Finance

The near blackout in the European power grid two weeks ago also hit Vienna Airport. The incident caused damage of several hundred thousand euros. There are hundreds of hardware parts that have to be replaced after the extreme frequency fluctuations, said board member Günther Ofner on Thursday. In his opinion, the “almost blackout has not yet been adequately dealt with.”

There have been several power outages at the airport. According to Ofner, the airport has emergency power generators with a capacity of ten megawatts for such cases. The emergency power supply worked perfectly this time too and kept the critical areas of the airport infrastructure in operation. However, if systems there are also destroyed by a drop in frequency, the emergency power will not help either, the board pointed out.

Two weeks ago on Friday, there was a fault in the European high-voltage power grid. The frequency dropped briefly by around 260 mHz to 49.74 Hz. According to the industry, it was the second worst incident in the European power grid to date, after a major disruption on November 4, 2006, when ten million households in Western Europe had to be disconnected from the power grid. Up to a real blackout, i.e. a complete breakdown of the power supply, there are further security levels.

The average CO2 consumption of VW engines is 99 grams per kilometer driven. Competitor BMW, however, remains below the limit.

Thanks to the electric offensive and legal tricks, Volkswagen only just missed the EU's climate protection targets. According to preliminary figures, the average value of CO2 emissions for all of the Group's new vehicles put on the roads in the past year fell by around a fifth to 99.8 grams per kilometer compared to 2019. The group missed the applicable EU limit by half a gram, for which a fine of a little more than 100 million euros was due.

A spokesman put the due fines at “a low three-digit million amount” – a little more than 100 million euros. Provisions were made for this early on, VW announced on Thursday. The profit of the final quarter was not burdened thereby.

Analysts and consultants initially expected much higher payments. For the new vehicle fleets of the German manufacturers, on the basis of the 95 euro fine per car for every gram of CO2 above the limit value, sums in the billions were forecast if they did not switch quickly to electric mobility. Daimler and BMW had already announced that, thanks to increased electrical sales, they had met their CO2 targets.

The reason for achieving Volkswagen’s goals was, in addition to the sharp increase in the number of e-cars sold by VW and Audi, so-called CO2 pooling. Here, car manufacturers who are above their limit can for a fee join forces with competitors who are below. Volkswagen has teamed up with the British brand MG of its Chinese partner SAIC, the Geely Group owned London EV Company (LEVC), the Chinese electric newcomer Aiways Automobile Europe and Next.e.Go, the successor to the Aachen-based electric car manufacturer e. Go together. In addition, the two luxury brands Bentley and Lamborghini were assessed individually, so their high emission values are not included in the balance sheet.

Volkswagen had more than quadrupled sales of electrified vehicles in the EU including Great Britain, Norway and Iceland last year to 315,400 vehicles. The proportion of purely battery-operated vehicles and plug-in hybrids, which have a battery as well as a combustion engine on board, in total deliveries increased to 9.7 (previous year 1.7) percent. With a market share of around 25 percent in Western Europe, the group sees itself as the market leader ahead of the Renault-Nissan Alliance and Tesla.

BMW, however, remains well below the climate target

According to circles, however, BMW stayed noticeably below the Brussels emission limits for climate-damaging carbon dioxide (CO2) last year. The group came to an average of around 99 grams of CO2 emissions per kilometer driven for newly sold cars in 2020, as the financial news agency dpa-AFX learned from corporate circles on Thursday. According to their own calculations, the Munich-based company should have achieved a target value of 104 grams.

A spokesman for the company did not want to comment on the information. BMW managers like CEO Oliver Zipse had often been very self-confident when it came to achieving the goals. The EU Commission has to officially confirm the emissions values of individual manufacturers. In 2020, the share of electrified cars among new vehicles on the market increased significantly, among other things because e-drives are being promoted more strongly with increased purchase premiums due to the corona pandemic.

In the EU, there have been stricter requirements for CO2 emissions since last year. Across the industry, this should – apart from transitional regulations – fall to 95 grams per kilometer driven. Each car manufacturer has its own individual goals to meet, depending on the market position and weight of the cars produced. If the real values deviate significantly from this, there is a risk of penalties: 95 euros are due per vehicle sold and average gram of CO2 too much.

Spar: “The rush overran us a bit”. Rewe and Hofer are also seeing high demand for “Filtering Face Piece” masks.

