On Friday 28 October, the European Commission authorised €1.5 billion in Belgian support for gas and electricity suppliers in the context of Russia’s war against Ukraine.
The aid is authorised under the State aid Temporary Crisis Framework. The guarantee scheme is intended to provide emergency liquidity support to gas and electricity suppliers and their intermediaries.
The measure will be open to natural gas and electricity suppliers and their intermediaries holding a licence to supply electricity and/or natural gas to end users in Belgium. To be eligible, these companies must not be in financial difficulty at the time they apply for support.
The Commission found the Belgian scheme to be in line with the conditions set out in the Temporary Crisis Framework: the loans granted under the measure concern only working capital needs, the flat-rate guarantee premiums respect the minimum levels set out in the Temporary Crisis Framework and will cover a maximum of 70% of the loan principal, the maximum loan amount per beneficiary for which a guarantee can be granted respects the conditions set out in the Temporary Crisis Framework, the losses will be sustained proportionally and under the same conditions by the credit institutions and the State, and the aid will be granted by 31 December 2022 at the latest. (Original version in French by Lionel Changeur)