Management of impacts, risks and opportunities

E1-2 – Concepts related to climate change mitigation and adaptation

Concept for expanding renewable energy generation

Climate change adaptation; climate change mitigation; energy

Contents: The “LOOP” strategy and organisation project (see ESRS 2, SBM-1 – Strategy, business model and value chain) is focused on the comprehensive decarbonisation of the company’s core business activities and advancing environmentally sustainable business activities – while maintaining security of supply and waste management in each case.

General objectives: The ambitious increase in renewable electricity and heat generation is intended to ensure that the greenhouse gas emissions generated by the Group are gradually reduced.

Material impacts, risks and opportunities:

Also see ESRS 2, SBM-3 – Material impacts, risks and opportunities and their interaction with the strategy and business model.

Monitoring processes: Quarterly steering committee meetings, regular reporting and dashboards are set up to ensure that the strategic climate change mitigation targets are met and that corrective action can be taken if there are any deviations from the targets.

Climate change mitigation: The progressively worsening climate crisis, EU-wide and national climate targets, and the public’s desire for sustainable solutions are the main reasons for Energie AG’s strategic (re)positioning. The defined sustainability objectives are shown separately in each individual business segment and underscore Energie AG’s conviction and commitment to this important issue through both already defined actions for climate change mitigation and those still to be finalised in order to achieve the targets (see E1-3).

Climate change adaptation: The ongoing changes in the climate, characterised by more frequent extreme weather events, among other things, and their impact on Energie AG’s business models mean that adaptations need to be made – for example in the field of hydroelectric power plants and with regard to storage requirements. This is taken into account when drawing up the policy.

Energy efficiency: To fulfil the strategic ambitions, fossil energy use and consumption must be reduced and energy must be used more efficiently. Energy efficiency actions required to achieve the company’s strategic targets have been defined for different areas of the company, see E1-3.

Use of renewable energy: By 2035, the proportion of renewable electricity generation will be increased by over 1.0 TWh and as a result the existing volume of renewable energy generation will be increased by 40%. This is contingent on an ideal (market) economic, technical and statutory environment up to the year 2035. Simultaneously, the objective is to increase the proportion of renewable primary energy sources for heat generation and supply by Erzeugung GmbH (excluding Cogeneration-Kraftwerke Management Oberösterreich GmbH (CMOÖ)) from currently around 60% to over 80% by 2030. These actions relating to primary energy sources have a direct decarbonisation effect. Some actions – particularly with regard to the strong expansion of renewable electricity generation – do not have a direct decarbonisation effect but change the ratio of renewable to non-renewable electricity generation.

Scope: The policy applies to all areas of the Energie AG Group, which means that the scope covers all business activities.

Upstream value chain: The purchase of raw materials and goods, the extraction of renewable resources and the acquisition of services in the Energy Segment are considered with regard to the upstream value chain. The strategy project covers targets for the procurement of resource-efficient modes of transport and the purchase of raw and recyclable materials in the Waste Management Segment.

Downstream value chain: In terms of the downstream value chain, the concept primarily addresses targets to support energy-efficient and sustainable customer behaviour. In addition to expanding district heating, replacing fossil-fuelled heating systems with decarbonised on-site heating purchase agreements and promoting the installation of heat pumps for sales customers is also being strongly pursued.

Geographical areas: The main geographical focus is on the core business areas of Austria and the Czech Republic, with a growing strategic focus on business activities for renewable energy generation in the neighbouring countries of Germany, Italy and Slovenia.

Responsibilities: Following the approval of the “LOOP” strategy and organisation project by the Supervisory Board on 28 September 2023, the entire Management Board bears responsibility for implementing the strategy and organisation project. Operationally, most of the second-level managers (managing directors of subsidiaries and department heads of the holding company) were appointed as module leaders and are therefore responsible for achieving operational targets as part of implementing the policy.

Standards and third-party initiatives: Energie AG expressly supports policy targets to expand the use of renewable energy and reduce the use of fossil fuels. The legal basis is in place at the European level – for example in the Fit for 55 legislative initiatives – and at the national level – including the Austrian Renewable Energy Expansion Act package.

Stakeholder involvement: In developing and implementing the strategy, particular emphasis was placed on ensuring a high degree of transparency in communication and involving all employees and their interests. This is shown by the involvement of employees from different organisational levels in the Group’s internal expert teams for strategy development, the regular dialogue between the Management Board, project management and the Works Council, the information events for employees and the associated change and culture project, which took the wishes and needs of employees into account in both the analysis and implementation process. This approach was intended to ensure the greatest possible agreement on the joint strategic direction with a strong focus on decarbonisation.

Implementation support: After the resolution was passed, the most material key elements of the strategy were announced publicly and published in the 2022/2023 Group Annual Report so that stakeholders who are either directly affected or potentially affected can learn about the strategic plans.

E-mobility concepts

Climate change mitigation; energy

Contents: In the 2019/2020 fiscal year, a decision was made to reorient the Group’s internal e-mobility policy. The aim of this is to give e-mobility a higher priority than before. The resulting initiatives in the field of e-mobility have now been fully implemented (see E1-3), contributing to a reduction in CO₂ emissions. As part of the “LOOP” strategy and organisation project, see ESRS 2, SBM-1 – Strategy, business model and value chain, some actions – such as expanding the public electric vehicle charging infrastructure and service offerings – were re-evaluated and some targets were revised.

