EU clears €2.13bn Spanish aid to shut coal mines

Spain has been granted consent by European authorities to provide €2.13 billion (£1.62bn) in public funds to close 26 coal mines. The European Commission said the nation’s plans are in […]

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By Priyanka Shrestha

Spain has been granted consent by European authorities to provide €2.13 billion (£1.62bn) in public funds to close 26 coal mines.

The European Commission said the nation’s plans are in line with EU state aid rules

Last month Spain notified plans to grant funds to the operators of “uncompetitive” coal mines that are due to be shut down by 2018.

The aid aims to cover production losses of the mines, provide financial support to those workers who have lost or will lose their jobs due to the closures by funding severance payments and social security benefits.

The Commission added: “The Spanish authorities have given a commitment to recover any aid from mines that have not been closed by that date.”

The UK plans to phase out unabated coal-fired power stations by 2025.