ANNOUNCEMENT 04 Mar 2022

On 4 March 2022, the European Commission approved a EUR 100 million financial grant scheme from Greece to support certain sectors still affected by the Covid-19 pandemic.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

SA.101934 COVID-19:Working capital in the form of grants to companies continuously and severely affected by COVID-19
https://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=3_SA_101934

Official Journal of the European Union, C 135, 25 March 2022
https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=OJ%3AC%3A2022%3A135%3ATOC

European Commission decision. SA.101934
https://ec.europa.eu/competition/state_aid/cases1/202211/SA_101934_80246A7F-0000-C36D-B25F-8DA8AAB86F9B_48_1.pdf

Update

SA.102365 COVID-19: First amendment to SA.101934 (2022/N) – Working capital in the form of grants to companies continuously and severely affected by COVID-19
https://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=3_SA_102365

European Commission's decision. SA.102365
https://ec.europa.eu/competition/state_aid/cases1/202214/SA_102365_404FE07F-0000-C762-B1CB-331A22DBB061_41_1.pdf

Inception date: 04 Mar 2022 | Removal date: 30 Jun 2022

Financial grant

On 4 March 2022, the European Commission approved a EUR 100 (USD 109) million direct grant measure from Greece. The aid will support the sectors of "event catering, beverage serving, organisation of conventions and trade shows, cultural education, fitness facilities and other amusement and recreation activities". The scheme is in force until 30 June 2022.

Under the scheme, aid may not exceed EUR 400'000 per beneficiary. The Greek Intermediate Agency for Operational Programmes of Competitiveness and Entrepreneurship will be responsible for administering the measure.

In its decision, the European Commission noted: "The measure is liable to distort competition, since it strengthens the competitive position of its beneficiaries. It also affects trade between Member States, since those beneficiaries are active in sectors in which intra-Union trade exists."

Regardless, it decided not to raise objections on the grounds that the scheme "is compatible with the internal market pursuant to Article 107(3)(b) of the Treaty on the Functioning of the European Union".

The state aid is approved under the Temporary Framework under the State Aid and its amendments. The European Commission adopted the Temporary Framework under the State Aid rules of the European Union on 19 March 2020 (see related state act).

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the financial support granted here is discriminatory.

On 31 March 2022, the European Commission approved the amendment of the present scheme by enlarging potential beneficiaries to "the sectors of manufacture of prepared meals and dishes, restaurants and mobile food service activities, support activities to performing arts, and activities of amusement parks and theme parks"

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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