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 ×

30. October 2019  |   State Aid Uncovered by Phedon Nicolaides

The Operator of an Economic Infrastructure is an Undertaking
State Aid Blogs - m 1
The assignment of public service tasks to an infrastructure operator is not sufficient to prevent the application of State aid rules. Introduction The characterisation of an entity as an undertaking is activity based, not status based. If it carries out activities for which there is a market, it becomes an undertaking, regardless of providing services which are in the general […]
read more
No Comments
22. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Production of Green Electricity
State Aid Blogs - StateAidHub blogpost44 greenelectricity
Member States may reduce the amount of State aid they grant and companies may not claim they have a right to State aid. Introduction Close to 60% of all aid granted to industry and services in the EU goes to support environmental protection, energy efficiency and the generation of electricity from renewable sources of energy. However, as technology improves, the […]
read more
No Comments
16. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Attempting to Minimise Past State aid Is of No Interest to a Private Investor
State Aid Blogs - StateAidHub blogpost43 privateinvestor
A public authority acting as a private investor ignores past State aid. Introduction It is now a settled principle that when a public authority intends or pretends to act as a private investor it must not take into account any past aid it has granted to the company in which it wants to invest. On 19 September 2019, the General Court […]
read more
No Comments
8. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Public Service Obligations, Duration of Entrustment and Reasonable Profit
State Aid Blogs - StateAidHub blogpost41 LNGterminal
The duration of entrustment should not exceed the economic life of the investment and the rate of return should reflect the commercial risk of that investment. Introduction Is a 55-year entrustment through a direct award compatible with EU rules? And is a profit rate that exceeds the risk-free rate of return reasonable? These are some of the questions that the […]
read more
No Comments
1. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Enforcement of State Aid Rules by National Courts
State Aid Blogs - m 2
Private enforcement has increased, but damages for illegal granting of State aid have been successfully claimed in just one case. Introduction   According to the annual competition report that was published in July, Member States use the GBER to implement 96% of their new aid measures.[1] This impressive outcome should be seen in conjunction with the recent rulings of the Court […]
read more
3 Comments
24. September 2019  |   State Aid Uncovered by Phedon Nicolaides

“Invest-NL”: A New Promotional Bank
State Aid Blogs - StateAidHub blogpost39 promotionalbank
A state-owned promotional or development bank can pursue public policy objectives and also invest on terms which are acceptable to private investors. Introduction During the past decade or so several Member States have established “promotional” or “development” banks for the purpose of investing where the market does not. Private investors may be reluctant to commit their money for a variety […]
read more
No Comments
17. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Sale of a Bank without State aid
State Aid Blogs - StateAidHub blogpost38 saleofbank
The sale must be open, transparent, non-discriminatory, unconditional and the winning bid must be the offer with the highest price. Introduction The German HSH Nordbank used to be the largest provider of ship finance in the world. It had commercial presence in over 20 major financial centres. Before the outbreak of the financial crisis in 2008, HSH Nordbank had a […]
read more
No Comments
10. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Individually Notified Regional Aid
State Aid Blogs -
All individual awards of aid granted to the same project over a three-year period have to be counted together and remain below the maximum allowable aid intensity in relation to the sum of eligible costs. Introduction Hungary operates an aid scheme that offers tax credits to encourage regional investment. The scheme has been implemented on the basis of the GBER […]
read more
No Comments
3. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Presumed v Actual Compatibility of State aid with the Internal Market
State Aid Blogs - StateAidHub blogpost36 GBER BMW
State aid granted on the basis of the GBER may not be considered as authorised by the Commission. The task of Member States is to ensure that all of the requirements of the GBER are fulfilled. In particular, Member States must confirm the incentive effect of aid to large enterprises. Introduction[1]   In March 2019, the Court of Justice delivered […]
read more
No Comments
28. August 2019  |   State Aid Uncovered by Phedon Nicolaides

A Curious Case of Port Concessions
State Aid Blogs - StateAidHub blogpost35 port concessions
The obligations of a concessionaire may be made less onerous in order to enable it to remain in operation. Any adjustment of the obligations takes into account the possible legal defences of the concessionaire. Introduction The Market Economy Investor Principle [MEIP] is a powerful concept. Its many variations attest to its versatility [e.g. market economy investor, operator, vendor, creditor]. It […]
read more
No Comments
« Previous PageNext Page »

