Efficiency Policy and Measures ................................ 41 Critique and Recommendations ....................................... 47 5 RENEWABLE ENERGY EXCEPT LARGE HYDROPOWER ....... 51 Supply and Demand ................................................... 51 Government Policies .................................................... 53 Support Measures ...................................................... 54 Critique and Recommendations ....................................... 60 6 FOSSIL FUELS .............................................. 65 Exploration and Production ............................................ 65 Oil Markets ............................................................. 68 Supply and Demand ................................................... 68 Industry Structure ....................................................... 69 3 Prices .................................................................... 70 Emergency Preparedness ............................................... 71 Natural Gas ............................................................. 71 Supply and Demand ................................................... 71 Industry Structure ....................................................... 74 Security of Supply ....................................................... 75 Infrastructure ........................................................... 76 Market Regulation and Liberalisation ................................. 77 Prices .................................................................... 78 Coal .................................................................... 79 Supply and Demand ................................................... 79 Domestic Production ................................................... 79 Critique and Recommendations ....................................... 79 7 ELECTRICITY AND LARGE HYDROPOWER ................... 85 Demand and Supply ................................................... 85 Industry Structure ...................................................... 86 Market Reform and Regulation ........................................ 87 Market Reform .......................................................... 87 Security of Supply ....................................................... 88 Infrastructure ........................................................... 88 Power Generation ....................................................... 89 Transmission and Distribution ......................................... 92 Interconnections and International Trade ............................. 92 Prices .................................................................... 93 Critique and Recommendations ....................................... 96 8 RESEARCH & DEVELOPMENT ............................... 99 Overview ................................................................ 99 Policy .................................................................... 100 Funding ................................................................. 100 Major Programmes ..................................................... 104 International Collaboration ............................................ 109 Evaluation and Monitoring ............................................ 110 Critique and Recommendations ....................................... 110 A ANNEX: ORGANISATION OF THE REVIEW ................... 113 Review Criteria ......................................................... 113 Review Team ............................................................ 113 Organisations Visited ................................................... 114 B ANNEX: ENERGY BALANCES AND KEY STATISTICAL DATA .... 115 C ANNEX: INTERNATIONAL ENERGY AGENCY “SHARED GOALS” . 119 D ANNEX: GLOSSARY AND LIST OF ABBREVIATIONS ........... 121 4 Tables, Figures and Boxes TABLES 1. Key Economic Indicators for Austria, 1996 to 2005 ................ 12 2. Division of Energy Policy Responsibilities in Austria ................ 14 3. Market Shares of Gas Suppliers to Final Customers in 2005 ........... 21 4. Energy Taxes in Austria, 2006 ....................................... 22 5. GHG Emissions in Austria by GHG, 1990 – 2004 .................. 26 6. CO2 Emissions from Fuel Combustion in Austria by Sector, 1990 – 2004 . 27 7. Summary of the Austrian Climate Change Strategy ................ 28 8. Domestic Emissions Reductions in Austria under the 2007 Climate Change Strategy by Sector, 2005 and 2010 ........................ 29 9. NAP Summary Table .................................................. 30 10. National Total Emissions and Trends 1990–2004 ................. 34 11. Building Efficiency Regulation in Austrian States Using U-values .... 45 12.