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 ×

7. March 2023  |   State Aid Uncovered by Phedon Nicolaides

Tax Advantages and Competitive Bidding
State Aid Blogs - State Aid Uncovered SM posts 9
Introduction Award of contracts or sale of state assets through competitive bidding procedures or tenders are presumed to result in a market prices and to confer no advantage to the winner in the meaning of Article 107(1) TFEU. However, on 25 January 2023, the General Court ruled, in case T-666/21, Società Navigazione Siciliana v European Commission, that certain tax advantages […]
read more
No Comments
28. February 2023  |   State Aid Uncovered by Phedon Nicolaides

Discretion of Public Authorities and Selectivity
State Aid Blogs - State Aid Uncovered SM posts 30
Introduction On 2 February 2023, the Court of justice, in case C649/20 P, Spain and Others v European Commission, clarified the extent to which public authorities can implement general measures without in practice favouring any undertaking. The exercise of administrative discretion can turn a general measure into selective. The Court made a distinction between what may be called “related” or […]
read more
No Comments
21. February 2023  |   State Aid Uncovered by Phedon Nicolaides

The Selectivity and Profitability of Agreements between Airports and Airlines
State Aid Blogs - State Aid Uncovered SM posts 27
Introduction Selectivity is a tricky issue. Even a measure that appears not to favour or exclude any undertaking may in practice prove to be selective if its effects favour certain undertakings over others that are in a comparable situation. In order to determine whether they are comparable it necessary to examine the objective of the measure. This is what the […]
read more
No Comments
8. February 2023  |   State Aid Uncovered by Phedon Nicolaides

State Aid May Have an Incentive Effect Even After the Start of Work: But Would it Favour Inefficient Operators?
State Aid Blogs - Untitled design 11
Introduction Perhaps the most important aspect of the compatibility of State aid with the internal market is the presence of incentive effect. That is, the aid is capable of changing the behaviour of the recipient. If it does not, then public money is wasted because it has no effect on what happens on the market anyway. In principle, in order […]
read more
No Comments
30. January 2023  |   State Aid Uncovered by Phedon Nicolaides

Cumulation of State Aid Granted by Different Member States
State Aid Blogs - State Aid Uncovered SM posts 6
Introduction The EU Green Deal and the Climate, Environmental Protection and Energy Aid Guidelines [CEEAG] allow Member States to grant more aid, in diversity and amounts, to incentivise companies to invest in greener technologies and energy. However, when multiple Member States grant aid for the same purpose, there is a risk of overcompensation of undertakings that operate across Member States. […]
read more
No Comments
24. January 2023  |   State Aid Uncovered by Phedon Nicolaides

State Resources Include all the Resources that Can be Directed by the State for its own Purposes
State Aid Blogs - State Aid Uncovered SM posts 40
Introduction On 12 January 2023, the Court of Justice delivered its judgment in joined cases C-702/20, DOBELES HES and C-17/21, Sabiedrisko pakalpojumu regulēšanas komisija.[1] A Latvian court requested the Court of Justice to provide a preliminary ruling on the interpretation of Article 107(1) TFEU, Article 108(3) TFEU, Regulation 1407/2013 on de minimis aid and of the procedural Regulation 2015/1589. The […]
read more
No Comments
17. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Private Acquirer Test: An Illuminating and also Puzzling Judgment
State Aid Blogs - State Aid Uncovered SM posts 22
A public authority may act as a market operator and acquire services through a private third party without conferring an advantage to the provider of those services. Introduction When a public authority buys a service and pays the market price it does not confer an advantage to the seller in the meaning of Article 107(1) TFEU. Even if it pursues […]
read more
No Comments
10. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Value of Land
State Aid Blogs - State Aid Uncovered SM posts 19
Different valuation methods do not confer a selective advantage if they generate similar results. Introduction Land or immovable property has no intrinsic value. Its value depends on how the land or property is used. In turn, how it is used is determined by several factors such as its location, and the applicable zoning rules. A plot of land in an […]
read more
No Comments
3. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Link between State Aid and Environmental Provisions of EU Law
State Aid Blogs - State Aid Uncovered SM posts 17
Introduction It is an established principle in the case law that the Commission may not authorise State aid that infringes other provisions of EU law, both primary and secondary. Now consider the following case. A Member State notifies to the Commission regional investment aid to support the construction of a mega factory. The factory will produce its own energy and […]
read more
No Comments
13. December 2022  |   State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty
State Aid Blogs - State Aid Uncovered SM posts 12
In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]
read more
No Comments
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State Aid Uncovered ×

