Europäisches Beihilfenrecht Blog

State Aid Uncovered Blog

In Lexxions Blog „State Aid Uncovered” veröffentlicht Prof. Phedon Nicolaides wöchentlich kritische Analysen zu den neuesten Urteilen und Entscheidungen zu staatlichen Beihilfen. Jeder Beitrag stellt die wichtigsten Punkte eines Gerichtsurteils oder einer EU-Kommissionsentscheidung vor, ordnet sie in den Kontext ähnlicher Rechtsprechung oder Praxis ein, bewertet die zugrundeliegende Argumentation und zeigt etwaige Ungereimtheiten oder Widersprüche auf.

In loser Folge werden auf diesem Blog auch Gastbeiträge von anderen Experten für staatliche Beihilfen veröffentlicht, welche die Inhalte der Blogbeiträge ergänzen.

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Professor at Maastricht University; Professor at University of Nicosia, and Academic Director at Lexxion Training

27. März 2018 | State Aid Uncovered von Phedon Nicolaides

Correct Pricing for the Use of Publicly Funded Infrastructure

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Publicly funded infrastructure must be made available to users at prices that correspond to its market value. Introduction When publicly-funded infrastructure is placed at the disposal of an undertaking, that undertaking must pay a market price, otherwise it derives an advantage in the meaning of Article 107(1) TFEU. But what is the market price? Is it the price […]

Ein Kommentar

20. März 2018 | State Aid Uncovered von Phedon Nicolaides

Private Creditor v Private Investor

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A private investor never agrees to an unprofitable transaction while a private creditor may agree to a loss in order to avoid a bigger loss from non-recovery of debt owed to it. A public authority acting as a private operator must disregard any losses it may incur from State aid it granted in the past. Introduction A question […]

Ein Kommentar

13. März 2018 | State Aid Uncovered von Phedon Nicolaides

What Is and What Is not Export Aid

State Aid Blogs - 13.03. Trade StateAid deminimis

The prohibition of export aid prevents distortions in the internal market. Therefore, it cannot be considered as restricting intra-EU trade. Aid is classified as export aid only if it has a direct impact on exports. The incidental and indirect effect on exports of investment aid is not sufficient to categorise it as export aid. Introduction On 28 February 2018, […]

Keine Kommentare

6. März 2018 | State Aid Uncovered von Phedon Nicolaides

State Aid for R&D

State Aid Blogs - m 5

A large amount of State aid can still be compatible with the internal market if it meets all of the requirements of the RDI Framework. Introduction Since the coming into force of the GBER, only very few cases of R&D have been notified to the Commission. This means that it is not so obvious how the State aid […]

Keine Kommentare

27. Februar 2018 | State Aid Uncovered von Phedon Nicolaides

Economic Activities in a System of Social Solidarity

State Aid Blogs - 27.02.18 Economic Activities HealthInsurance State Aid

Entities that pursue profit must be classified as undertakings. Introduction On 5 February 2018, the General Court annulled Commission decision 2015/248 concerning health insurance in Slovakia [see judgment in case T‑216/15, Dôvera zdravotná poist’ovňa et al v European Commission].[1] The Commission decision was reviewed here on 10 March 2015.(View article at http://stateaidhub.eu/blogs/stateaiduncovered/post/1707.)The Commission had concluded that the providers of health […]

5 Kommentare

20. Februar 2018 | State Aid Uncovered von Phedon Nicolaides

What Happens when Things Go Wrong

State Aid Blogs - 20.02.18 StateAid

Only EU institutions can provide assurances that aid is granted legally. The amount of State aid in a state guarantee given to a company in difficulty can be equal to the amount of the guaranteed loan. The simultaneity of public and private investments is not enough to ensure that the public investment is at market terms. They must also be […]

Keine Kommentare

13. Februar 2018 | State Aid Uncovered von Phedon Nicolaides

Investment in Airport Infrastructure

State Aid Blogs - ashim d silva pGcqw1ARGyg unsplash

Public funding of infrastructure used for non-economic purposes does not constitute State aid. Public investment in infrastructure used for economic purposes does not constitute State aid if the investment can generate a return that is acceptable to a private investor. Introduction On 25 January 2018, the General Court ruled in case T-818/14, Brussels South Charleroi Airport v Commission.[1] Brussels […]

Ein Kommentar

6. Februar 2018 | State Aid Uncovered von Phedon Nicolaides

How a Private Investor Behaves: EDF v Commission

State Aid Blogs - 17.10. imputability stateaid

A private investor carries out an assessment of the prospective profitability of a company before it invests in it. Ex post assessment is not sufficient. Evidence that the investment is likely to be profitable is not enough. The return must be high enough to satisfy a private investor in a similar situation (by compensating it for the risk it assumes). […]

Keine Kommentare

30. Januar 2018 | State Aid Uncovered von Phedon Nicolaides

The Puzzle of the State Acting as a Regulator

State Aid Blogs - joao silas UGQoo2nznz8 unsplash

When the state exercises its regulatory tasks, it does not have to demand fees and therefore it does not forgo potential state resources. Introduction A few weeks ago the Commission considered whether the regulatory actions of the state fell within the scope of Article 107(1) TFEU. In decision SA.42028 concerning aid to Yliopiston Apteekki Oy in Finland, the Commission […]

