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State Aid Scoreboard autumn 2005 update

State Aid Scoreboard autumn 2005 update
Brussels, 9.12.2005
COM(2005)624 final

The main aim of this update of the Scoreboard is to assess Member States progress towards meeting the Lisbon objectives and response to successive European Councils call for less and better targeted State aid. The European Council of March 2005 invited Member States to continue working towards a reduction in the general level of State aid, while making allowance for any market failures. This movement must be accompanied by a redeployment of aid in favour of support for certain horizontal objectives such as research and innovation and the optimisation of human capital. The reform of regional aid should also foster a high level of investment and ensure a reduction in disparities in accordance with the Lisbon objectives. These goals were underlined by the Commission Recommendation on the Broad Economic Policy Guidelines for 2005-2008.

The Scoreboard is divided into four main parts.

Part One looks at the extent to which Member States have responded to the Lisbon Strategy by first providing an overview of the amount and type of (potentially) distortive State aid awarded by the Member States in 2004 and then examining the underlying trends.

Part Two provides a special focus on State aid for the environment and energy saving, an area which has seen a sharp increase in aid levels in recent years.

Part Three looks to what extent Member States assess whether or not State aid is the most appropriate form of intervention and what alternatives to State aid are used. It also includes an update of the recovery of unlawful State aid.

Finally, Part Four summarises ongoing work to modernise State aid control through legislative and policy means.

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