General objectives: The strategic targets include gradually converting the company fleet to electric cars, expanding the range of services available to customers and accelerating the expansion of electric vehicle charging infrastructure.

Material impacts, risks and opportunities:

Also see ESRS 2, SBM-3 – Material impacts, risks and opportunities and their interaction with the strategy and business model.

Monitoring processes: A quarterly report is presented to the Management Board on the progress of the identified action areas, allowing corrective action to be introduced if necessary.

Climate change mitigation: The courses of action identified as part of the policy are actions for climate change mitigation. This sometimes results in direct decarbonisation effects, for example through the gradual conversion of the vehicle fleet from the previous conventionally powered vehicles to electric vehicles. The expansion of the public electric vehicle charging infrastructure and the range of e-mobility services is intended to contribute to an increase in the acceptance of this sustainable mode of transport and the level of comfort for customers – and therefore have an indirect decarbonisation effect.

Scope: The policy covers e-mobility in Austria, which means that all Segments – excluding the Czech Republic Segment – are included in the project scope. Individual actions – such as the complete switch to electric cars in Schalchen – relate to just a single company location.

Upstream and downstream value chain: In the upstream value chain, the focus is on the procurement of electric cars for the company vehicle fleet and charging station infrastructure; in the downstream value chain, the focus is on the sale of electricity to customers.

Geographic areas: The geographic area covered by the policies includes company divisions and locations throughout Austria, with a focus on Upper Austria.

Responsibilities: The two strategy projects mentioned above were approved by the Energie AG Management Board on 5 December 2019 and 12 June 2023 respectively, with responsibilities defined for the implementation of a total of 22 actions in a total of six specialist areas. The highest level of responsibility for implementation is assumed by managing directors of subsidiaries (2nd-level management), in particular Vertrieb GmbH.

Standards and third-party initiatives: Energie AG expressly supports policy targets to expand the use of e-mobility and reduce the use of fossil fuels for transportation and is in favour of state and federal subsidies to incentivise the sustainable use of transport. Energie AG has not committed to complying with any standards related to the implementation of the e-mobility policy.

Stakeholder involvement: During the policy analysis and development process, the opinions and needs of the relevant organisations and their employees were gathered and incorporated when defining the strategic direction. The progress of the strategy actions, such as expanding the range of services for customers, was published at regular intervals on the company website for potentially affected stakeholders under Electromobility: Green Driving Made Easy with Energie AG.

Expansion of grid infrastructure

Climate change mitigation; energy

Contents: Netz OÖ GmbH considers itself an enabler of a sustainable energy future. By expanding and upgrading the low-, medium- and high-voltage grid as well as preparing the gas grid for the transportation of green hydrogen, energy will be reliably distributed in a future renewable energy system.

General objectives: Netz OÖ GmbH’s highest priority is to provide customers with a long-term and reliable energy supply. A total of EUR 2.0 billion will therefore be invested in projects across the different electricity grid voltage levels by 2035 in order to guarantee this.

Material impacts, risks and opportunities:

Also see ESRS 2, SBM-3 – Material impacts, risks and opportunities and their interaction with the strategy and business model.

Monitoring processes: Projects are monitored continuously to ensure that expansion projects can be implemented on time. Netz OÖ GmbH’s ambitious investment targets require optimal technical and economic conditions, but are also influenced greatly by the statutory and regulatory environment. However, protracted approval procedures – electricity grid projects are comparable to the expansion of power generation plants – could mean that the company’s internal targets and the Austrian national climate protection targets cannot be met on time.

Climate change mitigation and the use of renewable energy: The rapid expansion of – particularly decentralised – sustainable energy generation plants is also increasing the need for additional electricity grid infrastructure in order to distribute energy efficiently. The expansion of the electricity grid is therefore a fundamental prerequisite for both the company’s own initiatives and national climate change mitigation efforts. Netz OÖ GmbH is proactively working on the possible future expansion or reallocation of parts of the existing high-pressure gas grid to hydrogen. According to the AGGM H2 Roadmap, a significant proportion of the grid should be converted or expanded to pure hydrogen transport by 2030. In some cases, replacement grids will have to be constructed to supply existing natural gas customers. Currently, it is still unclear how the hydrogen grid will be designed in detail, particularly with regard to regulation and funding, as the national implementation of the EU gas and hydrogen package is still pending. Despite this, smaller quantities of hydrogen are already being fed into the grid in accordance with existing regulations.

Scope: The expansion of the grid infrastructure aims to ensure nationwide coverage in Austria, taking into account the increasing demand for electricity. At the same time, grid construction projects are being carried out on behalf of corporate and private customers. The high-level grid expansion projects that are currently planned are communicated via the Upper Austria 2032 Electricity Grid Masterplan (Stromnetzmasterplan OÖ 2032). This general overview produced by the major electricity grid operators active in Upper Austria is a voluntary communication and information initiative by the grid operators and the Province of Upper Austria.

Upstream and downstream value chain: The upstream value chain involves in particular procuring components for power lines, substations and transformer stations. The downstream value chain includes current grid operations and monitoring as well as regular inspections and repairs. In addition, the downstream value chain covers managing grid loads, ensuring grid stability and the ongoing integration of renewable energy.

