EU aids renewable energy projects

    The European Commission said that the EU competition regulator is considering amending the state aid law to allow EU countries to subsidize up to 100% of renewable Solarpower energy projects, as the EU is seeking to achieve ambitious green goals.

    The proposed changes are part of the European Union’s executive agency’s revision of its Climate, Energy and Environment State Assistance Guidelines (EEAG), which is expected to be adopted by the end of this year.

    "Europe will need a lot of sustainable investment. Although a large part of it will come from the private sector, public support will play a role in ensuring that the green transition takes place quickly," European Competition Commissioner Margrethe Vestager said in a statement.

    The EU executive stated that the revised rules will allow EU countries to introduce new aid tools and projects in clean transportation, building energy efficiency and biodiversity, and they can also be fully funded by EU countries.

    EU countries will have to negotiate with all stakeholders on subsidy projects as one of several safeguards to ensure that state aid is effective and limited to what is needed.

    As long as it meets the EU's climate goals for 2030 and 2050, the revised rules will cover new investments in natural gas.

    Interested parties must provide feedback before August 2, and the European Commission will make a final decision based on the relevant feedback information and the actual situation.