Commission approves €10 million Italian scheme to support companies recycling aluminium in the context of the coronavirus pandemic

The European Commission has approved a €10 million Italian scheme to support companies managing aluminium waste sorting and recycling plants in the context of the coronavirus pandemic. The scheme was approved under the state aid Temporary Framework. Under the scheme, the aid will take the form of direct grants. The aid amount per beneficiary will be calculated based on its decline in turnover over 2020, compared to 2019, up to 20% of this value and within a maximum ceiling of €200,000. The measure will be open to companies of all sizes managing aluminium waste sorting and recycling plants that have continued to operate despite the decline in demand for recycled material due to the coronavirus pandemic.

The purpose of the scheme is to address the liquidity needs of these companies and to help them continue their activities during and after the pandemic. The Commission found that the Italian scheme is in line with the conditions set out in the Temporary Framework. In particular, the aid (i) will not exceed €2.3m per company; and (ii) will be granted no later than 30 June 2022. The Commission concluded that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a member state, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework.

On this basis, the Commission approved the measure under EU state aid rules. More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.101313 in the state aid register on the Commission's competition website once any confidentiality issues have been resolved.

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