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Eco-Innovation Country Profile

2022: Austria

Authors: Christina Kaltenegger, Andreas Niederl*

*JOANNEUM RESEARCH Forschungsgesellschaft mbH


Legal notice
The views expressed in this policy brief, as well as the information included in it, do not necessarily reflect the
opinion or position of the European Commission and in no way commit the institution.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /2

Table of Contents
One-page country profile summary .............................................................. 3

Executive summary ............................................................................................ 4

1.0 Introduction ...................................................................................................5

2.0 Circular economy developments.......................................................... 6


2.1 Circularity across the board (system) .......................................................................................................... 6

2.2 Focus on empowering consumers ............................................................................................................... 7

2.3 Focus on circularity in production processes and circular business


models .............................................................................................................................................................................. 8

3.0 Drivers and challenges to a circular economy ................................ 9


3.1 Drivers to a circular economy ........................................................................................................................... 9

3.2 Challenges to a circular economy ............................................................................................................... 10

4.0 Policy landscape towards a circular economy in Austria........... 10

5.0 Recovery and Resilience Plans ............................................................. 14

6.0 References.................................................................................................... 18

ANNEX I - Policy strategies and instruments addressing


circular economy and eco-innovations in Austria ....................... 20

ANNEX II - Eco-innovation performance overview ............................... 24

ANNEX III – Circular economy indicator performance


overview ....................................................................................................... 25
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /3

One-page country profile summary

Austria belongs to the Eco-Innovation Leaders group. Performance relative to the EU has increased over
time. Austria performs close to the EU average across the three circular economy (CE) dimensions.

Eco-Innovation Index Circular Economy performance


Sustainable
200 174
160 157 resource
148 149 153 157
137 145 145 management
150 150

137 140 140 137 138 140 141 142 136 143 100
100
50
50
0

0 Business
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Societal behaviour
operations

Relative to EU in 2013 Relative to EU in same year AT EU27

Indicator performance Policy aspects


Austria's relative strengths are in socio-economic Recently, various steps towards a circular economy have
outcomes, while its relative weaknesses are in eco- been taken and Austria published its first draft for a Circular
innovation activities. The strongest performing eco- Economy Strategy in December 2021. Its main objectives
innovation indicators are eco-innovation related to are to reduce the domestic material consumption, improve
academic publications and employment in environmental resource efficiency in the Austrian economy, raise the
protection and resource management activities. The utilisation rate of reusable materials, and minimise material
weakest performing eco-innovation indicators are the consumption of households. The strategy follows the
number of ISO 14001 certificates and eco-innovation framework of the Circular Economy Action Plan of the
related patents. European Union and aims to create a sustainable and
circular economy along the entire production and value
Austria's performance on CE indicators shows relative chain.
strength in business operations and relative weakness in
societal behaviours. The strongest performing CE indicators The Austrian Resilience and Recovery Plan was submitted in
are the number of EPR schemes and information readily April 2021. The overall objective of the plan is to support the
available that can help access finance for circular economy transformation of the Austrian economy and society
related activities. The weakest performing CE indicators are towards a greener and more digitalised system, while fixing
the number of enterprises involved in the repair of existing economical, ecological, and social weaknesses.
computers and personal and household goods, as well as Therefore, investments in education, research, economy,
the share of employees in the repair of computers and and sustainability are planned to fuel the economic and
personal and household goods. social recovery. An example directly related to circular
economy is the anticipated promotion of sorting facilities.
See Annex II and III for more details.

Eco-Innovation Index Country performance


(normalised score) Relative to EU in 2022 (EU=100)
Inputs 0.780 141.9
Activities 0.254 76.5
Outputs 0.641 155.1
Resource efficiency outcomes 0.464 127.0
Socio-economic outcomes 0.909 217.2
Circular economy indicators Country performance
(normalised score) Relative to EU in 2022 (EU=100)
Sustainable resource management 0.529 119.1
Societal behaviours 0.242 54.9
Business operations 0.509 135.4
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /4

Executive summary

Austria is a highly developed country with a large service sector and an industrialised and export-orientated
production sector. Environmental protection approaches are well established in national politics and have
been a permanent part of governmental programmes since the 1970s. Austria acts as one of the global
frontrunners in recycling and ranks sixth with respect to the Environmental Performance Indicator. The
Austrian production sector produces environmental goods and environmental technologies to a great
extent and has a strong international orientation with a high export share. Furthermore, Austria offers
fertile ground for green tech companies as two Green Clusters are located in the provinces of Styria and
Upper Austria. The Green Tech Cluster in Styria comprises global pioneers and frontrunners regarding
green tech and counts more than 260 partners, while the Cleantech cluster in Upper Austria unites more
than 250 cooperatives.

Although Austria is a strong location for green tech companies and shows major strengths regarding
recycling, environmental challenges such as air pollution and economic barriers with respect to circular
economy activities still remain. Austria’s economic environment is dominated by small scale enterprises
and faces challenges regarding the organisational framework and financial barriers when it comes to social
and economic transformation processes to a circular economy. Additionally, risks arisen from more than
two years of the COVID-19 pandemic, the unstable situation of international politics and developments,
and the rising prices all pose major challenges for Austrian companies and consumers.

Recently, various steps towards a circular economy have been taken, and Austria published its first draft
for a Circular Economy Strategy in December 2021. Its main objectives are to reduce the domestic material
consumption, improve resource efficiency in the Austrian economy, raise the utilisation rate of reusable
materials by +35 % by 2030, minimise material consumption of households by 10 % by 2030. The strategy
follows the framework of the Circular Economy Action Plan of the European Union and aims to create a
sustainable and circular economy along the entire production and value chain.

Establishing a holistic approach which does not consider economic and social aspects separately—but
rather understands the processes required for a transformation to a circular economy as a product of
social-technical and economic efforts and changes—is key to ensuring a sustainable transformation from
a “take-make-use-waste” system to a circular economy. The driving forces and reasons behind the
transformation are manifold. Not only is the goal of climate neutrality of the ecological, economic, and social
system to mitigate climate change a substantial driver, global political instability and uncertainty regarding
oil and gas supply additionally stress the need for the economic system to move in a direction with less use
of fossil resources. A circular economy also provides opportunities such as the creation of new jobs,
improvement of life quality, and attainment of prosperity. Challenges in establishing a circular economy
can be found in value choices of society and with respect to cost and regulatory barriers in particular.

The COVID-19 pandemic caused a decline in employment and national output in Austria, leading the
country to a recession. The Austrian Resilience and Recovery Plan was submitted in April 2021. Its overall
objective is to support the transformation of the Austrian economy and society towards a greener and
more digitalised system, while dealing with existing economical, ecological, and social weaknesses. On this
account, investments in education, research, economy, and sustainability are planned to fuel the economic
and social recovery. An example directly related to the circular economy is the promotion of sorting facilities
that is foreseen in the plan.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /5

1.0 Introduction

Austria’s economy is dominated by a large service sector, including trade and transport services,
healthcare, social services, and tourism. The production sector is highly industrialised and developed,
including machinery, vehicles, metals, food and beverage, chemicals, electronics, and wood and paper
products. The agricultural sector is small and declining but remains highly developed and productive.

