Mon. Sep 16th, 2024

Brussels, 30 May 2023

The European Commission has adopted, under EU State aid rules, a Communication regarding the mid-term review of the regional aid maps applicable for the period 2022-2027.

Regional aid is an important instrument used by Member States to enhance regional development. On 19 April 2021, the Commission adopted the revised EU guidelines on regional State aid (the ‘Regional Aid Guidelines’), setting out the rules under which Member States can grant State aid to companies to support the economic development of disadvantaged areas in the EU, while ensuring a level playing field between Member States. The revised Guidelines entered into force on 1 January 2022. As foreseen by the Regional Aid Guidelines, Member States can amend their regional aid maps as part of a mid-term review, taking into account updated statistics. The Communication adopted today sets out the updated statistics and the rules for the mid-term review. The updated statistics have been now extended taking into account data up to 2021, covering therefore also the effect of the COVID-19 pandemic. The Member States now have the possibility to propose amendments to their regional aid maps to reflect unfavourable changes in the GDP per capita and unemployment rates in their regions.

Provided that the applicable conditions are fulfilled, Member States can now notify amendments to their regional aid maps including: (i) new regions eligible for aid under Article 107(3)(a) Treaty on the Functioning of the European Union (so-called ‘a’ areas) and increased maximum aid intensities in existing ‘a’ areas; (ii) increased maximum aid intensities in existing so-called non-predefined ‘c’ areas eligible for aid under Article 107(3)(c) Treaty on the Functioning of the European Union and replacements of existing non-predefined ‘c’ areas with new non-predefined ‘c’ areas; and (iii) increased maximum aid intensity for regions that are experiencing population loss.

The review of regional aid maps is not mandatory. Member States that intend to amend their regional aid maps for the period 1 January 2024 to 31 December 2027 can notify the amendments to the Commission by 15 September 2023. The notified amendments will be subject to individual decisions by the Commission.

Source – EU Commission

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