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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28. May 2024  |   State Aid Uncovered by Phedon Nicolaides

A Research Project Based on Collaboration with a Research Organisation
State Aid Blogs - State Aid Uncovered photos 15
Introduction After pre-notification contacts, Croatia notified, in March 2023, State aid amounting to a EUR 179.5 million for an R&D project regarding the development of an innovative autonomous electric vehicle [a “robo-taxi”]. The aid, in the form of a grant, was to be provided to Project 3 Mobility LLC [P3M]. The Commission approved it in decision SA.101759.1 The aid beneficiary, […]
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21. May 2024  |   State Aid Uncovered by Phedon Nicolaides

Authorisation of State Aid after the Start of a Project
State Aid Blogs - State Aid Uncovered photos 13
Introduction In June 2021, the European Commission, in decision SA.55526, approved an amount of EUR 167 million of State aid for the construction and operation of a liquefied natural gas [LNG] terminal close to Alexandroupolis in northern Greece. In December 2022, Greece notified a measure involving additional State aid of EUR 106 million for the same project. The Commission authorised […]
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14. May 2024  |   State Aid Uncovered by Phedon Nicolaides

Restructuring State Aid
State Aid Blogs - State Aid Uncovered photos 12
Introduction State aid to failing undertakings is the most distortionary form of public subsidies. They prevent the market exit of inefficient companies. For this reason, State aid for rescue or restructuring of undertakings in difficulty must always be notified to the Commission which examines each case very carefully and allows this kind of aid only when, among other things, the […]
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7. May 2024  |   State Aid Uncovered by Phedon Nicolaides

Public Procurement and State Aid
State Aid Blogs - State Aid Uncovered photos 2
Introduction A faulty public procurement procedure or the use of discriminatory selection criteria can confer an advantage on the chosen undertaking that may constitute an advantage in the meaning of Article 107(1) TFEU. The result will be infringement of both public procurement rules and State aid rules. A recent Commission decision, SA.47650, is instructive on how Member States should design […]
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30. April 2024  |   State Aid Uncovered by Phedon Nicolaides

A Case of a Narrow Tax that Is Not Selective
State Aid Blogs - State Aid Uncovered photos 11
Introduction On 17 April 2024, the General Court ruled, in case T-112/22, Ideella föreningen Svenska Bankföreningen med firma Svenska Bankföreningen, Näringsverksamhet & Länsförsäkringar Bank v Commission, that a Swedish tax on only nine banks was not selective by not taxing the many smaller banks.1 The applicants, a Swedish banking association and a Swedish bank, respectively, sought the annulment of Commission […]
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23. April 2024  |   State Aid Uncovered by Phedon Nicolaides

Pricing of Access to Infrastructure for the Treatment of Waste Water
State Aid Blogs - State Aid Uncovered photos 10
Introduction It is not unusual for EU courts to refer to the Commission’s 2016 Notice on the Notion of State Aid as a means of shedding light to the more obscure aspects of that notion. What is very unusual is for EU courts to treat the Notice as if it has the same status as the guidelines that bind the […]
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16. April 2024  |   State Aid Uncovered by Phedon Nicolaides

Awards by Arbitration Tribunal
State Aid Blogs - State Aid Uncovered photos 9
Introduction In an unusual judgment, the Court of Justice found on 14 March 2024, in case C-516/22, Commission v UK, that the UK had infringed Article 4(3) TEU, Article 108(3) TFEU, Article 267(1)&(3) TFEU and Article 351(1) TFEU, in conjunction with Article 127(1) of the Agreement on the withdrawal of the UK from the EU because the UK Supreme Court […]
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9. April 2024  |   State Aid Uncovered by Phedon Nicolaides

An Innovative Risk-Sharing Tool for the Support of an LNG Terminal
State Aid Blogs - State Aid Uncovered photos 8
Introduction The Commission, in decision SA.102163, authorised State aid for the construction of a terminal for liquefied natural gas [LNG] in Brunsbüttel, Germany.1 The project consists of an LNG import, storage and distribution facility with annual capacity of about 10 billion m3. The project is carried out by the German LNG Terminal GmbH [GLNG] which has three shareholders: the Dutch […]
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2. April 2024  |   State Aid Uncovered by Phedon Nicolaides

The Court of Justice Conflates Objective Justification with Policy Objective, in the context of Public Support of Green Electricity
State Aid Blogs - State Aid Uncovered SM posts
Introduction Suppose a Member State subsidises the installation of solar panels on the roof of a corporate building situated at number 5 on Main Street. Is this a general measure because there is no other building in the whole country with the same address? Of course, it is not a general measure. The uniqueness of the address is irrelevant. Apart […]
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26. March 2024  |   State Aid Uncovered by Phedon Nicolaides

Applying the Funding Gap Method to an Important Project of Common European Interest – Part II
State Aid Blogs - State Aid Uncovered photos 7
Introduction On 28 February 2024, the General Court delivered an important judgment in case T-390/20, Scandlines v Commission.(1) The judgment is important because it interpreted the Commission guidelines on Important Projects of Common European Interest [IPCEI], the funding gap methodology for determining the necessary amount of aid and the 2008 Commission Notice on state guarantees. Scandlines sought annulment of Commission […]
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7. May 2024  |   State Aid Uncovered by Phedon Nicolaides

