Direct subsidies (National)
The subsidies in Austria are manifold. It is made possible to implement new, innovative projects.
In Austria, in addition to basic research, topic-oriented and non-topic-oriented research in the field of industrial research, experimental development and for demonstration projects are funded. The aim is to support innovation, research and development in Austria. Public funding for research and development is mainly provided in the form of direct grants, loans and guarantees from the EU, federal government, provinces and municipalities for a project that is clearly defined in advance. This means that the research and development activities must not have started before the approved funding application.
Frequently asked questions about direct subsidies
The term “research” is defined by the Frascati Manual (2015), the OECD Handbook on Research Statistics on the definition of terms. Included are:
New developments such as prototypes or pilot plants
New and further developments of products
New and further developments of processes
Experimental development
Material and personnel costs can be claimed for these R&D expenses.
The term “research” is defined according to § 108c EStG and the ordinance issued for this purpose. In addition, the Frascati Manual (2015), the OECD Handbook on Research Statistics is also used to define the term. Included are:
New developments such as prototypes or pilot plants
New and further developments of products
New and further developments of processes
Experimental development
Also failed research and development
There are about 70 funding programs and initiatives in the fields of research, technology and innovation at the national level. National funding agencies are entrusted with the task of tendering and implementing the funding programs and initiatives. For companies, the most important national funding agencies are the Austrian Research Promotion Agency (FFG), the Austria Wirtschaftsservice (AWS), the Christian Doppler Gesellschaft (CDG) and the Climate and Energy Fund.
Austrian Research Promotion Agency FFG (Österreichische Forschungsförderungsgesellschaft mbH), Vienna: The Austrian Research Promotion Agency is the national funding institution for business-related research and development in Austria. With the aim of sustainably strengthening the business location and the innovation system in Austria, promotional loans, non-repayable grants, etc. are awarded within the framework of various promotional programs and initiatives.
AWS (Austria Wirtschaftsservice Gesellschaft mbH), Vienna: Austria Wirtschaftsservice Gesellschaft mbH is the federal government’s development bank and provides low-interest loans, grants and guarantees to support companies in the implementation of innovative projects, company start-ups or expansions.
Climate and Energy Fund, Vienna: The Climate and Energy Fund supports the development and implementation of climate-relevant and sustainable energy technology.
Kommunalkredit Public Consulting GmbH, Vienna: Kommunalkredit Public Consulting, which was created in 2003 from the former Trust Management Department of Kommunalkredit Austria AG, aims to make a sustainable contribution to environmental, economic and social development through the management of support programs and targeted consulting activities.
There are a variety of funding programs and initiatives, and there are navigation aids from public institutions and funding agencies that provide an overview of funding. They are provided online and free of charge. For comprehensive and customized advice on your funding options, contact us and see our portfolio of services For further information, please also refer to the following websites:
Förderkompass: The Förderkompass is a service of the Federal Ministry of Transport, Innovation and Technology (bmvit) and supports companies throughout Austria in their search for funding for research & technology.
FFG Wegweiser: The FFG Wegweiser is a service of the Austrian Research Promotion Agency and supports companies in their search for funding and services offered by the FFG.
AWS Fördernavigator: The AWS Fördernavigator is a service of Austria Wirtschaftsservice Gesellschaft mbH and supports companies in their search for grants and services offered by AWS.
WKÖ Subsidy Database: The Subsidy Database of the Austrian Federal Economic Chambers provides an overview of business subsidies in Austria. The filters for the categories project location, focus action and text help you to narrow down your search results accordingly.
EU funding
Horizon Europe is an ambitious, pan-European funding program that focuses on climate change and various societal transformations (e.g. digitalization, mobility) and aims to meet societal challenges in an appropriate and sustainable manner with its measures and instruments. The primary goal is to strengthen research and thus the competitiveness of the EU in the global context. Key concerns include achieving a CO2-neutral EU by 2050 or, for example, strengthening the resilience of democratic systems in the event of a crisis (war, pandemic, natural disasters).
A total budget of around €95 billion is available for implementing the measures in the period 2021-2027.
The program comprises three central pillars:
Open science: includes frontier research projects, fellowships and exchanges for researchers, and investment in world-class research infrastructures.
Global challenges and industrial competitiveness: includes research activities on societal challenges, technological and industrial capacity building in health, climate, energy, food, digitalization, mobility and civil security.
Open Innovation: expansion of the European innovation landscape incl. increased interconnection of business, research, higher education and entrepreneurship.
All legal entities and natural persons are eligible to participate. Since one of the objectives of Horizon Europe is to promote transnational cooperation in the fields of science, education and industry, cooperation projects therefore require at least three independent institutions from three different EU Member States or associated countries.
The type and amount of funding are defined in the respective (open) calls. Eligible direct costs in research and innovation activities (RIA) and in coordination and support activities are reimbursed at 100%. Direct costs in the innovation measures that are somewhat closer to the market, on the other hand, are reimbursed at a maximum of 70%.
Indirect costs are reimbursed at a flat rate (25% of eligible direct costs).
