Austria is falling short on key climate goals, according to a report by the Austrian Court of Audit (RH).

The Court, an independent body that monitors the efficient and economical use of taxpayers’ money by public institutions, found that half of its 20 recommendations for improving climate policies had not been implemented by the Climate Protection and Finance Ministries, while another eight had been only partially addressed. Just two of the recommendations were fully acted upon, prompting fresh criticism of the government’s approach.

Among the most pressing concerns are the absence of a Climate Protection Act, delays in finalising the National Energy and Climate Plan (NECP), and the risk of missing EU greenhouse gas targets.

Targets at Risk

The RH previously reviewed Austria’s climate policies in 2021, warning of potential billions in costs if climate goals were missed. While greenhouse gas emissions in non-ETS (Emissions Trading System) sectors fell by 5% in 2022 and 5.3% in 2023, staying below national annual limits, forecasts for 2024 and 2025 suggest slower reductions.

“Under the existing climate protection measures, Austria would significantly miss the EU’s 2030 greenhouse gas reduction targets,” the auditors concluded.

The European Commission has also criticised Austria’s efforts. In November, it threatened legal action against Vienna for failing to submit its NECP on time.

Legal Action and Coordination Issues

Making matters worse, the absence of a Climate Protection Act leaves Austria without a central framework for managing and coordinating climate measures. The RH described this as the missing “central instrument for planning, managing, and coordinating climate policy measures.”

Efforts to improve cooperation between the federal and regional governments have also faltered. The report noted a lack of progress in establishing effective processes for managing climate policies, with no movement on proposals for a “Climate Cabinet,” an “Austrian Climate Dialogue,” or a scientific advisory council.

Calls for Tax Reform and Transparency

The report also emphasised the need for further reform of Austria’s tax system to encourage greener practices. It called for a clearer division of costs between the federal and regional governments for purchasing emissions certificates.

The RH urged the establishment of regular monitoring and reporting on the progress of climate measures to ensure greater accountability. It warned that without these changes, Austria risks failing to meet not only its EU obligations but also its own national targets.