Public Procurement and State Aid
State Aid Blogs - State Aid Uncovered photos 2
Introduction A faulty public procurement procedure or the use of discriminatory selection criteria can confer an advantage on the chosen undertaking that may constitute an advantage in the meaning of Article 107(1) TFEU. The result will be infringement of both public procurement rules and State aid rules. A recent Commission decision, SA.47650, is instructive on how Member States should design […]
read more
No Comments
30. April 2024  |   State Aid Uncovered by Phedon Nicolaides

A Case of a Narrow Tax that Is Not Selective
State Aid Blogs - State Aid Uncovered photos 11
Introduction On 17 April 2024, the General Court ruled, in case T-112/22, Ideella föreningen Svenska Bankföreningen med firma Svenska Bankföreningen, Näringsverksamhet & Länsförsäkringar Bank v Commission, that a Swedish tax on only nine banks was not selective by not taxing the many smaller banks.1 The applicants, a Swedish banking association and a Swedish bank, respectively, sought the annulment of Commission […]
read more
No Comments
23. April 2024  |   State Aid Uncovered by Phedon Nicolaides

Pricing of Access to Infrastructure for the Treatment of Waste Water
State Aid Blogs - State Aid Uncovered photos 10
Introduction It is not unusual for EU courts to refer to the Commission’s 2016 Notice on the Notion of State Aid as a means of shedding light to the more obscure aspects of that notion. What is very unusual is for EU courts to treat the Notice as if it has the same status as the guidelines that bind the […]
read more
No Comments
16. April 2024  |   State Aid Uncovered by Phedon Nicolaides

Awards by Arbitration Tribunal
State Aid Blogs - State Aid Uncovered photos 9
Introduction In an unusual judgment, the Court of Justice found on 14 March 2024, in case C-516/22, Commission v UK, that the UK had infringed Article 4(3) TEU, Article 108(3) TFEU, Article 267(1)&(3) TFEU and Article 351(1) TFEU, in conjunction with Article 127(1) of the Agreement on the withdrawal of the UK from the EU because the UK Supreme Court […]
read more
No Comments
9. April 2024  |   State Aid Uncovered by Phedon Nicolaides

An Innovative Risk-Sharing Tool for the Support of an LNG Terminal
State Aid Blogs - State Aid Uncovered photos 8
Introduction The Commission, in decision SA.102163, authorised State aid for the construction of a terminal for liquefied natural gas [LNG] in Brunsbüttel, Germany.1 The project consists of an LNG import, storage and distribution facility with annual capacity of about 10 billion m3. The project is carried out by the German LNG Terminal GmbH [GLNG] which has three shareholders: the Dutch […]
read more
No Comments
2. April 2024  |   State Aid Uncovered by Phedon Nicolaides

The Court of Justice Conflates Objective Justification with Policy Objective, in the context of Public Support of Green Electricity
State Aid Blogs - State Aid Uncovered SM posts
Introduction Suppose a Member State subsidises the installation of solar panels on the roof of a corporate building situated at number 5 on Main Street. Is this a general measure because there is no other building in the whole country with the same address? Of course, it is not a general measure. The uniqueness of the address is irrelevant. Apart […]
read more
No Comments
26. March 2024  |   State Aid Uncovered by Phedon Nicolaides

Applying the Funding Gap Method to an Important Project of Common European Interest – Part II
State Aid Blogs - State Aid Uncovered photos 7
Introduction On 28 February 2024, the General Court delivered an important judgment in case T-390/20, Scandlines v Commission.(1) The judgment is important because it interpreted the Commission guidelines on Important Projects of Common European Interest [IPCEI], the funding gap methodology for determining the necessary amount of aid and the 2008 Commission Notice on state guarantees. Scandlines sought annulment of Commission […]
read more
No Comments
12. March 2024  |   State Aid Uncovered by Phedon Nicolaides

Public Infrastructure and State Prerogatives
State Aid Blogs - State Aid Uncovered photos
Introduction On 28 February 2024, the General Court delivered two important judgments on the presence of State aid and its compatibility with the internal market in connection to public funding of the Fehmarn Fixed Link between Denmark and Germany. The Fixed Link is a major infrastructure project consisting of tunnels, bridges and access road and rail connections. The judgments of […]
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5. March 2024  |   State Aid Uncovered by Phedon Nicolaides

State Aid and Arbitration of Disputes
State Aid Blogs - State Aid Uncovered photos
Introduction On 22 February 2024, the Court of Justice [CJEU] delivered its judgment in joined Cases C-701/21 P and C-739/21 P, Mytilinaios v DEI & European Commission. Mytilinaios, a Greek company, and the Commission appealed against the judgment of the General Court in case T-639/14 RENV, DEI v Commission, concerning arbitration of a dispute between Mytilinaios and DEI, the main […]
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27. February 2024  |   State Aid Uncovered by Phedon Nicolaides