State Aid Uncovered ×

30. October 2019  |   State Aid Uncovered by Phedon Nicolaides

The Operator of an Economic Infrastructure is an Undertaking
State Aid Blogs - m 1
The assignment of public service tasks to an infrastructure operator is not sufficient to prevent the application of State aid rules. Introduction The characterisation of an entity as an undertaking is activity based, not status based. If it carries out activities for which there is a market, it becomes an undertaking, regardless of providing services which are in the general […]
read more
No Comments
22. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Production of Green Electricity
State Aid Blogs - StateAidHub blogpost44 greenelectricity
Member States may reduce the amount of State aid they grant and companies may not claim they have a right to State aid. Introduction Close to 60% of all aid granted to industry and services in the EU goes to support environmental protection, energy efficiency and the generation of electricity from renewable sources of energy. However, as technology improves, the […]
read more
No Comments
16. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Attempting to Minimise Past State aid Is of No Interest to a Private Investor
State Aid Blogs - StateAidHub blogpost43 privateinvestor
A public authority acting as a private investor ignores past State aid. Introduction It is now a settled principle that when a public authority intends or pretends to act as a private investor it must not take into account any past aid it has granted to the company in which it wants to invest. On 19 September 2019, the General Court […]
read more
No Comments
8. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Public Service Obligations, Duration of Entrustment and Reasonable Profit
State Aid Blogs - StateAidHub blogpost41 LNGterminal
The duration of entrustment should not exceed the economic life of the investment and the rate of return should reflect the commercial risk of that investment. Introduction Is a 55-year entrustment through a direct award compatible with EU rules? And is a profit rate that exceeds the risk-free rate of return reasonable? These are some of the questions that the […]
read more
No Comments
1. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Enforcement of State Aid Rules by National Courts
State Aid Blogs - m 2
Private enforcement has increased, but damages for illegal granting of State aid have been successfully claimed in just one case. Introduction   According to the annual competition report that was published in July, Member States use the GBER to implement 96% of their new aid measures.[1] This impressive outcome should be seen in conjunction with the recent rulings of the Court […]
read more
3 Comments
24. September 2019  |   State Aid Uncovered by Phedon Nicolaides

“Invest-NL”: A New Promotional Bank
State Aid Blogs - StateAidHub blogpost39 promotionalbank
A state-owned promotional or development bank can pursue public policy objectives and also invest on terms which are acceptable to private investors. Introduction During the past decade or so several Member States have established “promotional” or “development” banks for the purpose of investing where the market does not. Private investors may be reluctant to commit their money for a variety […]
read more
No Comments
17. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Sale of a Bank without State aid
State Aid Blogs - StateAidHub blogpost38 saleofbank
The sale must be open, transparent, non-discriminatory, unconditional and the winning bid must be the offer with the highest price. Introduction The German HSH Nordbank used to be the largest provider of ship finance in the world. It had commercial presence in over 20 major financial centres. Before the outbreak of the financial crisis in 2008, HSH Nordbank had a […]
read more
No Comments
10. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Individually Notified Regional Aid
State Aid Blogs -
All individual awards of aid granted to the same project over a three-year period have to be counted together and remain below the maximum allowable aid intensity in relation to the sum of eligible costs. Introduction Hungary operates an aid scheme that offers tax credits to encourage regional investment. The scheme has been implemented on the basis of the GBER […]
read more
No Comments
3. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Presumed v Actual Compatibility of State aid with the Internal Market
State Aid Blogs - StateAidHub blogpost36 GBER BMW
State aid granted on the basis of the GBER may not be considered as authorised by the Commission. The task of Member States is to ensure that all of the requirements of the GBER are fulfilled. In particular, Member States must confirm the incentive effect of aid to large enterprises. Introduction[1]   In March 2019, the Court of Justice delivered […]
read more
No Comments
28. August 2019  |   State Aid Uncovered by Phedon Nicolaides

A Curious Case of Port Concessions
State Aid Blogs - StateAidHub blogpost35 port concessions
The obligations of a concessionaire may be made less onerous in order to enable it to remain in operation. Any adjustment of the obligations takes into account the possible legal defences of the concessionaire. Introduction The Market Economy Investor Principle [MEIP] is a powerful concept. Its many variations attest to its versatility [e.g. market economy investor, operator, vendor, creditor]. It […]
read more
No Comments
« Previous PageNext Page »

