Thu. Dec 12th, 2024

Brussels, 10 October 2024

The European Commission has approved, under EU State aid rules, the prolongation of Denmark’s compensation to the airport of Bornholm for its public service obligation for the period 2024-2030. Bornholm airport is located on an island in the Baltic Sea and is entrusted with the operation of a service of general economic interest (‘SGEI’) requiring it to receive all airlines that wish to fly to and from it. The airport is the most important connection hub for the island’s population to reach the Danish mainland and for tourists from the rest of Europe to reach Bornholm.

The entrustment to Bornholm Airport of a SGEI was originally approved by the Commission in February 2018 and prolonged in November 2020. Today’s decision concerns the prolongation of this entrustment until 2030, with a yearly amount of public compensation of approximately €5.6 million (DKK 42 million).

The Commission assessed the prolongation under the 2014 Guidelines on State aid to airports and airlines, which allow Member States to grant aid in the form of SGEI compensation to airports that have an important role for  regional connectivity. The Commission found that the measure remains necessary and appropriate to support regional connectivity and development, as without the airport, the island of Bornholm would face significant disadvantages in terms of connectivity and economic development compared to other European regions. In addition, the Commission found that the measure remains proportionate as it has a limited impact on competition and trade between Member States. Furthermore, the compensation cannot be used to directly subsidise any airline serving the airport. On this basis, the Commission approved the prolongation of the Danish measure under EU State aid rules.

The non-confidential version of the decision will be made available under the case number SA.108904 in the State aid register on the Commission’s competition website, once any confidentiality issues have been resolved.

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