Geographic areas: Netz OÖ GmbH’s supply area covers the majority of Upper Austria as well as parts of Lower Austria, Salzburg and Styria. Netz OÖ supplies close to 600,000 electricity and gas grid customers.

Responsibilities: The management of Netz OÖ GmbH (2nd-level management in the Group) is primarily responsible for implementing the general concept objectives.

Standards and third-party initiatives: Netz OÖ GmbH is aware of its social responsibility and demonstrates this by being certified in accordance with international standards, such as the “ONR 192500:2011” CSR certification in the area of sustainability.

Stakeholder involvement: Stakeholders are informed of the current status of ongoing electricity supply projects through a range of communication channels. Separate web pages containing the most relevant project details have been created for the most important electricity supply projects (see, for example, Stromversorgung Zentralraum Oberösterreich – Hochspannungsblog); a podcast keeps listeners informed on the progress of substation projects (see Der HochspannungsPodcast). The guidelines for planning processes for determining the route of new high-voltage power lines were developed in 2017 in order to prevent conflicts with neighbouring residents during grid (expansion) projects – particularly in relation to the intended route of 110 kV high-voltage lines – and were applied for the first time as part of the Mühlviertel power supply project in 2017 and 2018. Emulating the proven route planning process in civil engineering, these guidelines assure that the objectively best possible route is identified from a broad interdisciplinary perspective on the basis of established fundamental principles.

Real estate policy

Climate change adaptation; climate change mitigation; energy

Contents: In the past 2023/2024 fiscal year, a real estate policy was adopted with a strong focus on sustainability in the area of building management.

General objectives: Increased energy efficiency and decarbonisation in real estate management are core strategic objectives (see E1-3).

Material impacts, risks and opportunities:

Also see ESRS 2, SBM-3 – Material impacts, risks and opportunities and their interaction with the strategy and business model.

Monitoring processes: A regular deviation analysis is used to check whether the defined sustainable building management actions are being implemented as planned, on time and with the expected potential for decarbonisation and energy savings.

Climate change mitigation: The sustainability objectives defined as part of the policy represent key elements of the real estate policy developed in the 2023/2024 fiscal year. The policy is therefore in line with European and national efforts to reduce greenhouse gases in the property sector. The real estate policy addresses this essential development in terms of climate change mitigation and lists specific actions to promote sustainable building management (see E1-3).

Climate change adaptation: the design of new sites is adapted to weather extremes such as flooding, earthquakes or extreme summer heat.

Energy efficiency: The policy sets targets that require a reduction in the use of energy in the construction and use of real estate and in energy consumption, as well as the more efficient use of energy. To this end, actions required to achieve the strategic targets have been defined until the 2027/2028 fiscal year (see E1-3).

Use of renewable energy: As part of the policy, the expansion of PV systems at the site of the managed properties is being addressed. The individual actions help to ensure that a higher proportion of sustainable electricity can be generated and consumed directly on site. In addition to actions that do not have a direct decarbonisation effect due to the electricity already being generated exclusively from sustainable energy sources, ongoing actions that have a direct decarbonisation effect are being implemented continuously, for example replacing heating systems.

Scope: The policy covers all buildings managed by the central property management organisation unit in Austria. This excludes the Waste Management Segment and the Czech Republic Segment, where separate sustainable building management initiatives are being implemented, and the Group’s power plant and grid infrastructure areas.

Upstream value chain: The purchase of raw materials and goods, the extraction of renewable resources and the acquisition of services are considered as part of the upstream value chain.

Downstream value chain: The installation of e-charging infrastructure at company locations, which can also be used by customers, is covered under Sustainable mobility and is intended to promote acceptance of this sustainable form of mobility and further increase the level of comfort for customers. This has an indirect decarbonisation effect.

Geographic area: The policy covers the buildings managed by the central property management organisation unit in Austria. This includes around 160 properties, most of which are located in Upper Austria and a few in Salzburg and Styria.

Responsibilities: Following the approval of the strategy project by the Management Board of Energie AG, the Real Estate Management department or the head of the department (3rd-level management) is responsible for the operational execution and implementation of the policy.

Standards and third-party initiatives: Energie AG expressly supports policy targets to expand the use of renewable energy and reduce the use of fossil fuels. The legal basis is in place at the European level – for example in the Fit for 55 legislative initiatives – and at the national level. Energie AG is guided by the Austrian Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology’s “klimaaktiv” (climate active) standards for new buildings, conversions and extensions. The minimum requirement for all new buildings was set at the silver building standard.

Stakeholder involvement: During the process of defining the actions to take, the opinions and needs of the affected organisations and future customers were proactively taken into account.

E1-3 – Actions and resources related to the climate concepts

Energie AG is taking a large number of specific provisions to meet its own sustainability ambitions. The most important of these provisions are listed in the following sub-sections. The formal basis for the different actions in the various business areas is made up primarily – but not exclusively – of the concepts and corporate strategies described above (see E1-2).

Renewable energy

Climate change mitigation; energy

The Austrian parliament has stipulated in the Renewable Energy Expansion Act that 100 per cent of total national electricity consumption is to be supplied from renewable energy sources by 2030. Energie AG expressly supports these policy targets for decarbonisation and – based on the concept for expanding renewable energy, see E1-2 – aims to make a significant contribution to achieving the national energy targets by driving forward its own electricity generation projects. However, to achieve this target, a broad alliance between business, the public and policymakers is required. Shortening or simplifying the EIA and individual authorisation procedures for energy generation plants is urgently required for this.

Contents: The significant increase in renewable electricity generation is therefore a key element of the strategic company objectives from the “LOOP” strategy and organisation project (see ESRS 2, SBM-1 – Strategy, business model and value chain). One area of focus is renewable primary energy sources such as water, sun and wind, with progress made on projects in all areas in the past 2023/2024 fiscal year. The pumped storage power plant project in Ebensee, a hydroelectric power plant project at the Traunfall, a wind power plant project in Kobernaußerwald and a PV and wind power plant project in Slovenia are currently the most notable electricity generation projects. In addition, other power generation projects – primarily in the PV sector – that also meet substantial sustainability requirements were implemented in the past fiscal year.

Scope, time horizons and progress:

Taxonomy-aligned actions for climate change mitigation with an indirect decarbonisation effect:

Energie AG and its project partners are planning a significant expansion of electricity generation from wind power in Kobernaußerwald. The construction of up to 19 wind turbines could increase the annual volume of electricity generated from sustainable wind power in the region by 250 GWh, or more than six times the current generation volume, by 2030. A 4.2 MW turbine is being added to the existing wind park in Trautmannsdorf Nord. The application for approval is scheduled to be submitted in the second half of the 2024/2025 fiscal year. The strategic market expansion into selected countries neighbouring Austria in the first half of the 2023/2024 fiscal year is evident in the wind power and PV project development company AAE Gamit in Slovenia, in which Energie AG holds a 29.4% stake. Over the next five years, the investors aim to develop a number of wind power and PV projects in Slovenia with a total peak output of over 180 MW. The project areas are located in the Primorska region in southern Slovenia close to the Adriatic coast and offer great potential in terms of the expected hours of wind and sunshine. The required wind measurement campaigns are currently in planning and initial biological surveys have already started on site. The increase in M&A activities with a focus on renewable electricity generation projects is becoming an increasing focus of business activities as a result of the “LOOP” strategy and organisation project (see E1-2). As these wind power projects are expansion projects not controlled by Energie AG, they will not be included in the electricity generation volumes reported in the Management report, in accordance with the requirements of the ESRS and the EU Taxonomy.

CO₂-free electricity generation from photovoltaics is the second key element in the expansion of renewable electricity. In the past fiscal year, a rooftop PV system in Ranshofen (1.46 MW_p) and a PV system on the site of a former ash landfill in Timelkam (1.15 MW_p) were put into operation. In Pischelsdorf, Upper Austria, Energie AG is planning to build an agricultural PV plant in co-operation with partners. With a total output of over 4.5 MW_p and more than 7,500 PV panels, this is the largest agricultural PV system on grassland and farmland in Upper Austria. Commissioning is scheduled for spring 2025. Another focus is on the installation of rooftop PV systems – both through on-site power purchase agreements for private customers and in the form of customised solutions for corporate customers. In partnership with Energie AG, for example, the existing rooftop PV system at an Upper Austrian industrial group has been expanded to roughly double its size (around 120,000 m²) since June 2024, meaning that 13.3 GWh can be generated annually starting from the scheduled commissioning the end of the 2024 calendar year. Further information on the PV services offered to customers is available under Climate change mitigation through sales. For PV expansion on company sites, please see Energy efficiency.

With an annual production volume of around 2.45 TWh (incl. procurement rights), hydroelectric power is Energie AG’s most important generation technology. The construction of the Ebensee pumped-storage power plant is currently progressing rapidly, meaning that another key energy transition project is gradually becoming a reality. In February 2024, work on drilling the tunnel began. Five months later, the 460 metre long access tunnel was completed, allowing access to the cavern. In February 2024, work on drilling the tunnel began. Five months later, the 460 metre long access tunnel was completed, allowing access to the cavern. The construction period of the Ebensee pumped-storage power plant alone is around four years, with commissioning scheduled for the end of 2027. With an investment of around EUR 450.0 million, this is the largest single project in the history of Energie AG and will also contribute significantly to security of supply by providing valuable flexibility. This is made possible by the ability to store large amounts of energy and make it available at a later point in time when there is a corresponding demand for energy (see also S4 Consumers and end users, Security of supply and waste management). Further hydroelectric power plant projects were also systematically advanced in accordance with the generation strategy in the 2023/2024 fiscal year. For instance, the planned new construction of the Weißenbach power plant(electricity generation volume of 6.9 GWh p.a.) has already been approved under water and energy law. The EIA procedure for the planned construction of a new replacement plant at Traunfall (electricity generation volume of 115.4 GWh p.a.) was negotiated in mid-October 2024.

Transforming the energy system requires a comprehensive approach and consequently the integration of all renewable electricity generation technologies. For this reason, Energie AG is increasingly focusing on innovative hydrogen generation projects in addition to using biomass as a primary energy source. By participating in research projects, entering into strategic partnerships and building up internal staff within a newly created “hydrogen team” in the past 2023/2024 fiscal year, Energie AG aims to actively position itself on the hydrogen market.

