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 ×

17. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Can a Tax (rather than a Tax Exemption) Confer a Selective Advantage?
State Aid Blogs - StateAidHub blogpost52 Stateaid Lexxion TAX Water Spain European Commission
A tax that is levied at one level of government and does not apply to products and activities at a different level of government need not be selective. Introduction A tax exemption normally confers a selective advantage, unless it is justified by the logic of the tax. Counterintuitively, a tax itself can be selectively advantageous if its scope is too […]
read more
No Comments
10. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Retroactive Application of the GBER
State Aid Blogs - m
When an aid scheme is adjusted by limiting the eligible beneficiaries, it becomes “new” aid and must be notified to the Commission. The GBER can be applied retroactively to aid that was granted before it came into force.   Introduction In July 2016, Dilly’s Wellnesshotel wrote legal history for being the first undertaking to contest the application of the General […]
read more
No Comments
5. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Will Brexit Usher in Protectionism?
State Aid Blogs - StateAid Blogpost Brexit EU Lexxion
The Financial Times reported on Friday, 29 November 2019, that the Conservative party in the UK announced that it would establish a different state aid system to “protect British industry after Brexit”. The Prime Minister, Boris Johnson, was quoted to have said at a press conference on the same date that the new state aid system would make it “faster […]
read more
No Comments
3. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Separability of Economic from Non-economic Activities
State Aid Blogs - StateAidHub blogpost50 2019 lexxion economy printing non economic Stateaid SGEI
Activities which are inseparable from the exercise of official powers are non-economic. Introduction   Pure research whose results are widely disseminated is undoubtedly a non-economic activity. Research reports are often published on the internet. But the design and management of a research organisation’s website can be an economic activity. Plenty of private companies provide these services for a fee. Does […]
read more
2 Comments
26. November 2019  |   State Aid Uncovered by Phedon Nicolaides

How to Assess a Shareholder Loan
State Aid Blogs - StateAidHub blogpost49 shareholder loan MEOP
A shareholder loan cannot be simply compared to a bank loan because the shareholder also benefits from improvements in the future profitability of the borrower. Introduction When a public authority grants a loan to a company, the methodology in the 2008 Commission communication on reference and discount rates can be used to determine whether the loan contains State aid. However, […]
read more
2 Comments
19. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Compensation to a Toll Road Operator
State Aid Blogs - StateAidHub blogpost48 toll road motorways Poland obligations StateAid
Contractual obligation to provide compensation that does not exceed the loss of income is not State aid. Introduction When is a company entitled to compensation by the state? The easy answer is “when the state is liable for damage”. However, it may be possible for a company to claim compensation from the state when the state has assumed contractual obligations. […]
read more
No Comments
14. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Risk Finance
State Aid Blogs - StateAidHub blogpost47 Finance lexxion GBER SMEs
Risk finance measures for the support for large enterprises or SMEs which operate for longer than seven years fall outside the GBER and must be notified individually to the Commission. Introduction Since the State aid modernisation and the new rules that were introduced in 2014, only a handful of risk finance measures [7-8?] have been notified to the European Commission […]
read more
No Comments
5. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Economic Continuity in Recovery of Incompatible State aid
Lab test
The new owner of a company that received incompatible State aid may be liable to pay it back. Introduction   Companies rarely escape from the obligation to repay incompatible State aid. Over the past decade or so, very few companies have successfully argued that they legitimately expected that the aid they received was compatible with the internal market. When a […]
read more
No Comments
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
« Previous PageNext Page »

State Aid Uncovered ×

17. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Can a Tax (rather than a Tax Exemption) Confer a Selective Advantage?
State Aid Blogs - StateAidHub blogpost52 Stateaid Lexxion TAX Water Spain European Commission
A tax that is levied at one level of government and does not apply to products and activities at a different level of government need not be selective. Introduction A tax exemption normally confers a selective advantage, unless it is justified by the logic of the tax. Counterintuitively, a tax itself can be selectively advantageous if its scope is too […]
read more
No Comments
10. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Retroactive Application of the GBER
State Aid Blogs - m
When an aid scheme is adjusted by limiting the eligible beneficiaries, it becomes “new” aid and must be notified to the Commission. The GBER can be applied retroactively to aid that was granted before it came into force.   Introduction In July 2016, Dilly’s Wellnesshotel wrote legal history for being the first undertaking to contest the application of the General […]
read more
No Comments
5. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Will Brexit Usher in Protectionism?
State Aid Blogs - StateAid Blogpost Brexit EU Lexxion
The Financial Times reported on Friday, 29 November 2019, that the Conservative party in the UK announced that it would establish a different state aid system to “protect British industry after Brexit”. The Prime Minister, Boris Johnson, was quoted to have said at a press conference on the same date that the new state aid system would make it “faster […]
read more
No Comments
3. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Separability of Economic from Non-economic Activities
State Aid Blogs - StateAidHub blogpost50 2019 lexxion economy printing non economic Stateaid SGEI
Activities which are inseparable from the exercise of official powers are non-economic. Introduction   Pure research whose results are widely disseminated is undoubtedly a non-economic activity. Research reports are often published on the internet. But the design and management of a research organisation’s website can be an economic activity. Plenty of private companies provide these services for a fee. Does […]
read more
2 Comments
26. November 2019  |   State Aid Uncovered by Phedon Nicolaides

