EC increases proposed de minimis ceiling to 200,000 euros 19-06-2006 As part of its state aid reforms the European Commission proposed a new
increase of the "de minimis" block exemption on 12 June 2006. The Commission
wants to raise the ceiling to 200,000 euros. This means that government aid to
companies amounting to less than 200,000 euros are not considered state aid and
thus do not need to comply to EU competition law.
As recently as March it was still suggesting 150,000 euros. The present
Regulation requires notification of the European Commission of all state aid
above 100,000 euros. Raising the de minimis ceiling will allow the Commission to
concentrate on larger state aid cases likely to interfere more with market
mechanisms. The need to report state aid less frequently will give local
authorities greater scope to provide financial assistance.
After publishing the draft Regulation in March and consulting the Advisory
Committee on State Aid, the European Commission amended its original proposal in
several respects. The most important amendment concerns increasing the de
minimis ceiling for state aid from 150,000 euros to 200,000 euros. The
Regulation currently in force (No. 69/2001) stipulates a ceiling of 100,000
euros. The most controversial points discussed by the Advisory Committee have
been placed in brackets in the amended proposal to indicate they are still
subject to change by the Commission (see “More information”). Therefore, there
is not yet any certainty regarding the ultimate content of these items in the
new Regulation.
If the definitive text of the Regulation is adopted and approved, it will
come into effect on 1 January 2007.
Source: Europa Decentraal LinksAmended New De minimis block exemptionEuropa Decentraal back |