The integration of volatile decentralised electricity generation systems and flexible consumer systems is particularly important. Energie AG is also working on battery storage technology in order to provide flexible capacity at short notice and thereby meet the requirements of an increasingly decarbonised energy system. In the 2023/2024 fiscal year, staffing arrangements were made to begin planning and piloting battery energy storage systems.

Renewable heat generation

Climate change mitigation; energy

Overall successful energy transition will also require a change in heat generation where fossil energy sources are replaced by sustainable energy sources.

Contents: Energie AG is therefore promoting the increased use of biogenic fuels instead of fossil fuels for generating heat. The policy of densification and optimisation of the existing district heating networks will therefore be continued. The main focus here is on the use of biomass and utilising industrial waste heat and process heat. Over the next ten years, investments of more than EUR 200 million are planned in the area of sustainable heat generation, with the actual amount depending on future construction costs, the subsidy conditions and the rate at which heat supply contracts are concluded.

Scope, time horizons and progress:

Sustainable district heating generation with a direct decarbonisation effect:

For many years, Energie AG has been taking action to gradually decarbonise heat generation. As part of the “Future initiative electricity and heat supply Wels” project, the climate-friendly and resource-efficient expansion of heat supply was expanded for the city of Wels in the form of waste heat utilisation via the local waste incineration plant (WAV). In this way, heat extraction can be gradually increased from around 180 GWh per year (in the comparative 2020/2021 fiscal year) to around 390 GWh by 2030, which is more than double. In the 2021/2022 fiscal year, heat extraction by WAV for the district heating network totalled 243 GWh. By commissioning the second large district heating network, heat extraction was increased to 283 GWh in the 2022/2023 fiscal year. In the 2023/2024 fiscal year, this amounted to 285 GWh. Switching to district heating can save up to 2,280 kg of CO₂ for the average consumption of a two-person household.

The increased use of biogenic fuels, primarily biomass, also provides significant leverage for decarbonisation. The installation of biomass boilers as part of district heating network optimisations or expansions not only increases the relative proportion of renewable energy sources used for heat generation, but also partially substitutes natural gas as a primary energy source. Examples of this include commissioning an 800-kW biomass boiler at the Czech Group company Energie AG Teplo Vimperk s.r.o. in December 2023 and the construction of a 2.5-MW biomass boiler in Freistadt by September 2025, with the expansion of the district heating network there scheduled to be completed in the 2024/2025 fiscal year. A number of other district heating projects are currently in the planning and implementation phase. For example, a biomass heating plant with around 5 MW is being built at the location in Riedersbach. The target is to largely replace the current gas consumption for the district heating supply with the new plant and thereby make a material contribution to the decarbonisation of energy generation. Construction started in September 2024 and the project is scheduled to go into operation in summer 2025. The expansion of the district heating network in Bad Schallerbach is scheduled for completion in 2027. The district heating network expansions in Bad Ischl and Gallneukirchen are scheduled to be completed by 2028.

Erzeugung GmbH’s research activities focus on technical and economic developments in the area of generation, expanding the diversity of renewable energy sources and ecological development. Increasingly, the focus is on the efficient use of primary energy through the targeted use and development of new and innovative technologies in concrete research projects.

Climate change mitigation through sales

Climate change mitigation; energy

Contents: Energie AG aims to provide its private and corporate customers with the best possible support when it comes to expanding environmentally friendly energy systems and is therefore focusing on expanding its own range of sustainable products and services. The aim is to gradually reduce the use of fossil fuels – particularly in heat supply.

Scope, time horizons and progress:

Renewable heat sales with a direct decarbonisation effect:

In addition to guaranteeing a secure and long-term heat supply, Energie AG’s strategic focus is on sustainability. A central lever in this regard is the expansion of the district heating network (see Renewable heat generation), which should enable customers to switch from existing gas and oil heating systems to much more environmentally friendly district heating. Following the successful completion of the expansion of district heating in the 2024/2025 fiscal year, an additional 6 GWh of sustainable heat will be sold in Freistadt each year. This corresponds to a tripling of previous volumes. The district heating project in Bad Ischl is also progressing and is proceeding according to plan. Since September 2019, the “Raus aus Öl” (away from oil) campaign has also contributed to the substitution of fossil fuels in the heating sector and has been extended until after the end of the fiscal year on 30 September 2024. In the 2023 calendar year, Vertrieb GmbH funded a total of 1,129 heat pumps, an increase of 39.7% compared to the previous year (808). Since 2020, the number of subsidised heat pumps has increased almost tenfold.

Company-specific performance indicator

Additionally, Vertrieb GmbH offers webinars for corporate customers to advertise and promote the use of sustainable energy technologies, such as industrial heat pumps. Vertrieb GmbH is also working to continuously replace fossil-fuelled on-site heat purchase agreement systems with decarbonised systems. In the 2023/2024 fiscal year, the contractually installed capacity of fossil-fuelled on-site heat purchase agreement systems was reduced by 2.5 MW, while the capacity of decarbonised systems was increased by 2.9 MW. Vertrieb GmbH also offers a CO₂-reduced gas product, which contains biogas from the biogas plant in Engerwitzdorf. The biomethane plant in Engerwitzdorf supplied around 11.2 GWh (previous year: 12.0 GWh) of renewable gas (biomethane) into the grid in the 2023/2024 fiscal year.

