EU approves €600m Slovak scheme to support firms facing increased energy costs

The measure will be open to companies of all sizes and sectors – except the financial sector – and will cover part of the increased costs of natural gas and electricity as a result of Russia’s war against Ukraine

The European Commission has approved a €600 million (£518m) scheme to support companies in Slovakia facing increased energy costs as a result of Russia’s war against Ukraine.

The measure, which will be administered by the Ministry of Economy of the Slovak Republic, will be open to companies of all sizes and sectors – except the financial sector – and will cover part of the increased costs of natural gas and electricity.

The Commission found the Slovak scheme is in line with the conditions set out in the Temporary Crisis Framework, in particular, the aid will not exceed €2 million (£1.7m) per beneficiary and will be granted no later than 31st December 2023.

The state aid Temporary Crisis Framework, adopted on 23rd March 2022, enables member states to use the flexibility foreseen under state aid rules to support the economy in the context of Russia’s war against Ukraine.

Under the Temporary Crisis Framework, which will be administered by the Ministry of Economy of the Slovak Republic, the aid will be provided in the form of direct grants.

Margrethe Vestager, Executive Vice-President in charge of competition policy said: “This €600 million scheme will enable Slovakia to reduce the burden of the increased energy costs on its economy by supporting affected companies across sectors.”

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