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04Nov DLA Piper Academy - State Aid is everywhere – overview of the EU State Aid Modernisation of the Commission and impact on the day to day business Brussels To generate growth in the European Union, the Commission intends to further develop the internal market and to enhance competition between undertakings. Avoiding that competition is distorted passes also by the reinforcement of State Aid control. This policy is further echoed by the budgetary constraints imposed upon Member States, needless to mention the increasing importance of State Aid control. State Aid control is not only a matter of the State: it may affect undertakings even without their knowing. It is not necessary for an undertaking to be considered as the beneficiary of a State Aid to have received on its accounts a subsidy. A mere fiscal provision favouring some undertakings may constitute an aid. An inappropriate public tender can create an illegitimate advantage to the contractor of an authority. The funding of the building of public infrastructures that are commercially exploited may be an aid. When an undertaking receives unlawful aid, it must reimburse the authority. This session will look at the new State Aid Modernisation Package, and the conditions in which a measure would amount to a State Aid. The new common principles set out in the State Aid Modernisation as a framework for the assessment of the lawfulness and/ or compatibility of the measure. Finally, the role of undertakings in defending or contending a State Aid measure will be discussed.

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