COVID-19 pandemic: ESA approves Norwegian aid to businesses for lost inventory*
The EFTA Surveillance Authority (ESA) has today approved a scheme to compensate restaurants, bars, certain hotels, cafés and flower shops for losses in spoiled inventory that could no longer be sold or used.
Preventive restrictions put in place by the Norwegian authorities to contain the pandemic have led to a decline of customers in the hospitality sector. As a result, many businesses have been unable to sell or use products before they get spoiled or expire, including foodstuffs, beverages and flowers.
Under the approved scheme, eligible businesses will receive 100% compensation for the purchase costs of lost inventory. To be eligible, the business must have suffered a decline in turnover of at least 30% in the relevant compensation period, from November 2020 to April 2021.
The scheme has a budget of NOK 25 million (EUR 2.5m) and will enter into force on 17 May 2021.
Norway notified the measure to ESA on 19 May 2021.
