Daily News 08 / 08 / 2024

Daily News 08 / 08 / 2024

Commission approves amendment to Italian State aid scheme under Recovery and Resilience Facility to support investments in photovoltaic panels in agricultural sector

The European Commission has approved, under EU State aid rules, an amendment to an Italian scheme made available through the Recovery and Resilience Facility (‘RRF') to support investments in photovoltaic panels in the agricultural sector.

The scheme was originally approved by the Commission in July 2022, and its amendment in June 2023. The scheme aims to support agricultural, breeding and agro-industrial companies to invest in the use of renewable energy. The scheme will run until 31 December 2026.

Italy notified one amendment to the scheme, namely a budget increase of €785 million, bringing the overall budget of the scheme to €1.6 billion.

The Commission assessed the amended scheme under the EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the EU, which allows Member States to support the development of certain economic activities under certain conditions, and the Guidelines for State aid in the agricultural and forestry sectors and in rural areas. The Commission found that the amended scheme remains necessary, appropriate and proportionate to ensure a sustainable growth of the agricultural sector. On this basis, the Commission approved the scheme under EU State aid rules.

The non-confidential version of the decision will be made available under the case number SA.113779 in the State aid register on the Commission's competition website once any confidentiality issues have been resolved.

(For more information: Francesca Dalboni – Tel.: +32 2 298 81 70; Nina Ferreira - Tel.: +32 2 299 81 63)

Commission approves amendments of Slovak State aid scheme to support energy-intensive companies

The European Commission has approved, under EU State aid rules, amendments to a Slovak scheme to partially compensate energy-intensive companies for the electricity levy financing support to renewable energy production. The scheme aims at mitigating the risk that, due to this levy, energy-intensive companies may relocate their activities to locations outside the EU with less ambitious climate policies. The original scheme was approved by the Commission in September 2019.

The amendments align the scheme with the 2022 Guidelines on State aid for climate, environmental protection and energy (‘CEEAG') and extend its duration until 31 December 2030. The total budget following the amendments is approximately €300 million, while the annual budget of €40 million remains unchanged.

The amended scheme will benefit companies active in sectors listed in Annex 1 of the CEEAG. Those sectors rely heavily on electricity and are particularly exposed to international trade. Beneficiaries will receive a levy reduction between 75% and 85%, depending on their risk exposure. The applicable reduction must not result in a levy below 0.5 EUR/MWh. Under the scheme, beneficiaries will have to implement recommendations set out in the energy audit report or cover at least 30% of their electricity consumption with carbon-free sources.

The Commission assessed the amended scheme under EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the EU, which enables Member States to support economic activities under certain conditions, and the CEEAG. The Commission found that the scheme continues to facilitate the development of economic activities relying heavily on electricity and particularly exposed to international competition. In addition, the scheme remains necessary and appropriate to contribute to achieving the European Green Deal objectives. Moreover, the scheme is proportionate as the individual aid amounts do not exceed the maximum aid amount allowed under the CEEAG. The Commission concluded that the positive effects of the scheme outweigh any possible negative effects on competition and trade in the EU. On this basis, the Commission approved the amended scheme under EU State aid rules.

The non-confidential version of the decision will be made available under the number SA.110954 in the State aid register on the Commission's competition website once any confidentiality issues have been resolved.

(For more information: Francesca Dalboni – Tel.: +32 2 298 81 70; Nina Ferreira - Tel.: +32 2 299 81 63)

Commission clears acquisition of ALLETE by GIP Funds and CPPIB

The European Commission has approved, under the EU Merger Regulation, the acquisition of joint control of ALLETE, Inc. by funds managed by Global Infrastructure Management, LLC (‘GIP Funds'), both of the US, and Canada Pension Plan Investment Board (‘CPPIB') of Canada.

The transaction relates primarily to the electric power generation and distribution sector.

The Commission concluded that the notified transaction would not raise competition concerns, given the limited impact on the European Economic Area. The notified transaction was examined under the simplified merger review procedure.

More information is available on the Commission's competition website, in the public case register under the case number M.11600.

(For more information: Francesca Dalboni – Tel.: +32 2 298 81 70; Nina Ferreira - Tel.: +32 2 299 81 63)

Commission clears acquisition of FGP Topco Limited by Ardian France S.A. and Qatar Holding LLC

The European Commission has approved, under the EU Merger Regulation, the acquisition of joint control of FGP Topco Limited of the UK, by Ardian France S.A. of France and Qatar Holding LLC of Qatar. FGP Topco Limited owns and manages Heathrow Airport in the UK.

The transaction relates primarily to the air transport sector.

The Commission concluded that the notified transaction would not raise competition concerns, given the limited impact on the European Economic Area (‘EEA'), as FGP Topco Limited has no current or expected turnover in the EEA. The notified transaction was examined under the simplified merger review procedure.

More information is available on the Commission's competition website, in the public case register under the case number M.11651.

(For more information: Francesca Dalboni – Tel.: +32 2 298 81 70; Nina Ferreira - Tel.: +32 2 299 81 63)

Tentative agendas for forthcoming Commission meetings

Note that these items can be subject to changes.

Upcoming events of the European Commission

Eurostat press releases