De Minimis Aid Under EU Law

Description

This book deals with de minimis aid and demonstrates that it is both a sui generis legal concept in the context of State aid and subject to a complex regime. On the one hand, it is a sui generis concept in that (i)it seeks to strike a balance between simplifying the grant process and not distorting competition in the internal market, while being a tool that Member States are able to apply easily and (ii) it is subject to ex ante control by Member States. On the other hand, it is complex in that (i) it requires determining the sectors of economic activity it applies to; (ii) a few notions specific to the regime are not easy to understand, such as the notion of "single undertaking"; and (iii) it requires combining four de minimis regimes (one general and three special), which in turn requires reconciling those regimes with each other and with other aid, not least because of the cumulation rules. Lastly, these particularities were also reflected in the recovery regime for unlawful de minimis aid. Aimed at lawyers, legal consultants and those working in undertakings as well as students, the book provides a comprehensive overview of the current de minimis regimes and is clear and complete, while also proposing a fresh view on the area of EU State aid law. Ricardo Pedro is Researcher at the Centro de Investigação de Direito Público (CIDP), Universidade de Lisboa, Portugal.   Foreword Contents About the Author Abbreviations 1 Introduction and Background 1.1 Introduction and Background 1.2 De Minimis and State Aid 1.3 State Aid and De Minimis in the Context of COVID-19 1.3.1 State Aid in Exceptional Circumstances 1.3.2 Temporary Framework for State Aid Measures to Support the Economy During the Current COVID-19 Outbreak 1.3.3 De Minimis in Exceptional Circumstances 1.4 Procedural and Implementation Regulation 1.5 Aid for Financing Undertakings Providing SGEI 1.6 Aid in the Agriculture Sector and in the Fishery and Aquaculture Sector 1.6.1 In General 1.6.2 Aid in the Agriculture Sector 1.6.3 Aid in the Fishery and Aquaculture Sector 1.7 Aid Exempt from Notification 1.8 European Structural and Investment Funds References 2 De Minimis Aid: Growing Pains 2.1 In General 2.2 De Minimis Communications, Regulations and Case-Law 2.3 The Role of the European Commission and the Role of the Member States 2.4 Certain Problematic Topics of the General De Minimis Regime References 3 De Minimis Regimes: General and Special 3.1 Introduction 3.2 Legal Framework: A Few General Aspects 3.3 General Regime and Special Regimes: Common Aspects 3.4 De Minimis Aid to Road Freight Transport 3.5 Special De Minimis Regimes 3.5.1 De Minimis Regime in the Agriculture Sector 3.5.2 De Minimis Regime in the Fishery and Aquaculture Sector 3.5.3 De Minimis Regime for the Financing of Undertakings Providing SGEI References 4 Scope of the General De Minimis Regime 4.1 Material and Personal Scope: General 4.1.1 Material Scope 4.1.2 Personal Scope 4.2 Material Scope: Economic Activity Sectors 4.2.1 In General 4.2.2 Exclusions 4.2.3 Undertakings Active in Sectors Excluded and Not Excluded Under the General De Minimis Regime 4.2.4 General De Minimis Regime in Action 4.3 Personal Scope: Notion of “Single Undertaking” 4.3.1 Notion of “Undertaking” for the Purpose of Applying the State Aid Regime 4.3.2 Notion of “Single Undertaking” for the Purposes of Applying the General De Minimis Regime 4.3.3 Defining “Single Undertaking” Criteria 4.3.4 Case-Law on the Concept of a “Single Undertaking” Under the De Minimis Regime 4.3.5 Notion of “Single Undertaking” and Legal Concept of “Beneficiary” of ESIF 4.3.6 Application of the Concept of “Single Undertaking” by a Member State 4.4 Personal Scope: Legal Concept of “Firms in Difficulty” 4.4.1 Background and Current Regime 4.4.2 De Minimis Aid that May Be Granted to “Firms in Difficulty” 4.4.3 De Minimis Aid that Cannot be Granted to “Firms in Difficulty” 4.4.4 Issues in Connection with the Legal Concept of “Firms in Difficulty” 4.4.5 Guiding Elements of the Legal Concept of “Firms in Difficulty” 4.5 Personal Scope: Mergers, Acquisitions, or Spin-Offs of Undertakings 4.5.1 Mergers and Acquisitions 4.5.2 Spin-off of an Undertaking into Two or More Separate Undertakings References 5 Quantitative, Temporary Ceilings and Time When the Undertaking Becomes Entitled to Receive Aid 5.1 Quantitative Ceilings 5.1.1 In General 5.2 Quantitative Ceilings: General De Minimis 5.3 Quantitative Ceilings: De Minimis for the Financing of Undertakings Providing SGEI 5.4 Quantitative Ceilings: De Minimis in the Agriculture Sector 5.5 Quantitative Ceilings: De Minimis in the Fishery and Aquaculture Sector 5.6 Implementation of the Quantitative Ceilings: Principle of Indivisibility 5.7 Time Ceilings 5.7.1 In General 5.7.2 Time of Grant References 6 De Minimis Aid Cumulation 6.1 In General 6.2 Cumulation of General De Minimis Aid with Special De Minimis Aid and State Aid 6.3 Cumulation of De Minimis Aid for the Agriculture Sector with Other Aid 6.4 Cumulation of De Minimis Aid for the Fishery and Aquaculture Sector with Other Aid 6.5 Cumulation of De Minimis Aid for Financing Undertakings Providing SGEI with Other Aid References 7 Monitoring the De Minimis Regimes 7.1 In General 7.2 Monitoring the De Minimis Regimes: Options 7.3 Ex-post Control by the European Commission References 8 Recovery of Unlawful De Minimis Aid 8.1 In General 8.2 Recovery of Unlawful State Aid 8.2.1 Introduction 8.2.2 Limits to Recovery 8.2.3 Recovery Decision 8.2.4 Non-execution of the Recovery Decision: Possible Reactions 8.3 Recovery of Unlawful De Minimis Aid References Conclusions: The Book in a Nutshell Index