Network Development Plan 2025

Initial Situation

With a power grid availability of over 99.99%, Austria ranks among the world’s leaders in terms of security and reliability of electricity supply. A secure and affordable electricity supply forms the foundation of our modern society—now more than ever. Events such as the large-scale blackout on the Iberian Peninsula in April 2025, which affected large parts of Spain and Portugal, impressively demonstrate how essential the continuous availability of electrical energy is for the functioning of the economy and modern society.

To ensure that the high level of supply security can continue to be maintained in the future, not only must sufficient generation capacity be available, but above all, powerful transmission and distribution grids are required. Only then can the generated energy be transported reliably and with low losses to where it is needed, ensuring grid and system stability. The availability of primary energy sources also plays a central role. The price increases and shortages in gas imports triggered by the war in Ukraine have clearly shown the dependence on fossil energy sources and their impact on electricity prices. An important lever for reducing this dependency is the accelerated expansion of renewable energy (RE) and the shift toward electricity-based processes—particularly in energy-intensive industries and the commercial sector. However, this transformation requires not only new generation facilities but also targeted expansion of grid infrastructure to safely connect the new feed-in points and load centers.

In recent years, global crises have also had a direct impact on the implementation of grid expansion projects. Russia’s war of aggression against Ukraine led to significant price distortions in energy and raw material markets and resulted in supply bottlenecks for key components and large-scale equipment. Despite APG’s intensive countermeasures, this caused delays and, in some cases, significant cost increases in individual grid expansion projects.

Across sectors, the gas sector is experiencing declining methane demand, the growing importance of a future hydrogen economy, and the need to tap Austria’s biomethane and biogas potential. As a result, electrolysis, green hydrogen, and additional coupling points between the gas and electricity network—such as power-to-gas or storage applications—are becoming increasingly important. In addition to pumped-storage power plants, battery storage systems can make a growing contribution to flexibility by providing short-term energy, absorbing load peaks, and supporting the integration of volatile renewable energy. A system-oriented mode of operation and selection of suitable locations with strong system relevance are crucial.

A high-performance power grid infrastructure forms the basis for the security and reliability of Austria’s electricity supply. It is not only the backbone of Austria’s economy but also a central location factor for industry, commerce, and digitalization. Investments in the grid create long-term value, secure jobs across the entire value chain, and support the establishment of new electricity-intensive future technologies (such as electrolysers, data centers, or storage solutions). Grid expansion is therefore not only a technical necessity but also a societal task that determines Austria’s resilience, competitiveness, and sustainability. Moreover, investments in the grid serve as a key lever for reducing long-term economic follow-up costs.

They reduce congestion management costs (caused by so-called redispatch), avoid curtailment of renewable energy, and reduce dependence on energy imports. Every euro invested in grid infrastructure therefore contributes multiple times to the stability, competitiveness, and resilience of the energy system. A high-performance grid infrastructure is also a prerequisite for further expansion of renewable energy, achieving Austria’s climate and energy targets, and decarbonizing all sectors. Achieving climate neutrality will require massive effort, strong engagement, cooperation, and cross-sectoral coordination. Success will depend critically on targeted expansion and modernization of the electricity grid infrastructure—both at the transmission and distribution levels.

Existing grid infrastructures are increasingly reaching their limits and are insufficient to meet the growing demands from renewable expansion and rising electricity consumption. Without targeted grid expansion, structural bottlenecks occur, which in the short term can only be bridged through congestion management and the use of grid reserve. These measures were required on up to 268 days per year between 2019 and 2024, generating annual costs of up to about €150 million. Ultimately, these additional costs must be borne by electricity customers, although investing in grid expansion would be more economically beneficial.

Energy Industry and National Context

At the end of 2023, around 6.4 GW of photovoltaic (PV) capacity and 3.9 GW of wind power were installed in Austria. Particularly in PV, installed capacity has doubled in recent years. In the “central” scenario of the TYNDP 2024—called “National Trends (NT)” reflecting the National Energy and Climate Plans of EU member states under the leadership of the European Commission—an expansion to 30 GW PV and 16 GW wind by 2040 is expected. By comparison: currently, Austria’s total installed generation capacity is around 28 GW. The Renewable Expansion Acceleration Act (EABG) aims to create the regulatory framework for this massive expansion.

These generation capacities must be integrated into the electricity system—into both the transmission and distribution grids. The high addition of renewables in the double-digit gigawatt range leads to rapidly growing requirements for grid operation, especially regarding transmission capacity, system stability, and flexibility. New challenges arise in the temporal and spatial balancing of regional surplus production as well as the storage of green electricity—nationally and across Europe.

With the Austrian Network Infrastructure Plan (ÖNIP 2024), additional grid needs have been identified beyond the NDP 2023, and these are now integrated into NDP 2025. These expansion measures represent robust solutions under the assumed scenarios and will be necessary in the medium term. They form a picture of Austria’s future transmission network ("Target Grid 2040") while ensuring coherence between ÖNIP 2024 and NDP 2025.

