Commission investigates State aid granted to Italian R&D projects
The Commission is investigating allegations made against the Italian government about its failure to notify state aid granted to 13 Italian research and development (R&D) projects in the aeronautical sector. Under EU competition law, Member States are required to inform the Commission of any plans to grant or alter aid. The formal complaint alleges that this was not respected and it also suggests that the cost of the individual projects exceeded the notification thresholds as stipulated by the Commission. Furthermore, an initial assessment has raised doubts about whether six of the projects under investigation qualify as research and development, and whether the aid displayed the requisite 'incentive effect' as set forth in 1996 Community Framework for State aid for research and development activities. Activities that are close to the market, the framework states, entail a greater threat to competition and the development of the single market, and should therefore receive less aid. The Commission says that closer investigation is required to fully assess these claims. With regard to the remaining projects, the Commission has stated that there is no evidence to support the formal complaint - the projects do not exceed the threshold for individual notification and were compatible with the State aid R&D framework at the time the aid was granted. Opening a formal investigation, the Commission claims, will give Italian authorities and interested third parties an opportunity to comment on the Commission's preliminary findings.
Countries
Italy