Daily News 08 / 08 / 2022

EU Cohesion Policy: €76 million for a just climate transition in Austria

The Commission has adopted the Territorial Just Transition Plans (TJTPs) for Austria together with the first funding under the Just Transition Fund (JTF) worth €76 million. Austria will receive in total €136 million under the JTF to help make sure that the transition to climate neutrality does not leave anyone behind in the Austrian local economy and society. Austrian regions and municipalities undergoing significant transformation which will receive support from the JTF are located in Upper Austria, Carinthia, Lower Austria, and Styria. These regions have a strong presence of carbon-intensive industries such as metals, paper, cement, and chemicals. The JTF supports the territories facing biggest challenges in the transition towards a climate-neutral economy. The identification of these territories is specified in TJTPs, and it is carried out through a dialogue with the Commission in the framework of the negotiations of the 2021-2027 Partnership Agreements and the associated programmes. The TJTPs, developed in close consultation with local partners, set out the challenges in each territory, as well as the development needs and objectives to be met by 2030. They also identify the types of operations envisaged along with specific governance mechanisms. The JTF is the first of the three pillars of the Just Transition Mechanism. The approval of TJTPs also opens the door to dedicated financing under the other two pillars: a specific scheme under InvestEU and a Public Sector Loan Facility for Just Transition that combines Commission grants with European Investment Bank loans. More information in the press release. (For more information: Adalbert Jahnz – Tel.: +32 2 295 31 56; Veronica Favalli – Tel.: +32 2 298 72 69)

State aid: Commission approves Italian scheme under Recovery and Resilience Facility to support biomethane production

The European Commission has approved, under EU State aid rules, an Italian scheme made available through the Recovery and Resilience Facility ('RRF') to support the construction and the operation of new or converted biomethane production plants. The measure is part of Italy's strategy to reduce greenhouse gas emissions and to increase its share of renewable energies. The scheme will also contribute to the objectives of the REPowerEU Plan to reduce dependence on Russian fossil fuels and fast forward the green transition. The scheme will support the production of sustainable biomethane to be injected into the national gas grid for use in the transport and heating sectors. In order to qualify for aid under the scheme, the biomethane production must comply with the requirements set out in the EU Renewable Energy Directive. For biomethane to be used in the transport sector specifically, only the production of advanced biomethane will qualify for aid, as it is the most sustainable and environmentally friendly fuel, to help the EU achieve its climate and energy objectives. The Commission assessed and approved the scheme under EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the European Union (‘TFEU'), which enables EU countries to support the development of certain economic activities subject to certain conditions, and the Guidelines on State aid for climate, environmental protection and energy 2022. Executive Vice-President Margrethe Vestager, in charge of competition policy, said: “The Italian aid scheme we have approved today will boost the EU's production of sustainable biomethane for use in the transport and heating sectors, in line with the the REPowerEU Plan. The Italian aid measure, which will be partly funded by the Recovery and Resilience Facility, will help Italy meet its emission reduction targets, reduce its dependence on Russian fossil fuels and improve its security of gas supply, while limiting possible distortions of competition.” A press release is available online. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

State aid: Commission approves €149 million Romanian scheme under Recovery and Resilience Facility to support renewable hydrogen production

The European Commission has approved, under EU State aid rules, a €149 million Romanian scheme made available through the Recovery and Resilience Facility ('RRF') to support the production of renewable hydrogen. The measure aims to contribute to the development of renewable hydrogen in line with the objectives of the EU Hydrogen Strategy and the EU Green Deal. The scheme will also contribute to the objectives of the REPowerEU Plan to reduce dependence on Russian fossil fuels and fast forward the green transition. The scheme is aimed at supporting the construction of new installations for the production of renewable hydrogen, to achieve by 31 December 2025 renewable hydrogen production capacities of at least 100 MW in electrolysis installations producing at least 10,000 tonnes of hydrogen per year. The scheme is open to (i) companies of all sizes that are active in the production of hydrogen or electricity, (ii) administrative-territorial units, or (iii) national institutes for research and development in the field of energy, including associations or partnerships formed by those actors. Under the scheme, the support will take the form of direct grants. The maximum amount of aid that can be granted per project will not exceed €50 million. The Commission assessed and approved the measure under EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the European Union (‘TFEU'), which enables EU countries to support the development of certain economic activities subject to certain conditions, and the Guidelines on State aid for climate, environmental protection and energy 2022. Executive Vice-President Margrethe Vestager, in charge of competition policy, said: “This €149 million scheme enables Romania to step up its renewable hydrogen production capacities, while limiting possible distortions of competition. Not only will the measure adopted today contribute to the achievement of the EU Hydrogen Strategy and the EU Green Deal ambitions. It will also help Romania in replacing natural gas, coal and oil in hard-to-decarbonise industries and transport sectors, and in reducing its dependence on imported fossil fuels, in line with the REPowerEU Plan.” A press release is available online. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

