On Tuesday 11 March, the European Commission launched a consultation of interested parties on a draft State aid Framework accompanying the Clean Industrial Deal (‘CISAF’) that it had presented at the end of February (see EUROPE 13588/1).
Once adopted, probably in June, the future framework will replace the existing Temporary Crisis and Transition Framework (TCTF) and is intended to remain in place until 2030, one year after the start of the next legislative mandate. The EU institution’s aim is to establish a predictable regulatory framework that leaves sufficient time for the next Commission to assess its impact and the need for it to evolve.
The future framework will define the conditions under which State aid intended to increase private investment in clean technologies will be considered to comply with the internal market. The Commission is encouraging Member States to set up national schemes, which will have to be validated at European level in order to facilitate and increase the granting of individual aid.
Four types of aid are envisaged: (1) measures to accelerate the roll-out and storage of renewable energies and to encourage the deployment of less mature technologies, such as ‘green’ hydrogen; (2) support for the decarbonisation of industry, through calls for tender or limited direct aid; (3) measures to guarantee sufficient production capacity in the field of clean technologies (batteries, solar panels, wind turbines, heat pumps, electrolysers and carbon capture/storage) as well as the supply of essential components and raw materials for the production of this equipment. It should be noted that Member States could also provide higher aid amounts to match the level of support offered in third countries for a particular project, to avoid such investments being diverted away from Europe (matching aid); (4) measures to reduce the risks associated with private investments in renewable energy, industrial decarbonisation, manufacturing capacity in clean technologies as well as certain energy infrastructure.
The public consultation is open until 25 April.
To see the text of the consultation: https://aeur.eu/f/fvt (Original version in French by Mathieu Bion)