The announcement by the retailers that they will be selling the FFP2 masks, which will be mandatory in the future, from today at a price of 59 cents each, has led to quite a rush at Spar, Rewe (Billa, Merkur, Penny, Bipa, Adeg) and Hofer, they said Trading companies announced on Thursday on APA request. Some of them are already sold out, according to Spar and Rewe. At the same time it was reassured that enough masks had been ordered.

Rewe already has 5 million “Filtering Face Piece” masks of protection category 2, another 15 million have been ordered, said a Rewe spokesman. “We have now adjusted the logistics and are constantly delivering masks to the stores,” said Spar spokeswoman Nicole Berkmann.

“We were prepared for Monday, because that's when the duty begins to be well equipped and now the onslaught has overwhelmed us a bit,” admitted Berkmann. But customers can be sure that there are basically enough masks in stock. Even at Rewe, the masks are currently no longer available in some smaller branches. Hofer said that today, as expected, there was an increased demand for FFP2 masks. Continuous subsequent deliveries have already been taken care of.

From Monday (January 25th) an FFP2 mask must be worn when shopping and no longer just any mouth and nose protection. The four large retailers Spar, Rewe, Hofer and Lidl sell the protective masks at a price of 59 cents each. Typical household quantities of a maximum of 5 items per customer for individual packs and one item per 10-pack may be purchased.

The online pharmacy medistore also sells FFP2 masks to private individuals and companies for 59 cents – and this without quantity restrictions, as the company announced in a mailing. From a purchase value of 45 euros, delivery is free throughout Austria.

Despite the vaccine developed against the coronavirus, the focus of the Mainz-based company remains on cancer research.

BioNTech's financiers see the Mainz biotech company on the way to becoming a full-fledged pharmaceutical company. “We are now going step by step on our way to an independent, fully integrated pharmaceutical company from Germany,” said investor Thomas Strüngmann of “Manager Magazin.” He and his brother hold around 50 percent of the company. BioNTech comes from cancer therapy and this will remain the main focus of the company.

“After the success against Corona, infectious diseases also play a major role. The mRNA technology is suitable for a wide variety of indications,” said Strüngmann. Helmut Jeggle, who heads the Athos der Strüngmanns subsidiary, added that BioNTech wanted to develop, produce and market its own products. “We are commercializing the Covid vaccination as our first product in Germany ourselves. There is a brand, we are building up sales and marketing, and production in Marburg will start as planned in the next few weeks.”

Jeggle said that two billion cans would be delivered worldwide in 2021 as planned. In the first half of the year, 250 million doses of the corona vaccine could be produced in the Marburg plant. In addition, six instead of five vaccine doses could now be taken from a vial. “Above all, however, we have optimized our systems and the supply chain for maximum performance.”

Everything will be done to deliver the contractually agreed quantities in the first quarter. “Even if it jerks for a week or two, as is currently the case at the Belgian plant in Puurs.” BioNTech's partner, the US company Pfizer, announced delivery delays last week, as production in Puurs would first have to be throttled due to the expansion of capacities.

Austria's supermarkets are now selling FFP2 masks for 59 cents each. Those with low incomes receive these for free.

From January 25th, an FFP2 mask must be worn in shops and on public transport. Since Thursday (January 21), “Filtering Face Piece” masks of protection category 2 have been on sale in local supermarket chains at a price of 59 cents each.

The FFP2 masks, which are intended to provide better protection against possible infection, will be available individually or in packs of 10 at almost all supermarkets; they will be sold in household quantities of a maximum of five per customer or a pack of 10.

People with low incomes receive the necessary masks for free. Health Minister Rudolf Anschober announced on Thursday that the free masks for low-income earners would be distributed “from next week in the area of social centers, for example warm rooms”. There people would find themselves in “difficult situations”.

According to Rudi Anschober, “large quantities of free masks” are to be distributed in the social centers. The price in the supermarkets of 59 cents each is “well below our estimates,” said the Minister of Health.

Anschober also commented on the announced distribution of the free masks to people over 65 years of age, admitting “massive delays”. The dispatch will be “finished next week”

Key interest rate unchanged at 0.0 percent

The tightened restrictions on the economy in many euro countries are not causing Europe's monetary authorities to act again. It was only in December that the European Central Bank (ECB) stepped up massively in the fight against the economic consequences of the corona pandemic. As expected, at its first meeting in the new year on Thursday, the ECB Council confirmed the expansive monetary policy of the central bank in Frankfurt.