Ein Kommentar

23. Januar 2018 | State Aid Uncovered von Phedon Nicolaides

Danish Horse Racing

State Aid Blogs - horse betting Denmark State Aid

Taxes hypothecated to State aid measures fall within the scope of the assessment of the compatibility of those measures. Introduction Operating aid is not normally allowed. Yet, in decision SA.48604 concerning horse-racing betting in Denmark the Commission appears to have authorised operating aid.[1] This measure was approved within six months. In the post-SAM, it must be one of the […]

Keine Kommentare

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25. Juli 2017 | State Aid Uncovered von Phedon Nicolaides

Transfer of Trademarks

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The free transfer of a trademark that belongs to the state confers two possible advantages to the new owner if there is a market for that trademark. Introduction When a public authority places at the disposal of an undertaking a public asset, it confers to that undertaking a competitive advantage. The competitive advantage is eliminated whenever that public authority […]

Keine Kommentare

18. Juli 2017 | State Aid Uncovered von Phedon Nicolaides

Even the Catholic Church Is not Absolved from State Aid Rules: The Essence of Economic Activity – PART II

State Aid Blogs - m 10

Purely religious activities and education funded by the state are not economic in nature. Read the I. part of the article, here. Selective economic advantage The Court proceeded to examine the possible existence of a selective economic advantage. It first recalled, in paragraph 65, that the concept of State aid covers only those public measures which favour certain undertakings “or” […]

Keine Kommentare

11. Juli 2017 | State Aid Uncovered von Phedon Nicolaides

Even the Catholic Church Is not Absolved from State Aid Rules: The Essence of Economic Activity – PART I

State Aid Blogs - m 10

Purely religious activities and education funded by the state are not economic in nature. Introduction On 27 June 2017 the Court of Justice ruled in case C‑74/16, Congregación de Escuelas Pías Provincia Betania v Ayuntamiento de Getafe.[1] The ruling was in response to a request from a Spanish administrative court dealing with a tax dispute between religious schools and the municipality of […]

10 Kommentare

4. Juli 2017 | State Aid Uncovered von Phedon Nicolaides

Imputability to the State

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State resources and imputability or attribution to the state are two distinct concepts. They must both be satisfied in order for a measure to constitute State aid. Introduction Several Member States have set up “promotional” banks or national development banks. Some of these promotional banks pursue only public policy objectives by channelling cheap funds to SMEs. Some others provide funding […]

2 Kommentare

27. Juni 2017 | State Aid Uncovered von Phedon Nicolaides

Is there any Advantage for Owners, Operators or Users of Publicly Funded Ports?

State Aid Blogs - m 12

Public funding of ports confers an advantage to their owners, but not for operators chosen competitively or users who pay a market price. Introduction Few issues have exercised public authorities more than the funding of infrastructure which is used for commercial purposes. This is because State aid may benefit the owner and/or the operator and/or the users of the […]

Keine Kommentare

20. Juni 2017 | State Aid Uncovered von Phedon Nicolaides

The Effectiveness of Clear Guidance: The Case of Broadband Networks

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This blog examines how much aid goes to support broadband networks and what lessons can be drawn from the Commission’s decisional practice. Introduction A principal objective of the State Aid Modernisation was to free Commission resources from the time-consuming task of checking the conformity of routine measures of State aid. Consequently, the General Block Exemption Regulation was extended to […]

Keine Kommentare

13. Juni 2017 | State Aid Uncovered von Phedon Nicolaides

A Regional Aid Scheme with an Ex-Post Evaluation Plan

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Aid must be capable of remedying the regional handicap. Introduction A novel aspect of the 2014 State Aid Modernisation was the requirement for ex-post evaluation of large or unusual State aid measures. The purpose of the ex-post evaluation is to determine the effectiveness of State aid. The outcome of the evaluation does not affect the legality of the aid. […]

Keine Kommentare

6. Juni 2017 | State Aid Uncovered von Phedon Nicolaides

Transfer of State Assets between State-Owned Companies

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Transfers of public assets for the purpose of extinguishing debt have to be valued according to private creditor principle. Transfers of public assets that involve State aid must be notified to the Commission. Introduction Sale or transfer of state assets is a tricky process. A possible undervaluation of the assets results in State aid for the benefit of the […]

Keine Kommentare

29. Mai 2017 | State Aid Uncovered von Phedon Nicolaides

The Art, Science and Law of Funding Services of General Economic Interest

State Aid Blogs - m 17

The compulsory nature of an assigned public mission makes the services covered by the mission different from those provided by market operators for profit. Introduction The justification of government intervention for the purpose of ensuring delivery of adequate services of general economic interest [SGEI] and the design of measures that compensate providers of SGEI can be very tricky. This […]

Keine Kommentare

23. Mai 2017 | State Aid Uncovered von Phedon Nicolaides

What Costs Are Charged by Public Authorities when they Act as Market Operators?

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Fees charged by operators to users of infrastructure must cover all relevant costs. The relevant costs are those which are causally linked to the agreements between users and operators. Introduction The rules in the Treaty on the Functioning of the European Union are neutral in their treatment of private or state-owned companies [Article 345 TFEU]. This means that companies cannot […]

Keine Kommentare

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