Published by Global Banking and Finance Review
Posted on December 4, 2025
1 min readLast updated: January 20, 2026
Austria plans to use $584M from state-owned reserves to reduce energy costs, benefiting households and businesses.
VIENNA, Dec 4 (Reuters) - Austria’s government plans to finance a 500-million-euro ($584 million) package to reduce energy costs by using special distributions and reserves of state-owned companies, it said on Thursday.
200 million euros will come from reserves of real estate operator BIG, 200 million euros from energy group Verbund.VI> and 100 million euros from previously undistributed profits of holding company OBAG, the economy ministry said in a statement.
The aim is to bring noticeable relief to households and businesses, Chancellor Christian Stocker said without giving details.
The financial package follows a planned law for cheaper electricity that is still awaiting approval.
Verbund has already announced that it will propose a special dividend of around 400 million euros for 2025 at the annual general meeting, around 200 million of which will go to the government, which holds 51% of the company.
($1 = 0.8564 euros)
(Reporting by Alexandra Schwarz-Goerlich, writing by Marleen Kaesebier, editing by Thomas Seythal)
A financial package refers to a set of financial resources or funding allocated for a specific purpose, such as reducing costs or supporting economic initiatives.
Energy cost refers to the expenses incurred for the consumption of energy, such as electricity and gas, which can significantly impact households and businesses.
A dividend is a portion of a company's earnings distributed to its shareholders, typically in the form of cash or additional shares.
Undistributed profit refers to the portion of a company's earnings that is retained for reinvestment or reserves instead of being paid out as dividends to shareholders.
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