The European Commission has approved a German scheme which aims to encourage the use of woodchippings for energy generation and heating. The aid would be for investments in energy generation by installations using woodchippings and for local networks connected to these installations in Baden-Wurttemberg. The scheme, which will last from 1995 to the end of 1997, has the following budget: - DM 2 million (ECU 1.04 million) in 1995; - DM 2 million (ECU 1.04 million) in 1996; - DM 2 million (ECU 1.04 million) in 1997. Aid will be granted in the form of one-off subsidies of max. DM 600,000 (ECU 0,31 million) and aid intensity is max. 20% gross of eligible costs.