The Commission has published guidance on when public spending falls within, and outside, the scope of EU State aid control. This guidance will help public authorities and companies to identify when public support measures can be granted without needing approval under EU State aid rules.
The Notice will in particular facilitate public investment in the European Union by helping Member States and companies to design public funding in ways which do not distort competition. It gives clear guidance on when public investments do not involve State aid, notably because they do not risk distorting the level playing field in the Single Market or risk crowding out private investment. This will help maximise the effect of investments on economic growth and jobs, in line with the Commission’s Investment Plan for Europe to mobilise at least €315 billion over three years in private and public investment across the EU.
Public investment for the construction or upgrade of infrastructure is free of State aid, if it does not directly compete with other infrastructure of the same kind. The Notice clarifies that such projects can, therefore, be implemented by the Member State without needing to be checked under EU State aid rules. Among others, this is typically the case for railway infrastructure.
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