On Monday 24 March, the European Commission approved a €5 billion German scheme designed to support companies subject to the EU ETS in their efforts to decarbonise their production processes.
This aid, which follows on from a similar scheme approved in February 2024 (see EUROPE 13460/9), will help companies operating in the chemicals, metallurgy, glass or paper sectors to use less polluting fuels or to electrify their production lines. The projects selected will have to reduce their emissions by 60% in the first three years and by 90% by the time they are completed.
According to the EU institution, the German scheme complies with the February 2022 guidelines on state aid for climate, environmental and energy protection, insofar as it creates a real incentive to decarbonise production processes without having a major impact on competition and trade (see EUROPE 12878/28). (Original version in French by Mathieu Bion)