The emergency purchase program for government bonds and corporate securities (Pandemic Emergency Purchase Program / PEPP), which was increased by 500 billion six weeks ago, will now run unchanged at a volume of 1.85 trillion euros until at least the end of March 2022.

The purchases help states and companies alike: they do not have to offer such high interest rates for their securities if a central bank is a big buyer in the market. This is particularly important for states because they launched rescue programs worth billions during the Corona crisis that need to be financed.

In order to support the commercial banks as financiers during the crisis, the central bank issued further particularly cheap long-term loans (PELTROs) in December and relaxed the conditions for long-term loans that were already running.

In terms of interest rates, the rate also remains unchanged after the ECB meeting on Thursday: the key interest rate in the euro area is kept at a record low of 0.0 percent. Commercial banks still have to pay 0.5 percent interest when they park money at the central bank.

Wifo study – Largest decline in employment in Tyrol and Salzburg due to a lack of winter tourism – One fifth fewer employees in tourism.

The corona crisis caused record unemployment last year. Young workers and foreign workers in the tourism, gastronomy and labor hire sectors were hardest hit, according to a current Wifo study. According to federal states, the decline in employment was greatest in Tyrol and Salzburg due to the lack of winter tourism.

“The development of employment in the coming weeks and months will depend to a considerable extent on the further course of the infection and the associated (still remaining) prospects for winter tourism and gastronomy and the framework conditions for the contact-intensive areas,” says study author Julia Bock-Schappelwein . The expectations of companies, the behavior of consumers and the accompanying support measures on the part of politicians would also have an impact on the labor market in the coming weeks and months.

In the corona year 2020, employment in Austria was 3.3 percent below the previous year's level at the end of the year; on the annual average, i.e. including the time at the beginning of the year before the first lockdown, the employment losses amounted to 2.0 percent, according to the economic research institute.

On an annual average, there were almost a fifth fewer employees in tourism, 13.8 percent fewer in labor leasing, and the average decline in travel agencies was 10 percent. In the leisure and cultural sector, the number of employees fell by 6.7 percent, in personal services by 4.5 percent and in the hairdressing and cosmetic studios included in them by 7.8 percent.

Young workers between the ages of 20 and 24 were particularly hard hit in the crisis year 2020. “They are not only employed relatively often in the sectors that are particularly affected, but, given their comparatively short tenure, they are also among the first parts of the workforce to lose their jobs in a crisis,” explains Bock-Schappelwein. On average for 2020, employment in this age group was 5.7 percent below the previous year's level. The decline was particularly high in March and April at a good 10 percent.

In addition to young adults, young people up to the age of 19 were particularly hard hit by the crisis until the summer, as the number of vacation positions was well below the previous year. In July, the decline in employment was 5.9 percent; the annual average was 3.4 percent.

Men at the beginning of the year, women more strongly affected towards the end of the year

Since the beginning of the crisis, workers have been much more affected by the downsizing than salaried employees and civil servants, as they are much more frequently employed in the particularly affected area of tourism. On an annual average, the employment losses amounted to 5.8 percent.

According to the Wifo report, men were affected a little more at the beginning of the crisis and women at the end of the year. On an annual average, men (-2.1 percent) were affected by the loss of employment, relatively similarly to women (-2.0 percent).

Foreign workers, including seasonal workers, were particularly hard hit by the crisis from mid-March onwards, because they are relatively often employed in the tourism, construction and labor hire sectors. In addition, many commuters residing abroad could no longer get to work due to mobility restrictions. On average in 2020, the employment of foreign workers (excluding commuters) was 2.8 percent below the previous year's level, and 2.6 percent below that of commuters.

On an annual average, the drop in employment in Tyrol was -4.3 percent, in Salzburg -3.3 percent, in Carinthia -2.8 percent and in Vienna -2.4 percent. In Burgenland and Lower Austria these were the lowest at -0.9 percent and -0.6 percent respectively.

The key rate remains at 17.0 percent

The Turkish central bank pressed the pause button after two interest rate hikes in a row at the beginning of the year. It left the key monetary policy rate at 17.0 percent on Thursday. Economists interviewed by Reuters had expected it. The Turkish lira fell after the dollar's decision. In the Corona year 2020 it has already lost around 20 percent of its value compared to the US currency.

