Image: Fronius
Austria’s Ministry of Economic Affairs has announced a significant increase in funding for its latest round of solar and storage subsidies, after applications far exceeded expectations.
The second application window, held between June 23 and July 7 with an initial budget of €12 million, attracted such strong demand that the funding pot has been expanded to €48.8 million. This figure surpasses the €40 million allocated in the first round earlier this year.
According to initial analysis from funding agency OeMAG, 9,327 applications were submitted for investment grants in the second round. Of these, 7,708 included battery storage systems. The projects are expected to deliver 218.2 MW of new solar capacity and just over 200 MWh of storage capacity, although the ministry emphasized these figures remain estimates until all applications are reviewed and installations completed.
Applications were highest in Lower and Upper Austria, with Styria also submitting more than 1,000. Vienna contributed the fewest, with 293 solar applications, 194 of which included storage.
“The high demand for photovoltaic systems and storage is a strong signal for the energy transition,” said Energy Minister Wolfgang Hattmannsdorfer and State Secretary for Energy Elisabeth Zehetner in a joint statement. “It shows the willingness to invest in PV systems remains high. With targeted subsidies, we are advancing both the economy and the energy transition. Every new PV system and storage unit means greater security of supply, greater independence, and more clean energy for Austria.”
Analysts suggest that a government decision to bring forward the end of a VAT exemption for solar installations—both with and without storage—helped drive the surge in applications. The first subsidy round earlier this year attracted around 5,200 solar arrays with a combined capacity of nearly 192 MW, plus 120 MWh of associated storage, which nearly consumed the full €40 million budget.
Looking ahead, a third subsidy call with a budget of €8 million will take place from October 8 to October 22. This round will also include an additional 10% “Made in Europe” bonus for applicants using approved equipment certified by the EAG settlement agency.
