The latest “Country Report: Austria” from the International Energy Agency (IEA) makes it clear: Austria has ambitious climate and energy goals and a strong renewable energy base consisting of hydropower, pumped-storage facilities, and solar energy—yet the gap between aspirations and reality regarding the expansion of renewables is widening. The country report recommends accelerating the expansion of domestic renewables, such as wind power, to strengthen supply security and competitiveness. The most severe energy crisis in decades calls for resilience through the expansion of renewables and ensures independence and supply security.

The report “Austria 2026 Energy Policy Review” by the International Energy Agency (IEA), presented on May 11, 2026, by IEA Executive Director Fatih Birol and State Secretary for Energy Elisabeth Zehetner, gives an overall positive assessment of Austria’s energy policy direction but calls for faster implementation of renewable energy expansion, particularly in the area of wind power. The ongoing global energy crises, in particular, are exacerbating the need for greater European independence and security of supply.

“We are in the midst of the greatest global energy crisis in history. The Strait of Hormuz will continue to cause volatility in oil and gas shipments; no country is immune to this. The amount of oil and gas we have lost this time is greater than that of all previous major oil crises combined.”

 IEA Executive Director Fatih Birol

Austria is far better prepared for difficult times than many other European countries. However, there are recommendations.

Expansion is necessary to account for seasonal fluctuations

The IEA analysis concludes that the rapid expansion of solar PV in Austria has contributed to the diversification of the electricity supply, but that a faster expansion of wind energy is now essential to ensure grid security, meet seasonal demand, and enable Austria to achieve its renewable electricity target by 2030.

The IEA states:

• Although renewable energy sources will have covered about 90 percent of Austria’s electricity needs by 2024, Austria is not currently on track to meet its targets
• The photovoltaic sector has grown significantly, accounting for 11.3 percent of the electricity supply in 2024
• The expansion of wind power must be accelerated in order to meet seasonal demand in the winter, for example—but regulatory hurdles and governance issues are hindering this expansion
• The IEA also sees a significant need for action in the heating sector

“The example of wind energy in particular illustrates exactly where Austria needs to focus its efforts: sufficient land, faster approvals, and reliable procedures. Expansion must no longer be held up by fragmented responsibilities and delays at the state level,” said Martina Prechtl-Grundnig, Executive Director of the Austrian Renewable Energy Association. The IEA also points to long delays in key legislative reforms and the still-pending Renewable Energy Expansion Acceleration Act.

The expansion of wind energy must be accelerated

Two-thirds of wind energy is generated in the winter—when solar power output is lower. According to the IEA, Austria is not on track to meet its wind power target due to regulatory hurdles. The report recommends streamlining permitting procedures, improving coordination between different levels of government, and strengthening planning for grid-compatible expansion of renewable energy, particularly wind power.

“The expansion of wind energy has slowed, even though wind energy plays a key role in seasonal balancing and winter supply. If wind energy remains at the same level, the gap to the 2030 targets will widen, and the system will become more reliant on imports or more costly balancing mechanisms,” said Ali Al-Saffar of the International Energy Agency.

IG Windkraft Managing Director Florian Maringer is also calling for greater planning and investment certainty to address this key challenge: “By 2030, we can cover nearly one-third of electricity consumption with wind energy: policymakers must ensure stable framework conditions to make this possible. It is a matter of shared responsibility to meet this turning point in energy and security policy with a domestically sourced energy supply that offers price stability.”

According to Maringer, the IEA’s recommendation is clear: Austria must, in particular, further accelerate the expansion of wind power in order to strengthen security of supply, economic resilience, price stability, and competitiveness in the long term.

The IEA also sees room for improvement in the heating sector

Although the share of oil in building energy consumption fell significantly between 2005 and 2024, there are still approximately 850,000 gas heating systems and 450,000 oil heating systems in operation. Among other things, the IEA recommends integrated heating and cooling plans at the national, regional, and local levels, as well as targeted incentives for landlords and tenants. When it comes to renewable heat, much greater continuity is needed. The recent stop-and-go approach to subsidies for boiler replacement is unsettling both businesses and consumers. It is already becoming apparent that the budget for the current subsidy program is likely to be exhausted by summer.