A Large Regional Investment Project in Spain
State Aid Blogs - State Aid Uncovered photos 6
Introduction Most State aid to “large” investment projects is granted by the Member States in Central and Eastern Europe. Moreover, most of the aid goes to induce companies to locate their projects in those countries and to overcome regional handicaps that make the investments less profitable or even loss-making than in other locations. By contrast, regional aid granted to large […]
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10. February 2015  |   Guest State Aid Blog by Lexxion Publisher

Court’s Diary and an invitation to get in touch!
gavel on a laptop
A quick look at the month ahead in the GC/CJEU and reminder about how to get in touch with your news, views and information on how to write a post: Stateaidhub[at]lexxion.de Court’s Diary As we look to the month ahead, there are several State aid cases trickling through the EU Courts to watch out for. Here’s an update from the […]
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27. January 2015  |   Guest State Aid Blog by Erika Szyszczak

Black Cabs in London Retain ‘Exclusive’ Rights to Drive in Bus Lanes
black cab
A detailed note on Case C-518/13 The Queen, on the application of Eventech Ltd v The Parking Adjudicator (judgment of 14th January 2015) An enduring feature of EU law is that it may be used in an opportunist manner in some of the lowest tribunals in the EU to create challenges to national rules and policies. This was how the Eventech case arose. […]
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22. January 2015  |   Guest State Aid Blog by Dimitrios Kyriazis

Luxembourg, Amazon, and the State aid connection
amazon package
The Commission’s opening decision: What should we make of Amazon’s ‘advance pricing agreement’ (APA) and its alleged (non-) compliance with the ‘arm’s length principle’ (ALP)? In early October 2014, the European Commission notified Luxembourg of its decision to open a state aid investigation in relation to the tax treatment of the Amazon group by the Luxembourgish tax authorities. This opening […]
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16. January 2015  |   Guest State Aid Blog by Emma Linklater

In Brief: Case C-518/13 Eventech and Case T-1/12 France v Commission
Lady Justice
A quick look at the two new rulings this week. This post gives a preliminary overview of the two new judgments this week (more in depth posts with analysis will be online soon!): On Wednesday 14th January the CJEU passed its ruling in the hotly awaited Eventech case (Case C-518/13), while a day later the General Court gave its word on […]
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9. January 2015  |   Guest State Aid Blog by Emma Linklater

In Brief: Case T-58/13, Club Hotel Loutraki AE and Others v Commission (judgment of 08.01.2015)
hotel pool
On Thursday the 8th January the GC dismissed all four pleas in the action for annulment of the Commission Decision finding that the exclusive rights granted to operate 35 000 Video Lottery Terminals and 13 games of chance were not State aid.   The case is can be accessed here (English and French versions currently available) and the press release here.Background to the […]
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5. January 2015  |   Guest State Aid Blog by Emma Linklater

State aid in 2015 – Court’s diary and events
gavel
Wishing all our readers and contributors a very happy 2015, this post takes look at the Court’s diary for January and some events in coming months. This is a quick post firstly to thank everybody who has been part of the StateAidHub for their support so far and to wish all our readers an excellent year ahead. If you are interested […]
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23. December 2014  |   Guest State Aid Blog by María Ortiz Vilela

Two Europes and a single SAM
sheeps
Keeping the flock together: A response to discussions on the GBER and SAM at ESTALI Vienna.   Maria Ortiz is a technician for the Valencian Institute of Business Competitiveness (IVACE). The views expressed in this post are purely those of the author and may not in any circumstances be regarded as stating an official position of IVACE. Two weeks ago, the European […]
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5. December 2014  |   Guest State Aid Blog by Emma Linklater

In Brief: T‑57/11 Castelnou Energía v Commission (judgment of 03.12.2014)
burning coal
On Wednesday 3rd December the GC found Spanish aid granted to coal power plants to secure supply to be compatible State aid (judgment not yet available in English). After a busy day at the EStALI Autumn Workshop yesterday (we’ll give you all the hubbub from that as well as the conference later today), the following is a preliminary post on […]
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28. November 2014  |   Guest State Aid Blog by Dimitrios Kyriazis

Driving in the wrong direction? The opening decision in Fiat
fiat
What are we to make of the Commission’s decision to open an in-depth investigation into the tax treatment of Fiat Finance and Trade (FFT) by Luxembourg? In late September 2014, the Commission published its decision to open an in-depth State aid investigation in relation to the tax treatment of Fiat Finance and Trade (FFT) by Luxembourg.This investigation is part of the recent […]
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28. November 2014  |   Guest State Aid Blog by Emma Linklater

Case T-512/11 Ryanair : Commission’s ATT Ireland Decision Partly Annulled (ATT Act I)
On Tuesday (25.11.2014) the General Court delighted the StateAidHub team by dishing out a shiny new ruling just in time for our launch date. Here’s a quick first look at the ruling. This post takes a preliminary look at Case T-512/11 Ryanair Ltd v Commission.This is only one of the appeals being brought against the Commission’s dabblings with the Irish Air […]
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