The Environmental Goods and Services Sector (EGSS) in Austria is well established and of international
importance. In 2019, more than EUR 16.357 million of added value were generated by green tech, green
goods, and green services. Almost half of the generated added value relates to environmental services,
with the other half generated by environmental goods and environmental technologies. The environmental
production sector is highly cross-linked on an international level. In 2019, the export volume of
environmental goods and services accounted for EUR 16.800 million. Especially green technologies from
Austria are of relevance for international markets. A share of 76,2 % of the production value of
environmental technologies was exported in 2019, while the overall export share of all environmental
goods and services is 31,9 %.1

Austria has a long tradition of environmental policymaking. In the 1970s, environmental protection
approaches found their way into Austrian politics and have been a permanent part of the agenda for more
than 40 years. The success of Austrian environmental politics is reflected in various international rankings,
such as the Environmental Performance Indicator (EPI). Accordingly, in 2020, Austria ranked sixth among
180 countries. Austrian governments have implemented different strategies, papers, and platforms
regarding climate protection and sustainability in line with EU objectives and strategies in the past decades.
In 2021, the Austrian government published a draft for a Circular Economy Strategy for the first time, with
the objective to face environmental challenges by introducing a sustainable circular economic system. 2

While Austria is considered one of the global frontrunners in recycling, the main challenge of the
transformation towards a circular economy is to leverage this strong position and radically reduce primary
material inputs in production and cut down waste and emissions to nature during production. According
to EUROSTAT, the Circular Material Use Rate (CMU) in Austria accounted for 12,0 % of the used materials
and resources in the Austrian economy in 2020. Within the EU, Austria ranked tenth and the CMU is below
EU-average.3 Austria is on the way towards its transformation to a circular economy, but there is still a lot
of work to be done. Especially the lacking legal framework and the structure of the Austrian business
sector—with small and medium-sized enterprises (SMEs) being dominant—were considered the major
challenges in the past. With the Austrian Circular Economy Strategy and other strategies regarding the
biobased economy or waste management, some dedicated steps were taken.

The following chapters give a brief overview of the Austrian position regarding circular economy and its
efforts to speed up the transformation to a circular system. At first, in chapter 2, circular economy
developments across the system (i.e., regarding policy, enterprises and consumption) are examined.
Chapter 3 summarises selected drivers and challenges to a circular economy in Austria. Chapter 4 focuses

1
Statistik Austria. Environmental Goods and Services Sector (EGSS). Available at:
http://www.statistik.at/web_de/statistiken/energie_umwelt_innovation_mobilitaet/energie_und_umwelt/umwelt/umwelt
orientierte_produktion_und_dienstleistung/index.html, last accessed 23/05/2022.
2
Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (2021). Die
österreichische Kreislaufwirtschaft – Österreich auf dem Weg zu einer nachhaltigen und zirkulären Gesellschaft.
Available at https://www.bmk.gv.at/themen/klima_umwelt/abfall/Kreislaufwirtschaft/strategie.html, last accessed
17/05/2022.
3 EUROSTAT. Circular material use rate. Available at:
https://ec.europa.eu/eurostat/databrowser/view/cei_srm030/default/table?lang=en, last accessed 30/05
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /6

on the Austrian policy landscape with respect to circular economy, whereas the Circular Economy Strategy
and the Austrian Resilience and Recovery Plan are examined in more detail.

2.0 Circular economy developments

2.1 Circularity across the board (system)


Austria traditionally has one of the highest waste management and recycling rates across Europe. In 2019,
Austria recycled 58,2 % of its municipal waste, which represents the third-highest recycling rate in Europe.
Germany (with a rate of 66,7 % in 2019) ranking first and Slovenia second (with a rate of 59,2 %). The
timeline shows a stagnating trend in the recent past with the rate having reached its peak in 2019 since
2011.4 Despite this neutral development, Austrian recycling innovations are highly demanded on
international markets as they are known to provide holistic solutions. According to the Eurobarometer
20215, 67 % of Austrian SMEs undertake activities to minimise waste in supply and production, 65 % take
actions in order to save energy, 59 % to save materials, and 47 % state that they undertake recycling
activities, such as reusing material or waste within the company. 0,98 % of the Austrian value added in 2018
was generated in connection with circular economy activities. Hence, the Austrian share exceeded the EU-
average of 0,97 % slightly. The employment related to circular economy sectors accounted for 1,44 % of
the Austrian employment in 2018 (EU: 1,71 %).6

As per the Austrian Circularity Gap Report (2019), Austria reaches a circularity metric of 9,7 %, which equals
the global average7. According to the authors, the value of Austria’s circularity metric is remarkable,
especially for an industrialised, trading, and growing economy with a large portion of the resource
consumption originating from imports and ending up in anthropogenic stocks such as buildings,
infrastructure or machinery with decades of use ahead until they become available for reuse or recycling.
While Austria was one of the global frontrunners in recycling in the past, the real opportunity and necessity
now is to leverage this strong position and simultaneously radically reduce primary material inputs in
production as well as waste and emissions to nature.

For the first time, Austria’s current government programme 2020–20248 includes the aim to establish a
national circular economy strategy to reshape the non-sustainable, linear production model of society and
economy in line with the EU strategy. The draft of the Austrian circular economy strategy was published in
December 2021 and is based on extensive national preparations, the final version is planned to be
published in June 2022. Several existing or national programmes and strategic documents in the making
address the topic of circularity as well. In Austrian documents and strategies, thematic points of connection
can be found regarding the National Waste Prevention Programme, the Action Plan for Micro Plastics, the
Biodiversity Strategy, Austria’s Bioeconomy Strategy, the Austrian Waste Management Plan, the Austrian
Digital Action Plan, the Energy Research and Innovation Strategy, the Climate and Energy Strategy, the
Masterplan for Environmental Technologies (MUT), the Action Plan for Sustainable Public Procurement

4
EUROSTAT. Recycling rate of municipal waste. Available at:
https://ec.europa.eu/eurostat/databrowser/view/t2020_rt120/default/table?lang=en, last accessed 17/05/2022.
5
European Parlament (2021). Eurobarometer 2021. Available at: https://www.europarl.europa.eu/at-your-
service/de/be-heard/eurobarometer/spring-2021-survey, last accessed 30/05/2022.
6 EUROSTAT. Private investments, jobs and gross value added related to circular economy sectors. Available at:

https://ec.europa.eu/eurostat/web/products-datasets/-/cei_cie010, last accessed 14/06/2022.


7
Circle Economy and ARA (2019). The Circularity Gap Report – Closing the Circularity Gap in Austria. Available at
https://assets.website-files.com/5d26d80e8836af2d12ed1269/5dea427d0f2ed6527d4a2b33_Circularity-
compressed.pdf, last accessed 17/05/2022.
8
Federal Chancellery, Republic of Austria (2020). Out of a Sense of Responsibility for Austria. Government Programme
2020-2024. Available at: https://www.bundeskanzleramt.gv.at/en/federal-chancellery/the-austrian-federal-
government/government-documents.html, last accessed 30/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /7

(naBe), the National Energy und Climate Plan (ENCP), the Master Plan for Raw Materials, the Mobility Master
Plan, the Platform for Green Chemistry and the Strategy for Location Development.9

Circular Futures10 is the platform for the Austrian circular economy and represents a collaboration of
several umbrella organisations (Umweltdachverband, European Environmental Bureau, Reuse and Repair
Network Austria, Association Waste Consultants Austria) that support the transition to a circular economy
in politics and legislation. Their services include round tables, workshops, events, and the development of
background papers and information materials focussing on the necessary political and legal framework for
the transition to a circular economy. One of the main objectives of the platform is the promotion of a
progressive understanding of the circular economy with a holistic approach that includes economic as well
as social transformation processes required for the transition to a circular economy in Austria.

2.2 Focus on empowering consumers


In July 2021, the Austrian Trade Association published a survey 11 focusing on consumer behaviour with
respect to sustainability. According to the results, Austrian consumers keep sustainability especially in mind
when purchasing food (90 %), electrical devices (67 %), clothing (61 %), cosmetics (60 %), and furniture
(54 %). Less than half of the respondents consider sustainability in their purchasing decisions when they
buy toys (48 %). Furthermore, 44 % state that production conditions have gained in importance for them
since the onset of the COVID-19 pandemic.

Another recent survey12 by the Austrian Chamber of Labour states that sustainable consumption is an
important topic for Austrian consumers. According to the study, one in two consumers purchases organic
or fair-trade products. A third refuses to purchase specific products regularly due to ethical reasons. More
than half agree with measures like the ban of plastic bags. When purchasing large home appliances, also
more than 50 % of the consumers consider sustainability criteria and long-lasting appliances enjoy a high
approval rate. The same applies to the repair of devices: Way more than half of the consumers would pay
for the repair of their devices, such as dishwashers, washing machines, or dryers. The authors identify
problems especially when it comes to inconsistent seals of approval, partially missing labels of sustainable
production, or difficulties regarding reparations.