European Framework Conditions

In December 2024, the new European Commission announced major initiatives aimed at strengthening Europe’s competitiveness—with energy as a central lever. The “Clean Industrial Deal (CID)” aims for a climate-friendly and competitive industry, particularly in energy-intensive sectors and for green technologies. A key element is access to affordable energy, with grid expansion and system integration identified as central challenges. The “Action Plan for Affordable Energy” seeks to ensure green and affordable energy for all Europeans—among other things, through faster permitting and more system flexibility.

By the end of 2025, the “European Grid Package” is expected to anchor measures from the earlier “Action Plan for Grids” (November 2023) into law. This includes coordinated European grid planning, regulatory incentives, faster permitting, and access to financing—addressing key bottlenecks in grid expansion. In parallel, the comprehensive reform of the EU electricity market entered into force in June 2025, responding to the 2022 energy price crisis. This reform focuses heavily on system flexibility.

APG Grid Expansion and European Coordination (TYNDP)

As transmission system operator and control area manager, APG is legally required to operate, expand, and maintain the transmission grid safely, reliably, efficiently, and with consideration for environmental protection (§ 40 para. 1 no. 1 ElWOG 2010). Within ENTSO-E’s TYNDP, coordinated grid planning is carried out based on harmonized energy scenarios. These scenarios and projects are robust at both European and Austrian levels, so short- or medium-term changes do not significantly affect APG’s long-term planning.

The present Network Development Plan (NDP 2025) is a legal obligation (§ 37 ElWOG 2010). It is based on the TYNDP 2024 and is a continuation of NDP 2023. APG informs relevant market participants about planned grid expansion within the statutory ten-year horizon and provides an outlook until 2040. During the public consultation from July 9 to August 6, 2025, stakeholders could comment on NDP 2025. Their feedback was reviewed and relevant points were incorporated.

Top Grid Expansion Projects in NDP 2025

With the commissioning of the 380 kV Salzburg Line in Q2/2025, a major milestone for Austria’s grid expansion and supply security was reached. This project not only strengthens supply in Salzburg and Upper Austria, but significantly increases transport capacity and represents a key element of the planned 380 kV ring around Austria.

Building on this achievement, NDP 2025 identifies the next central steps and projects. The top expansion projects focus on completing the southern 380 kV ring, strengthening east–west transmission corridors and links to western Austria (pumped-storage facilities), supporting connections to distribution grids, and integrating renewable energy. To mitigate structural bottlenecks, modernization or upgrading of existing lines (e.g., conductor replacements) is necessary.

Projects are developed in coordination with distribution system operators, energy producers, industry, and grid customers to address regional requirements and maximize synergies. Cost efficiency is a central focus: coordinated investments and alignment with distribution expansion plans aim to reduce national economic costs.

In addition to grid expansion, comprehensive integration of renewables and climate neutrality will require storage and flexibility solutions, sector coupling, and innovative technologies on a larger scale.

Scope of Expansion Measures in APG Transmission Grid

• General refurbishment of approx. 730 km of lines
• Upgrade of approx. 70 km of existing lines to higher voltage levels
• Approx. 920 route-km of new transmission lines
• 23 new substations (“greenfield”) by 2035 plus extensive refurbishments and expansions
• Approx. 80 transformers (total capacity approx. 30,000 MVA) to connect different grid levels

If grid expansion in Austria and the NDP projects are not implemented accordingly – and as a result the necessary increases in transmission capacity and overall grid performance are only delayed or not achieved – long-term negative consequences will arise:

• Negative effects on cross-regional electricity transport
• Increasing and costly congestion management and grid reserve requirements
• Curtailments of renewables and power plants due to insufficient grid capacity
• Potential future rejection of grid connection requests
• Threats to grid and system stability and security of supply
• Significant negative impact on Austria’s economic competitiveness

Prerequisites for Grid Expansion and Conclusion

For a secure and affordable transformation of the energy system, conditions for implementing grid infrastructure projects must be accelerated and simplified. After the ElWG entered into force at the end of 2025, it is essential to quickly adopt the EABG, providing necessary framework conditions such as permitting acceleration.

Only rapid implementation of NDP projects will enable the integration and use of renewable energy. Failure to do so would increase Austria’s import dependency and lead to ongoing expensive measures such as congestion management and grid reserve. If grid capacities are insufficient, more frequent curtailment of renewables will occur during windy or sunny periods, resulting in reduced RE production, fewer CO₂ savings, and higher economic costs.

While digital integration of energy system participants is important, rapid grid expansion remains the most effective measure to ensure a secure transition. Only with fast increases in grid capacity and additional storage and flexibility options can the energy transition succeed.

APG consistently aims to ensure that grid expansion is technically robust and cost-efficient from a national economic perspective. Through the NOVA principle (“grid optimization before expansion”), targeted investment in existing infrastructure, innovative technologies, and coordinated grid development, every euro invested delivers maximum benefits for supply security, system efficiency, and climate protection in Austria.

[1] Sources: pvaustria.at/dashboard/ and  https://www.igwindkraft.at/aktuelles/windkraft-in-oesterreich