On Wednesday 29 April, the European Commission relaxed the ‘METSAF’ framework governing State aid in the European Union in order to enable Member States to provide temporary support—until the end of 2026 at this stage—to the sectors of activity (agriculture, fisheries, non-aviation transport) most affected by the economic crisis triggered by the war in the Middle East.
After two months of war, the outcome of which remains “uncertain”—that have caused severe disruptions in gas and oil markets—“immediate responses” to support the EU economy are necessary; these responses must strike a balance between providing rapid support to the most affected sectors and keeping in mind “the energy transition”, which remains the EU’s “structural response” to external energy shocks, stated European Commission executive vice-president Teresa Ribera.
The schemes that Member States implement must support measures that are “targeted, temporary and proportionate”, she emphasised, in line with the Commission’s recommendations on emergency energy measures unveiled last week (see EUROPE 13854/1).
Drawing heavily on a draft version submitted for consultation (see EUROPE 13849/5), the new framework provides for the possibility of supporting operators and companies active in the agriculture, fisheries and transport (road, rail, inland waterway and intra-EU short-sea shipping) sectors by covering up to 70% of the additional costs resulting from rising fuel prices.
Regarding agriculture, additional costs related to the purchase of fertilisers will also be covered.
To determine the price increase, each Member State shall take into account the difference between the price of fuel or fertilisers on the relevant market and a historical reference price (determined by the Member State on the basis of reasonable assumptions and recognised indices). The total additional costs will then be calculated based on the beneficiary’s current consumption or their last recorded consumption before the crisis.
Below a ceiling of €50,000 over the period March-December 2026, Member States will be able to calibrate individual aid based on factors such as the beneficiary’s size and type of activity, a general estimate of fuel consumption in the sector or other relevant representative variables.
Asked about the fact that the aviation sector was not covered by the framework, Ms Ribera said that discussions with Member States had shown that the concerns raised by certain EU countries were “not widespread”. The situation will be monitored closely, but for the time being it “did not require special intervention”, she added.
CISAF. Furthermore, for energy-intensive industries, the Commission proposes relaxing the ‘CISAF’ framework—which incentivises investment in clean technologies—until the end of 2030 (see EUROPE 13667/26) by increasing aid intensity (covering up to 70% of the average annual wholesale market price) without altering the required contributions regarding the decarbonisation of manufacturing processes. The aid granted may cover up to 50% of the beneficiary’s total consumption.
This support may be combined with aid already granted under the ‘ETS’ guidelines revised in late 2025 to mitigate the increased risk of affected companies relocating (see EUROPE 13779/20), up to a limit of 50% of the aid granted under the ‘CISAF’ framework (Section 4.5).
It should also be noted that the EU institution has indicated its readiness to assess, on a case-by-case basis and subject to compliance with a number of obligations, temporary measures, which could include subsidies designed to cover a portion of the fuel costs associated with generating electricity from natural gas.
In the event of a request from a Member State, such as Italy, for example, the Commission will examine whether the planned support measures accomplish the following: avoid distortions to the internal market; preserve investments in clean energy; uphold the obligations and incentives of the ‘ETS’ system; gradually align the gas subsidy amount or the gas price ceiling with market prices; and include safeguards that ensure the benefits are fully passed on to end consumers.
“We don’t want to increase the consumption of gas”, said Ms Ribera, adding that each request from a Member State would be assessed “on a case-by-case basis”.
See the ‘METSAF’ framework: https://aeur.eu/f/lqz (Original version in French by Mathieu Bion)