The Austrian Federal Ministry of Climate Action, Environment, Energy, Mobility, Innovation and Technology
supports the repair of electronic and electrical devices with up to 50 % of the repairing costs. The national
campaign is part of the National Circular Economy Strategy and provides subsidies from the
NextGenerationEU fund of EUR 130 million until 2026. The Ministry for Climate Action bears the incurred
costs up to EUR 200 per repair.

9
Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (2021). Die
österreichische Kreislaufwirtschaft – Österreich auf dem Weg zu einer nachhaltigen und zirkulären Gesellschaft.
Available at https://www.bmk.gv.at/themen/klima_umwelt/abfall/Kreislaufwirtschaft/strategie.html, last accessed
17/05/2022.
10 Circular Futures. Available at: https://www.circularfutures.at/ueber-uns/english-language-summary/, last accessed

20/05/2022.
11
Mindtake 360° Analytics and Insights on behalf of Handelsverband (2021). Consumer-Check zum Thema
Nachhaltigkeit. Available at:
https://www.handelsverband.at/fileadmin/content/images_publikationen/Studien/HV_Consumer-
Check_Nachhaltigkeit_2021.pdf, last accessed 20/05/2022.
12 Bürger, J. and Paulinger, G. (2022). Nachhaltiger Konsum – Potenziale und Hürden österreichischer Haushalte.

Available at: https://www.arbeiterkammer.at/nachhaltiger-konsum; last accessed 20/05/2022.


ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /8

2.3 Focus on circularity in production processes and circular business


models
Austrian enterprises viewed a circular system and thus business models with a focus on the circular
economy as an opportunity in the past. According to the latest survey on circular economy among
enterprises in Austria,13 65 % of the Austrian enterprises have already established or plan to establish
circular economy business models. The share of enterprises thinking that positioning themselves as
sustainable enterprises is important declined slightly in 2021 compared to 2019 and 2020. However, more
than 55 % consider the sustainability of their enterprise as relevant. Especially for large companies a good
position as a sustainable enterprise is considered highly important, while small enterprises have been
particularly affected by the developments caused by COVID-19 and the government measures to prevent
the virus from spreading. The Austrian Circular Economy Index (2021)14, which was compiled against the
background of this, decreased compared to 2020 and especially compared to 2019. Uncertainties caused
by the COVID-19 pandemic and the complexity of the legal framework can be seen as the main factors for
this negative development. Nevertheless, the share of enterprises that consider circular economy as an
opportunity increased, as did the willingness to invest in the circular economy.

The Austrian government supports domestic enterprises and institutions by different means of financial
funding for circular economy projects. Especially the RDI initiative for circular economy, which supports
innovative cooperative research projects, makes a significant contribution to national and European
strategies in sustainable development. The initiative promotes R&D projects concerning innovative circular
economy business models, use intensity of goods, residuals and recycling.15

The Circular Economy Forum Austria16 offers different services for enterprises to support the
implementation of the circular economy, such as talks by circular economy experts, circular innovation talks
with cross-sectoral and international companies and experts, circular innovation journeys to international
pioneers, circular innovation labs, a circular innovation academy and a circular innovation ecosystem map
where relevant initiatives, business models, and circular economy projects are mapped. The forum is an
initiative by the Bertalanffy Center in cooperation with Circular Futures, designaustria and respACT.

Additionally, different initiatives by local authorities, NGOs, universities, or private


enterprises working on resource use and efficiency contribute to the national
development towards a circular economy, considering economic and social
transformation processes. One best practice example is the company Reparatur- und
Service-Zentrum R.U.S.Z, which is a social business and a repair services provider.
R.U.S.Z is the best-known independent repair shop for electrical devices in the EU as
well as the biggest re-use centre for large household appliances in Austria.
Furthermore, the company is a competence centre for repair and re-use, including an
in-house R&D department. Until October 2020, R.U.S.Z organised a weekly repair café,

13 Altstoff Recycling Austria and GfK Austria (2021), Austrian Circular Economy Barometer. Available at:
https://www.ara.at/news/ara_circular_economy_barometer_2021_weckruf_zur_kreislaufwirtschaft, last accessed
17/05/2022.
14
Altstoff Recycling Austria and GfK Austria (2021), Austrian Circular Economy Barometer. Available at:
https://www.ara.at/news/ara_circular_economy_barometer_2021_weckruf_zur_kreislaufwirtschaft, last accessed
17/05/2022.
15
FFG. FTI-Initiative Kreislaufwirtschaft. Available at: https://www.ffg.at/2-ausschreibung-fti-kreislaufwirtschaft, last
accessed 20/05/2022.
16 Circular Economy Forum Austria. Available at: https://www.circulareconomyforum.at/ressourcen/, last accessed

20/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA /9

but had to stop their free support of consumers repairing their small devices by themselves due to COVID-
19. 17

3.0 Drivers and challenges to a circular economy

3.1 Drivers to a circular economy


There are many driving forces and reasons behind the transformation of the economy from a linear “take-
make-use-waste” model towards a circular and sustainable. Not only is the goal of climate neutrality of the
ecological, economic, and social system to mitigate climate change a substantial driver, global political
instability and uncertainties regarding oil and gas supply additionally stress the need for the economic
system to move in a direction with a reduced use of fossil resources. Moreover, a circular economy offers
possibilities, such as the creation of jobs or the improvement of life quality and prosperity. Challenges to
establishing a circular economy exist in value choices of society and with respect to cost and regulatory
barriers in particular.

Austria has a long history of environmental protection politics. Since the 1970s, when the nuclear plant in
Zwentendorf was built but never put into operation (due to a referendum against the background of
ecological concerns), environmental policy has been firmly established in Austrian politics. According to the
2020 Environmental Performance Index, Austria, ranking sixth worldwide, is considered among the most
advanced countries in terms of environmental policy. Considering that Austria ranked eighth in 2018,
Austria’s recent actions have driven the economy and society in the right direction.

Another driver towards the circular economy is the fertile ground for green companies in Austria that are
partly represented by different green clusters. The Green Tech Cluster in Styria is one of the global leaders
in green tech and brings approximately 260 partners and the expertise of more than 800 entrepreneurs
together.18 In April 2022, the Green Tech Cluster published its Green Tech Radar on Circular Companies as
an opportunity for the economy. Another green cluster offering a wide range of services is the Cleantech
Cluster as a platform for green technology and energy technology in Upper Austria, with one of its main
objectives being the realm of circular economy.19

Green Finance is another driving force for the circular economy. The Austrian government launched an
initiative that supports financial companies on their way towards climate neutrality. The Green Finance
Alliance is one of the first public initiatives worldwide that includes voluntary self-commitment of financial
companies and the compulsory fulfilment of criteria within the companies’ core business. 20

Furthermore, Austria is a well-established exporter of environmental goods. According to the latest report
on the Austrian Environmental Goods and Services Sector (EGSS), more than 195,500 jobs and a
production value of EUR 41.923 million were generated by the EGSS in 2019. 31,9 % of all environmental
goods and services were exported in 2019 with the green technology sector alone accounting to an export

17
Circular Futures Austria. Available at: https://www.circularfutures.at/best-practice/initiativen/, last accessed
17/05/2022.
18
Green Tech Cluster. Available at: https://www.greentech.at/standort-geschichte-des-valleys/, last accessed
23/05/2022.
19
Cleantech Cluster. Available at: https://www.cleantech-cluster.at/themenschwerpunkte/circular-economy-innovation,
last accessed 23/05/2022.
20 Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology. Green Finance.

Available at: https://www.bmk.gv.at/green-finance/alliance.html, last accessed 23/05/2022.


ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 10

share of 76,2 %, which highlights the competitiveness of the Austrian technology sector on international
markets.21

3.2 Challenges to a circular economy


Austria is one of the global frontrunners in recycling. Thus, the main challenge to moving towards a circular
economy is how to leverage this strong position and radically reduce primary material inputs and waste
and emissions during production.

