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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3. June 2025  |   State Aid Uncovered by Phedon Nicolaides

When Does Existing Aid Become New Aid?
State Aid Blogs - State Aid Uncovered photos 53
Introduction New State aid schemes have to be notified to the Commission for prior authorisation. Changes to already authorised schemes that do not alter their nature or significantly increase their amounts do not need to be notified as they are considered to be existing aid. Article 4(1) of Regulation 794/2004 explains that “an alteration to existing aid shall mean any […]
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27. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Competitors of Recipients of State Aid Can Challenge Aid Measures only when they Can Prove they Have “Legal Standing”
State Aid Blogs - State Aid Uncovered photos 52
Introduction Perhaps paradoxically, a public authority can adopt a measure that confers an advantage to undertakings without that measure constituting State aid. This is the case, for example, when the measure is not selective or does not affect trade between Member States. A public measure may also escape being classified as State aid when it is a regulatory act. Normally, […]
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20. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Calculation of the Funding Gap of District Heating Projects
State Aid Blogs - State Aid Uncovered photos 51
Introduction The European Commission recently approved a modification of a Czech scheme for the support of district heating [SA.118343]. The modification concerned an increase of the original budget due to a) a significant rise of carbon allowance prices, b) a higher than expected demand for aid and c) strategic shifts towards accelerated decarbonisation. The original scheme is authorised by decision […]
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13. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Tax Exemption of General Application
State Aid Blogs - State Aid Uncovered photos 50
Introduction In November 2014, the General Court in case T-219/10, Autogrill v Commission, held that a tax exemption for the acquisition of foreign undertakings did not constitute State aid because it did not exclude any undertaking from benefitting from it. This was because the beneficiaries could not be identified beforehand. However, on appeal, in December 2016, the Court of Justice […]
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6. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Restructuring Aid
State Aid Blogs - State Aid Uncovered photos 49
Introduction Following a formal investigation, the Commission in decision 2025/775 approved restructuring aid to TAROM, the Romanian airline which is 97% owned by the state.[1] In 2020, Romania provided rescue aid to TAROM, which was also approved by the Commission in decision SA.56244. The rescue decision was appealed by Wizz Air. Its appeal was dismissed by the General Court in […]
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29. April 2025  |   State Aid Uncovered by Phedon Nicolaides

State Aid for Transition to a Sustainable Economy
State Aid Blogs - State Aid Uncovered photos 48
Introduction Although the Temporary Crisis and Transition Framework [TCTF] expired at the end of 2024, three sections are still valid until 31 December 2025. They are sections 2.5, 2.6 and 2.8. They support the green and digital transition to a more resilient economy. In this context, Finland notified to the Commission an aid scheme consisting of two measures: (a) Aid […]
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22. April 2025  |   Article 107(3)(b),Commission decision on SA.59158,discrimination,Guest State Aid Blog,proportionality,recapitalisation,Ryanair v Commission,T 398/21,undertaking in difficulty by Phedon Nicolaides

Member States Are not Obliged to Grant State Aid to all Undertakings Affected by a Serious Economic Disturbance
State Aid Blogs - State Aid Uncovered photos 47
Introduction On 2 April 2025, the General Court, in case T‑398/21, Ryanair v Commission, dismissed yet another appeal by Ryanair against a Commission decision on aid to airlines whose purpose was to redress the impact of covid-19.[1] In particular, Ryanair sought the annulment of Commission decision on SA.59158 concerning Polish State aid to LOT airlines. The aid was authorised by the […]
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15. April 2025  |   State Aid Uncovered by Phedon Nicolaides

The Regulation v Exploitation of a State Asset
State Aid Blogs - State Aid Uncovered photos 46
Introduction State assets which are put at the disposal of undertakings must be made available at a market rate. Free use or use at a price below the market rate means that the state forfeits potential revenue that constitutes transfer of state resources. If all the other criteria of Article 107(1) TFEU are satisfied, the free or preferential use of […]
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8. April 2025  |   State Aid Uncovered by Phedon Nicolaides

A Rare Aid Measure of No Effect on Trade
State Aid Blogs - State Aid Uncovered photos 45
Introduction The assessment by the Commission of the possible effect of State aid on intra-EU trade can be summarised in the following three-step test whose purpose is to determine whether such an effect is foreseeable [i.e. not hypothetical]: the aid must support products or services that are traded, or, in the absence of such a direct effect; the recipient undertaking(s) […]
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1. April 2025  |   State Aid Uncovered by Phedon Nicolaides

Subsidies to Incentivise Closure of Excess Capacity Are State Aid
State Aid Blogs - State Aid Uncovered photos 44
Introduction Very often Member States claim that subsidies they grant as compensation for the costs incurred by the recipient undertakings do not confer an advantage to them and therefore do not constitute State aid. The Court of Justice of the EU [CJEU] has on the whole rejected this claim even if the subsidy is less than the costs which are […]
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3. June 2025  |   State Aid Uncovered by Phedon Nicolaides