Renewable electricity sales with an indirect decarbonisation effect:

Vertrieb GmbH offers its customers CO₂-free electricity labelling for residential and commercial customers, with 100% renewable energy sources used for the electricity labelling. Additionally, Energie AG Oberösterreich Öko GmbH is supplying municipal public and business customers with electricity that is certified with the Austrian Ecolabel UZ46. The Ecolabel distinguishes tariff models and products offered by green electricity traders who fully source their electricity from renewable energy sources and conform with transparent, clearly defined requirements and criteria. The following presentations of the energy mix of the product label “OÖ Wasserkraft” (Upper Austria hydroelectric power) and the product label “OÖ Ökostrom” (Upper Austria green electricity) of the Vertrieb GmbH relate to the 2023 calendar year and illustrate the strong focus on generating electricity from sustainable hydroelectric power. With its “Solar Sorglos“ (Solar Carefree) and “Solar Sorglos Business” (Solar Carefree Business) products, Vertrieb GmbH also has two complete PV products for private and commercial customers.

In the business and industrial sectors, customers can choose from on-site PV power purchase agreements that enable them to benefit from the advantages of environmentally friendly PV electricity generation without having to finance the construction of the system or take care of its operation. Vertrieb GmbH is operating a total of 76 on-site PV PPAs for customers (previous year: 74) with an output of around 12.6 MWp (previous year: 12.3 MWp) on the roofs of companies in Austria. Additional PV plants are currently under construction at customers’ premises under on-site power purchase agreements.

Fuel mix disclosure

Energy mix 01-2023 to 12-2023 Energie AG Oberösterreich Vertrieb GmbH

Product disclosure

Product “Hydroelectric power” 01-2023 to 12-2023 Energie AG Oberösterreich Vertrieb GmbH

Product disclosure

Product “Green electricity – Basic” 01-2023 to 12-2023 Energie AG Oberösterreich Vertrieb GmbH

Sustainable mobility

Climate change mitigation; energy

Broken down by sector, the transport sector emits the second most greenhouse gases in Austria. Decarbonising the transport sector is therefore one of the most crucial elements of the energy transition. Energie AG is committed to enabling a future of sustainable mobility and has launched an action programme in this regard.

Contents: Energie AG has been engaged in the field of e-mobility for over three decades and has a wide range of services to offer its customers (see S4 Consumers and end users, E-mobility solutions for customers). The action programme involves expanding the charging infrastructure even more rapidly, extending services for customers and switching to electric vehicles within the Group. The conversion of the company’s internal vehicle fleet is particularly relevant as a direct decarbonisation lever at the Scope 1 level.

Energie AG is confident that these customer-centred actions will lead to even greater acceptance of sustainable mobility and an increase in comfort when using them. Indirectly, this – as well as legal supply restrictions (Regulation (EU) 2019/631) – is expected to result in a significant increase in electrically powered vehicles. To achieve this, specific organisational, human resources and procurement-related expansion targets and associated actions have been defined.

Scope:

Actions with a direct decarbonisation effect:

The process of electrifying the company’s own car fleet in Austria is being driven forward. In the past fiscal year, another 22 conventionally powered cars were replaced by electric cars. This increased the number of electric cars to 98 as of 30 September 2024. This is almost twice as much as in the previous three years. The proportion of electric cars in the total vehicle fleet increased to 45.4% (previous year: 38.2%). At the end of the 2023/2024 fiscal year, 177 charging points were installed at the company locations managed by the Real Estate Management department, which are used by employees to charge company and private electric vehicles as well as by customers to charge their private cars. In the Czech Republic, the number of electric company vehicles and the associated expansion of the charging infrastructure at company locations is also steadily increasing – most recently, charging stations were installed at the company locations in České Budějovice, Kolín and Szczecin.

Around 235 of the Waste Management Segment’s fleet of 270 lorries have been running on the biogenic fuel Hydrotreated Vegetable Oil (HVO) since the second half of the 2023/2024 fiscal year. This is produced from renewable raw materials as well as waste and residual fats and no new carbon is released during combustion. Around 80% of CO₂ emissions can be saved with each conversion. In total, this results in an annual emissions saving potential of 10,000 tonnes of CO₂. In addition, a total of six electric lorries in the Waste Management Segment contribute to the further decarbonisation of the Group’s vehicle fleet.

In addition to switching to sustainably fuelled vehicles, Energie AG supports the use of public transport. Since 1 November 2023, employees have been granted a financial subsidy of 80% of the Upper Austrian regional “Klimaticket” rail pass. This will provide an incentive to move away from fossil-fuelled cars and result in a positive decarbonisation effect at Scope 3 level. As of 30 September 2024, 356 employees had been granted a subsidy.

Taxonomy-aligned actions for climate change mitigation with an indirect decarbonisation effect:

In the “LOOP” strategy and organisation project, electrifying transport was defined as a very important target. This is to be achieved by installing and operating charging points. The focus is on the installation of charging options for electric vehicles in private homes, at work, for vehicle fleets and in public areas. 100% of the electricity purchased from Energie AG’s charging points in Austria is generated from renewable energy sources, where separate metering points exist. This allows users to drive without any CO₂ emissions, which in turn reduces dependence on fossil fuels in the mobility sector.

