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Vol.1978/0139

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COMMISSION OFTHE EUROPEAN COMMUNITIES
COM(76)367 final
Brussels .28July 1978
MEMORANDUM
on
■thefinancial aid awarded "bytheMember States to
thecoal industry in1978
(submitted totheCouncil "bytheCommission )
χ\ν»»,
-'V
\ -Λ^-·
COM(78)367final

IIST 0?CONTENTS
Page
ΓCHAPTER I
Introduction
CHAPTER II
Thesituation onthecommon market inC0®J; ,1978 andthetrends 1nfinancial aidtothecoal ^
industry
CHAPTER III .
Conclusions
Annex -
Description ofthemeasures envisaged for1978 andexamination oftheir compatibility withtheprovisions
ofDécision No528/76
I.Aids notconnected with current production
II.Aids tocurrent production1.Thesituation onthecommon market incoal
2.Thefinancial situation oftheundertakings !
3.Thetrends inaids in1978
4.Thecompatibility oftheaidsenvisaged in1978 ?with theproper working ofthecommon market
«
13
A/1
A/7
Tables

CHAPTER I ' f
WHIME BIWWI MWaWI J
•- . •' ' ' ' ' I
INTRODUCTION
1.This memorandum examines thefinancial aidawarded tothecoal industry
bytheMember States in1978 from thepoint ofview ofitscompatibility
1
with theprovisions ofCommission Decision No528/76ECSC andwith thepro­
■per functioning ofthe common market .
2,The 1978 memorandum follows the same pattern asthat oftheprevious year .
Itsdivision into amain section andanannex proved highly suitable for
assessing thesituation inthecoal industry /aswasconfirmed bythe
comments ofthe'government representatives .Themain section isdevoted
totheeconomic andfinancial problems ofundertakings andtothecompeti -^
tive situation onthe coal market .Thecompatibility ofaids tocurrent
production with theproper working ofthe common market pursuant toArticle
3(1)<3tfDecision No528/76isexamined onthebasis ofthese data The ,Annex
describes individual measures andtheir compatibility with theother pro
visions ofDecision No528/76.
3.Under Article 2ofDecision No528/76,theCommission received information
regarding aidmeasures for1978 fromtheGovernments ofthefollowing .Member
States :
-the German Government /
inletters dated 2November 1977
9November 1977 .
24January 1978
16May 1978
-the French Government /
inaletter dated 14February 1978
-theBritish Government /
inletters dated 15November 1977
29December 1977
-the Netherlands Government /
Inaletter dated 4January 1978
^Official Journal oftheEuropean Communities NoL63of11March 1976/P.1

-2-
-the Luxembourg Government /
inatetter dated 13January 1978
-the Danish Government ,
inaletter dated 11January 1978
-the Belgian Government ,
inaletter dated 23January 1978
/ '
4.Where the Commission obtained knowledge from thereports ofMember State
Governments ofeconomic facts which are covered bytheobligation ofpro­
fessional secrecy asset out inArticle 47ofthe ECSC Treaty ,these were
not included inthis memorandum .
5.Incalculating the amount ofaidper tonne for 1978,' thefollowing output
/
was used asabasis (millions oftonnes ,tonne -for-tonne ):
Germany 88.0
France 20.0 ,
Britain 121.0
Belgium 7.0
Total 236.0
'838SSSS
V ' ' ' ■' ■
6.Forconverting theaidamounts expressed 1n'national currencies into
European units ofaccount ,the following exchange rates were used :
(Average 4thquarter 1977 )
1EUA « DM2.60
« FF5.63
» 60.65
a Bfrs 41.00
7.The Commission 'sconclusions areset out 1nChapter III.
<
8.The memorandum was based onInformation provided bythe Member Sates ason.
20May1978.' ''

