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Federal Council: Green light for the end of gas heating in new buildings

The State Chamber also confirms the establishment of a service center for artificial intelligence

Vienna (PK) Gas heating systems will no longer be allowed to be installed in new buildings in the future. The Federal Council today approved the corresponding Renewable Heat Act (EEC) with the necessary two-thirds majority. The reason for the delay in the legislative process – the National Council had already decided on the EEC last December – was the notification procedure to be carried out at EU level. It was only recently completed.

The representatives of the ÖVP, SPÖ and the Greens welcomed the EEC decision. For the ÖVP, the EEC makes a “significant contribution” to achieving national climate goals. For the SPÖ, the participation of people with little financial flexibility in the phase-out of fossil fuels is “top priority”. The Greens spoke of a “milestone”, although they lack the legal framework for decarbonization in the existing stock. The Freedom Party rejected the EEC and called for “climate policy with common sense, without the madness of expropriation and prohibition.” Energy Minister Leonore Gewessler was pleased with the EEC decision, which already has “a long history” and creates clarity on the path to decarbonization in existing buildings.

In addition, the majority of the Federal Council confirmed the establishment of a service center for artificial intelligence, which will be located at Rundfunk und Telekom Regels-GmbH (RTR).

Renewable Heat Act: No more gas heating in new buildings

This creates the legal framework for a ban on gas heating in new buildings Renewable Heat Act (EEC). While the ban on installing oil boilers that has existed since 2020 is aimed at centralized systems, a ban on installing new buildings will apply to all systems that can be operated with fossil fuels, including decentralized gas heating systems. This is intended to ensure that the number of plants potentially powered by fossil fuels does not continue to grow. Transitional provisions are provided for ongoing business cases and procedures that must be handled in accordance with the previously applicable legal provisions. The regulations of the Oil Boiler Installation Ban Act 2019 will be integrated into the new EEC. Now that the notification procedure necessary at EU level has been completed, the legislative process at national level could be completed by the state chamber.

“This ban government puts the EU’s completely absurd climate goals above everything and everyone,” criticized Michael Bernard (FPÖ/N) in the debate on the EEC. The liberal mandatary spoke of a “throwaway policy” by Energy Minister Leonore Gewessler and called for her resignation in order to enable “affordable energy policy and climate policy with common sense, without the madness of expropriation and bans”. The Upper Austrian FPÖ Federal Councilor Markus Steinmaurer agreed. Although the subsidies for heating replacement for low-income households are to be welcomed, the negative aspects outweigh the negative aspects. “Tearing out” functioning heating systems is a waste of tax money and an “electoral treat” in the run-up to the National Council election. Overall, the “enormous funding volume” cannot be financed.

Adi Gross (Greens/V) saw it differently, outlining the long process of becoming law – “against a lot of resistance”. Along with the electricity transition, the heat transition is the most important project in climate protection. Gross spoke of a “milestone”, although the Greens lacked the legal framework for decarbonization in the existing stock. The ball is now increasingly in the federal states’ court to find appropriate solutions.

For Isabella Kaltenegger (ÖVP/St), the EEC makes a “significant contribution” to achieving national climate goals. The aim is to further advance the decarbonization of the building sector. There is a “wide range” of subsidies for replacing heating systems; anyone who replaces will receive at least 75% of the costs reimbursed.

Bettina Lancaster (SPÖ/O) described the ban on installing gas heaters as an “important step”. For the SPÖ, the participation of people with little financial flexibility in the phase-out of fossil fuels is a “top priority”. In this sense, people who live in rents would need more leverage to persuade their landlords to replace their heating system. Lancaster also criticized the fact that the EU’s notification procedure made it impossible for the Federal Council to make a decision in December, meaning that the eight-week objection period – a central element of the Federal Council’s participation rights – had expired.

Energy Minister Leonore Gewessler spoke of a “good law” that creates clarity on the path to decarbonization in existing buildings. This path is based on two pillars: the EEC implements the ban on installing heating systems using fossil fuels in new buildings. The second pillar relates to funding for the changeover in existing buildings. Due to the average funding levels of 75%, Gewessler assumes high heating exchange rates.

New service point for artificial intelligence

The new Service point for artificial intelligence In the future, it will, among other things, provide information about the regulatory framework and possible effects of AI on cyber security, conduct studies, analyzes and specialist conferences, provide web guidelines for the use of AI in the media sector including best practice models, advise public and private legal entities and itself regularly exchange information with market participants in the media sector. It will be located at Rundfunk und Telekom Regels-GmbH (RTR). The eleven members of the “Advisory Board for Artificial Intelligence” are to be appointed by the Federal Chancellor (3) or the Finance Minister (8) for a term of four years and come from the areas of ethics, research, economics, law and technology.

The Vienna SPÖ Federal Councilor Sascha Obrecht (SPÖ/W) criticized the fact that the new AI service point was not responsible for employee, consumer protection and data protection concerns of individuals. Instead, these only focus on companies to support the application and implementation of AI.

AI will confront everyone, which is why it is incomprehensible that there was no review or discussion process to build consensus for this proposed law, warned Klemens Kofler (FPÖ/N). The liberal Federal Council therefore needs a mechanism that makes it clear what is AI-generated and what is not. He also called for the federal government to resign because it was working “against the people.”

On the one hand, the service point should support companies in generating economic added value through AI, said Klara Neurauter (ÖVP/T). On the other hand, it is about imparting knowledge in order to make the topic accessible to a broad population. For Neurauter’s parliamentary group colleague Elisabeth Wolff (ÖVP/W), AI is “the great invention of our age” that can “massively simplify” life. However, there is also misuse, which is why the new service point is a first step of many in dealing with AI.

Although Marco Schreuder (Greens/W) also identified opportunities through AI for many areas, most people’s concerns would predominate at the moment. The Green Party mandate will require a lot of legal changes in the near future due to AI. It is good that Austria is not waiting and is setting up a service point for companies and consumers.

It’s about taking advantage of the opportunities offered by AI, but also not losing sight of the risks, emphasized Florian Tursky, State Secretary for Digitalization, in the Federal Council plenary session. Both the new service point and the European Union’s AI Act dealt with this. This takes a risk-based approach to AI applications and does not assess the AI ​​itself, but rather the respective use case. AI authorities would be introduced in all EU countries for national legal enforcement. According to Tursky, the AI ​​service point should be transferred to this authority in the future so that people who feel disadvantaged by AI can be called. In addition, Europe-wide legal certainty for AI applications from Austria should be created for companies. Austria is taking on a pioneering role. (Continuation Federal Council) med

NOTE: Meetings of the National Council and the Federal Council can also be followed via live stream and are available as video-on-demand in the Parliament’s media library available.


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