In the past 2023/2024 fiscal year, the number of charging points operated by Vertrieb GmbH increased to 1,268 (previous year 904). With regard to public charging infrastructure, examples include the expansion of a fast-charging facility in Liezen and the construction of fast-charging stations in Gosau and Seewalchen. As of 30 September 2024, the number of publicly operated charging points was 648 (previous year 469). Expanding the range of e-mobility services (see S4 Consumers and end users, E-mobility solutions for customers) for Energie AG customers underpins the company’s wide-ranging efforts in this area.

Time horizon and progress: The increase in the number of employees to achieve the target was partly achieved in the 2023/2024 fiscal year, with a long-term requirement for skilled employees also being set for 2035. By using biogenic fuels for the truck fleet in the Waste Management Segment and by partially converting the car fleet to electric vehicles, two of the planned actions were completed by 30 September 2024.

Electricity grid expansion

Climate change mitigation; energy

A large number of grid infrastructure interventions are required to achieve the comprehensive transformation of the energy system – specifically the increasing use of electricity in the mobility, heating and industrial sectors as well as the integration of increasingly volatile and decentralised electricity generation. Netz OÖ GmbH’s extensive project portfolio is designed to provide a sustainable energy future while maintaining security of supply through the expansion and upgrading of power lines at low, medium and high voltage levels.

Contents: The regional “Electricity Grid Master Plan Upper Austria 2032” includes a total of 19 projects by Netz OÖ GmbH, which are due to be implemented by 2032 and all of which are intended to contribute to the sustainability objectives. Some of the most notable electricity supply projects that are either currently being implemented or planned are the Central Region Upper Austria Electricity Supply project to ensure that the increasing power requirements and security of supply are sustainably secured and the establishment of an efficient 110-kV grid connection for the entire Mühlviertel region.

Scope, time horizons and progress:

Taxonomy-aligned actions for grid expansion with an indirect decarbonisation effect:

A total of eight projects from the “Electricity Grid Master Plan Upper Austria 2032” – including the 110-kV line projects in Alm and Kremstal and in Pramtal-Süd – have been completed in the past few years. Other electricity supply projects are currently in the planning or authorisation phases and/or in the construction or implementation phases.

In the 2023/2024 fiscal year, the electricity grid projects in the planning and implementation phase progressed as expected. The expansion of the existing 110-kV substation to support the grid in Wagenham and the construction of a 110/30-kV substation in Rottenbach are scheduled to be completed in the 2024/2025 fiscal year. In March 2024, work began on the replacement construction of the 220/30-kV grid support in Klaus, with this project scheduled to be completed in 2027.

In light of the expected massive expansion of e-mobility and decentralised systems for electricity generation from renewable sources, the low and medium voltage grids will also have to be expanded in the years ahead. As of 30 September 2024, 72,800 PV plants with an approximate installed capacity of 1,300 MW were connected to the Netz OÖ GmbH electricity grid (previous year: 61,700 PV plants, approx. 1,014 MW). The increasingly decentralised organisation is also reflected in the opportunity available since 2021 for different actors to participate in energy communities. Since April 2024, electricity grid customers have also had the option of participating in multiple energy communities. In July 2024, Netz OÖ GmbH exceeded the milestone of 10,000 participants joining one of the energy communities in its supply area. At the end of the 2023/2024 fiscal year, the number of energy communities in the Group’s own supply area stood at over 1,000 with more than 15,000 participants.

Energy efficiency

Climate change mitigation; energy

Contents: Energie AG aims to fulfil its role as a responsible and environmentally conscious company by continuously implementing energy efficiency initiatives. The objective is to use energy as efficiently as possible in the company’s internal operations in order to conserve resources and minimise emissions. Customers will also receive support in switching to energy-saving technologies.

Scope, time horizons and progress:

Taxonomy-aligned climate mitigation actions relating to sustainable building management with a direct decarbonisation effect:

The relocation of Netz OÖ GmbH to the PowerTower extension in Linz has significantly reduced the company’s CO₂ emissions. Calculations for the past 2023/2024 fiscal year showed that in the first year after moving into the new company headquarters, heating requirements were reduced by 95% compared to the previous company building and CO₂ emissions were reduced by 89% in the period from 1 October 2022 to 30 September 2023. The relocation of Netz OÖ GmbH to the PowerTower extension in Linz has significantly reduced the company’s CO₂ emissions. In the past 2023/2024 fiscal year, additional climate change mitigation initiatives with a decarbonisation effect were implemented by replacing the oil heating system at the company site in Niederwaldkirchen and by replacing the gas heating systems at the company sites in České Budějovice and Rakovnik with heat pumps.