State Aid Uncovered ×

30. October 2019  |   State Aid Uncovered by Phedon Nicolaides

The Operator of an Economic Infrastructure is an Undertaking
State Aid Blogs - m 1
The assignment of public service tasks to an infrastructure operator is not sufficient to prevent the application of State aid rules. Introduction The characterisation of an entity as an undertaking is activity based, not status based. If it carries out activities for which there is a market, it becomes an undertaking, regardless of providing services which are in the general […]
read more
No Comments
22. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Production of Green Electricity
State Aid Blogs - StateAidHub blogpost44 greenelectricity
Member States may reduce the amount of State aid they grant and companies may not claim they have a right to State aid. Introduction Close to 60% of all aid granted to industry and services in the EU goes to support environmental protection, energy efficiency and the generation of electricity from renewable sources of energy. However, as technology improves, the […]
read more
No Comments
16. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Attempting to Minimise Past State aid Is of No Interest to a Private Investor
State Aid Blogs - StateAidHub blogpost43 privateinvestor
A public authority acting as a private investor ignores past State aid. Introduction It is now a settled principle that when a public authority intends or pretends to act as a private investor it must not take into account any past aid it has granted to the company in which it wants to invest. On 19 September 2019, the General Court […]
read more
No Comments
8. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Public Service Obligations, Duration of Entrustment and Reasonable Profit
State Aid Blogs - StateAidHub blogpost41 LNGterminal
The duration of entrustment should not exceed the economic life of the investment and the rate of return should reflect the commercial risk of that investment. Introduction Is a 55-year entrustment through a direct award compatible with EU rules? And is a profit rate that exceeds the risk-free rate of return reasonable? These are some of the questions that the […]
read more
No Comments
1. October 2019  |   State Aid Uncovered by Phedon Nicolaides

Enforcement of State Aid Rules by National Courts
State Aid Blogs - m 2
Private enforcement has increased, but damages for illegal granting of State aid have been successfully claimed in just one case. Introduction   According to the annual competition report that was published in July, Member States use the GBER to implement 96% of their new aid measures.[1] This impressive outcome should be seen in conjunction with the recent rulings of the Court […]
read more
3 Comments
24. September 2019  |   State Aid Uncovered by Phedon Nicolaides

“Invest-NL”: A New Promotional Bank
State Aid Blogs - StateAidHub blogpost39 promotionalbank
A state-owned promotional or development bank can pursue public policy objectives and also invest on terms which are acceptable to private investors. Introduction During the past decade or so several Member States have established “promotional” or “development” banks for the purpose of investing where the market does not. Private investors may be reluctant to commit their money for a variety […]
read more
No Comments
17. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Sale of a Bank without State aid
State Aid Blogs - StateAidHub blogpost38 saleofbank
The sale must be open, transparent, non-discriminatory, unconditional and the winning bid must be the offer with the highest price. Introduction The German HSH Nordbank used to be the largest provider of ship finance in the world. It had commercial presence in over 20 major financial centres. Before the outbreak of the financial crisis in 2008, HSH Nordbank had a […]
read more
No Comments
10. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Individually Notified Regional Aid
State Aid Blogs -
All individual awards of aid granted to the same project over a three-year period have to be counted together and remain below the maximum allowable aid intensity in relation to the sum of eligible costs. Introduction Hungary operates an aid scheme that offers tax credits to encourage regional investment. The scheme has been implemented on the basis of the GBER […]
read more
No Comments
3. September 2019  |   State Aid Uncovered by Phedon Nicolaides

Presumed v Actual Compatibility of State aid with the Internal Market
State Aid Blogs - StateAidHub blogpost36 GBER BMW
State aid granted on the basis of the GBER may not be considered as authorised by the Commission. The task of Member States is to ensure that all of the requirements of the GBER are fulfilled. In particular, Member States must confirm the incentive effect of aid to large enterprises. Introduction[1]   In March 2019, the Court of Justice delivered […]
read more
No Comments
28. August 2019  |   State Aid Uncovered by Phedon Nicolaides

A Curious Case of Port Concessions
State Aid Blogs - StateAidHub blogpost35 port concessions
The obligations of a concessionaire may be made less onerous in order to enable it to remain in operation. Any adjustment of the obligations takes into account the possible legal defences of the concessionaire. Introduction The Market Economy Investor Principle [MEIP] is a powerful concept. Its many variations attest to its versatility [e.g. market economy investor, operator, vendor, creditor]. It […]
read more
No Comments
« Previous PageNext Page »

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