Evaluation of the Industrial Transformation funding programme in Austria

Client

Austrian Federal Ministry for Economic Affairs, Energy and Tourism (BMWET)

Year

2026

Download PDF

How can energy-intensive industrial processes be made climate-friendly whilst at the same time safeguarding competitiveness and production sites? Through the Industrial Transformation funding programme, Austria aims to drive forward industrial decarbonisation. Prognos has evaluated the programme’s impacts and how it operates.

Positive impacts on emissions and the local economy

The Industrial Transformation funding programme specifically supports energy-intensive industrial companies in transforming their production processes. The aim is to facilitate investment in climate-friendly technologies and thereby contribute to achieving climate neutrality in Austria by 2040.

The analysis shows that the programme is well-suited to making a substantial contribution to industrial decarbonisation in Austria.

In total, there were four funded projects out of seven applications submitted in the 2025 funding round:

  • 7.3 million tonnes of CO₂ equivalent in expected emissions reductions over ten years of operation
  • an average funding efficiency of 34 euros per tonne of CO₂e avoided
  • a funding volume of around 247 million euros, compared with the approximately 457 million euros originally applied for
  • a broad range of decarbonisation technologies, from energy efficiency measures and electrification to CCS and CCU technologies

The evaluation shows that the funded projects not only promise significant greenhouse gas reductions but can also generate positive economic effects. It also underlines the programme’s importance as a targeted complement to the European Emissions Trading Scheme and to the existing Austrian funding landscape for industrial transformation.

Our approach

For the evaluation, Prognos analysed the two funding rounds of the programme in 2025. The study examined the expected direct and indirect impacts of the funded projects, as well as the funding efficiency and the suitability of the instrument compared with alternative funding approaches. As the projects are still ongoing, the study should be regarded as an early assessment of effectiveness and, at the same time, as a basis for the further development of the evaluation design.

Links and downloads

To the study (PDF, in German)

Further information on the BMWET website (in German)

Project team: Dr Fabian Muralter, Dr Kirsten Kubin, Dr Stephan Heinrich, Sebastian Phadt

Last updated: 07.08.2026

Do you have questions?

Your contact at Prognos

Dr Fabian Muralter

Project Manager

View profile

Dr Stephan Heinrich

Principal

View profile

More studies & projects on this topic

Policy scenarios for the 2025-2027 greenhouse gas projections

ongoing
| Project

Prognos and its partners support the preparation of the German government's 2025 to 2027 greenhouse gas projection reports.

Accompanying the Circular Cities and Regions Initiative (CCRI)

ongoing
| Project

The CCRI focuses on the implementation of a circular economy in European cities and regions. Prognos is supporting the initiative as a project partner in the associated Coordination and Support Office.

Socioeconomic scenarios for Switzerland

2026
| Project

What will Switzerland look like in the future? A welfare state in a fair world or an energy guzzler in fortress Europe? We examined the potential impacts of different scenarios on greenhouse gas emissions.

Design and implementation of the Resilience Expo

ongoing
| Project

Prognos is supporting the North Rhine-Westphalian Ministry of the Environment in organising, implementing and establishing the world's first trade exhibition for the climate adaptation industry.

Occupational safety in the context of climate change

2026
| Project

A single heat day costs the German economy 431 million euros. Our study for the BMAS examines how preventive, climate-change-friendly occupational safety measures can help to limit the damage.

Austria Transport Forecast 2050

ongoing
| Project

The transport forecast provides the technical basis for Austria’s strategic transport planning. Together with its partners, Prognos is responsible for designing and calculating the baseline forecast, as well as additional supporting scenarios for passenger and freight transport.

The potential for decarbonisation in thermal waste treatment through CO₂ capture technologies

ongoing
| Project

Prognos is assessing the potential for decarbonising thermal waste treatment through the use of resource-saving and energy-efficient CO₂ capture and processing technologies.

Evaluation of the Climate Protection Programme

2026
| Project

How effective are the measures proposed by Germany’s federal ministries for the upcoming climate protection programme? Prognos and its partners examined the feasibility of the planned climate protection measures and analysed their impact on the climate.

Network Klimaanpassung & Unternehmen.NRW (NKU)

ongoing
| Project

The network Klimaanpassung&Unternehmen.NRW (NKU) offers exchange, knowledge and market information on climate adaptation in North Rhine-Westphalia. Prognos is leading the network together with partners.

Annual Energy Transition Monitoring

ongoing
| Project

What is the status of the energy transition in Germany? Since 2012, Prognos has been monitoring the energy transition in Bavaria and Germany on behalf of the vbw.

About us

We combine economic research and strategy consulting for sustainable decisions in politics, business and society. Our robust data, precise analyses and scientifically based findings enable fact-based progress – financially independent, politically neutral. 

Learn more