Bureaucracy reduction: Government seeks billion-dollar relief - Government Unveils Sweeping Reforms to Slash Bureaucracy, Reduce Energy Costs
The government has unveiled a sweeping package of reforms aimed at slashing bureaucracy, reducing energy costs, and streamlining processes. The measures, approved by the federal cabinet, are projected to save billions of euros and ease burdens on businesses and citizens.
Key among the reforms is the elimination of mandatory continuing education for property managers and agents. Additionally, construction permits will be expedited by relaxing non-essential technical standards in building regulations. The Ministry for Digital Affairs and Administrative Modernization has been established to coordinate these efforts.
In the realm of energy, authorities have announced a reduction in the electricity tax for industry and agriculture, a federal subsidy for transmission network charges, and the abolition of the gas storage levy. These measures aim to reduce energy costs by several billion euros by mid-2026. Furthermore, a concept to reduce bureaucracy in occupational safety, particularly for small and medium-sized enterprises, is planned to bring about 200 million euros in annual savings starting from late 2025.
To ease administrative burdens, electric vehicles will be exempt from displaying an environmental sticker. Workplace safety rules have been eased, exempting small companies from appointing a safety officer. The legal framework for digital driver's licenses via smartphone has been established, with a target rollout by late 2026. The 'heating system label' requirement has been scrapped, and property purchase agreements have been fully digitalized, allowing them to be executed electronically.
To facilitate immigration, a 'Work and Stay Agency' will serve as a one-stop digital portal for foreign skilled workers, streamlining visa and residency formalities. AI will be deployed in migration administration, such as using automated systems to verify document authenticity in visa applications.
The government's ambitious reform package, expected to save at least €100 million in key areas and billions more in additional measures, aims to reduce bureaucracy, lower energy costs, and simplify processes. With over 50 additional measures in the pipeline, these reforms are set to have a significant impact on businesses and citizens alike.
