The Energie AG Group’s strategy is based on three pillars: ”customer-centric culture“, ”organisational and operational excellence“ and ”secure digital services“. All the Group’s measures and activities aim towards these three strategic lodestars.
A strong regional partner for the customers
As Upper Austria's state energy utility in Austria's strongest export state, Energie AG positions itself as a modern and efficient provider of energy and infrastructure services. The Energie AG Group stands for high-quality and reliable products and services in the fields of energy, waste management, telecommunications and water, which it continuously and consistently adapts to customers’ needs. In this way, the company makes a material contribution to the sustainable development of the quality of life and the economy in the regions in which it operates.
Reliability in supply and waste management services
A 100% subsidiary of Energie AG, Netz Oberösterreich GmbH (Netz OÖ), secures the energy supply in Upper Austria with a modern and reliable electricity and natural gas grid and is Austria’s pioneer in the roll-out of smart meter technology.
In addition to investments in the highly available and state-of-the-art cable and power-line grid of Netz OÖ, it is above all necessary to provide assured, flexible services for supply reliability. The CCGT (combined cycle gas-turbine) power plant in Timelkam plays an important role in congestion management here, and in grid reserve management for transmission system operators. Energie AG’s own gas storage rights (or gas storage contracts) and shareholdings support the high degree of flexibility. In the future, the development and application of new technologies and intelligent system solutions for decentralised flexibility and balancing energy storage will also be of particular importance.
In a competitive environment, Energie AG stands for sustainable and fair solutions, which it can guarantee on the basis of permanent process optimisation efforts. In contrast to many other electricity suppliers, this enables us to continue to offer our electricity customers stable prices despite rising wholesale prices since 2018 and the separation of electricity price zones between Germany and Austria on 1 October 2018.
Energie AG is building and operates state-of-the-art telecommunications infrastructure in Upper Austria. The entire fibre-optic and transmission network is managed and monitored at Energie AG’s Network Operation Center (NOC).
The waste management division guarantees solutions in the areas of waste and recyclable materials to the highest technological and ecological standards and, thanks to the two incineration plants in Wels and Lenzing, makes a significant contribution to waste management in Austria.
Thanks to ongoing adaptations to changed customer requirements, Energie AG has succeeded in establishing itself as a reliable drinking water, waste water disposal, space heating and hot water supply company in the Czech Republic segment. The Group intends to deepen its partnerships with municipalities while simultaneously boosting efficiency and competitiveness by making selective investments in its own water, waste water and heating infrastructure as well as making constant upgrades to the Group’s equipment and vehicle fleet.
Decarbonisation as a Cornerstone of the Climate and Energy Strategy
The national energy and climate targets for 2030 as well as the decarbonisation path to be pursued up to 2050 are an important step for the future energy supply in Austria. From the perspective of Energie AG, it is relevant to take a holistic, integrated look at the energy system, taking into account the electricity and heat and mobility sectors (“sector coupling”). The goal of covering 100% of total national electricity consumption from renewable energies by 2030 is very ambitious. Policy-makers and legislators must create an appropriate framework for implementation in good time, in order to both build up the necessary power generation facilities and ensure that excellent supply reliability and quality can be ensured on a continuing basis.
In the area of electricity procurement, Energie AG has for a long time used its own 43 hydropower plants and corresponding rights to procure electricity generated from renewable energy sources. In addition, the further expansion of the existing generation portfolio from renewable sources – especially wind and photovoltaics – is a strategic development area. Various attractive projects are currently being developed to decision-making maturity and will be implemented under appropriate legal and stable general economic conditions. By using biomass, geothermal energy and industrial waste heat, Energie AG has for many years pursued a decarbonisation strategy in the area of district heating and thus plays a pioneering role as a sustainable utility in its market sectors.
In order to achieve its growth targets and improve its strategic position, Energie AG makes use of strategic partnerships, offers comprehensive contracting solutions and enters into cooperation agreements.
Digitalisation as an Opportunity
Digitalisation is one of the greatest challenges for Energie AG – both as a risk and, above all, as an opportunity. On the one hand, the competitive environment is changing at an enormous speed; on the other, innovative, powerful digital approaches are now available that Energie AG intends to use. True to the motto of “digital supply reliability”, Energie AG is actively shaping Upper Austria's digital future in collaboration with its customers and partners. In order to achieve these goals, key topics and objectives, and a corresponding roadmap have been developed and consistently implemented. Unconditional orientation on customer needs and requirements is key here. Thanks to digital distribution channels, from platforms and portal solutions to personal online consulting, customers are assured individual service.
Energie AG is at the forefront of the development and introduction of future-oriented technologies. To this end, it is investing in a modern telecommunications infrastructure with the aim of growing in these areas. In the form of a fibre-optic network, to which a significant share of Upper Austria’s public buildings, companies and private households are connected, the Energie AG Group is helping to lay crucial groundwork for the further digitalisation of Upper Austria as a business location. Fibre-optic technology is the most reliable method currently available for the future provision of high bandwidth (including above 1 gigabit) with the necessary quality of service. As a result, the Group will continue to view fibre to the home (FTTH) as our technological direction of travel.
Motivated employees – Our most important resource
Without motivated and committed employees, strategic goals are unachievable. In order to survive in the battle for talent, Energie AG is looking to address a large target group, with female junior staff for technical departments and management positions in particular, and has set new standards in the further development of the employer brand in this area.
Thanks to its extremely successful apprentice training, and bucking the trend of a skilled labour shortage throughout Europe, Energie AG is able to recruit the necessary specialists for the Group’s divisions. With various measures in the area of diversity, Energie AG is also sending an important socio-politically message to current and future generations.
Stability and Flexibility
The basis of every future-orientated company is its economic success. The financial goal is therefore to achieve attractive returns, to sustainably increase the value of the Group and to continue to be a reliable and interesting business partner for owners and investors in the future. Financial stability is supported by the balanced Group portfolio of liberalised and regulated business models. A further basis for success is the efficient opportunity and risk management. It empowers us to identify challenges for the Group at an early stage and to take effective measures in good time.
The Group takes a proactive approach to dynamic changes to the statutory framework, as well as market-based challenges stemming from changes in customer needs or competitors from outside the industry.
Strategy development process
A structured annual strategy process is a prerequisite for consistent control over the Energie AG Group’s long-term business development. This involves comparing the results of analysis regarding market developments (opportunities and risks) with the prevailing conditions in the Group, then formulating strategies and measures from this to ensure sustained economic efficiency and profitability.
The strategy meeting with Group management was held in July 2019 under the banner #transformation2030. The programme reflected the interplay between global and national developments, as well as the goals Energie AG is pursuing and the actions it is taking as a regionally based player.
In the 2018/2019 fiscal year, the Group’s sales were reorganised, with the four sales units for electricity, gas, heat and telecommunication brought under the umbrella of a single company. Energie AG’s generation units and heating grids were merged under company law. In addition, heat and water activities were consolidated in the Czech Republic.