State Aid Law Blog

State Aid Uncovered Blog

In Lexxion’s State Aid Uncovered blog, Prof. Phedon Nicolaides publishes weekly critical analyses of recent State aid judgments and decisions. Each post presents the key points of a court judgment or EU Commission decision, places it in the context of similar case law or practice, assesses the underlying reasoning and highlights any inconsistencies or contradictions.

Guest contributions from other State aid experts will also be published on the blog at irregular intervals to complement the content of the blog posts.

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State Aid Uncovered ×

26. August 2025  |   State Aid Uncovered by Phedon Nicolaides

State-Aid Free Investment: Pari Passu or Benchmarked against Market Return
State Aid Blogs - State Aid Uncovered photos 19
Introduction The Finnish state owned 100% of four different companies which operated risk capital and private equity. One of those four companies was “Tesi”. Finland proposed the consolidation of the other three companies – with an estimated value of EUR 500 million – into Tesi. In addition, Finland intended to inject extra capital of EUR 300 million in Tesi. For […]
read more
No Comments
19. August 2025  |   State Aid Uncovered by Phedon Nicolaides

The Date State Aid Is Granted
State Aid Blogs - State Aid Uncovered photos 64
Introduction The date on which State aid is deemed to have been granted is a critical issue when aid is found to be incompatible with the internal market and has to be recovered. It is also critical when an approved aid scheme expires after the application for aid is submitted but before the aid is granted. On 3 July 2025, […]
read more
No Comments
12. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Linked Enterprises through Relationships between Natural Persons
State Aid Blogs - State Aid Uncovered photos 63
Introduction A perennial issue facing aid-granting authorities is whether the aid applicants are SMEs. A mis-assessment of the SME status can have dire consequences as demonstrated by a Commission decision in May 2025 concerning State aid granted by Germany to sawmill Abalon Hardwood Hessen [AHH] [SA.24030]. The Commission found the aid to be incompatible with the internal market and ordered […]
read more
No Comments
5. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Selectivity and the Reference System
State Aid Blogs - State Aid Uncovered photos 62
Introduction A public measure must be selective and satisfy the other criteria of Article 107(1) TFEU in order to be classified as State aid. The detection of selectivity requires a comparative exercise: a comparison of the aid beneficiary or beneficiaries with non-aid beneficiaries. But which non-aid beneficiaries to take into account. The answer is those who are in a similar […]
read more
No Comments
29. July 2025  |   State Aid Uncovered by Phedon Nicolaides

How to Measure the Damage Caused by an Exceptional Occurrence
State Aid Blogs - State Aid Uncovered photos 61
On 25 June 2025, the General Court, in case T‑366/22, Ryanair v Commission, dismissed the action brought by Ryanair seeking the annulment of Commission decision SA.56867.[1] That decision authorised compensation under Article 107(2)(b) TFEU for damage suffered by the German airline Condor as a result of the covid-19 pandemic. However, Condor had been in financial trouble long before the outbreak of the […]
read more
No Comments
22. July 2025  |   State Aid Uncovered by Phedon Nicolaides

The Principles of Legal Certainty and Protection of Legitimate Expectations
State Aid Blogs - State Aid Uncovered photos 60
Introduction The Commission, like all EU institutions, must respect the principles of legal certainty and protection of legitimate expectations. In the field of State aid, those principles mean, among other things, that in practice the Commission cannot reopen a State aid case if there is no change in the measure in question. On 26 June 2025, the Court of Justice […]
read more
No Comments
15. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Deductions from the Tax Base Are not Necessarily Selective
State Aid Blogs - State Aid Uncovered photos 59
Introduction Member States may design their tax system as they wish, as long as they conform with State aid rules. Tax systems do not only contain taxes but also exceptions from taxes or tax bases. Exceptions that apply to any tax payer are not selective in the meaning of Article 107(1) TFEU. For example, deduction from taxable income of the […]
read more
No Comments
8. July 2025  |   State Aid Uncovered by Phedon Nicolaides

A Finnish Tax on Sugary Drinks is not Selective
State Aid Blogs - State Aid Uncovered photos 58
Introduction Several Member States have taxed or want to tax soft drinks with added sugar. They are one of the causes of obesity without having any nutritional value. The problem is how to tax the sugary drinks without the tax being considered as State aid for the drinks that are not taxed. A recent measure implemented by Finland provides guidance […]
read more
No Comments
1. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Commission Approves State Aid after a Project Has Started
State Aid Blogs - State Aid Uncovered photos 57
Introduction A fundamental rule of State aid is that no aid may be granted after a project has already started. This rule is repeated in every Commission regulation or set of guidelines. Aid to a project that has already started lacks incentive effect and as such it is a pure waste of public money. However, in December 2022, the Court […]
read more
No Comments
24. June 2025  |   State Aid Uncovered by Phedon Nicolaides