Even though the consumption of material resources has declined in the recent past (2010–2018), the level
is still high and above EU average. The Domestic Material Consumption (DMC) per capita accounted for
19 tonnes in 2018 and hence 5 tonnes above the EU average. Austria’s material footprint (MF) in 2017
(33 tonnes per capita) also clearly exceeded the EU average (23 tonnes per capita). The use of land by
construction work has declined since 2010, yet the figure is still high.

The Austrian Circular Economy Index (2021)22 decreased compared to 2020 and especially compared to
2019 before the COVID-19 pandemic. Uncertainties caused by the pandemic and the complexity of the
legal framework in Austria were named as main challenges by the authors.

4.0 Policy landscape towards a circular economy in Austria

The draft of the National Circular Economy Strategy of Austria was published in December 2021 23. Its four
main strategic objectives are to:

1. Reduce the domestic material consumption


2. Improve resource efficiency in the Austrian economy
3. Raise the utilisation rate of reusable materials by +35 % by 2030
4. Reduce material consumption of households by -10 % by 2030

The framework of the national policy was prescribed by the EU Action Plan Circular Economy 2020. One of
the central elements of the Austrian National Circular Economy Strategy is the further development of
European and national legal instruments to improve circularity in Austria. Apart from market-oriented
instruments, supporting means for economy and society will be developed and implemented. The strategy
illustrates ways and options to improve consisting legal and organisational frameworks and instruments
based on EU guidelines. One key measure of the strategy is the R&D initiative, which supports cooperative
R&D projects and services with a focus on innovations for the circular economy, intensifying the use of
goods and raw materials, and recycling. The initiative support projects and services along the entire value
chain. The strategy aims to create frameworks for sustainable production and design, for sustainable
consumption and usage and for the establishment of the use of secondary raw materials as well as

21
Statistik Austria. Environmental Goods and Services Sector (EGSS). Available at:
http://www.statistik.at/web_de/statistiken/energie_umwelt_innovation_mobilitaet/energie_und_umwelt/umwelt/umwelt
orientierte_produktion_und_dienstleistung/index.html, last accessed 23/05/2022.
22
Altstoff Recycling Austria and GfK Austria (2021). Austrian Circular Economy Barometer. Available at:
https://www.ara.at/news/ara_circular_economy_barometer_2021_weckruf_zur_kreislaufwirtschaft, last accessed
17/05/2022.
23
Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (2021). Die
österreichische Kreislaufwirtschaft – Österreich auf dem Weg zu einer nachhaltigen und zirkulären Gesellschaft.
Available at: https://www.bmk.gv.at/themen/klima_umwelt/abfall/Kreislaufwirtschaft/strategie.html, last accessed
17/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 11

strengthening the market of secondary raw materials. The strategy focuses on seven relevant industries
which are considered to be essential for the success of establishing a circular economy.

Construction and building

According to the EU’s Circular Economy Action Plan, the construction sector has a significant impact on the
use of resources. It accounts for about 50 % of all extracted material and is responsible for over 35 % of
the EU’s total waste generation.24 In 2020, 14 % of the Austrian material footprint (MF) and 8 % of the
CO2 footprint were related to the construction sector.25 Against this background, the strategy contains the
following objectives:

 New buildings will be planned, tendered, and erected in a circular manner. The focus is on longevity,
modular construction, separability, and reusability of components and the use of the highest
possible share of sustainable materials and secondary construction materials.

 The useful life span of existing buildings increases on the basis of better maintenance and
restructuring. The focus of the renovation of buildings will be on high thermal quality and
separability and reusability of material. Furthermore, the share of sustainable material and
secondary raw material should increase.

 The material recycling of construction and demolition waste should increase, while separation
during demolition should improve, pollutants should be removed and recycling-oriented
renaturation, and recycling technologies and business models should be standard.

Mobility

One of the main objectives of Austria’s Mobility Master Plan 203026 is to shift unavoidable traffic towards
climate-friendly means of transport, such as bicycle, bus, and railway, and thus to improve the
corresponding infrastructure. While the need for mineral raw materials is considered to decrease in the
long run, electrification of traffic will lead to an increased need of metal raw materials. Hence, the recycling
infrastructure has to be extended and modernised. Car-sharing concepts could further reduce the number
of vehicles required. The remaining demand for vehicles should be produced in a sustainable manner and
on the basis of a value chain which increasingly integrates the use of sustainable materials, recycling, repair,
and resource recovery of components. The main objectives of the Austrian Circular Economy Strategy with
respect to mobility are the following:

 The reduction of the transport volume due to measures of the circular economy should be an
outcome.

 There should be ambitions regarding the battery guideline as accompanying condition of the
electrification of traffic. A sustainable and safe circular economy with respect to all kinds of batteries
should be in focus, as well as due diligence obligations along the whole value chain of batteries.

24
European Commission (2020). A new Circular Economy Action Plan. Available at: https://eur-lex.europa.eu/legal-
content/EN/TXT/?qid=1583933814386&uri=COM:2020:98:FIN, last accessed 18/05/2022.
25
Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology and Ministry of
Agriculture, Regions and Tourism (2020). Ressourcennutzung in Österreich 2020, Band 3. Available at:
https://www.bmk.gv.at/themen/klima_umwelt/nachhaltigkeit/ressourceneffizienz/publikationen/bericht2020.html, last
accessed 18/05/2022.
26 Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology and Ministry of

Agriculture, Regions and Tourism (2021). Austria’s 2030 Mobility Master Plan – The new climate action framework for
the transport sector: sustainable – resilient – digital. Available at:
https://www.bmk.gv.at/en/topics/mobility/mobilitymasterplan2030.html, last accessed: 30/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 12

 The development of eco-friendly, reusable and recyclable materials, components and holistic
systems for vehicles or aircraft and their required energy supply and infrastructure should improve.

 Shared mobility should increase efficiency, in some cases due to digital support.

Waste management

An integrative waste management system is a substantial part of a successful circular economy. The
national waste management must communicate its requirements to the upstream actors of the value
creation cycle and produce secondary raw materials that meet the quality criteria of the manufacturing
industry. A circular economy does not only include the reuse of material but also the elimination of waste.
A professional disposal of waste (which is not recyclable due to technical, legal, or ecological reasons) must
take place in a sustainable manner that takes proximity into account as well as energy consumption of
transport, construction, and operation. This is why the exchange of information between producers and
waste management actors is of high priority. Against this background, the following main objectives are
specified in the strategy:

 High-quality secondary raw materials should be provided, while pollutants should be ejected.

 Structures and finance possibilities should be established in order to promote the re-use of
materials.

 The exchange of information between the actors along the value chain should be improved.

Biomass

The main goal of a bioeconomy is to avoid the use of fossil carbon in the energy and material industry. The
cascade use of biomass is an elementary component of establishing a bioeconomy and bears high
potential for increasing added value. Energetic and material aspects and protection objectives (such as
biodiversity, soil management, and defence of natural hazards) must be considered. The following
objectives are pursued by the strategy:

 Since the production of food and agricultural primary products takes place on limited land, the
efficiency of production should be increased, land should be secured, and overproduction and
waste should be reduced. Unavoidable residual material is to be utilised in a value-adding manner.

 The utilisation of wood as carbon storage should be enforced as long as carbon exists in a sufficient
amount and negative effects of carbon use on the environment are negligible. The reutilisation of
residuals, by-products, and waste should be promoted. Moreover, the energetic re-use after an
efficient and long operating period should be supported as well.

 Renewable raw materials which have not been utilised so far should be considered regarding their
possibilities and potentials. The inclusion of biomass from plants and residuals of agricultural and
forestry production can be an opportunity to improve added value in rural areas.