The monetary authorities are confronted with rising inflation, which was around 14.5 percent at the end of 2020. They have now stated that they will remain true to their tough monetary policy course until a sustained decline in inflation becomes apparent. If necessary, there will be further streamlining steps.

The influential head of state Recep Tayyip Erdogan is actually seen as an opponent of higher interest rates, but under the impression of the fall of the national currency has openly shown himself to a tighter monetary policy and hoisted his confidante Naci Agbal into the chair of the central bank.

Board of Directors: Hundreds of hardware parts need to be replaced after frequency drops.

The near blackout in the European power grid two weeks ago caused damage of several hundred thousand euros at Vienna Airport. There are hundreds of hardware parts that have to be replaced after the extreme frequency fluctuations, said board member Günther Ofner on Thursday.

There have been several power outages at the airport. For such cases, Ofner Airport has emergency power generators with a capacity of ten megawatts. The emergency power supply worked perfectly this time too and kept the critical areas of the airport infrastructure in operation. However, if systems there are also destroyed by a drop in frequency, the emergency power will not help either, the board pointed out.

Two weeks ago on Friday, there was a fault in the European high-voltage power grid. The frequency dropped briefly by around 260 mHz to 49.74 Hz. According to the industry, it was the second worst incident in the European power grid to date, after a major disruption on November 4, 2006, when ten million households in Western Europe had to be disconnected from the power grid. Up to a real blackout, i.e. a complete breakdown of the power supply, there are further security levels.

Study: Around a fifth more jobs and added value in the sector possible by 2030 – Minister: After owner-occupied buildings, electricity tank measures for apartment tenants are also planned later.

Deliveries to e-car manufacturers and suppliers for charging stations open up great job and value-added potential for Austria. The number of jobs and added value could each increase by around a fifth by 2030, according to a study presented on Thursday. Infrastructure Minister Leonore Gewessler (Greens) described the expansion of the charging infrastructure as central and announced a draft for a “right to plug” in the near future.

Gewessler is working on the “right to plug” draft together with Justice Minister Alma Zadic (Greens). This initiative, which was announced in the summer, aims to facilitate the installation of e-charging stations in apartment buildings with condominiums. Another step will certainly have to be considered for the tenant area, Gewessler told journalists. More than 40 percent of the almost 4 million main residences in Austria are rented, in Vienna the rent quota is more than three quarters – but many housing developers are not ready to retrofit their existing buildings with e-charging. “We must certainly turn a lot of screws, the first step is now to the Apartment Ownership Act,” said the climate protection minister, who is also responsible for energy, who referred tenants to the public charging infrastructure, which is constantly being expanded, to recharge their batteries.

The number of jobs in the areas involved in car manufacturing could increase from 34,400 at present to around 42,000 by 2030 – i.e. by around 7,300 jobs, according to the study carried out on behalf of the Climate and Energy Fund (KliEn), endowed with funds from the climate protection department Head of the research facility Fraunhofer Austria together with the Vienna University of Technology and Smart Mobility Power GmbH. The greatest potential is seen in electrical equipment, IT and electronic / optical products (around 7,000 positions). Around 1,000 jobs could be added by producing the e-charging infrastructure by 2030.

For domestic added value, it is assumed that the annual volume will increase by 645 million to 4 billion euros. The job and value creation potential of the domestic automotive industry depends on the degree of expansion of the charging infrastructure. From 2030 onwards, there would be around 120 million euros per year as value creation potential, it is said. According to Wilfried Sihn, Managing Director of Fraunhofer Austria, the study has shown that due to the shortage of skilled workers, potential in this country has often remained untapped.

Gewessler was pleased with the recent sharp rise in the electric car quota for new registrations. The 10 percent mark was broken for the first time in November, and in December it was already 14 percent. That the share of company cars in the new e-cars was over 80 percent is not surprising, said the minister. Because the company share in new cars is generally more than 60 percent. With new drives, the fleets are very important, and it is good that the proportion of electric vehicles is increasing sharply there. Overall, the number of e-car registrations in Austria rose by 73 percent in the previous year, she recalled. There is enough electricity for e-mobility: Even if all 5 million cars were e-cars, electricity consumption would be only 15 percent higher. The Renewable Expansion Law (EAG), which is currently being finalized, will also support e-mobility.