Taxonomy-eligible actions for climate change mitigation relating to sustainable building management with an indirect decarbonisation effect:

Due to the creation of energy certificates for each property in the 2022/2023 fiscal year, the Taxonomy alignment of several properties was able to be confirmed. Energy monitoring reports were created on the basis of numerator values, which give information on the current CO₂ footprint of the existing property portfolio. These CO₂ evaluations have been created annually for the entire property portfolio since the 2020/2021 fiscal year and are the basis for various actions that will be taken towards sustainability over the next few years. One of these actions involves a full switch to LED lighting at the PowerTower Linz, which will continue in the 2023/2024 fiscal year and be completed in the 2024/2025 fiscal year. The switch to LED lighting was made at the locations in Engelhartszell, Bad Leonfelden and Gallneukirchen in the 2023/2024 fiscal year. The switch to LED lighting is also being continually pursued at Umwelt Service GmbH’s administrative sites. This enables electricity savings at the Redlham, Steyr and Salzburg sites. At the Redlham site, the potential electricity savings amount to around 60,000 kWh per year. Renovation work in Gmunden and Steyr also contributed to an increase in energy efficiency in the 2023/2024 fiscal year. Based on the real estate policy drawn up in the past 2023/2024 fiscal year(see Real estate policy), a number of energy efficiency actions were defined for the coming fiscal years and existing building management measures were expanded.

In the interest of a sustainable and resource-optimised building, all larger new buildings, conversions and extensions of Energie AG Group in Austria (with the exception of the Waste Management Segment) have been made to comply with the “klimaaktiv” building standards (climate active building standards) since 2020/2021 fiscal year. Modern energy concepts for the various sites are planned and implemented in addition to Energie AG proactively exercising operator responsibility in accordance with ÖNORM B1301 (property and building safety). The new PowerTower extension in Linz has been recognised as Platinum standard, the highest award in the German Sustainable Building Council system (DNGB) of the Austrian Society for Sustainable Real Estate (ÖGNI). The construction project for PowerService Gmunden was planned according to the “klimaaktiv” standards, the handover took place in November 2023. The focus on sustainability is evident for example in the installation of vehicle charging stations and a PV system.

With regard to own electricity consumption, a total of 22 PV systems with an output capacity of over 430 kW_p have been installed on numerous Czech administrative and operational buildings since the beginning of the 2023 calendar year. In the past fiscal year, a total of four PV systems with an output capacity of 300 kWp were installed at the company’s locations in Austria. As of 30 September 2024, administration buildings in Austria owned by Energie AG (with the exception of the Waste Management Segment) had eleven PV systems (previous year: seven) with an output of around 861 kW_p (previous year: 545 kW_p)and an average yearly production of 861 MWh installed on their roofs (previous year: 550 MWh). These PV systems have an approximate module surface of 3,800 m² (previous year: 3,200 m²). In the 2023/2024 fiscal year, new PV systems were added at company locations in Schalchen and Waldneukirchen. A further nine new systems with 730 kW_p bottleneck capacity are planned between now and the year 2027. In the Waste Management Segment, a new photovoltaic plant was installed on the roofs of the production buildings at the Timelkam site in April 2024. The plant, which covers an area of 274 m² and is equipped with 633 PV panels, has an output of around 260 kW_p. The PV plant allows around 30% of the location’s electricity requirements to be covered by PV power.

Energy efficiency initiatives for customers with an indirect decarbonisation effect

The “Household appliance replacement” campaign to encourage the use of modern, energy-saving household appliances has been ongoing for many years and has now been extended until 28 February 2025. In 2023, the campaign was reissued to include a repair voucher. A total of 3,080 appliances were replaced with efficient new appliances, repaired or rented as part of the campaign in the 2023 calendar year – almost three times as many as in 2022 (1,041). The subsidy from Vertrieb GmbH amounts to up to EUR 100.00 per appliance and is processed exclusively by participating partner companies of Energie AG.

In the 2023/2024 fiscal year, some 21,300 free LED lights (previous year: 13,000) were distributed to customers as part of the Energy Saving Trade Fair in Wels. Over 5,000 LED lamps were also distributed as part of the regional tour in the summer of 2024, which also contributed to avoiding the use of energy-intensive lighting (previous year: 0). In addition to the “Raus aus Öl” (Away from oil) promotional campaign to encourage customers to switch to heat pumps (see Climate change mitigation through sales), Vertrieb GmbH supports its customers in switching to sustainable and energy-efficient heating systems by providing advice, making economical and technological comparisons of systems, providing information on subsidies and disposing of oil tanks. Depending on the specific situation, Energie AG can offer subsidies of up to EUR 1,150.00 per system replacement. In addition, efficient heating systems are being promoted, e.g. in the form of on-site power purchase agreements for climate-friendly heating systems or connections to the district heating network.

Energie AG’s efforts in the area of energy efficiency are also demonstrated by the option to exchange points earned in the Energie AG customer club for energy-saving products and services.

As a 100% subsidiary of Vertrieb GmbH, Institut für Energieausweis GmbH (IfEA) offers a wide range of other energy services for individuals and companies that seek to promote a sustainable and conscious consumption of energy and enable customers to benefit from easily accessible high-quality services. Energy performance certificates, thermograms and blower door tests (differential pressure measuring method) are the most common services offered to individuals. The IfEA supports businesses of all sizes on the road to greater sustainability and resource-efficiency by offering energy audits for large companies, energy advice for small and medium-sized companies (SMEs), CO₂ footprint analyses, load profile analyses for electricity and natural gas, optimisation concepts and the ZukunftsFIT check for properties. IfEA has recently also been focussing increasingly on professional partnerships to be able to provide customers with the best possible advice on energy efficiency and subsidies.

Wertstatt 8 GmbH, a wholly owned subsidiary of Energie AG, is currently in the development phase of an AI-supported platform that will provide people with advice on tracking their CO₂ footprint and making sustainable purchasing decisions.