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Will Austria increase the Klimabonus payment amount in 2024?

The Klimabonus payment was created in Austria to offset a new 'CO2 tax', which has gone up this year. So, will people receive more money via the Klimabonus 2024?

Published: 3 January 2024 16:51 CET
Updated: 7 January 2024 08:19 CET

The Klimabonus can also be sent via voucher. (

The climate bonus has increased. (The Local)

The climate bonus is a part of Austria’s eco-social tax reform, a set of measures to promote climate protection. One such action includes a tax on CO2 emissions, increasing fuel prices and affecting Austrian drivers. The annual Klimabonus aims to offset this expense.

The concept is that individuals who rely more on public transportation and choose eco-friendly transportation options will have a more significant portion of the bonus remaining at the end of the month.

READ ALSO: How to get Austria’s Klimabonus payment sent to your bank account

“The climate bonus is there for everyone and ensures climate-friendly behaviour pays off,” said Climate Protection Minister Leonore Gewessler as the programme was launched.

“The better we protect our climate, the more of it we have left in the end. As was the case last year, the climate bonus is paid out as simply and conveniently as possible,” she added.

CO2 tax rising

Last year, Austrian residents received between €110 and €220 via the Klimabonus. The amount depended on the person’s primary place of residence and the local infrastructure. As explained above, those living in cities with more extensive public transport networks would receive less money, as they had more opportunities to make climate-conscious decisions.

The actual amount is tied to the tax it was created to offset, so as the government raises the CO2 tax for 2024, the payment it will send to people in Austria should also be raised. And it will, as confirmed by the Ministry for Climate Protection to Kurier.

READ ALSO: EXPLAINED: Everything you need to know about Austria’s climate bonus payment

Last year, the basic amount was €110, but if the rising fuel price were added, it would be “realistic” to see a basic amount between €120 and €140 in 2024, the report added.

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Can Austria do more to tackle soaring energy prices?

Energy prices in Austria have skyrocketed, with costs for natural gas surging by over 160 percent between April 2021 and April 2024. These soaring energy expenses have been a significant driver of inflation in the country. They have also placed a heavy burden on households and companies, affecting their financial stability.

Despite the government’s introduction of measures such as an electricity price brake, the issue remains unresolved.

According to the Austrian Institute of Economic Research (WIFO), the energy industry in Austria suffers from a lack of competition and the different expectations between politicians and the public owners of the energy companies.

“In the energy industry, there is a conflict of objectives that has not been taken seriously enough to date between the high dividends expected by public owners and the low electricity prices promised by politicians, as well as the extremely attractive salaries that employees in the energy industry are accustomed to”, WIFO said, according to Die Presse.

READ ALSO: How to save money on energy bills in Austria

“Competition has so far fallen by the wayside in Austria, and consumers have paid for this through (excessively) high energy prices”,” WIFO added.

What can the government do about this?

The centre-right ÖVP and Greens coalition wants to approve an amendment to ensure more competition in the sector.

The proposed amendment by the ÖVP and Greens coalition aims to foster more competition in the sector. Under this plan, providers of electricity, district heating, and natural gas that are significantly more expensive than their competitors will be required to justify their high prices. Failure to do so will result in a decision by the cartel court.

The liberal party NEOS told Die Presse that the amendment was not enough. They call for the country’s competition authority to be strengthened and more price authority with monthly reports.

READ ALSO: What are the rules for electric bikes in Austria?

The amendment would “not end the dominance of the provincial energy suppliers, who do not pass on the lower energy prices”, Neos energy spokesperson Karin Doppelbauer said. This “unholy alliance between state-controlled energy companies and the public sector endangers purchasing power and prosperity in Austria.”

However, according to WIFO, Austria still needs to fortify its economy against another fossil fuel price shock. The report underscores the potential benefits of this transition, stating that it can only be achieved by enhancing resilience and swiftly transitioning to a climate-friendly economy.

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