State Aid - Horizon Scanner: Infrastructure, Construction, Energy, June 2024

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The European Commission adopted an amendment to the Guidelines on Regional State aid ("RAG"). The RAG sets out the rules under which Member States can grant State aid to companies...
European Union Energy and Natural Resources
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COMMISSION AMENDS GUIDELINES ON REGIONAL STATE AID TO ALLOW INCREASED SUPPORT TO STRATEGIC TECHNOLOGIES FOR EUROPE PLATFORM PROJECTS

The European Commission adopted an amendment to the Guidelines on Regional State aid ("RAG"). The RAG sets out the rules under which Member States can grant State aid to companies to support investments in the less advantaged regions of Europe. The amendment will allow Member States to grant higher amounts of regional aid for investment projects covered by the Strategic Technologies for Europe Platform ("STEP"). Further information can be found here.

COMMISSION APPROVES UP TO €1.4 BILLION OF STATE AID FOR THE FOURTH IMPORTANT PCI IN THE HYDROGEN VALUE CHAIN

The Commission approved a fourth Important Project of Common European Interest ("IPCEI"), involving seven Member States, to support research, innovation and the first industrial deployment in the hydrogen value chain. Completion of the overall IPCEI is expected by 2031. Further information can be found here.

COMMISSION APPROVES CZECH STATE AID SCHEME TO SUPPORT HIGH-EFFICIENCY COMBINED HEAT AND POWER GENERATION

The Commission approved a €3.2 billion Czech scheme to support the production of electricity from new and modernised high-efficiency CHP plants. The beneficiaries are operators of new or modernised CHP installations that meet the definition of high-efficiency cogeneration in the Energy Efficiency Directive. All technologies are eligible except for those powered by solid fossil fuels, diesel and oil. Further information can be found here.

COMMISSION APPROVES FRENCH STATE AID SCHEME TO SUPPORT DECARBONISATION IN THE MANUFACTURING SECTOR

The Commission approved a €4 billion French scheme to support measures aimed at reducing emissions in the manufacturing sector. Eligible electrification projects must lead to a reduction of emissions from industrial processes of at least 40% compared to today, while energy efficiency projects must lead to a reduction in the energy consumed in industrial processes of at least 20% compared to today. Further information can be found here.

COMMISSION APPROVES GERMAN STATE AID SCHEME TO SUPPORT RAIL FREIGHT TRANSPORT OPERATORS

The Commission approved a €1.7 billion German scheme to support rail freight operators providing single and group wagon transport. The aim is to help rail operators cover part of the high operating cost, to support a modal shift from road to rail transport. Further information can be found here.

COMMISSION APPROVES UP TO €1 BILLION OF STATE AID BY SIX MEMBER STATES FOR THE FIRST IMPORTANT PCI IN THE HEALTH SECTOR

The Commission approved the first IPCEI to support research, innovation and the first industrial deployment of healthcare products, as well as innovative production processes of pharmaceuticals. The project aim to accelerate medical advancement and foster the resilience of the EU health industry. Completion of the overall IPCEI is planned for 2036. Further information can be found here.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

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