IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
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Inception date: 22 Jan 2014 | Removal date: open ended
Still in force

Financial grant

On 22 January 2014, theEuropean Commission allowed the Polish authorities to grant state aidfor the renewal of rolling stock for PKP IC to serve the interregionalline Warszawa-Szczecin.
 
The beneficiary, PKP IC, is apassenger rail operator owned by the Polish State Railways (PKP SA).The company's share of the Poland's passenger transport circulatesaround 4.5% and its share of the passenger rail market in Poland is about 13%.
 
The aid will be provided inthe form of a direct grant worth approximately EUR 14.2 million for thepurchase of 20 new passanger carriages as part of a regional investmentproject. Another EUR 14.2 million will be provided through debt financing.
 
The Commission stated that"PKP IC provides international passenger services that are opened tocompetition. Moreover, when providing passenger services, PKP ICcompetes with other modes of transport. Consequently, the aid is liable to distort competition and affect trade between MemberStates." (para. 22, letter from the EC to Poland, Brussels 22.1.2014)
 
A state measure in the GTAdatabase is assessed solely in terms of the extent to which itsimplementation affects the extent of discrimination against foreigncommercial interests. On this metric, the state aid proposed here is discriminatory.
 

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