Textiles

The textiles industry is resource-intensive and thus predestined for high potential effects within a circular
economy system. The trend of fast fashion, which is currently dominating the clothing market, damages
the environment and climate. Quality improvement and an extended lifetime of textiles, the use of
sustainable materials, and re-using and recycling textiles are the main components of the foreseen
transformation of the textile industry in Austria. Public procurement represents a volume of up to
EUR 560 million a year with a huge potential in this area for improving sustainability standards. Against this
background, the following objectives are defined in the strategy:
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 13

 The product lifecycle and useful life of textiles should be extended by means of eco-friendly, low-
emission, and recyclable design. For this, the principles of green chemistry, the usage of recycled
fibres, and circular production processes should be taken into account.

 Supply and demand of reliably certified, sustainably produced and durable products should be
strengthened. Transparency regarding ecological and social production conditions along the whole
supply and production chain should be promoted.

 Business models that reduce overproduction and overconsumption, models that stimulate the
second-hand market or repair of clothes, and models that provide incentives for the production of
sustainable clothing as well as transparency of costs should be promoted and strengthened.

 The share of clothing made of recycled material should be increased by stimulating the demand of
public procurement, enterprises, and consumers. The collection, sorting and recycling of clothing
should be promoted as well.

 Positioning Austria as a frontrunner for circular, regenerative clothing, clothing innovations, and
technologies for the recycling of clothing and for sustainable services on the domestic and global
markets should be pushed.

Plastics and packaging

Plastics and packaging are an elementary requirement across most industries. They have unique and
manifold material characteristics and areas of application. At the same time, plastic waste finds its way to
our environment and affects the landscape, soil, water, flora, fauna, and humans. In Austria’s National
Circular Economy Strategy, recycling packaging and promoting optimised and reusable packaging is stated
as one main opportunity to establish a sustainable circular economy. The following objectives are specified
by the strategy:

 Plastics should be used in a more targeted manner and should remain in the utilisation cycle as
long as possible, considering economic and ecological aspects.

 Packaging material should also be circulated as long as possible.

 The impacts of plastic use on the environment should be reduced.

Electronics and ICT

Electronics and ICT are an elementary part of the national industry and society. Against the background of
the increasing trend to use electronic and electric devices, the accompanying increased demand for
resources has to be considered. To establish a sustainable and efficient electronic industry and a balanced
consumption of electronic devices, a cycle-oriented economy is required. The National Circular Economy
Strategy includes the following main objectives regarding the electronic industry:

 The durability and operating time of electronic and electric devices should be extended.

 The need for new electronic and electric devices should be reduced due to new business models
based on leasing or other services instead of purchasing.

 The recycling of electronic and electric devices should be strengthened.

The aim of the Circular Economy Strategy is to support the transformation of a linear economy with linear
business models to a sustainable circular economy. Measures in different fields of the Austrian economy
will be taken in order to support the transformation of society and the economy equally. The strategy lays
the foundation for a sustainable product policy, sustainable consumption, and the further establishment
and strengthening of markets for secondary raw materials. The circular processes along the whole value
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 14

chain which are promoted by the Austrian strategy bring a range of opportunities and benefits for the
economy, the society as well as the environment.

5.0 Recovery and Resilience Plans

The Austrian Recovery and Resilience Plan 2020–202627 was submitted by the Austrian Ministry of Finance
in April 2021 and endorsed by the European Commission in June 202128. Against the background of the
COVID-19 pandemic and the serious consequences of the resulting worldwide economic crisis, the overall
objective of the Recovery and Resilience Plan is to support the transformation of the Austrian economy
and society towards a greener and more digitalised system, while fixing existing economical, ecological, and
social weaknesses. On this account, investments in education, research, economy, and sustainability are
planned to fuel economic and social recovery.

The COVID-19 pandemic seriously damaged the Austrian economy. As approximately 20,000 people died29
with or because of the new coronavirus, measures had to be taken to prevent further harm to the
healthcare system. Prohibition orders in tourism and other service sectors, lockdowns, supply difficulties,
and the international economic situation in general all caused a declining economic output. The real GDP
growth 2020 accounted for -6,7 %, while the absolute GDP at current prices decreased from EUR 397.519
in 2019 to EUR 279.321 in 202030. The Austrian labour market was also negatively affected by the
pandemic, especially the national service sector was hit hard by the government measures. In the first year
(2020) of the pandemic, the total employment (ILO concept) in Austria diminished by -1,3 %. In 2021,
employment increased again, but the pre-crisis level could not yet be reached.

Since the global economic crisis induced a serious recession of the national economy, the Recovery and
Resilience Plan aims to take the opportunity of the reorganisation of the economic system and transform
the economy in order to be greener, more sustainable, and digitalised. The Recovery and Resilience Plan
consists of four main components and 16 investment measures supported by EUR 4.5 billion in grants.
46 % of the plan supports climate investments, 41 % promotes the digital transformation. The planned
investments are grouped as follows:

 Component 1: Sustainable recovery

 Component 2: Digital recovery

 Component 3: Knowledge-based recovery

 Component 4: Just recovery

The impacts of the individual components are expected to meet the six pillars of Article 3 of the Regulation
2020/241 (EU). Thus, the effects of the investments and reforms are estimated to be positive and in line
with the EU objectives. Whereas a variety of reforms and investments is considered to impact ecological
change. In particular, “Component 1: Sustainable recovery” overlaps with circular economy and eco-
innovation objectives and measures. The component attempts to support economic recovery by investing
“green”. A renovation offensive, measures to reduce fuel-poverty and investments, reforms promoting the

27
Ministry of Finance (2021). Österreichischer Aufbau- und Resilienzplan 2020-2026. Available at:
https://www.oesterreich.gv.at/nachrichten/allgemein/EU-Aufbauplan.html, last accessed 18/05/2022.
28 European Commission (2021). Available at: https://ec.europa.eu/commission/presscorner/detail/en/ip_21_3052, last

accessed 30/05/2022.
29
AGES Dashboard. Available at: https://covid19-dashboard.ages.at/dashboard_Tod.html, last accessed 18/05/2022.
30
Statistik Austria. Preliminary figures for 2020, Gross Regional Product. Available at:
https://www.statistik.at/web_en/statistics/Economy/national_accounts/regional_accounts/nuts2-
regional_gdp_and_main_aggregates/index.html, last accessed 18/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 15

gradual decarbonisation of public transport and industry, investments in circular economy, and
bioeconomy activities are planned to meet the EU-targets and to reduce greenhouse gas emissions.

The following table shows the different reforms and investments of component 1 regarding their
considered impact.31

Component Reforms Investments Budget Impact


(millions of
EUR)
1-A  Renewable heat  Promotion of replacing oil and 550.0  Ecological
Renovation law gas heating systems (RRF 208.9) change
offensive  Fighting energy poverty  Social and
territorial
cohesion
1-B  Austria’s 2030  Promotion of emission-free 1.671,7  Ecological
Eco-friendly Mobility Master buses and infrastructure (RRF 848.6) change
mobility Plan  Promotion of emission-free  Intelligent,
 1-2-3 climate commercial vehicles and sustainable and
tickets infrastructure integrative
 Construction of railway lines growth
and electrification of regional
railways
1-C  Legal framework to  Biodiversity fund 380.0  Ecological
Biodiversity and increase collection  Investments in RVM solutions (RRF 350.0) change
circular economy rates for food and measures to increase the  Intelligent,
packaging and to re-use quotas sustainable and
increase usage of integrative
 Construction and improvement
reusable packaging growth
of sorting systems
 Promotion of the repair of
electrical and electronic
equipment (repair bonus)
1-D  Renewable  Transformation of the industry 100.0  Ecological
Transformation to expansion law towards climate neutrality (RRF 100.0) change
climate neutrality  Intelligent,
sustainable and
integrative
growth

The third sub-component “1-C Biodiversity and circular economy” is from particular interest with respect
to circular economy. The achievement of the 14 defined milestones is foreseen to happen until the first
trimester of 2026. The following table shows the one reform and the four investments of sub-component
1 and their achieved and the next upcoming milestones.32

31
Ministry of Finance (2021). Österreichischer Aufbau- und Resilienzplan 2020-2026. Available at:
https://www.oesterreich.gv.at/nachrichten/allgemein/EU-Aufbauplan.html, last accessed 18/05/2022.
32 Ministry of Finance (2021). Anhang 1: Österreichischer Aufbau- und Resilienzplan 2020-2026. Available at:

https://www.oesterreich.gv.at/nachrichten/allgemein/EU-Aufbauplan.html, last accessed 14/05/2022.


ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 16

Component 1-C Budget Milestones/ Trimester/ Status Source


Biodiversity and (millions targets year
circular economy of EUR)

1.C.1 - M1) Entry into Q3/2021 Achieved https://www.oesterre


Legal framework to force of Waste Waste Management ich.gv.at/Gesetzliche-
increase collection Management Amendment was Neuerungen/Bundes
rates for food Amendment published on the gesetzblatt/AWG-
packaging and to 10.12.2021 Novelle-
increase usage of Kreislaufwirtschaftsp
reusable packaging aket.html

(Reform) M2) Q3/2022 Ongoing https://www.ris.bka.g


Implementing v.at/Dokumente/Beg
regulation to ut/BEGUT_COO_202
increase 6_100_2_1861682/C
collection rates of OO_2026_100_2_186
plastic beverage 1839.html
packaging is
issued
1.C.2 80,0 M1) Legal Q1/2022 Ongoing https://www.oesterre
Biodiversity fund (RRF 50,0) anchoring of Environmental ich.gv.at/Gesetzliche-
biodiversity fund Support Act published Neuerungen/Bundes
(Investment)
in Environmental on the 18.03.2022 gesetzblatt/Umweltf
Support Act oerderungsgesetz_U
National Biodiversity
National FG.html
Strategy 2030 is in
Biodiversity progress
Strategy 2030 is
resolved
1.C.3 110,0 M1) 5.000 reverse Q/2024 Ongoing https://www.oesterre
Investments in RVM (RRF vending Legal anchoring of ich.gv.at/Gesetzliche-
solutions and 110,0) machines are funding guidelines in Neuerungen/Bundes
measures to purchased or Environmental Support gesetzblatt/Umweltf
increase the re-use- acquired Act was published on oerderungsgesetz_U
quotas the 18.03.2022 FG.html

(Investment) Application started https://www.bmk.gv.


04.04.2022 at/themen/klima_um
welt/abfall/Kreislauf
wirtschaft/foerderun
gen.html#:~:text=Ab
%204.,finanziert%20
und%20l%C3%A4uft
%20bis%202026.
1.C.4 60,0 M1) 3 funding Q3/2022 Ongoing https://www.oesterre
Construction and (RRF 60,0) applications have Legal anchoring of ich.gv.at/Gesetzliche-
improvement of reached the funding guidelines in Neuerungen/Bundes
sorting systems competent Environmental Support gesetzblatt/Umweltf
authorities Act was published on oerderungsgesetz_U
(Investment)
the 18.03.2022 FG.html

Application started https://www.bmk.gv.


04.04.2022 at/themen/klima_um
welt/abfall/Kreislauf
wirtschaft/foerderun
gen.html#:~:text=Ab
%204.,finanziert%20
und%20l%C3%A4uft
%20bis%202026.
1.C.5 130,0 M1) Q1/2022 Achieved https://www.bmk.gv.
Organisational at/service/presse/ge
wessler/20220426_r
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 17

Component 1-C Budget Milestones/ Trimester/ Status Source


Biodiversity and (millions targets year
circular economy of EUR)

Promotion of the (RRF and technical IT- Preparations are eparaturbonus.html


repair of electrical 130,0) work is done completed #:~:text=50%20Proz
and electronic ent%20der%20Repa
equipment (repair raturkosten%20werd
bonus) en,2022%20startet%
(Investment) 20der%20bundeswe
ite%20Reparaturbon
us
M2) 200.000 Q1/2024 Ongoing https://www.oesterre
repaired and Legal anchoring of ich.gv.at/Gesetzliche-
renewed funding guidelines in Neuerungen/Bundes
devices Environmental Support gesetzblatt/Umweltf
Act was published on oerderungsgesetz_U
the 18.03.2022 FG.html.

Application started on
the 26.04.2022

In addition, the Just Transition Fund (JTF)33, a newly established European fund, supports the transformation
towards a climate-neutral economic system in Austria. A share of EUR 53 million of the overall amount of
EUR 7.5 billion will be made available for Austria by the European Commission. The details of the fund are
currently being negotiated.

33
European Commission. Just Transition funding sources. Available at: https://ec.europa.eu/info/strategy/priorities-
2019-2024/european-green-deal/finance-and-green-deal/just-transition-mechanism/just-transition-funding-
sources_de, last accessed 23/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 18

6.0 References

AGES Dashboard. Available at: https://covid19-dashboard.ages.at/dashboard_Tod.html, last accessed


18/05/2022.

Altstoff Recycling Austria and GfK Austria (2021), Austrian Circular Economy Barometer. Available at:
https://www.ara.at/news/ara_circular_economy_barometer_2021_weckruf_zur_kreislaufwirtschaft, last
accessed 17/05/2022.

Bürger, J. and Paulinger, G. (2022). Nachhaltiger Konsum – Potenziale und Hürden österreichischer
Haushalte. Available at: https://www.arbeiterkammer.at/nachhaltiger-konsum.

Circle Economy and ARA (2019). The Circularity Gap Report – Closing the Circularity Gap in Austria.
Available at https://assets.website-
files.com/5d26d80e8836af2d12ed1269/5dea427d0f2ed6527d4a2b33_Circularity-compressed.pdf.

Circular Economy Forum Austria. Available at: https://www.circulareconomyforum.at/ressourcen/, last


accessed 20/05/2022.

Circular Futures Austria. Available at: https://www.circularfutures.at/ueber-uns/english-language-


summary/, last accessed 20/05/2022

Cleantech Cluster. Available at: https://www.cleantech-cluster.at/themenschwerpunkte/circular-economy-


innovation, last accessed 23/05/2022.

European Commission (2020). A new Circular Economy Action Plan. Available at: https://eur-
lex.europa.eu/legal-content/EN/TXT/?qid=1583933814386&uri=COM:2020:98:FIN.

European Commission. Just Transition funding sources. Available at:


https://ec.europa.eu/info/strategy/priorities-2019-2024/european-green-deal/finance-and-green-
deal/just-transition-mechanism/just-transition-funding-sources_de, last accessed 23/05/2022.

European Parlament (2021). Eurobarometer 2021. Available at: https://www.europarl.europa.eu/at-your-


service/de/be-heard/eurobarometer/spring-2021-survey, last accessed30/05/2022.

EUROSTAT. Circular material use rate. Available at:


https://ec.europa.eu/eurostat/databrowser/view/cei_srm030/default/table?lang=en.

EUROSTAT. Private investments, jobs and gross value added related to circular economy sectors. Available
at: https://ec.europa.eu/eurostat/web/products-datasets/-/cei_cie010, last accessed 14/06/2022.

EUROSTAT. Recycling rate of municipal waste. Available at:


https://ec.europa.eu/eurostat/databrowser/view/t2020_rt120/default/table?lang=en, last accessed
17/05/2022.

Federal Chancellery, Republic of Austria (2020). Out of a Sense of Responsibility for Austria. Government
Programme 2020-2024. Available at: https://www.bundeskanzleramt.gv.at/en/federal-chancellery/the-
austrian-federal-government/government-documents.html, last accessed 30/05/2022.

Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology. Green
Finance. https://www.bmk.gv.at/green-finance/alliance.html, last accessed 23/05/2022.

Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology (2021). Die
österreichische Kreislaufwirtschaft – Österreich auf dem Weg zu einer nachhaltigen und zirkulären
Gesellschaft. Available at
https://www.bmk.gv.at/themen/klima_umwelt/abfall/Kreislaufwirtschaft/strategie.htmlhttps://www.google.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 19

com/search?q=kreislaufwirtschaft+strategie+%C3%B6sterreich&rlz=1C1CHBF_deAT918AT918&oq=kreisla
ufwirtschaft+stra&aqs=chrome.0.0i512j69i57j0i22i30l3j69i60l2j69i61.3263j0j9&sourceid=chrome&ie=UT
F-8, last accessed 17/05/2022.

Federal Ministry for Climate Action, Environment, Energy, Mobility, Innovation and Technology and Ministry
of Agriculture, Regions and Tourism (2020). Ressourcennutzung in Österreich 2020, Band 3. Available at
https://www.bmk.gv.at/themen/klima_umwelt/nachhaltigkeit/ressourceneffizienz/publikationen/bericht20
20.html.

FFG. FTI-Initiative Kreislaufwirtschaft. Available at: https://www.ffg.at/2-ausschreibung-fti-


kreislaufwirtschaft, last accessed 20/05/2022.

Green Tech Cluster. Available at: https://www.greentech.at/standort-geschichte-des-valleys/, last accessed


23/05/2022.

Mindtake 360° Analytics and Insights on behalf of Handelsverband (2021). Consumer-Check zum Thema
Nachhaltigkeit. Available at:
https://www.handelsverband.at/fileadmin/content/images_publikationen/Studien/HV_Consumer-
Check_Nachhaltigkeit_2021.pdf.

Ministry of Finance (2021). Anhang 1: Österreichischer Aufbau- und Resilienzplan 2020-2026. Available at:
https://www.oesterreich.gv.at/nachrichten/allgemein/EU-Aufbauplan.html, last accessed 14/05/2022.

Ministry of Finance (2021). Österreichischer Aufbau- und Resilienzplan 2020-2026. Available at:
https://www.oesterreich.gv.at/nachrichten/allgemein/EU-Aufbauplan.html.

Statistik Austria. Environmental Goods and Services Sector (EGSS). Available at:
http://www.statistik.at/web_de/statistiken/energie_umwelt_innovation_mobilitaet/energie_und_umwelt/um
welt/umweltorientierte_produktion_und_dienstleistung/index.html, last accessed 23/05/2022.

Statistik Austria. Preliminary figures for 2020, Gross Regional Product. Available at:
https://www.statistik.at/web_en/statistics/Economy/national_accounts/regional_accounts/nuts2-
regional_gdp_and_main_aggregates/index.html, last accessed 18/05/2022.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 20

ANNEX I - Policy strategies and instruments addressing circular economy and eco-innovations in Austria
National and Regional Policy strategies
Name of the policy Policy area Relevance for eco- Relevance for Relevance for Targets Source
document innovation Circular Economy Recovery and
(strategy, action plan, Resilience
roadmap) Plans
Austrian Circular Climate and Cross-cutting Cross-cutting Cross-cutting Climate change policy targets, https://www.bmk.gv.at/themen/klima_u
Economy Strategy Environment renewable energy targets, waste mwelt/abfall/Kreislaufwirtschaft/strategi
prevention targets, sustainable e.html
public procurement targets,
environmental technology
targets, sustainability targets
Austrian Wage Climate and Cross-cutting Waste prevention targets, https://www.bmk.gv.at/en/topics/climate
Management Plan Environment sustainability targets -environment/waste-resource-
management/waste-management/fed-
waste-mgt-plan.html
Austrian Digital Action Digitalisation Cross-cutting Cross-cutting Cross-cutting Economic targets https://www.bmdw.gv.at/Themen/Digitali
Plan sierung/Strategien/Digitaler-
Aktionsplan.html
Energy Research and Innovation Cross-cutting Cross-cutting Cross-cutting Renewable energy targets, https://www.bmk.gv.at/themen/innovati
Innovation Strategy environmental technology on/publikationen/energieumwelttechnol
targets ogie/energieforschung_innovation.html
Climate and Energy Climate and Cross-cutting Cross-cutting Cross-cutting Renewable energy targets, https://iwo-austria.at/klima-
Strategy Environment environmental technology energiestrategien/
targets, climate change policy
targets

Name of the policy Policy area Relevance for eco- Relevance for Relevance for Targets Source
document innovation Circular Economy Recovery and
(strategy, action plan, Resilience
roadmap) Plans
Masterplan for Climate and Focus on Cross-cutting Cross-cutting Environmental technology https://www.bmk.gv.at/themen/klima_u
Environmental Environment innovations in targets mwelt/nachhaltigkeit/green_jobs/umwelt
Technologies environmental technologien/mut.html#:~:text=Im%20H
technology erbst%202019%20aufgelegten%20Mast
erplan,Verbreitung%20der%20%C3%B6
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 21

sterreichischen%20Umwelttechnologien
%20zusammengefasst.
Action Plan for Climate and Focus on circular Sustainable procurement https://www.bmk.gv.at/themen/klima_u
Sustainable Public Environment public procurement targets mwelt/nachhaltigkeit/beschaffung/nabe.
Procurement html
National Energy and Climate and Cross-cutting Cross-cutting Renewable energy targets, https://www.bmk.gv.at/themen/klima_u
Climate Plan Environment sustainability targets, economic mwelt/klimaschutz/nat_klimapolitik/ener
targets, innovation targets gie_klimaplan.html
Master Plan for Raw Mining Cross-cutting Sustainability targets, economic https://info.bmlrt.gv.at/service/publikatio
Materials targets, climate protection nen/bergbau/masterplan-rohstoffe-
targets 2030.html
Bioeconomy Strategy Climate and Science and Cross-cutting Sustainability targets, climate https://www.bmk.gv.at/en/topics/climate
Environment Research, protection targets, economic -environment/climate-
Innovations targets, innovation targets, protection/bioeconomy/strategy.html#:
renewable energy targets ~:text=The%20Austrian%20Bioeconomy
%20Strategy%20act,areas%20and%20a
pplications%20as%20possible.
Mobility Master Plan Mobility Research, Research, Cross-cutting Climate change targets https://www.bmk.gv.at/en/topics/mobilit
innovation, innovation, y/mobilitymasterplan2030.html
digitalisation digitalisation
Name of the policy Policy area Relevance for eco- Relevance for Relevance for Targets Source
document innovation Circular Economy Recovery and
(strategy, action plan, Resilience
roadmap) Plans
Strategy for Location Business GreenTech/GreenM GreenTech/GreenM Cross-cutting Innovation targets, sustainability https://www.bmdw.gv.at/Themen/Wirtsc
Development Location aterials, renewable aterials, renewable targets, health targets, haftsstandort-
energy energy digitalisation targets Oesterreich/Standortstrategie.html
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 22

Policy instruments
Category Name of Relevance for Relevance for Circular Relevance for (Expected) Impact and Source
instrument eco-innovation Economy Recovery and Outcomes
Resilience
Plans
Direct financial FDI-initiative Cross-cutting Promotes circular Cross-cutting Innovations regarding circular https://www.ffg.at/2-ausschreibung-fti-
support circular economy economy innovations economy kreislaufwirtschaft
Direct financial Repair bonus Promotes the repair of Repair instead of throwing away, https://www.reparaturbonus.at/
support electrical devices supporting circular economy
Direct financial Funding for Cross-cutting Promotes the Cross-cutting Establishment of efficient https://www.umweltfoerderung.at/betrie
support collecting establishment of collecting systems be/leergutruecknahmesysteme/navigato
systems for collecting systems to r/kreislaufwirtschaft/leergutruecknahme
empties avoid waste systeme.html
Direct financial Funding for Cross-cutting Promotes the Cross-cutting Establishment of efficient https://www.umweltfoerderung.at/betrie
support returnable establishment of returnable systems be/mehrwegsysteme/navigator/kreislauf
systems returnable systems to wirtschaft/mehrwegsysteme.html
avoid waste
Direct financial Funding for Cross-cutting Promotes the Cross-cutting Establishment of efficient sorting https://www.umweltfoerderung.at/betrie
support sorting facilities establishment of facilities be/sortieranlagen/navigator/kreislaufwir
sorting systems to tschaft/sortieranlagen.html
avoid waste
Category Name of Relevance for Relevance for Circular Relevance for (Expected) Impact and Source
instrument eco-innovation Economy Recovery and Outcomes
Resilience
Plans
Direct financial ACRP – Austrian Cross-cutting https://www.umweltfoerderung.at/betrie
support Climate Research be/acrp-
Programme klimafolgenforschung/navigator/forschu
ng-innovation/acrp-
klimafolgenforschung.html