Public Support for Infrastructure
State Aid Blogs - State Aid Uncovered photos 56
Introduction Normally, each weekly article reviews just one court judgment or Commission decision. This article deviates from normal practice. It reviews three recent Commission decisions on three different French measures of support of port infrastructure: SA.115739: Direct inland waterway access to Port of Le Havre [April 2025][1] SA.113270: Investment aid to the port of Dunkirk [December 2025][2] SA.111060: Modernisation of […]
read more
No Comments
Next Page »

State Aid Uncovered ×

26. August 2025  |   State Aid Uncovered by Phedon Nicolaides

State-Aid Free Investment: Pari Passu or Benchmarked against Market Return
State Aid Blogs - State Aid Uncovered photos 19
Introduction The Finnish state owned 100% of four different companies which operated risk capital and private equity. One of those four companies was “Tesi”. Finland proposed the consolidation of the other three companies – with an estimated value of EUR 500 million – into Tesi. In addition, Finland intended to inject extra capital of EUR 300 million in Tesi. For […]
read more
No Comments
19. August 2025  |   State Aid Uncovered by Phedon Nicolaides

The Date State Aid Is Granted
State Aid Blogs - State Aid Uncovered photos 64
Introduction The date on which State aid is deemed to have been granted is a critical issue when aid is found to be incompatible with the internal market and has to be recovered. It is also critical when an approved aid scheme expires after the application for aid is submitted but before the aid is granted. On 3 July 2025, […]
read more
No Comments
12. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Linked Enterprises through Relationships between Natural Persons
State Aid Blogs - State Aid Uncovered photos 63
Introduction A perennial issue facing aid-granting authorities is whether the aid applicants are SMEs. A mis-assessment of the SME status can have dire consequences as demonstrated by a Commission decision in May 2025 concerning State aid granted by Germany to sawmill Abalon Hardwood Hessen [AHH] [SA.24030]. The Commission found the aid to be incompatible with the internal market and ordered […]
read more
No Comments
5. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Selectivity and the Reference System
State Aid Blogs - State Aid Uncovered photos 62
Introduction A public measure must be selective and satisfy the other criteria of Article 107(1) TFEU in order to be classified as State aid. The detection of selectivity requires a comparative exercise: a comparison of the aid beneficiary or beneficiaries with non-aid beneficiaries. But which non-aid beneficiaries to take into account. The answer is those who are in a similar […]
read more
No Comments
29. July 2025  |   State Aid Uncovered by Phedon Nicolaides

How to Measure the Damage Caused by an Exceptional Occurrence
State Aid Blogs - State Aid Uncovered photos 61
On 25 June 2025, the General Court, in case T‑366/22, Ryanair v Commission, dismissed the action brought by Ryanair seeking the annulment of Commission decision SA.56867.[1] That decision authorised compensation under Article 107(2)(b) TFEU for damage suffered by the German airline Condor as a result of the covid-19 pandemic. However, Condor had been in financial trouble long before the outbreak of the […]
read more
No Comments
22. July 2025  |   State Aid Uncovered by Phedon Nicolaides

The Principles of Legal Certainty and Protection of Legitimate Expectations
State Aid Blogs - State Aid Uncovered photos 60
Introduction The Commission, like all EU institutions, must respect the principles of legal certainty and protection of legitimate expectations. In the field of State aid, those principles mean, among other things, that in practice the Commission cannot reopen a State aid case if there is no change in the measure in question. On 26 June 2025, the Court of Justice […]
read more
No Comments
15. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Deductions from the Tax Base Are not Necessarily Selective
State Aid Blogs - State Aid Uncovered photos 59
Introduction Member States may design their tax system as they wish, as long as they conform with State aid rules. Tax systems do not only contain taxes but also exceptions from taxes or tax bases. Exceptions that apply to any tax payer are not selective in the meaning of Article 107(1) TFEU. For example, deduction from taxable income of the […]
read more
No Comments
8. July 2025  |   State Aid Uncovered by Phedon Nicolaides

A Finnish Tax on Sugary Drinks is not Selective
State Aid Blogs - State Aid Uncovered photos 58
Introduction Several Member States have taxed or want to tax soft drinks with added sugar. They are one of the causes of obesity without having any nutritional value. The problem is how to tax the sugary drinks without the tax being considered as State aid for the drinks that are not taxed. A recent measure implemented by Finland provides guidance […]
read more
No Comments
1. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Commission Approves State Aid after a Project Has Started
State Aid Blogs - State Aid Uncovered photos 57
Introduction A fundamental rule of State aid is that no aid may be granted after a project has already started. This rule is repeated in every Commission regulation or set of guidelines. Aid to a project that has already started lacks incentive effect and as such it is a pure waste of public money. However, in December 2022, the Court […]
read more
No Comments
24. June 2025  |   State Aid Uncovered by Phedon Nicolaides

Public Support for Infrastructure
State Aid Blogs - State Aid Uncovered photos 56
Introduction Normally, each weekly article reviews just one court judgment or Commission decision. This article deviates from normal practice. It reviews three recent Commission decisions on three different French measures of support of port infrastructure: SA.115739: Direct inland waterway access to Port of Le Havre [April 2025][1] SA.113270: Investment aid to the port of Dunkirk [December 2025][2] SA.111060: Modernisation of […]
read more
No Comments
Next Page »