State aid: Commission approves €110 million Austrian scheme to support agricultural producers in context of Russia's invasion of Ukraine

The European Commission has approved a €110 million Austrian scheme to support primary agricultural producers in the context of Russia's invasion of Ukraine. The scheme was approved under the State aid Temporary Crisis Framework, adopted by the Commission on 23 March 2022 and amended on 20 July 2022, based on Article 107(3)(b) of the Treaty on the Functioning of the European Union (‘TFEU'), recognising that the EU economy is experiencing a serious disturbance. Under this scheme, the eligible beneficiaries will be entitled to receive limited amounts of aid in the form of direct grants. The aid amount per beneficiary will be calculated on the basis of the number of hectares of agricultural land. The Commission concluded that the Austrian scheme is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Crisis Framework. On this basis, the Commission approved the aid measure under EU State aid rules. Executive Vice-President Margrethe Vestager, in charge of competition policy, said: “The agricultural sector has been hit particularly hard by the price increase of energy and other input costs caused by Russia's invasion of Ukraine and the related sanctions. This €110 million scheme approved today will enable Austria to support farmers affected by the current geopolitical crisis. We continue to stand with Ukraine and its people. At the same time, we continue working closely with Member States to ensure that national support measures can be put in place in a timely, coordinated and effective way, while protecting the level playing field in the Single Market.” A press release is available online. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

State aid: Commission approves €140 million Polish scheme to support companies in the context of Russia's invasion of Ukraine

The European Commission has approved a €140 million (PLN 670 million) Polish scheme to support companies in the context of Russia's invasion of Ukraine. The scheme was approved under the State aid Temporary Crisis Framework adopted by the Commission on 23 March 2022 and amended on 20 July 2022. Under the scheme, the aid will take the form of direct grants and loans. The scheme will be open to companies of all sizes affected by the crisis and active in all sectors, except the financial sector. The Commission found that the Polish scheme is in line with the conditions set out in the Temporary Crisis Framework. In particular, the aid will not exceed: (i) €62,000 per company active in the primary production of agricultural products, (ii) €75,000 per company active in the fishery and aquaculture sectors, and (iii) €500,000 per company active in all other sectors. In addition, the aid will be granted no later than 31 December 2022. The Commission therefore concluded that the measure is necessary, appropriate, and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Crisis Framework. On this basis, the Commission approved the measure under EU State aid rules. More information on the Temporary Crisis Framework and other actions taken by the Commission to address the economic impact of Russia's invasion of Ukraine can be found here. The non-confidential version of the decision will be made available under the case number SA.103175 in the State aid register on the Commission's competition website once any confidentiality issues have been resolved. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

State aid: Commission approves €10 million Czech scheme to support companies in context of Russia's invasion of Ukraine

The European Commission has approved a €10 million scheme to support companies in the context of Russia's invasion of Ukraine. The scheme was approved under the State aid Temporary Crisis Framework, adopted by the Commission on 23 March 2022 and amended on 20 July 2022, based on Article 107(3)(b) of the Treaty on the Functioning of the European Union (‘TFEU'), recognising that the EU economy is experiencing a serious disturbance. The scheme aims at supporting small and medium-sized enterprises (‘SMEs')  active in manufacturing of food products and beverages that are affected by the current geopolitical crisis and the related sanctions. Under the scheme, the eligible beneficiaries will be entitled to receive limited amounts of aid in the form of direct grants. The Commission found that the Czech scheme is in line with the conditions set out in the Temporary Crisis Framework. In particular, the aid (i) will not exceed €500,000 per company; and (ii) will be granted no later than 31 December 2022. The Commission concluded that the Czech scheme is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Crisis Framework. On this basis, the Commission approved the aid measure under EU State aid rules. More information on the Temporary Crisis Framework and other actions taken by the Commission to address the economic impact of Russia's invasion of Ukraine can be found here. The non-confidential version of the decision will be made available under case number SA.103616 in the State aid register on the Commission's competition website once any confidentiality issues have been resolved. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