When Does Existing Aid Become New Aid?
State Aid Blogs - State Aid Uncovered photos 53
Introduction New State aid schemes have to be notified to the Commission for prior authorisation. Changes to already authorised schemes that do not alter their nature or significantly increase their amounts do not need to be notified as they are considered to be existing aid. Article 4(1) of Regulation 794/2004 explains that “an alteration to existing aid shall mean any […]
read more
No Comments
27. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Competitors of Recipients of State Aid Can Challenge Aid Measures only when they Can Prove they Have “Legal Standing”
State Aid Blogs - State Aid Uncovered photos 52
Introduction Perhaps paradoxically, a public authority can adopt a measure that confers an advantage to undertakings without that measure constituting State aid. This is the case, for example, when the measure is not selective or does not affect trade between Member States. A public measure may also escape being classified as State aid when it is a regulatory act. Normally, […]
read more
No Comments
20. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Calculation of the Funding Gap of District Heating Projects
State Aid Blogs - State Aid Uncovered photos 51
Introduction The European Commission recently approved a modification of a Czech scheme for the support of district heating [SA.118343]. The modification concerned an increase of the original budget due to a) a significant rise of carbon allowance prices, b) a higher than expected demand for aid and c) strategic shifts towards accelerated decarbonisation. The original scheme is authorised by decision […]
read more
No Comments
13. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Tax Exemption of General Application
State Aid Blogs - State Aid Uncovered photos 50
Introduction In November 2014, the General Court in case T-219/10, Autogrill v Commission, held that a tax exemption for the acquisition of foreign undertakings did not constitute State aid because it did not exclude any undertaking from benefitting from it. This was because the beneficiaries could not be identified beforehand. However, on appeal, in December 2016, the Court of Justice […]
read more
No Comments
6. May 2025  |   State Aid Uncovered by Phedon Nicolaides

Restructuring Aid
State Aid Blogs - State Aid Uncovered photos 49
Introduction Following a formal investigation, the Commission in decision 2025/775 approved restructuring aid to TAROM, the Romanian airline which is 97% owned by the state.[1] In 2020, Romania provided rescue aid to TAROM, which was also approved by the Commission in decision SA.56244. The rescue decision was appealed by Wizz Air. Its appeal was dismissed by the General Court in […]
read more
No Comments
29. April 2025  |   State Aid Uncovered by Phedon Nicolaides

State Aid for Transition to a Sustainable Economy
State Aid Blogs - State Aid Uncovered photos 48
Introduction Although the Temporary Crisis and Transition Framework [TCTF] expired at the end of 2024, three sections are still valid until 31 December 2025. They are sections 2.5, 2.6 and 2.8. They support the green and digital transition to a more resilient economy. In this context, Finland notified to the Commission an aid scheme consisting of two measures: (a) Aid […]
read more
No Comments
15. April 2025  |   State Aid Uncovered by Phedon Nicolaides

The Regulation v Exploitation of a State Asset
State Aid Blogs - State Aid Uncovered photos 46
Introduction State assets which are put at the disposal of undertakings must be made available at a market rate. Free use or use at a price below the market rate means that the state forfeits potential revenue that constitutes transfer of state resources. If all the other criteria of Article 107(1) TFEU are satisfied, the free or preferential use of […]
read more
No Comments
8. April 2025  |   State Aid Uncovered by Phedon Nicolaides

A Rare Aid Measure of No Effect on Trade
State Aid Blogs - State Aid Uncovered photos 45
Introduction The assessment by the Commission of the possible effect of State aid on intra-EU trade can be summarised in the following three-step test whose purpose is to determine whether such an effect is foreseeable [i.e. not hypothetical]: the aid must support products or services that are traded, or, in the absence of such a direct effect; the recipient undertaking(s) […]
read more
No Comments
1. April 2025  |   State Aid Uncovered by Phedon Nicolaides

Subsidies to Incentivise Closure of Excess Capacity Are State Aid
State Aid Blogs - State Aid Uncovered photos 44
Introduction Very often Member States claim that subsidies they grant as compensation for the costs incurred by the recipient undertakings do not confer an advantage to them and therefore do not constitute State aid. The Court of Justice of the EU [CJEU] has on the whole rejected this claim even if the subsidy is less than the costs which are […]
read more
No Comments
25. March 2025  |   State Aid Uncovered by Phedon Nicolaides

Measures to Support Electricity Prices Must Conform with the Principles of Non-discrimination and Proportionality
State Aid Blogs - State Aid Uncovered photos 43
Introduction On 12 March 2025, the General Court delivered its judgment in case T-596/22, PGI Spain, & Others v Commission.[1] PGI and the other applicants sought the annulment of Commission decision on SA.102454 and SA.102569 concerning a joint Spanish and Portuguese measure on the reduction of the electricity wholesale price in the Iberian peninsula. In May 2022, Spain and Portugal […]
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8. July 2021  |   Guest State Aid Blog by Alexander Rose

