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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17. June 2025  |   State Aid Uncovered by Phedon Nicolaides

Coverage of Losses of a State-Owned Company
State Aid Blogs - State Aid Uncovered photos 55
Introduction Eu law does not prohibit states from owning or investing in companies [see Article 345 TFEU]. This means that when the state, as owner, makes payments to the companies it owns or loses part of its capital as a result of commercial losses, it does not grant to them State aid if such payments are mandated by law and […]
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10. June 2025  |   State Aid Uncovered by Phedon Nicolaides

How to Calculate the Amount of Compensation of SGEI Providers: The Case of Distribution of Newspapers and Periodicals by Belgium’s bpost
State Aid Blogs - State Aid Uncovered photos 54
Introduction Public funding that offsets costs incurred as a result of compliance with legal obligations constitutes State aid, if all of the criteria of Article 107(1) TFEU are satisfied. The fact that the purpose of the aid is to offset higher than otherwise costs is irrelevant. However, Article 106(2) TFEU allows Member States to grant State aid to compensate for […]
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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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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 […]
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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 […]
read more
No Comments
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17. June 2025  |   State Aid Uncovered by Phedon Nicolaides

Coverage of Losses of a State-Owned Company
State Aid Blogs - State Aid Uncovered photos 55
Introduction Eu law does not prohibit states from owning or investing in companies [see Article 345 TFEU]. This means that when the state, as owner, makes payments to the companies it owns or loses part of its capital as a result of commercial losses, it does not grant to them State aid if such payments are mandated by law and […]
read more
No Comments
10. June 2025  |   State Aid Uncovered by Phedon Nicolaides

How to Calculate the Amount of Compensation of SGEI Providers: The Case of Distribution of Newspapers and Periodicals by Belgium’s bpost
State Aid Blogs - State Aid Uncovered photos 54
Introduction Public funding that offsets costs incurred as a result of compliance with legal obligations constitutes State aid, if all of the criteria of Article 107(1) TFEU are satisfied. The fact that the purpose of the aid is to offset higher than otherwise costs is irrelevant. However, Article 106(2) TFEU allows Member States to grant State aid to compensate for […]
read more
No Comments
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) […]
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24. August 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Alexander Rose
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
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10. August 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Mihalis Kekelekis
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
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27. July 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Birgit Haslinger
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
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6. July 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Ilkka Aalto-Setälä
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
read more
No Comments
22. June 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Sara Gobbato
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
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14. June 2017  |   Guest State Aid Blog by Nevin Alija

State Resources criteria in the spotlight once again: Comments on the Opinion of the Advocate General in case C-329/15 ENEA SA w Poznaniu v Prezes Urzędu Regulacji Energetyki
State Aid Blogs - m 14
Today we are glad to welcome Nevin Alija to the State Aid Blog. She is a PhD Candidate at the Católica Research Center for the Future of Law of the Católica Global School of Law, Universidade Católica Portuguesa. In this blog post she examines case C-329/15 ENEA SA w Poznaniu v Prezes Urzędu Regulacji Energetyki. Thank you, Nevin, for sharing […]
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30. May 2017  |   Guest State Aid Blog by Lexxion Publisher

15th Jubilee Feature – State Aid Experts Paying Court to EStAL: Thomas Jaeger
State Aid Blogs - Rose StateAidHub ohne Rand 24082017
Since 2002 Lexxion Publisher’s European State Aid Law Quarterly – EStAL serves as a forum for dialogue and deliberation on all issues related to State aid. On the occasion of our 15th anniversary special feature we have gathered our State aid family to reflect upon their joint journey together with our precious EStAL and of course our favourite topic State […]
read more
No Comments
1. May 2017  |   Guest State Aid Blog by Lexxion Publisher

Court’s Diary – May 2017
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.   Thursday 18/05/2017 Judgment in case C-150/16 – Fondul Proprietatea vs Complexul Energetic Oltenia SA (Court of Justice – Fifth Chamber) […]
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2. April 2017  |   Guest State Aid Blog by Lexxion Publisher

Court’s Diary – April 2017
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.   Thursday 06/04/2017 Order in case T-101/16 – Klausner Holz Niedersachsen GmbH v European Commission (General Court – Second […]
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11. March 2017  |   Guest State Aid Blog by Erika Szyszczak

State Aid is on the Agenda: Deal or No Deal
brexit
With great pleasure we welcome again Professor Erika Szyszczak to our blog. Erika is a Research Professor in Law and a Fellow of the UK Trade Policy Observatory. She is currently the Special Adviser to the House of Lords Internal Market Sub-Committee in respect of its inquiry into Brexit: competition. She is the author of The Regulation of the State […]
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