Concentrations: la Commission autorise l'acquisition de Cary Group par CVC et Nordic Capital

La Commission européenne a approuvé, en vertu du règlement européen sur les concentrations, l'acquisition de Cary Group AG, basée en Suède, par CVC Partners SICAV-FIS S.A., (« CVC») basée au Luxembourg, et Nordic Capital XI Limited («Nordic Capital » ), basée à Jersey. Cary Group offre des services de réparation et de remplacement de pare-brise. CVC est actif dans la gestion des fonds et des plateformes d'investissement. Nordic Capital est un groupe d'investissement privé, actif dans les secteurs de la santé, des services financiers et services de paiements, des services aux entreprises et des produits de consommation. La Commission a conclu que l'opération envisagée ne soulèverait pas de problème de concurrence dans la mesure où les entreprises ne sont pas actives sur le même marché ou sur des marchés liés ou complémentaires. La transaction a été examinée dans le cadre de la procédure simplifiée du contrôle des concentrations. De plus amples informations sont disponibles sur le site internet concurrence de la Commission, dans le registre public des affaires sous le numéro d'affaire M.10828. (Pour plus d'nformations: Arianna Podesta – Tél.: +32 229 87024; Nina Ferreira - Tél.: +32 229 98163)

Mergers: Commission clears acquisition of Kedrion and BPL by Permira and Sestant

The European Commission has approved, under the EU Merger Regulation, the acquisition of the joint control of Kedrion S.P.A (‘Kedrion') of Italy and Bio Products Laboratory Holdings Limited (‘BPL') of the UK, by Permira Holdings Limited (‘Permira') of Guernsey and Sestant Internazionale S.P.A. (‘Sestant') of Italy. Permira is a private equity firm active across multiple sectors. Sestant is a financial holding company overseeing the international assets of the Marcucci family. Kedrion and BPL are both active in the collection of human plasma and the development, production and sale of therapeutic plasma-derived products. The transaction gives rise to vertical links between the downstream supply of therapeutic plasma-derived products by Kedrion and BPL, as well as theirs and Permira's upstream activities in the supply of plasma, paste, and certain chemicals and services. The Commission concluded that the proposed transaction would raise no competition concerns, given that the vertical links between the companies' activities are unlikely to allow them to engage in foreclosure practices. In addition, the Commission found that the transaction does not give rise to horizontal overlaps in the European Economic Area. The transaction was examined under the normal merger review procedure. More information is available on the Commission's competition website, in the public case register under the case number M.10680. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

Mergers: Commission clears acquisition of Premfina and iGO4 by MDP and HPS

The European Commission has approved, under the EU Merger Regulation, the acquisition of joint control of Premfina Limited (‘Premfina') and i GO 4 Ltd. (‘iGO4'), both of the UK, by Madison Dearborn Partners, LLC (‘MDP') and HPS Investment Partners, LLC (‘HPS'), both of the US. Premfina provides premium financing as lender of record and white label insurance software solutions to insurance brokers in the UK. iGO4 provides car telematics insurance products to consumers in the UK. MDP is a private equity investment firm active across multiple industries. HPS is an investment firm managing various strategies across the capital structure, asset-based leasing and private equity. The Commission concluded that the proposed acquisition would raise no competition concerns given that Premfina and iGO4 have no, or negligible, current or foreseen activities within the European Economic Area. The transaction was examined under the simplified merger review procedure. More information is available on the Commission's competition website, in the public case register under the case number M.10805. (For more information: Arianna Podesta – Tel.: +32 229 87024; Nina Ferreira - Tel.: +32 229 98163)

Tentative agendas for forthcoming Commission meetings

Note that these items can be subject to changes.

Upcoming events of the European Commission

Eurostat press releases