, CHAPTER II
The situation onthe common market for coal in1978 and the trends in
financial aid tothe coal industry
.The situation onthe common market incoal
This memorandum deals only with the most significant details ofcoal market
developments /specifically those which are ofimportance forthegranting of
aids andthe competitive situation .Thefigures given refer tothe current
year and are therefore estimates .
Thetotal 1978 demand for coal isexpected tobeonly slightly higher than
the 1977 demand -roughly 1%.Some changes aretobeexpected inthestructure
ofthis demand /since thecall for power station coal islikely toincrease
slightly /while that for coking and domestic coal islikely todecline some­
what .Consumption ofindustrial coal will presumably increase somewhat .Chan­
ges indemand are running parallel inall Community countries andarerelated
tothedifficulties experienced inthesteel industry (coking coal )andthe
rising overall consumption ofelectricity ,tomeet which there islikely to
beincreased generation ofelectricity using steam coal .
Inanalysing the problems ofthe Community coal industry in1978 itisim-
i
portant toknow the sources from which theslightly rising demand for coal is
supplied . '
, • ' >
The estimates ofthe Governments ofthe Member States show that coal imports
from non-Community countries in1978 vis-4-vis 1977 will remain about the same -
Aslight increase intheoverall demand for coal could mean that sales of
Community coal will pick upsomewhat .However /theestimates for 1978 indicate
that this will not besufficient tostimulate production /butwill atbest
suffice toavoid afurther increase incoal stocks .

The Community coal industry will continue tobeunder competitive pressure in
1978,particularly from imported coal andproducers will beunable tostand'up
tothis pressure ontheir own;this means that aids will
again benecessary tostrengthen thecapacity ofCommunity coal tocompete and
toprevent afurther decline insales .This isintheinterests ofthe Commu -,
nity'slong-term plans forstabilization ofCommunity production .
Although some Community coal producers raised their prices in1978 tokeep up
with thecost trend ,there isnomistaking thefact that itisvery difficult
toobtain acceptance for such increases -with allthat this implies for?the
financial situation ofthe mining companies (failure tocover costs ).Forall
thegeneral difficulties ofobtaining acceptance forincreases intheprices of
Community coal,two exceptions must benoted ;
-Thecompetiti vity ofbritish coal isbetter than that ofother producers .
-Under theprovisions ofthe3rdelectricity-f rom-coal law,Community coal
can besold toGerman power stations atcost-covering prices ,anarrangement
from which the German coal industry profits most .Theadditional costs borne
bythe power stations through using coal instead ofoilareoffset from a
fund maintained byalevy onelectricity consumption .
However ,itistobenoted that prices onthe Community steam coal market ai*e
increasingly determined bythe supply situation onthe world market .
Polish andSouth African steam coal isbeing offered atprices of &30to432
cifEurope .These prices arefar below the corresponding prices foroilorna­
tural gas.The Community coal industry isfaced with theproblem in1978 of '
holding Its ownintheexpanding steam coal market byaligning its ownprices .

Prices onthecoking coal market arepractically stagnant .TheCommission .has [
found that ar^average price of£62.00 /tisbeing paid fordeliveries under .j
r
long-term contracts from the USA andAustralia /though some importers have - !
, i ■
managed toput soipe short-term contract quantities onthe market ataprice
of &50/t.Although these are not .large quantities ,they are causing the
well-known difficulties which the undertakings find indefending the market
against price drops . 1
Prices fordomestic coal arealso under some rpressureJhe supply ofCommunity
anthracite isonthedecrease ,because itisnolonger profitable tomine it, 1
while imported anthracite -primarily from theSoviet Union -isoffered so
cheap ,particularly inthe Benelux states ,that itisable tocomp$e with ;
light fuel oil andnaturel gas.
There isevery indication that thesituation onthe Community coal market will :
notfundamentally improve in1978.Asrpgards oilandnon-Community coal,it j
should benoted that not only prices butalso changes incurrency parities- .- ■, ■ . i
exert adecisive influence onthecompetitive situation ,since theprices of j
these imported energy carriers arecalculated inUSdollars .This meanis a
particularly unfavourable effect onthecompetitive andsales situation of
the German miMng industry 1n1978 because oftherevaluation ofthe German
mark inrelation tothe dollar .
The financial situation ofthe coal industry inthe Community
•H • * -
Inview ofthecompetitive situation onthe Community coal market described
above ,themining undertakings will find little scope 1n1978 toincrease coal
prices ^However ,1tmaysafely beassumed that production costs will continue
torise in1978 .The Increase will vary 1nIndividual countries depending on
Individual conditions .However ,1tmay beassumed that thediscrepancy between
therise Inoutput permanshift and1nwages will mean Increased costs .The j
1978 Increase 1noutput permanshift 1sunlikely toexceed *rate which ,may
average 3Xforthe Community .Wage Increases -however much they mayvary
from country tocountry -will certainly exceed theIncrease 1noutput per
manshift

