Austria serves as our entry point towards the East.
Austria and its neighboring EU accession candidates in the Western Balkans, including Ukraine, are more closely positioned for EU membership than Germany. This is a beneficial situation for us as well.
Energy market expert Georg Zachmann, at the Brussels think tank Bruegel, views the potential EU enlargement with the Western Balkans as a significant opportunity for Germany and Austria, stating in the podcast "Wirtschaft Welt & Weit" that it's one of the most promising growth prospects for both countries.
Zachmann is optimistic that the upcoming EU enlargement can be structured in a way that benefits all parties involved. Austria has been actively involved in the Western Balkans for some time now, serving as a launchpad for German companies looking to expand eastward.
Director of the Austrian Institute for Economic Research, Gabriel Felbermayr, discusses the presence of many German expats in Vienna in the podcast, whose interests extend beyond the Austrian market. Felbermayr also highlights Ukraine's appeal, not only due to its large market size but also because of potential post-war reconstruction projects that may soon commence. Austria's power and gas grids are heavily invested in Ukraine.
In the new podcast episode, Andrea Sellmann and the two economists delve into the potential of Ukraine for European energy supply after the war's end, examine current preferences, and discuss the advantages of a unified electricity market.
According to Zachmann, Ukraine has a wealth of opportunities to produce clean energy at competitive prices, which could then be exported to Europe, ultimately making its way to Central and Eastern Europe via Austria. However, a consistent security policy perspective is crucial to attracting private investment in Ukraine. Felbermayr concludes, "No one will invest in energy facilities or factories if there's a chance a Russian rocket will strike there tomorrow."
The EU, with Austria and its neighboring accession candidates in the Western Balkans potentially joining its ranks, presents a significant expansion opportunity for Germany, as suggested by energy market expert Georg Zachmann. Austria, already engaged in the Western Balkans, sees potential benefits for German companies looking to expand easternward and has significant investments in Ukraine's power and gas grids.