The UK’s New Subsidy Control Bill: Targeting a Faster, More Permissive Regime Than EU State Aid Rules
The long awaited Subsidy Control Bill has been published by the UK Government with bold promises that it will “create a new system for subsidies that can enable key domestic priorities, such as levelling up economic growth across the UK and driving our green industrial revolution“.  In this article we identify the main changes immediately emerging from the draft legislation, […]
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11. June 2020  |   Guest State Aid Blog by Erika Szyszczak

When State Aid Gets Political
State Aid Blogs - brexit 3870554 1920
We are happy to receive a guest comment on the EU – UK post-Brexit trade negotiations from Professor Emerita, Erika Szyszczak, who is a Fellow of UKTPO at the University of Sussex. This is a longer version of an earlier Blog published on the UKTPO website. Control over State aid is a stumbling block for the future of an EU […]
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14. May 2020  |   Guest State Aid Blog by Wout De Cock

Belgium and COVID-19: The European Commission Approves Several Belgian State Aid Measures
corona virus
We are happy to share with you an update on the Covid-19 measures that have been approved in Belgium. Our guest auhor Wout De Cock is a PhD candidate at the Vrije Universiteit Brussel and part-time teaching assistant at the Katholieke Universiteit Leuven.* Introduction In issue 1/2020 of the European State Aid Law Quarterly, we concluded that the European Commission […]
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17. April 2020  |   Guest State Aid Blog by Michail Kamperis

COVID-19 Measures Adopted and State Aid Measures (Hopefully) to Be Adopted: An Update from Cyprus
Corona Virus
We are happy to share with you an update on the Covid-19 measures that are or will be adopted in Cyprus. Our guest auhor Michail Kamperis is a lawyer and partner at the law firm of Ierotheou, Kamperis & Co. LLC Nicosia, Cyprus. * Sign up for our free news alert  Sign Up For Free   Cyprus is one of […]
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9. April 2020  |   Guest State Aid Blog by Lexxion Publisher

Follow Up Webinar with Phedon Nicolaides on ‚COVID-19 and State Aid Law‘ on 20 April
Woman sitting by the computer
The European Commission is working on quickly adapting the existing State aid legal framework to address the current Covid-19 pandemic. Join us on 20th April from the comfort and safety of your (home) office to get an insider update on the Covid-19 response by State aid experts from the European Commission and national governments. ✓ Join from wherever you are – […]
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9. April 2020  |   Guest State Aid Blog by Lexxion Publisher

Open Access Content Related to Covid-19: At a Glance
typewriter,
During these tough times, Lexxion Publisher wants to help to spread current news and updates on new regulations or support measures for combating the impact of the corona pandemic. Various contributions will be available as open access during the upcoming weeks. This post lists all contributions and will be updated on a rolling basis. Contributions related to State Aid & […]
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3. April 2020  |   Guest State Aid Blog by P. Kamil Rosiak

Covid-19 Support Package for Entrepreneurs: An Update from Poland
Corona Virus
We are happy to share with you an update on the Covid-19 support package that Poland is creating to support entrepeneurs fighting the impact of the corona pandemic. Our guest auhor P. Kamil Rosiak is Attorney-at-Law & Partner Associate at KPMG D.Dobkowski LP in Warsaw.* On 28 March 2020 the lower house of Polish parliament (Sejm) passed a bill (so […]
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1. April 2020  |   Guest State Aid Blog by Lexxion Publisher

Live Webinar: Covid-19 & State Aid Law in the UK Now
older woman sitting at the table, writting
Lexxion has created another new live webinar to keep you updated on current developments of Covid-19 and State aid law in the UK after Brexit. Leading State aid experts Jonathan Branton, George Peretz QC and Alexander Rose will work through the current EU State aid rules and answer your questions.   ✓ Join from wherever you are – high-quality content at […]
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25. March 2020  |   Guest State Aid Blog by Lexxion Publisher

Join our live webinar with Phedon Nicolaides on ‚COVID-19 and State Aid Law‘ on 2 April
hands typing on the laptop
Due to global developments and responding to various requests, Lexxion has created a live webinar to keep you updated on the latest news regarding the corona virus and State aid law. You can join from wherever you are and receive high-quality content at your (home) office.   In response to the Covid-19 pandemic, EU Member States are urgently rolling out […]
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1. January 2018  |   Guest State Aid Blog by Lexxion Publisher

Court’s Diary – January 2018
gavel
Find below the court’s diary for all State aid cases this month. Would you like to write a comment on one of them? Please don’t hesitate and get in touch with us ([email protected]), we are happy to publish your comment on the blog.   Tuesday 16/01/2018 Judgment in case T-747/15 – EDF v Commission (General Court – Third Chamber) Wednesday 17/01/2018 Judgment […]
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