ANNOUNCED AS TEMPORARYYes
According to France, "The objective of the measure is the development of hydroelectric installations of up to 1 MW of electrical power. This involves either the construction of new hydroelectric facilities or the renovation of existing facilities to improve their energy efficiency. [...] The provisional annual budget is 115 million EUR." The measure will be in effect from 1 January 2017 until 31 December 2026 with a possibility to be prolonged until 2030. (translated para. 8 and 10 letter from the EC to France, Brussels 06.02.2017)
Based on the findings of the European Commission, "[...] the distortive effects of the aid for the generation of electricity from renewable energy sources are limited if all other conditions are met. As demonstrated below, the notified scheme fulfills all the other compatibility conditions and the distorting effects of competition are therefore considered to be limited in view of the positive effects on the environment." (translated para. 113 letter from the EC to the France, Brussels 06.02.2017)
In the GTA database the determination of whether a policy instrument discriminates against foreign commercial interests turns on whether it creates or alters the relative treatment of domestic firms versus foreign commercial interests. On this metric, the state aid proposed here is discriminatory because the state aid is not available to competing firms outside of the implementing jurisdiction.
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