The European Commission decided on Tuesday 19 January to consult Member States on a proposal to prolong until 31 December 2021 and adjust the Temporary Framework for State Aid. Initially adopted on 19 March 2020, this framework is helping to support the economy in these difficult times of a coronavirus pandemic.
Margrethe Vestager, Executive Vice-President responsible for Competition Policy, said that she suggested "increasing the amounts of aid available to companies under certain measures to ensure that effective support remains available".
The Commission has sent a draft proposal to the Member States for consultation: - extending the existing provisions of the Temporary Framework until 31 December 2021; - increasing the ceilings for the limited amounts of aid granted under the Temporary Framework (currently €120,000 per enterprise active in fisheries and aquaculture, €100,000 per enterprise active in primary production of agricultural products and €800 000 per enterprise active in all other sectors); - enabling Member States to convert also at a later stage the granted repayable instruments (including loans) of up to €800,000 per company into direct grants.
Member States now have the opportunity to comment on the draft Commission proposal. Link to the press release: http://bit.ly/3iu7fOD (Original version in French by Lionel Changeur)