Renewable Energy: Austrian Investments in CEE are booming
Romania and Bulgaria are the Favorites - Wind Energy in front
Vienna (pts024/03.02.2011/15:00) Austrian firms will significantly increase their engagement in Central and Eastern Europe (CEEs) in the renewable-energy sector. At least a doubling of such investment is expected by 2020. Romania and Bulgaria are the favorite locations for Austrian investors at present, and wind energy is far ahead of photovoltaics, hydropower and biomass. That is the conclusion of a new study by
tax advising, auditing and business consulting firm TPA Horwath.
Top Austrian managers from the energy and financial-services sectors whose firms are investing in Central and Eastern Europe or are planning to become active there were surveyed for the study. Around a third of them (29 per cent) have invested up to 10 million Euros in renewable energy in the past 10 years, and another 30 per cent have invested between 10 and 100 million Euros. Twelve per cent of the firms have invested more than 100 million Euros.
High Potential
The future potential of renewable energy in Central and Eastern Europe is enormous in the opinion of study participants. Four of every five firms (78 per cent) want to increase their investment in that sector. Precise evaluations are very difficult for many firms, but three quarters of them are planning an increase of at least 100 per cent, and 41 per cent want to increase investment by more than 300 per cent. Increases of investments will occur above all in countries where firms are already active. Those are above all Romania and Bulgaria, as well as the Czech Republic, Slovakia and Hungary. They are considered to be interesting energy markets and legally and politically stable, have attractive energy feed-in rates and enjoy great potential in natural resources such as wind and sun.
Careful Preparation is Decisive for Success
Armin Schaller, the head of consulting at TPA Horwath, says that "careful preparation is a pre-condition for success in investment in renewable energy." He is convinced that it begins with an analysis of the specific legal situation of a country and of planned energy feed-in rates, proceeds with the best-possible project calculations including the inclusion of risks and ends with knowledge of cultural peculiarities and customs in dealing with authorities." Herwig Reininger, the head of Energy Consulting and a specialist in renewable energy, adds that "whoever takes short cuts here risks the failure of a project." As the TPA Horwath study shows, many firms consider minimum legal standards as a pre-condition for participation in a project. That is also the reason that many firms are waiting before deciding on many projects outside the EU area, for example, in Ukraine or Belarus.
Wind Energy the Most-Attractive Energy Form
More than two-thirds (71 per cent) of surveyed firms invest in wind energy. It is the clear favorite, ahead of photovoltaics (41 per cent), hydropower and biomass (both 35 per cent). Project-development firms especially like wind energy.
The largest investors in the CEE countries are energy-supply firms (74 per cent), followed by investment and capital-asset companies (41 per cent) and project-development firms (39 per cent), according to surveyed managers.
About the Study
For the study "Renewable Energy: Austrian Investments in CEE are booming," a total of 51 Austrian firms active predominantly in the areas of energy supply, financial services and project development that had already invested in the CEE-countries or were planning to become active there were surveyed in November 2010. There were significant differences among them in regional focus, turnover and employee numbers. The survey was conducted through Computer Assisted Telephone Interviews (CATI).
About TPA Horwath
TPA Horwath is one of Austria's biggest tax advising, auditing, accounting and consulting firms. In addition to 11 locations in Austria, it has 14 locations in Bulgaria, Poland, Romania, Croatia, Serbia, Slovakia, Slovenia, the Czech Republic and Hungary. The TPA Horwath Group has a total of around 960 employees. Since 1995, TPA Horwath has been a member of Crowe Horwath International, a worldwide association of autonomous and independent tax advisors, accountants and business consultants. Its competence network includes 140 member firms with 550 locations in more than 100 countries, and it is one of the "Top Ten" consulting networks active around the world.
For further informations please contact:
Herwig Reininger, Head of Energy Consulting,
TPA Horwath
Unternehmensberatung GmbH
Praterstraße 62-64
1020 Vienna
Austria
Telefon (Phone): +43 /1/588 35-311
Fax: +43/1/588 35-590
E-Mail : herwig.reininger@tpa-horwath.com
| Aussender: | TPA Horwath Wirtschaftstreuhand und Steuerberatung GmbH |
| Ansprechpartner: | Herwig Reininger |
| Tel.: | + 43 (1) 588 35 - 311 |
| E-Mail: | herwig.reininger@tpa-horwath.com |
| Website: | www.tpa-horwath.com |
