The EU Court of Justice orders to pay a penalty of €80,000 per day for failing to fully recover incompatible State aid (EU Commission / Italy)

* Article published on StateAidHub: http://stateaidhub.eu, republished in e-Competitions with the courtesy of the author. The original title of this article appears below the e-Competitions title. Authors are welcome to write an alternative article on this case/text, provided they have no relationships with a party or related third party. Article will need e-Competitions Board approval before publication.

Non-recovery of Incompatible State aid Is Costly* Introduction The 2020 Temporary Framework for State aid to combat covid-19 has a much wider scope in comparison to other State aid regulations and guidelines. Normally, State aid regulations and guidelines exclude, for example, undertakings in difficulty, undertakings active in certain sectors [e.g. shipbuilding], export aid, aid that is granted on condition that domestic products are used or aid granted to undertakings that have not yet repaid incompatible aid. The only explicit exclusion in the current Temporary Framework concerns undertakings that were in difficulty before 1 January 2020. Consequently, a question that has been repeatedly asked during the past month is whether Member States are allowed to grant State aid on

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Phedon Nicolaides, The EU Court of Justice orders to pay a penalty of €80,000 per day for failing to fully recover incompatible State aid (EU Commission / Italy), 12 March 2020, e-Competitions March 2020, Art. N° 94691

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