7. March 2023  |   State Aid Uncovered by Phedon Nicolaides

Tax Advantages and Competitive Bidding
State Aid Blogs - State Aid Uncovered SM posts 9
Introduction Award of contracts or sale of state assets through competitive bidding procedures or tenders are presumed to result in a market prices and to confer no advantage to the winner in the meaning of Article 107(1) TFEU. However, on 25 January 2023, the General Court ruled, in case T-666/21, Società Navigazione Siciliana v European Commission, that certain tax advantages […]
read more
No Comments
28. February 2023  |   State Aid Uncovered by Phedon Nicolaides

Discretion of Public Authorities and Selectivity
State Aid Blogs - State Aid Uncovered SM posts 30
Introduction On 2 February 2023, the Court of justice, in case C649/20 P, Spain and Others v European Commission, clarified the extent to which public authorities can implement general measures without in practice favouring any undertaking. The exercise of administrative discretion can turn a general measure into selective. The Court made a distinction between what may be called “related” or […]
read more
No Comments
21. February 2023  |   State Aid Uncovered by Phedon Nicolaides

The Selectivity and Profitability of Agreements between Airports and Airlines
State Aid Blogs - State Aid Uncovered SM posts 27
Introduction Selectivity is a tricky issue. Even a measure that appears not to favour or exclude any undertaking may in practice prove to be selective if its effects favour certain undertakings over others that are in a comparable situation. In order to determine whether they are comparable it necessary to examine the objective of the measure. This is what the […]
read more
No Comments
8. February 2023  |   State Aid Uncovered by Phedon Nicolaides

State Aid May Have an Incentive Effect Even After the Start of Work: But Would it Favour Inefficient Operators?
State Aid Blogs - Untitled design 11
Introduction Perhaps the most important aspect of the compatibility of State aid with the internal market is the presence of incentive effect. That is, the aid is capable of changing the behaviour of the recipient. If it does not, then public money is wasted because it has no effect on what happens on the market anyway. In principle, in order […]
read more
No Comments
30. January 2023  |   State Aid Uncovered by Phedon Nicolaides

Cumulation of State Aid Granted by Different Member States
State Aid Blogs - State Aid Uncovered SM posts 6
Introduction The EU Green Deal and the Climate, Environmental Protection and Energy Aid Guidelines [CEEAG] allow Member States to grant more aid, in diversity and amounts, to incentivise companies to invest in greener technologies and energy. However, when multiple Member States grant aid for the same purpose, there is a risk of overcompensation of undertakings that operate across Member States. […]
read more
No Comments
24. January 2023  |   State Aid Uncovered by Phedon Nicolaides

State Resources Include all the Resources that Can be Directed by the State for its own Purposes
State Aid Blogs - State Aid Uncovered SM posts 40
Introduction On 12 January 2023, the Court of Justice delivered its judgment in joined cases C-702/20, DOBELES HES and C-17/21, Sabiedrisko pakalpojumu regulēšanas komisija.[1] A Latvian court requested the Court of Justice to provide a preliminary ruling on the interpretation of Article 107(1) TFEU, Article 108(3) TFEU, Regulation 1407/2013 on de minimis aid and of the procedural Regulation 2015/1589. The […]
read more
No Comments
17. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Private Acquirer Test: An Illuminating and also Puzzling Judgment
State Aid Blogs - State Aid Uncovered SM posts 22
A public authority may act as a market operator and acquire services through a private third party without conferring an advantage to the provider of those services. Introduction When a public authority buys a service and pays the market price it does not confer an advantage to the seller in the meaning of Article 107(1) TFEU. Even if it pursues […]
read more
No Comments
10. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Value of Land
State Aid Blogs - State Aid Uncovered SM posts 19
Different valuation methods do not confer a selective advantage if they generate similar results. Introduction Land or immovable property has no intrinsic value. Its value depends on how the land or property is used. In turn, how it is used is determined by several factors such as its location, and the applicable zoning rules. A plot of land in an […]
read more
No Comments
3. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Link between State Aid and Environmental Provisions of EU Law
State Aid Blogs - State Aid Uncovered SM posts 17
Introduction It is an established principle in the case law that the Commission may not authorise State aid that infringes other provisions of EU law, both primary and secondary. Now consider the following case. A Member State notifies to the Commission regional investment aid to support the construction of a mega factory. The factory will produce its own energy and […]
read more
No Comments
13. December 2022  |   State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty
State Aid Blogs - State Aid Uncovered SM posts 12
In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]
read more
No Comments
« Previous PageNext Page »

