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Law
Competition Policy

Cases & Judgments (Energy & Environment)

State aid

State aid can provide incentives to reach the EU targets for a low carbon and energy-efficient economy. The rules for environmental State aid allow a broad range of aid measures for environmental protection, whilst ensuring that any distortions of competition brought about by such measures do not go beyond what is necessary and acceptable.

The Commission monitors State support for companies in the energy and environment sector to ensure that it facilitates the development of an economic activity without affecting trading conditions to an extent contrary to the common interest.

> Guidelines for applying State aid rules in the energy sector

Mergers

In recent years, the Commission has used its powers to control mergers to ensure that energy markets remain competitive. For instance, it imposed remedies in PKN Orlen/Grupa Lotos, E.ON/Innogy and Statoil Fuel and Retail/Dansk Fuels.

Moreover, when reviewing mergers the Commission ensures that innovation is protected and encouraged, so that firms come up with new and better technologies, products or know-how that can help, for instance, to reduce the levels of emissions or bring other sustainability or environmental improvements. Merger control makes sure that there is no loss of innovation caused by mergers between rivals, that would otherwise continue bringing benefits, such as research and advances in technology which are fundamental for economic progress.

 

Commission decisions in the energy sector

The codes in the far right column indicate the sector according to the General Industrial Classification of Economic Activities (NACE)

Sector Cases NACE code

Mining of coal and lignite

antitrust/cartels mergers state aid B5

Extraction of crude petroleum and natural gas

antitrust/cartels mergers state aid B6

Mining of uranium and thorium ores

antitrust/cartels mergers state aid B7

Extraction of peat

antitrust/cartels mergers state aid B8

Support activities for petroleum and natural gas extraction

antitrust/cartels mergers state aid B9

Manufacture of basic metals

antitrust/cartels mergers state aid C24

Manufacture of coke and refined petroleum products

antitrust/cartels mergers state aid C19

Electricity, gas, steam and air conditioning supply

antitrust/cartels mergers state aid D35

Electric power generation, transmission and distribution

antitrust/cartels mergers state aid D35.1
  • Production of electricity
antitrust/cartels mergers state aid D35.11
  • Transmission of electricity
antitrust/cartels mergers state aid D34.12
  • Distribution of electricity
antitrust/cartels mergers state aid D35.13
  • Trade of electricity
antitrust/cartels mergers state aid D35.14

Manufacture of gas; distribution of gaseous fuels through mains

antitrust/cartels mergers state aid D35.2
  • Manufacture of gas
antitrust/cartels mergers state aid D35.21
  • Distribution of gaseous fuels through mains
antitrust/cartels mergers state aid D35.22
  • Trade of gas through mains
antitrust/cartels mergers state aid D35.23

Steam and air conditioning supply

antitrust/cartels mergers state aid D35.3

Water supply; sewerage; waste management and remediation activities

      E

Water collection, treatment and supply

antitrust/cartels mergers state aid E36

Sewerage

antitrust/cartels mergers state aid E37

Waste collection, treatment and disposal activities; materials recovery

antitrust/cartels mergers state aid E38
  • Waste collection
antitrust/cartels mergers state aid E38.1
               - Collection of non-hazardous waste antitrust/cartels mergers state aid E38.11
               - Collection of hazardous waste antitrust/cartels mergers state aid E38.12
  • Waste treatment and disposal
antitrust/cartels mergers state aid E38.2
               - Treatment and disposal of non-hazardous waste antitrust/cartels mergers state aid E38.21
               - Treatment and disposal of hazardous waste antitrust/cartels mergers state aid E38.22
  • Materials recovery
antitrust/cartels mergers state aid E38.3
               - Dismantling of wrecks antitrust/cartels mergers state aid E38.31
               - Recovery of sorted materials antitrust/cartels mergers state aid E38.32

Remediation activities and other waste management services

antitrust/cartels mergers state aid E39

Wholesale of solid, liquid and gaseous fuels and related products

antitrust/cartels mergers state aid G46.71

Wholesale of waste and scrap

antitrust/cartels mergers state aid G46.77

Retail sale of automotive fuel in specialised stores

antitrust/cartels mergers state aid G47.3