and,inview ofthe high labour -cost-intensity ofcoal mining (60% ofthe
total production costs are labour costs ),theincrease inlabour costs will
certainly affect overall output .TheBritish coal industry will presumably
beexempt from this general trend inproduction costs ,since ithas introdu­
cedanincentive scheme should increase productivity but ^whose effect on
costs isnot yetexactly predictable . /
In1977 thereturns from coal sales only partially covered production costs .
Table A
1 * _ . . . .Production costs and returns ofCommunity coal mines in1977
EUA/t(tfor t>
Production costs Returns Difference
Germany 57.- 50.- - 7.-
Belgium 77.- 44.- -33.-
France » 57.- 37.- -20.-
jBritain34.- - 2·"
1full costs ,including capital service anddepreciations ;rounded-off figures
2including opencast mining
What with rising costs and small room forprice increases ,thefinancial
situation ofthe mining undertakings isbound todeteriorate in1978 .The
only exception istheBritish mining industry ,which' will probably beable to
stabilize byraising prices .The German coal industry isaspecial ,case in
1978 inthat itsfinancial situation will beunfavourably influenced not so
much bythetrend inproduction costs asbyadecline inreturns caused !by–
the revaluation ofthe German mark Inrelation tothe US ^dollar .
Thetrends infinancial aids bythe Member Sates tothe coal industry in1978
Aids granted under Articles 4and 5ofDecision No528/76are compatible with
the common market ,provided they donot exceed certain limits .Aids under
Article 4areforsocial security benefits andthose under Article 5tohelp
cover inherited liabilities .The relevant explanations aretobefound Inthe
Annex onpages A1toA7.Such measures aretherefore compatible with
••'the proper functioning ofthe common market .Thefigures are
1nTable 1oftheAnnex .They show that/incomparison with 1977,there were
some increases .

Asregards social measures within the meaning ofArticle 4,theincreases are
mainly theresult oftheconstantly deteriorating ratio between total men
employed andthose receiving unemployment benefits .Therise inthe cost of
covering inherited liabilities within themeaning ofArticle 5ispartly the
»
result offurther pit closure because ofrationalization andpartly ofin-
I
creased prices andcosts insome tategories ofinherited liabilities (costs j
forclosures ,water supply anddisposal ofwaste water ,pensions ,.concession *
I
rycoal ^etc.>. !
:\ s■' i . i.... ■ ' ■ ■' !
Aids tocurrent production arethose direct andindirect measures which are :
defined inArticles 7to12ofDecision No528/76andwhich provide thecri-j
teria injudging theproper functioning ofthe common market .Details of
these measures and what they cost areavailable inthe Annex (page A7onward
orTable 2).
Table 0below provides onoverall view ofthetrends inaids envisaged in
1978 vis-4 vis 1977 .
Table B j
r : Total sums Amounts per tonne
Million EUA EUA
1977 1978 1977 1978
KGermany 373,6 752,41 3,95:
Belgium 215,3 249,1 30,75 35,59
.France !■ 415,0 439,2 19,77 21,98
Britain 59,1 39,7 0,48 I0*32
Community 1,063,0 1.480,4 4.35 6,28
'ofthetotal sums thefollowing
were allocated to :
-direct measures 58,5 32,4 _ 0,24 0/14,
-aids tocoking coal 231,5 .422,1 « -0,95 1,79
-indirect measures 772,9 1.025,9 3,16 4,35
breakdown :Art,.7(Investments ) 94,6 326,9 .0,39 1,39 ,
Art.8(Personnel ) 46,9 48,2 0,19 0,20
Art.9(Stocks ) 16,6 13,8 0,07 0,06
Art.10(Strategic 44,8 48.0 0,18 , °>20
reserves )
Art.11(Power station 10,8 13,1 . 0,04 0,06
coal )
Art.12(loss coverage ) 559,2 575,9 2,29 2,44 j
1
Thecoking coal aidIncluded here covers only three quarters of1978
2The German coking coal aidcovers only three quarters .

