The European Commission has approved an approximately €3 billion Austrian scheme to support companies facing increased energy costs in the context of Russia’s war against Ukraine. The scheme was approved under the State Aid Temporary Crisis and Transition Framework.
The scheme consists of two measures: (i) limited amounts of aid to compensate companies for the cost increase of various energy sources; and (ii) aid for additional costs due to exceptional natural gas and electricity price increases. Under both measures, the aid will take the form of direct grants. The measure will be open to companies of all sizes and sectors, with the exception of credit and financial institutions among other sectors.
The Commission concluded that the Austrian scheme is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a member state, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Crisis and Transition Framework. On this basis, the Commission approved the aid measure under EU state aid rules.
Commissioner Didier Reynders, in charge of competition policy, said: “The repercussions of Russia’s war against Ukraine continue affecting the economy of member states and creating uncertainties. This €3 billion scheme will allow Austria to cushion the impact of the current crisis on companies facing increased energy costs and especially on energy-intensive companies, by providing them with liquidity support, while limiting possible distortions on competition within the Single Market.”
A press release is available online.
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