State aid Guidelines on climate, environmental protection and energy 2022

ClientEarth and the European Environmental Bureau (EEB) have expressed serious concerns regarding the European Commission's revision of the State aid Guidelines on climate, environmental protection and energy (CEEAG). They argue that the Commission is favoring energy intensive users (EIUs) by potentially expanding aid eligibility to companies only 'at risk' of carbon leakage, rather than those at 'significant risk'. The authors contend that the risk of carbon leakage remains 'unproven' and that maintaining reductions in electricity levies for EIUs contradicts the European Green Deal and the Polluter Pays Principle. They advocate for 'Option E2' (the ETS list), which would restrict aid to 14 eligible sectors, resulting in an estimated 89% annual budget reduction and 'much lower competition distortions'. Additionally, the letter criticizes the Commission's governance, alleging a breach of EU jurisprudence by failing to make impact assessments publicly accessible before adopting proposals.

• ClientEarth and the EEB argue that the European Commission is systematically violating Court of Justice of the EU jurisprudence by not making impact assessments publicly available before adopting proposals, as required by Article 12 of Regulation 1049/2001.
• A leaked draft of the CEEAG suggests a widening of aid eligibility for energy intensive users (EIUs) from those at 'significant risk' of carbon leakage to those merely 'at risk', which the authors claim contradicts the goals of the European Green Deal.
• The authors assert that the justification for granting electricity levy reductions to EIUs—the risk of carbon leakage—is not substantiated by evidence.
• Based on the Regulatory Scrutiny Board's (RSB) quantification tables, the authors identify 'Option E2' (the ETS list) as the most appropriate policy choice because it would limit aid to 14 sectors, leading to an 89% annual budget reduction and minimal competition distortion.
• The Regulatory Scrutiny Board (RSB) issued a positive opinion with reservations on the CEEAG impact assessment, noting that the report failed to clearly explain the preferred policy option for EIU levy reductions or justify the limited scope of the assessment.

APA

ClientEarth (2021). State aid Guidelines on climate, environmental protection and energy 2022. https://www.clientearth.org/media/w2fjyzqf/letter-the-commission-s-revision-of-the-state-aid-regime-in-favour-of-energy-intensive-users-raises-serious-concerns.pdf

Chicago

ClientEarth. State aid Guidelines on climate, environmental protection and energy 2022. 2021. https://www.clientearth.org/media/w2fjyzqf/letter-the-commission-s-revision-of-the-state-aid-regime-in-favour-of-energy-intensive-users-raises-serious-concerns.pdf.

Wikipedia

{{cite press release |author=ClientEarth |title=State aid Guidelines on climate, environmental protection and energy 2022 |date=16 December 2021 |url=https://www.clientearth.org/media/w2fjyzqf/letter-the-commission-s-revision-of-the-state-aid-regime-in-favour-of-energy-intensive-users-raises-serious-concerns.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{clientearth2021state, author = {{ClientEarth}}, title = {{State aid Guidelines on climate, environmental protection and energy 2022}}, publisher = {ClientEarth}, year = {2021}, month = dec, url = {https://www.clientearth.org/media/w2fjyzqf/letter-the-commission-s-revision-of-the-state-aid-regime-in-favour-of-energy-intensive-users-raises-serious-concerns.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }