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.

Subscribe now!

4. September 2018  |   State Aid Uncovered by Phedon Nicolaides

Public Procurement and State Aid
State Aid Blogs - SAH blogpost35 Nuclearpower
State aid does not have to be awarded on the basis of a competitive procedure, unless the relevant rules require it. Secondary legislation may allow Member States to make direct awards without a prior competitive procedure. Public procurement rules do not apply to awards between contracting authorities.   Introduction   Public procurement and State aid rules have the same basic […]
read more
No Comments
28. August 2018  |   State Aid Uncovered by Phedon Nicolaides

Public Service Compensation
State Aid Blogs - SAH blogpost34 PublicCompensation SGEI
Compensation for the provision of public services may not exceed the avoidable cost minus any forgone revenue from not having to provide those services. The VAT exemption for postal services is not State aid because it is laid down in the EU VAT directive and therefore cannot be attributed to Member States.   Introduction This article reviews Commission decision on […]
read more
No Comments
21. August 2018  |   State Aid Uncovered by Phedon Nicolaides

The European Commission’s Code of Best Practices on State Aid Procedures
State Aid Blogs - SAH blogpost33 SA Code
Closer cooperation between Commission services and Member States.   Introduction   The European Commission, DG Competition, published on 16 July 2018 on its website and then on 19 July 2018 in the Official Journal of the EU a Code of Best Practices for the Conduct of State Aid Control Procedures.[1]The purpose of the Code is to provide guidance to Member […]
read more
No Comments
13. August 2018  |   State Aid Uncovered by Phedon Nicolaides

State Aid Control in the UK after its Exit from the European Union
State Aid Blogs - SAH blogpost32 State Aid and Brexit
After its withdrawal from the EU, the UK is likely to maintain a State aid regime that is similar to that of the EU.   Introduction   In seven months’ time, on 29 March 2019, the UK will leave the EU. But its withdrawal from the EU will not bring to an end compliance with EU rules. The UK is […]
read more
2 Comments
7. August 2018  |   State Aid Uncovered by Phedon Nicolaides

The Compatibility of State Aid Depends on the Rules which are Applicable at the Time the Aid is Granted
State Aid Blogs - SAH Blopost31 SA Italy Bustransfer
Failure to comply with just a single provision of an exemption regulation results in the non-applicability of the whole regulation and makes any implemented aid measure automatically illegal. The compatibility of aid measures adopted in the past but continuing having effects are assessed not on the basis of old rules but on the basis of the rules which are applicable […]
read more
No Comments
27. July 2018  |   State Aid Uncovered by Phedon Nicolaides

The Definition of the Reference Tax System is still a Puzzle
State Aid Blogs - SAH Blogpost 27 30 Tax System
A selective measure should be determined on the basis of its effects, not on the basis of the legally defined regulatory techniques.   Introduction A tax measure is selective in the meaning of Article 107(1) TFEU when it basically deviates from the normal tax system. In the case of a tax reduction or a tax exemption the normal system is […]
read more
No Comments
17. July 2018  |   State Aid Uncovered by Phedon Nicolaides

Danish Water Tax Exemption
State Aid Blogs - SAH Blogpost28 Water Tax Denmark
A selective tax reduction does not constitute State aid if it does not confer an advantage that is proportionately larger than the magnitude of the tax reduction. A complete exemption of insignificant amounts of the taxable volume can be justified on the grounds of reducing administrative burden.     Introduction   Member States enjoy wide discretion to levy taxes on […]
read more
No Comments
10. July 2018  |   State Aid Uncovered by Phedon Nicolaides

The 2017 Annual Competition Report
State Aid Blogs - Blog27 Annual Report
Introduction   On 18 June 2018, the European Commission published its Annual Report on Competition Policy for 2017.[1] As usually, the Annual Report is accompanied by a Staff Working Paper that has almost four times as many pages as the Annual Report and provides more details on developments in all areas of competition policy, including State aid.The pre-eminent role of the […]
read more
No Comments
3. July 2018  |   State Aid Uncovered by Phedon Nicolaides

Revision of the GBER
State Aid Blogs - SAH Blog26 GBERd
Block exemption of new financial instruments.   Introduction   The Commission has recently published a proposal for amendment of Council Regulation 2015/1588[1] which authorises the Commission to adopt block exemption regulations. The purpose of the Commission’s proposal is to expand Article 1 of Regulation 2015/1588. This Article lists the categories of aid that may be declared compatible with the internal market.The […]
read more
No Comments
25. June 2018  |   State Aid Uncovered by Phedon Nicolaides

Remedying the Damage of a Natural Disaster through Incentives for New Investments
State Aid Blogs - m 3 1
Damage from natural disasters can be remedied in the short-term through direct compensation or in the longer-term through investment subsidies to support new productive capacity.   Introduction   This article reviews a rather straightforward case which, however, is also quite unusual. It concerns a measure to remedy the effect of recent earthquakes in Italy. What makes it unusual is that […]
read more
No Comments
« Previous PageNext Page »

30. January 2018  |   State Aid Uncovered by 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 […]
read more
1 Comment
23. January 2018  |   State Aid Uncovered by 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 […]
read more
No Comments
16. January 2018  |   State Aid Uncovered by Phedon Nicolaides

Selectivity Requires Comparison
State Aid Blogs - ah life rd2jRzEum9g unsplash
To determine whether a measure is selective it is necessary to compare the beneficiary companies to other companies which are in a similar situation and determine whether the latter receive the same advantage. Introduction[1]   On 20 December 2017, the Court of Justice delivered three judgments in appeals against rulings of the General Court concerning the expansion of digital terrestrial television […]
read more
2 Comments
9. January 2018  |   State Aid Uncovered by Phedon Nicolaides

Structural Disadvantages and Regional Aid
State Aid Blogs - StateAidHub blogpost35 port concessions
Aid that seeks to neutralise a structural disadvantage still confers an advantage. Aid that seeks to remedy market failure is selective. State aid that is compatible with the internal market must be necessary to achieve an objective of the Treaty and be capable of incentivising a change in the behaviour of the recipient undertakings.   Introduction On 13 December 2017, […]
read more
No Comments
2. January 2018  |   State Aid Uncovered by Phedon Nicolaides

PART II: Concessions and State Aid: Does the State Act as a Regulator or Market Operator?
State Aid Blogs - marcin jozwiak 44YvpqQ595w unsplash
When Member States act as regulators they need not maximise revenue from the granting of concessions rights. When Member States act as regulators they must grant concession rights on the basis of procedures which are competitive, transparent, non-discriminatory and unconditional.   Part II: Public procurement principles[1] Principles for selection of concession holders The Commission examined also, in addition to the […]
read more
No Comments
27. December 2017  |   State Aid Uncovered by Phedon Nicolaides

PART I: Concessions and State Aid: Does the State Act as a Regulator or Market Operator?
State Aid Blogs - m 36
When Member States act as regulators they need not maximise revenue from the granting of concessions rights. When Member States act as regulators they must grant concession rights on the basis of procedures which are competitive, transparent, non-discriminatory and unconditional. Introduction   Is it possible for a public authority to grant State aid through a defective procurement procedure? The answer […]
read more
2 Comments
21. December 2017  |   State Aid Uncovered by Lexxion Publisher

Top 5 State Aid Uncovered Posts in 2017
State Aid Blogs - m 1 2
Questions around grants for R&D&I projects, economic activities of religious establishments or concession agreements besides many more, have moved and shaped this year’s judgments on State aid. Also Brexit and its meaning for State aid control in the UK has been on everyone’s mind. See which articles by Prof. Phedon Nicolaides were the most popular ones in 2017. We have […]
read more
No Comments
19. December 2017  |   State Aid Uncovered by Phedon Nicolaides

Sport and Trade
State Aid Blogs - m 2 2
State aid has a purely local impact when i) the beneficiaries supply goods or services to a limited area within a Member State, ii) they are unlikely to attract customers from other Member States and iii) there is no inducement for cross-border investment or establishment.   Introduction The article this week continues with the theme of affectation of trade that […]
read more
No Comments
12. December 2017  |   State Aid Uncovered by Phedon Nicolaides

How to Determine whether State Aid Affects Trade
State Aid Blogs - 12.12.17cross border trade StateAid
Article 107(1) requires the assessment of both the direct and indirect impact of a public measure on cross-border trade. The direct impact is the effect on the cross-border movement of products or customers of the aid recipient or of its competitors. The indirect impact is the effect on the cross-border movement of the aid recipient itself or its competitors.   […]
read more
No Comments
5. December 2017  |   State Aid Uncovered by Phedon Nicolaides

Imputability of an Aid Measure to the State Does not Require a Counterfactual
State Aid Blogs - 05.12.Imputability of Aid State aidz
The fact that the state owns an undertaking is not enough to prove that the decisions of that undertaking can be attributed to the state. However, it is sufficient that the state was involved in the particular decision that transferred state resources for the benefit of another undertaking.   Introduction Several recent articles on this blog have examined the concept […]
read more
No Comments
« Previous PageNext Page »

Subscribe to our newsletter for updates on legal developments, upcoming conferences, workshops, and publications in your areas of interest.

Newsletter: Subscribe now