Brussels, 14 December 2023
The European Commission has approved a €1 billion Slovak scheme to support investments for the production of equipment necessary to foster the transition towards a net-zero economy, in line with the Green Deal Industrial Plan. The scheme was approved under the State aid Temporary Crisis and Transition Framework, adopted by the Commission on 9 March 2023 and amended on 20 November 2023, to support measures in sectors which are key to accelerate the green transition and reduce fuel dependencies.
Slovakia notified to the Commission, under the Temporary Crisis and Transition Framework, a €1 billion scheme to support investments for the production of relevant equipment necessary to foster the transition to a net-zero economy. Under this measure, the aid, up to an amount of €350 million per company, will take the form of direct grants, income tax reliefs and transfers or leases of immovable property for a price below market value.
The measure will be open to companies producing relevant equipment, namely batteries, solar panels, wind turbines, heat-pumps, electrolysers, and equipment for carbon capture usage and storage, as well as key components designed and primarily used as direct input for the production of such equipment or related critical raw materials necessary for their production. The Commission found that the Slovak scheme is in line with the conditions set out in the Temporary Crisis and Transition Framework. In particular, the aid (i) will incentivise the production of relevant equipment for the transition towards a net-zero economy; and (ii) will be granted no later than 31 December 2025.
The Commission concluded that the Slovak scheme is necessary, appropriate and proportionate to accelerate the green transition and facilitate the development of certain economic activities, which are of importance for the implementation of the Green Deal Industrial Plan, in line with Article 107(3)(c) TFEU and the conditions set out in the Temporary Crisis and Transition Framework.
Executive Vice-President Margrethe Vestager, in charge of competition policy, said:
“This €1 billion Slovak scheme will provide exceptional investment aid in sectors strategic for the transition to a climate-neutral economy. This is an important step towards Europe’s ambitious climate targets while ensuring that any potential competition distortions are kept to the minimum.”
A press release is available online.
Souerce – EU Commission