State Aid Uncovered ×

7. March 2023  |   State Aid Uncovered by Phedon Nicolaides

Tax Advantages and Competitive Bidding
State Aid Blogs - State Aid Uncovered SM posts 9
Introduction Award of contracts or sale of state assets through competitive bidding procedures or tenders are presumed to result in a market prices and to confer no advantage to the winner in the meaning of Article 107(1) TFEU. However, on 25 January 2023, the General Court ruled, in case T-666/21, Società Navigazione Siciliana v European Commission, that certain tax advantages […]
read more
No Comments
28. February 2023  |   State Aid Uncovered by Phedon Nicolaides

Discretion of Public Authorities and Selectivity
State Aid Blogs - State Aid Uncovered SM posts 30
Introduction On 2 February 2023, the Court of justice, in case C649/20 P, Spain and Others v European Commission, clarified the extent to which public authorities can implement general measures without in practice favouring any undertaking. The exercise of administrative discretion can turn a general measure into selective. The Court made a distinction between what may be called “related” or […]
read more
No Comments
21. February 2023  |   State Aid Uncovered by Phedon Nicolaides

The Selectivity and Profitability of Agreements between Airports and Airlines
State Aid Blogs - State Aid Uncovered SM posts 27
Introduction Selectivity is a tricky issue. Even a measure that appears not to favour or exclude any undertaking may in practice prove to be selective if its effects favour certain undertakings over others that are in a comparable situation. In order to determine whether they are comparable it necessary to examine the objective of the measure. This is what the […]
read more
No Comments
8. February 2023  |   State Aid Uncovered by Phedon Nicolaides

State Aid May Have an Incentive Effect Even After the Start of Work: But Would it Favour Inefficient Operators?
State Aid Blogs - Untitled design 11
Introduction Perhaps the most important aspect of the compatibility of State aid with the internal market is the presence of incentive effect. That is, the aid is capable of changing the behaviour of the recipient. If it does not, then public money is wasted because it has no effect on what happens on the market anyway. In principle, in order […]
read more
No Comments
30. January 2023  |   State Aid Uncovered by Phedon Nicolaides

Cumulation of State Aid Granted by Different Member States
State Aid Blogs - State Aid Uncovered SM posts 6
Introduction The EU Green Deal and the Climate, Environmental Protection and Energy Aid Guidelines [CEEAG] allow Member States to grant more aid, in diversity and amounts, to incentivise companies to invest in greener technologies and energy. However, when multiple Member States grant aid for the same purpose, there is a risk of overcompensation of undertakings that operate across Member States. […]
read more
No Comments
24. January 2023  |   State Aid Uncovered by Phedon Nicolaides

State Resources Include all the Resources that Can be Directed by the State for its own Purposes
State Aid Blogs - State Aid Uncovered SM posts 40
Introduction On 12 January 2023, the Court of Justice delivered its judgment in joined cases C-702/20, DOBELES HES and C-17/21, Sabiedrisko pakalpojumu regulēšanas komisija.[1] A Latvian court requested the Court of Justice to provide a preliminary ruling on the interpretation of Article 107(1) TFEU, Article 108(3) TFEU, Regulation 1407/2013 on de minimis aid and of the procedural Regulation 2015/1589. The […]
read more
No Comments
17. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Private Acquirer Test: An Illuminating and also Puzzling Judgment
State Aid Blogs - State Aid Uncovered SM posts 22
A public authority may act as a market operator and acquire services through a private third party without conferring an advantage to the provider of those services. Introduction When a public authority buys a service and pays the market price it does not confer an advantage to the seller in the meaning of Article 107(1) TFEU. Even if it pursues […]
read more
No Comments
10. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Value of Land
State Aid Blogs - State Aid Uncovered SM posts 19
Different valuation methods do not confer a selective advantage if they generate similar results. Introduction Land or immovable property has no intrinsic value. Its value depends on how the land or property is used. In turn, how it is used is determined by several factors such as its location, and the applicable zoning rules. A plot of land in an […]
read more
No Comments
3. January 2023  |   State Aid Uncovered by Phedon Nicolaides

The Link between State Aid and Environmental Provisions of EU Law
State Aid Blogs - State Aid Uncovered SM posts 17
Introduction It is an established principle in the case law that the Commission may not authorise State aid that infringes other provisions of EU law, both primary and secondary. Now consider the following case. A Member State notifies to the Commission regional investment aid to support the construction of a mega factory. The factory will produce its own energy and […]
read more
No Comments
13. December 2022  |   State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty
State Aid Blogs - State Aid Uncovered SM posts 12
In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]
read more
No Comments
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