On January 28 2021, the European Commission (Commission) amended its COVID-19 Temporary State aid Framework (Temporary Framework) for the fifth time. The Commission adopted the Temporary Framework at the beginning of the COVID-19 crisis (March 19 2020) to support the economy and help Member States set up various aid measures. Since the adoption of the Temporary Framework, the Commission has approved hundreds of national COVID-19 support measures.
Given that the COVID-19 crisis continues to affect the European economy, the European Commission adopted a fifth Amendment to the Temporary Framework, which includes the following changes:
- Extension of the Temporary Framework until December 31 2021;
- Higher aid ceilings regarding limited amounts of aid and support for uncovered fixed costs;
- Clarifications and amendments to several provisions.
- The continued temporary removal of all countries from the “marketable risk” country list under the STEC (Short Term Export Credit) insurance Communication.
Our latest alert summarizes the key takeaways and immediate impact of this amendment.
*Author, Partner Hendrik Viaene, recently joined McDermott from Deloitte Legal, where he led the global Centre of Expertise in Competition and Regulatory Law. His practice focuses on EU competition and regulatory law, and he demonstrates in particular an in-depth technical skill and encyclopaedic knowledge of State Aid issues.
A seasoned and skilled litigator, he has successfully represented numerous clients before the European Court of Justice and Belgian courts. His practice additionally covers cartels, licensing agreements, merger control, abuse of dominance, and distribution agreements. His wide-ranging expertise extends over a number of sectors, including energy, chemicals and paints, automotive, financial data, recycling and waste management, telecoms, construction, renewables, media, private equity and the financial industry.