How to Assess a Shareholder Loan
State Aid Blogs - StateAidHub blogpost49 shareholder loan MEOP
A shareholder loan cannot be simply compared to a bank loan because the shareholder also benefits from improvements in the future profitability of the borrower. Introduction When a public authority grants a loan to a company, the methodology in the 2008 Commission communication on reference and discount rates can be used to determine whether the loan contains State aid. However, […]
read more
2 Comments
19. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Compensation to a Toll Road Operator
State Aid Blogs - StateAidHub blogpost48 toll road motorways Poland obligations StateAid
Contractual obligation to provide compensation that does not exceed the loss of income is not State aid. Introduction When is a company entitled to compensation by the state? The easy answer is “when the state is liable for damage”. However, it may be possible for a company to claim compensation from the state when the state has assumed contractual obligations. […]
read more
No Comments
14. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Risk Finance
State Aid Blogs - StateAidHub blogpost47 Finance lexxion GBER SMEs
Risk finance measures for the support for large enterprises or SMEs which operate for longer than seven years fall outside the GBER and must be notified individually to the Commission. Introduction Since the State aid modernisation and the new rules that were introduced in 2014, only a handful of risk finance measures [7-8?] have been notified to the European Commission […]
read more
No Comments
5. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Economic Continuity in Recovery of Incompatible State aid
Lab test
The new owner of a company that received incompatible State aid may be liable to pay it back. Introduction   Companies rarely escape from the obligation to repay incompatible State aid. Over the past decade or so, very few companies have successfully argued that they legitimately expected that the aid they received was compatible with the internal market. When a […]
read more
No Comments
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
« Previous PageNext Page »

State Aid Uncovered ×

17. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Can a Tax (rather than a Tax Exemption) Confer a Selective Advantage?
State Aid Blogs - StateAidHub blogpost52 Stateaid Lexxion TAX Water Spain European Commission
A tax that is levied at one level of government and does not apply to products and activities at a different level of government need not be selective. Introduction A tax exemption normally confers a selective advantage, unless it is justified by the logic of the tax. Counterintuitively, a tax itself can be selectively advantageous if its scope is too […]
read more
No Comments
10. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Retroactive Application of the GBER
State Aid Blogs - m
When an aid scheme is adjusted by limiting the eligible beneficiaries, it becomes “new” aid and must be notified to the Commission. The GBER can be applied retroactively to aid that was granted before it came into force.   Introduction In July 2016, Dilly’s Wellnesshotel wrote legal history for being the first undertaking to contest the application of the General […]
read more
No Comments
5. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Will Brexit Usher in Protectionism?
State Aid Blogs - StateAid Blogpost Brexit EU Lexxion
The Financial Times reported on Friday, 29 November 2019, that the Conservative party in the UK announced that it would establish a different state aid system to “protect British industry after Brexit”. The Prime Minister, Boris Johnson, was quoted to have said at a press conference on the same date that the new state aid system would make it “faster […]
read more
No Comments
3. December 2019  |   State Aid Uncovered by Phedon Nicolaides

Separability of Economic from Non-economic Activities
State Aid Blogs - StateAidHub blogpost50 2019 lexxion economy printing non economic Stateaid SGEI
Activities which are inseparable from the exercise of official powers are non-economic. Introduction   Pure research whose results are widely disseminated is undoubtedly a non-economic activity. Research reports are often published on the internet. But the design and management of a research organisation’s website can be an economic activity. Plenty of private companies provide these services for a fee. Does […]
read more
2 Comments
26. November 2019  |   State Aid Uncovered by Phedon Nicolaides

How to Assess a Shareholder Loan
State Aid Blogs - StateAidHub blogpost49 shareholder loan MEOP
A shareholder loan cannot be simply compared to a bank loan because the shareholder also benefits from improvements in the future profitability of the borrower. Introduction When a public authority grants a loan to a company, the methodology in the 2008 Commission communication on reference and discount rates can be used to determine whether the loan contains State aid. However, […]
read more
2 Comments
19. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Compensation to a Toll Road Operator
State Aid Blogs - StateAidHub blogpost48 toll road motorways Poland obligations StateAid
Contractual obligation to provide compensation that does not exceed the loss of income is not State aid. Introduction When is a company entitled to compensation by the state? The easy answer is “when the state is liable for damage”. However, it may be possible for a company to claim compensation from the state when the state has assumed contractual obligations. […]
read more
No Comments
14. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Risk Finance
State Aid Blogs - StateAidHub blogpost47 Finance lexxion GBER SMEs
Risk finance measures for the support for large enterprises or SMEs which operate for longer than seven years fall outside the GBER and must be notified individually to the Commission. Introduction Since the State aid modernisation and the new rules that were introduced in 2014, only a handful of risk finance measures [7-8?] have been notified to the European Commission […]
read more
No Comments
5. November 2019  |   State Aid Uncovered by Phedon Nicolaides

Economic Continuity in Recovery of Incompatible State aid
Lab test
The new owner of a company that received incompatible State aid may be liable to pay it back. Introduction   Companies rarely escape from the obligation to repay incompatible State aid. Over the past decade or so, very few companies have successfully argued that they legitimately expected that the aid they received was compatible with the internal market. When a […]
read more
No Comments
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
« Previous PageNext Page »

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