Brussels, 11 April 2025
The European Commission has approved, under EU State aid rules, an amendment to a Czech scheme to promote green and more efficient district heating mainly based on renewable energy. The Commission approved the original scheme on 16 December 2022.
Czechia notified to the Commission an amendment increasing the scheme’s budget by €2 billion, bringing the total budget to €3.2 billion.
The Commission assessed the amended scheme under EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the EU, which enables Member States to support the development of certain economic activities under certain conditions, and the 2022 Guidelines on State aid for climate, environmental protection and energy (‘CEEAG’). The Commission found that the scheme, as amended, continues to be in line with the conditions set out in the CEEAG since all other conditions of the original scheme remain unaltered. In addition, the Commission found that the amended scheme remains necessary and appropriate to achieve the objective pursued, in line with the REPowerEU Plan. Finally, the Commission found that the scheme remains proportionate as it is limited to the minimum necessary and has a limited impact on competition and trade between Member States. On this basis, the Commission approved the amendment under EU State aid rules.
The non-confidential version of the decision will be made available under the number SA.118343 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.