The EU Commission authorizes a State aid to stimulate new investment in regions hit by earthquakes (Earthquakes in Italy)

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Remedying the Damage of a Natural Disaster through Incentives for New Investments Damage from natural disasters can be remedied in the short-term through direct compensation or in the longer-term through investment subsidies to support new productive capacity. Introduction This article reviews a rather straightforward case which, however, is also quite unusual. It concerns a measure to remedy the effect of recent earthquakes in Italy. What makes it unusual is that the aid is not granted on the basis of Article 107(2)(b) but Article 107(3)(c). In other words, the aid is not granted as compensation for the direct damage caused by the earthquakes but for the purpose of stimulating new investment in the regions that were hit by the earthquakes. The Commission authorised it in decision

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