The Temporary Framework on State aid to counter the effects of covid-19 is a fairly simple document. Article 107(3)(b): 76 measures; Article 107(2)(b): 8 measures; Article 107(3)(c): 5 measures . Article 107 of the Treaty on the Functioning of the European Union (TFEU), in particular 107(3)(a) and (c) thereof. Introduction. The Framework sets out a series of State aid measures that the Commission will temporarily consider compatible with Article 107(3)(b) TFEU, which allows for State aid to remedy "a serious disturbance in the economy of the Member State". Legal basis. ... on the notion of State aid as referred to in Article 107(1) of the Treaty on the Functioning of the Eu-ropean Union, OJ C 262/1, 19.7.2016. Article 107(2)(b) enables the Commission to approve State aid measures granted by Member States to compensate specific companies or specific sectors for the damages directly caused by exceptional occurrences, such as the COVID-19 outbreak. The consolidated version, after the amendment of 3 April 2020, is …

Whereas the first, most urgent, national measures were notified and approved as compensation for exceptional occurrences, later measures had to stand the stricter test of 107(3). Moreover, Article 107(3)b TFEU provides that aid “to remedy a serious disturbance” in the economy of an EU Member State “may be considered” to be compatible with the internal market. Article 107 (ex Article 87 TEC) 1. Save as otherwise provided in the Treaties, any aid granted by a Member State or through State resources in any form whatsoever which distorts or threatens to distort competition by favouring certain undertakings or the production of certain goods shall, in so far as it affects trade between Member States, be incompatible with the internal market.

State aid Legislation > Treaty Provisions on State aid Full texts of the Treaties. The European Commission has approved public support programs in the following countries: EU State aid rules and more specifically the Rescue Aid and Restructuring Guidelines, which are based on article 107(3)(c) TFEU, enable Member States to help companies cope with liquidity shortages and needing urgent rescue aid. Introduction: Recent developments. On 26 March 2020, the European Commission published a list of the State aid measures approved under Article 107(2)(b) TFEU and under the Temporary State Aid Framework since the COVID-19 outbreak. Further information can be found on the Commission’s State aid webpages: State aid COVID-19 Tax benefits and EU state aid control Page 7 EU state aid control has increasingly tar- geted fiscal arrangements in recent years. See the changes to the numbering of articles. I. Measures based on Article 107(3)(b): Since this kind of aid may be granted only in response to a serious disturbance that affects the entire economy, it appears that the Commission considers that only in Italy is “the impact of the COVID-19 outbreak […] of [such] nature and scale that allows the use of Article 107(3)(b) TFEU”. On 1 December the Treaty of Lisbon entered into force. During the 2008-2011 financial crisis, we witnessed a gradual move from State aid measures exempted under Article 107(2) to measures exempted under Article 107(3). the aid must be covered by Article 107(3) TFEU, there must be a need for state intervention ,the aid must be appropriate and contribute to the common good, it must also be proportionate and avoid undue negative effects on competition and trade between Member States.

The purpose of regional State aid is to support economic development and job creation in Europe’s most disadvantaged regions.