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European Commission approves over $1.1B in energy support separately for Hungarian, Dutch companies

The European Commission approved pound 1 billion ($1.1 billion) in energy support for Hungarian companies and pound 1.4 billion for Dutch companies to mitigate the effects of the ongoing Moscow-Kyiv war.

The commission said in a statement that the companies of both countries are "facing increased energy costs in the context of Russia's war against Ukraine."

The schemes were "approved under the State aid Temporary Crisis and Transition Framework, adopted by the Commission on 9 March 2023 to support measures in sectors which are key to accelerate the green transition and reduce fuel dependencies," it said.

While the scheme for Hungary consists of "aid for additional costs due to exceptional energy price increases and will take the form of loans and guarantees," the scheme for the Netherlands comprises "limited amounts of aid in form of direct grants."

"The measure will be open to companies of all sizes and sectors, with the exception of the financial sector as well as sectors which are considered to be potentially harmful to the environment," the commission said for Hungary.

However, for the Netherlands, the measure will be open to small and medium-sized enterprises across sectors, active in the country, whose purchases of natural gas and electricity amount to at least 7% of their annual turnover for the year 2022.

Source: Anadolu Agency