Brussels, 03/07/2013 (Agence Europe) - On 2 July, the European Commission authorised state aid of €113.9 million for a €120 million project to expand infrastructure for cruise ships at the Port of Piraeus, Greece, by building to docking stations. The project, co-financed with €96.9 million from EU structural funds, was notified in September 2012. The Commission says the project will improve the exploitation of cruise services at the Port of Piraeus and support regional development by creating jobs and boosting economic activity through the passengers, crews and companies that it will attract. Greece carried out an in-depth cost-benefit analysis showing that the income to be generated for the port authority from the use of the infrastructure over the next 20 years will be insufficient to cover the investment costs. Therefore, the project would not be carried out without public funding. The Commission notes in this connection that the public funding is limited to the funding gap and is required to make the investment possible. Finally, the potential distortions of competition and trade between member states to be generated by the creation of additional capacities at the Port of Piraeus are relatively limited, because the Port of Piraeus will still have a relatively low market share in cruise traffic in the Mediterranean. The positive effects of the project for the cruise market of the Mediterranean Sea and on regional development clearly outweigh any potential distortions of competition brought about by the aid. (FG/transl.fl)