Verbund

Verbund AG, formerly known as Verbundgesellschaft or Österreichische Elektrizitätswirtschafts-AG, is Austria's largest electricity provider. Verbund covers around 40 percent of electricity demands in Austria and generates 90 percent thereof from hydro power. In addition, Verbund operates the supraregional power grid through its subsidiary APG. Verbund AG is listed both on the Vienna Stock Exchange and in the ATX, the key index of Austrian stock-listed companies. The largest shareholder, at 51%, is the Republic of Austria.

History

1947 saw the establishment of Verbund as "Österreichische Elektrizitätswirtschafts-AG" through the second nationalization act. In the post-war years, the company’s most urgent task was the planning, construction and operation of large power plants as well as the operation of the supraregional power grid. At the same time, special purpose vehicles (SPVs) were established to promote the construction of large hydropower and thermal power plants. The shares of the Republic of Austria in these special purpose vehicles were held by Verbund as a trustee. In 1955 it was once more possible to meet electricity requirements entirely using own domestic resources. However, as a result of the rapid economic growth, additional electricity had to be imported from 1965 on.