Opinion

State aid trips Green Deal up

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Published: December 21st, 2021,
Last updated: May 28th, 2025

Michael Niese
Michael Niese is the managing director of the Wirtschaftsvereinigung Metalle (German Metals Association)

State aid in the internal market is subject to strict control by the Directorate-General (DG) for Competition. This is a prerequisite for effective competition. Exceptions are justified if the aid pursues objectives of overriding European interests. Even in such cases, state support must be appropriate, necessary, and proportionate. The payments should be decreasing and limited in time, and the beneficiaries should make their own contribution. The coverage of current operating costs requires a special justification. So much for the theory.

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Metals Energy Finance Climate & Environment Financial policy