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Europe Daily Bulletin No. 10888
ECONOMY - FINANCE / (ae) state aid

Inquiry into possible German renewable energy aid

Brussels, 15/07/2013 (Agence Europe) - On Monday 15 July, the spokesperson for the European Commission, Antoine Colombani (Competition), stated that the preliminary inquiry launched by the Commission into the advantages from which energy companies reportedly benefit in relation to other consumers under German renewable energy legislation “is not yet over at this stage and, in any case, we don't envisage particular changes [Ed: for energy companies] before the summer break”.

This therefore seems to belie the news published on Sunday in the online weekly edition of the German daily newspaper Der Spiegel, according to which the Commission reportedly wanted to launch formal inquiry proceedings on Wednesday into these advantages that it reportedly considers as illegal state aid.

The system which is contested (Article 40 of the German EEG law on renewable energy) provides for energy-intensive companies paying a reduced charge for funding renewable energy production in relation to other consumers. According to Der Spiegel, the Commission is reportedly planning on declaring these benefits illegal and on making the companies concerned (apparently numbering around 4,500) pay back the unfair aid. European Commissioner for Energy Günther Oettinger has previously criticised other discriminatory aspects of the German policy encouraging renewable energy as subsidies from which German wind energy production benefits, although the reduced charge is not granted to Danish or Norwegian wind operators who export their energy to Germany. (FG/transl.fl)

 

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