Direct financial Funding for other Cross-cutting Cross-cutting Cross-cutting Strengthening environmental https://www.umweltfoerderung.at/betrie
support environmental protection of organisations and be/sonstige-
measures enterprises umweltschutzmassnahmen-
laermschutz-
demonstrationsanlagen/navigator/forsc
hung-innovation/demonstrations-und-
pilotanlagen-1.html
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 23

Direct financial Research Cross-cutting Cross-cutting The implementation of https://www.umweltfoerderung.at/betrie


support programme of innovative demonstration plants be/forschungsprogramme-des-klima-
the climate and und-energiefonds.html
energy fund
Direct financial Funding for Cross-cutting Cross-cutting Cross-cutting Basic research, industrial https://www.umweltfoerderung.at/betrie
support contaminated (applied) research, experimental be/altlastenforschung/navigator/forschu
sites research development ng-innovation/forschung-altlasten-
2.html
Direct financial Funding for Cross-cutting Cross-cutting Basic research, industrial https://www.umweltfoerderung.at/betrie
support water (applied) research, experimental be/forschung-
management development wasserwirtschaft/navigator/forschung-
research innovation/forschung-wasser-1.html
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 24

ANNEX II - Eco-innovation performance overview


Indicator Indicator Performance Country performance relative to EU in 2013 and 20223
value1 relative to EU2

Eco-Innovation Index 0.721 173.9


ECO-INNOVATION INDEX
1. Eco-innovation inputs (normalised score) 0.780 141.9
ECO-INNOVATION INPUTS
1.1. Governments environmental and energy R&D appropriations and outlays (% of
0.05% 116.0 Govt. env. & energy R&D budgets
GDP)
R&D personnel
1.2. Total R&D personnel and researchers (% of total employment) 1.95% 179.1
ECO-INNOVATION ACTIVITIES
2. Eco-innovation activities (normalised score) 0.254 76.5
ISO 14001 cert.
2.1. Number of ISO 14001 certificates (per million population) 146.2 76.5
ECO-INNOVATION OUTPUTS
3. Eco-innovation outputs (normalised score) 0.641 155.1
Eco-inno. patents
3.1. Eco-innovation related patents (per million population) 59.1 113.3
Eco-inno. publications
3.2. Eco-innovation related academic publications (per million population) 20.4 291.0
RESOURCE EFFICIENCY OUTCOMES
4. Resource efficiency outcomes (normalised score) 0.464 127.0 Material productivity
4.1 Material productivity (GDP/Domestic Material Consumption, €/kg) 1.9 124.7 Water productivity
4.2 Water productivity (GDP/total fresh water abstraction, €/m³) #N/A #N/A Energy productivity
4.3 Energy productivity (GDP/gross inland energy consumption, €/toe) 9.8 151.0 GHG emissions
4.4 GHG emissions productivity (GDP/CO2e) 6.2 241.4 SOCIO-ECONOMIC OUTCOMES
5. Socio-economic outcomes (normalised score) 0.909 217.2 Exports eco-industries
5.1 Exports of products from eco-industries (% of total exports) 9.05% 187.7 Employment env. act.
5.2. Employment in environmental protection and resource management activities Value added env. act.
4.34% 241.9
(% of total workforce)
0 50 100 150 200 250 300 350
5.3. Value added in environmental protection and resource management activities Performance relative to EU27 (EU27=100)
4.21% 235.8
(% of GDP) 2022 2013

Notes:
1: Most recent data used where possible, for an overview see the methodology here: https://ec.europa.eu/environment/ecoap/indicators/index_en
2: Performance relative to EU is calculated as follows: (Normalised country score / EU score)x100. Normalisation is done using the Min-Max approach. This leads to certain countries
resulting in a zero score for an indicator, this implies that, that country is the lowest performing country vis-à-vis the other EU Member States.
3: Graph depicting the performance of the country relative to the EU in 2013 and 2022 where the EU27=100.
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 25

ANNEX III – Circular economy indicator performance overview


Indicator Indicator Performance Country performance versus EU27 average in 20223
value1 relative to EU2
1. Sustainable resource management (normalised score) 0.529 119.1
1.1 Material Footprint: domestic material consumption (tonnes per capita) 18.8 192.2 SUSTAINABLE RESOURCE MANAGEMENT
1.2 Resource Productivity (purchasing power standard per kg) 1.9 81.2 Material Footprint
1.3 Number of enterprises involved in the repair of computers and personal and household
Resource Productivity
165.4 6.1 Enterprises involved in repair sector
goods (per million population)
1.4 Number of EPR schemes (per million population) 1.6 291.5 Number of EPR schemes
1.5 Municipal waste recycling rates (%) 58.0% 125.6 Municipal waste recycling rates
1.6 Municipal solid waste generation (kg per capita) 0.002 64.9 Municipal solid waste generation
1.7 Recycling of packaging waste (rate in %) 65.4% 103.1 Recycling of packaging waste
1.8 Recycling of biowaste (kg per capita) 189.0 210.0 Recycling of biowaste
1.9 Recycling rate of construction and demolition waste (percent) 90.0% 100.0 Recycling rate of construction and…
1.10 Municipal waste recycled (kg/capita) 334.0 175.6
Municipal Waste Recycled
SOCIETAL BEHAVIOUR
2. Societal behaviour (normalised score) 0.242 54.9
Citizens choosing alternatives to buying new…
2.1 Citizens who have chosen alternatives to buying new products (% of respondents) 62.0% 121.7
Coverage of the Circular Economy topic in…
2.2 Coverage of the Circular Economy topic in Electronic Mass Media, number of articles published
84.2 78.0 Turnover share in repair sector
(per million population)
2.3 Turnover share of repair of computers and personal and household goods (percent in total Enterprises in repair sector
0.04% 35.0
business economy) Employees in repair sector
2.4 Share of enterprises in repair of computers and personal and household goods (percent in BUSINESS OPERATIONS
0.44% 23.0
total business economy) SMEs reporting no difficulties in…
2.5 Share of employees in repair of computers and personal and household goods (percent in Self-financing ability for CE activities
0.12% 19.9
total business economy employment) Info available to help access finance for CE…
3. Business operations (normalised score) 0.509 135.4 Enterprises that facilitated recycling of…
3.1 Share of SMEs reporting no difficulties in implementing circular economy activities (% of SMEs) 0.81 148.8 Enterprises that extending product life
3.2 Self-financing ability for circular economy activities (% of SMEs) 70.0% 100.0 Enterprises involved in recycling for own…
3.3 Information readily available that can help access finance for circular economy related Eco-labelled products and services
35.0% 277.8
activities (% of SMEs)
3.4 Share of SMEs that facilitated recycling of products after use (% of innovative SMEs) 30.0% 114.3 0 50 100 150 200 250 300 350
3.5 SMEs that extended product life through more durable products, by innovation (% of
35.6% 139.2 Performance relative to EU27 (EU27=100)
innovative SMEs)
3.6 SMEs recycling waste, water or materials for own use or sale within the enterprises by
39.8% 133.2
innovating (% of innovative SMEs)
3.7 Number of eco-labelled products and services (per million population) 95.4 47.6
ECO-INNOVATION COUNTRY PROFILE 2022: AUSTRIA / 26

Notes:
1: Most recent data used where possible, for an overview see the methodology here: https://ec.europa.eu/environment/ecoap/indicators/index_en
2: Performance relative to EU is calculated as follows: (Normalised country score / EU score)x100. Normalisation is done using the Min-Max approach. This leads to certain countries
resulting in a zero score for an indicator, this implies that, that country is the lowest performing country vis-à-vis the other EU Member States.
3: Graph depicting the performance of the country relative to the EU in 2013 and 2022 where the EU27=100.

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