State Aid Uncovered ×

26. August 2025  |   State Aid Uncovered by Phedon Nicolaides

State-Aid Free Investment: Pari Passu or Benchmarked against Market Return
State Aid Blogs - State Aid Uncovered photos 19
Introduction The Finnish state owned 100% of four different companies which operated risk capital and private equity. One of those four companies was “Tesi”. Finland proposed the consolidation of the other three companies – with an estimated value of EUR 500 million – into Tesi. In addition, Finland intended to inject extra capital of EUR 300 million in Tesi. For […]
read more
No Comments
19. August 2025  |   State Aid Uncovered by Phedon Nicolaides

The Date State Aid Is Granted
State Aid Blogs - State Aid Uncovered photos 64
Introduction The date on which State aid is deemed to have been granted is a critical issue when aid is found to be incompatible with the internal market and has to be recovered. It is also critical when an approved aid scheme expires after the application for aid is submitted but before the aid is granted. On 3 July 2025, […]
read more
No Comments
12. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Linked Enterprises through Relationships between Natural Persons
State Aid Blogs - State Aid Uncovered photos 63
Introduction A perennial issue facing aid-granting authorities is whether the aid applicants are SMEs. A mis-assessment of the SME status can have dire consequences as demonstrated by a Commission decision in May 2025 concerning State aid granted by Germany to sawmill Abalon Hardwood Hessen [AHH] [SA.24030]. The Commission found the aid to be incompatible with the internal market and ordered […]
read more
No Comments
5. August 2025  |   State Aid Uncovered by Phedon Nicolaides

Selectivity and the Reference System
State Aid Blogs - State Aid Uncovered photos 62
Introduction A public measure must be selective and satisfy the other criteria of Article 107(1) TFEU in order to be classified as State aid. The detection of selectivity requires a comparative exercise: a comparison of the aid beneficiary or beneficiaries with non-aid beneficiaries. But which non-aid beneficiaries to take into account. The answer is those who are in a similar […]
read more
No Comments
29. July 2025  |   State Aid Uncovered by Phedon Nicolaides

How to Measure the Damage Caused by an Exceptional Occurrence
State Aid Blogs - State Aid Uncovered photos 61
On 25 June 2025, the General Court, in case T‑366/22, Ryanair v Commission, dismissed the action brought by Ryanair seeking the annulment of Commission decision SA.56867.[1] That decision authorised compensation under Article 107(2)(b) TFEU for damage suffered by the German airline Condor as a result of the covid-19 pandemic. However, Condor had been in financial trouble long before the outbreak of the […]
read more
No Comments
22. July 2025  |   State Aid Uncovered by Phedon Nicolaides

The Principles of Legal Certainty and Protection of Legitimate Expectations
State Aid Blogs - State Aid Uncovered photos 60
Introduction The Commission, like all EU institutions, must respect the principles of legal certainty and protection of legitimate expectations. In the field of State aid, those principles mean, among other things, that in practice the Commission cannot reopen a State aid case if there is no change in the measure in question. On 26 June 2025, the Court of Justice […]
read more
No Comments
15. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Deductions from the Tax Base Are not Necessarily Selective
State Aid Blogs - State Aid Uncovered photos 59
Introduction Member States may design their tax system as they wish, as long as they conform with State aid rules. Tax systems do not only contain taxes but also exceptions from taxes or tax bases. Exceptions that apply to any tax payer are not selective in the meaning of Article 107(1) TFEU. For example, deduction from taxable income of the […]
read more
No Comments
8. July 2025  |   State Aid Uncovered by Phedon Nicolaides

A Finnish Tax on Sugary Drinks is not Selective
State Aid Blogs - State Aid Uncovered photos 58
Introduction Several Member States have taxed or want to tax soft drinks with added sugar. They are one of the causes of obesity without having any nutritional value. The problem is how to tax the sugary drinks without the tax being considered as State aid for the drinks that are not taxed. A recent measure implemented by Finland provides guidance […]
read more
No Comments
1. July 2025  |   State Aid Uncovered by Phedon Nicolaides

Commission Approves State Aid after a Project Has Started
State Aid Blogs - State Aid Uncovered photos 57
Introduction A fundamental rule of State aid is that no aid may be granted after a project has already started. This rule is repeated in every Commission regulation or set of guidelines. Aid to a project that has already started lacks incentive effect and as such it is a pure waste of public money. However, in December 2022, the Court […]
read more
No Comments
24. June 2025  |   State Aid Uncovered by Phedon Nicolaides

Public Support for Infrastructure
State Aid Blogs - State Aid Uncovered photos 56
Introduction Normally, each weekly article reviews just one court judgment or Commission decision. This article deviates from normal practice. It reviews three recent Commission decisions on three different French measures of support of port infrastructure: SA.115739: Direct inland waterway access to Port of Le Havre [April 2025][1] SA.113270: Investment aid to the port of Dunkirk [December 2025][2] SA.111060: Modernisation of […]
read more
No Comments
Next Page »

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