Fri. Sep 13th, 2024

Brussels, 22 February 2024

The European Commission has approved a €240 million (DKK 1.8 billion) Danish scheme to support the production of investments in specific strategic goods 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.

Under the scheme, the aid will take the form of direct grants, subsidised loans or guarantees. The purpose of the scheme is to support investments for the production of wind turbines and electrolysers, 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 Danish scheme is in line with the conditions set out in the Temporary Crisis and Transition Framework. In particular, the aid (i) will not exceed €150 million per company; and (ii) will be granted until no later than 31 December 2025. The Commission concluded that the Danish scheme is necessary, appropriate and proportionate to accelerate the green transition and facilitate the development of certain economic activities, which are of importance to implement 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. On this basis, the Commission approved the scheme under EU State aid rules.

More information on the Temporary Crisis and Transition Framework and other actions taken by the Commission to address the economic impact of Russia’s war against Ukraine and foster the transition towards a net-zero economy can be found here. The non-confidential version of the decision will be made available under the case number SA.110777 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.            

Source – EU Commission

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