Brussels, 18/11/2010 (Agence Europe) - On 17 November, the European Commission opened an in-depth investigation into a scheme relieving German producers of non-ferrous metals of part of their electricity costs.
Germany intends to grant operating aid totalling €40 million to compensate energy intensive non-ferrous metal producers (aluminium, copper, zinc,) for a large part of the CO2 costs included in their electricity prices for the second half of 2009. The Commission is concerned that these companies might gain a competitive advantage over their European competitors. Commission Vice-President with responsibility for competition policy Joaquín Almunia said that the Commission does not encourage “electricity price-subsidisation schemes for targeted industrial sectors as such support tends to go against the climate change and electricity market liberalisation policies and may trigger subsidy races between member states”. He added: “This is why we need to investigate this closely”. (O.L./transl.rt)