-8-
Thefigures inthe preceding table show that aids per tonne ofoutput in
'1978 will change asfollowd vis-a-vis 1977 :,
Germany
Belgium
France
Britain
Britain ,whose coal industry already receives the lowest aids,will bethe
only Community producer country tobeable toreduce itssubsidies in1978 ;in
all other coal-producing Member States the need for subsidies will increase ,
particularly inGermany ,where the increase will piore than double .The in­
crease inaids tothe German coal industry mainly affects the coking coal
1aid andthe investment aid,and derives mainly from the decline inreturns
resulting from therevaluation ofthe mark .In1978 German undertakings will
beunable tobear the losses from coking coal sales ,norwill their earnings
besufficient tocover depreciation soastofinance investments from their
own resources .
Itshould bepointed outatthis point that while the sum of8.56 EUA per
tonne for Germahyin this international comparison following the provisions
ofDecision No528/76iscorrect statistically andaccording tothedefinition ,
ithasonly alimited validity for asubstantial comparison with theother
Community countries .This isduetothethird electricity -from-coal law,
which lays down that German power stations must buy steam coal from the c6al
industry atbreak-even prices .Theadditional cost incurred bytheelectri­
city companies byusing coal instead ofoilisoffset byincreasing electri­
city prices .In1978 this offset levy will amount tosome 1.8thousand mil­
lion DM(7.87 EUApertpnne ofcoal output ).This' sumisnotincluded in
thelist ofaids,since itisnot astate aid.
Theinformation contained InChapter IIofthe Annex (seepage A7)shows that+116.7%
+ 15.7%
+ 11.2%
- 33.3%
1Nodecision has been made asyet onthegranting ofacoking coal subsidy
forthefourth quarter of1978 .

thefinancial measures planned bythe Member States for 1978 are compatible
with the criteria set out inArticles 7to12ofDecision No528/76.How­
ever,itisnecessary that all aids beexamined for compatibility with the
proper functioning ofthe common market asset outinArticle 3(1).ofDeci­
sion No528/76. . 1
Compatibility ofthe financial measures planned for 1978 with the proper
functioning ofthe common market
(a)General points ofview
(a.1)Theaid amounts per tonne for 1978 cited inTable Bonpage 7show
that theBritish amount isvery small andthat there isalarge gap
between itand those granted byBelgium and France ;the German amount
lies roughly inthemiddle .This difference inamount isnottobe
regarded asindicting adistortion ofthe competition between coal
producers ,essentially ,the .common markfet incoal consists ofgeo­
graphically separate 1sub-markets which arenotsubject tocompetition
from several Community producers .There areonly afew "contested "
areas inwhich several producers offer their products atthe same
time,butthequantities ofcoal sold inthese areas arerelatively
small ,accounting foronly about 2%ofoutput .Alignment byCommunity
producers ontheprices ofother Community producers applies only to
0.4million tonnes ,0.2% ofCommunity output ,in1977 .Inview ofthis
itmay beassumed that competition will not bedisrupted in1978 be­
cause ofthe differences inthe amount ofaid granted . '
(a.2)Supplies ofcoal and coke tothe Community in1978 canberegarded as
assured .Pitclosures envisaged in1978 aspart ofrationalization
measures will Have noeffect onsupplies .The large pithead stocks
andcurrent production provide absolute security ofsupply .Though
production will bereduced insome cases by -Introducing short-time

-10
working ,this isbeing done only toslow down thegrowth ofstocks .It
maytherefore besaid that aids will notaffect sipply in1978 .
(a.3)According totheforecasts there will besome increase intheintra-
Community coal trade in1978 .Thetotal volume in1978 will amount to
some 16.5 million tonnes .Deliveries ofGerman andBritish steam coal
toDenmark and France will show arelatively large increase
Table C
Coal deliveries toother Community countries 1000t
Germany Belgium 1France Britain Total
1977 12.162 260 420 1468 14,310
1978 13530 I 195 350 I2,315
II16440
Deliveries ofGaman coking coal inother Community countries areclosely
related tothesituation inthesteel industry .Because ofthespecific
usetowhich this coal isput .thereal competitive problems arenot
between Community producers ,butinrelation tocoking coal imported
into theCommunity .
Belgian coal 1ssold inFrance and Germany forsteam-raising andfor
domestic heating .The amounts aresmall and have tocompete with coal
»
imported from non-Community countries . j
i
France exports mainly steam coal,predominantly from Lorra.lne toSouthern
Germany . j
Britain exports steamcoal,mainlytoGermany,Belgium,France andthe l
Netherlands .Inthelight ofoverall British production ,these exports j
arerelatively small and,1nview oftherising imports ofsteam coal i

from non-Community countries ,itmight well beasked whythis rela­
tively cheap coal has not become more firmly established onthe con­
tinental market .This isdue mainly tothe competition from coal im­
ported from non-Community countries :prices for South Africain ,Aus-_
tralian and USsteam coal,cif Europe ,are 33-34 t/t.Power stations
inother Community countries demand that British prices bebrought
down tothat level ,buttheBritish producer isnot always prepared
todothis .Contracts orsales are therefore relatively rare .
Generally sp-eaMng,the conclusion canbedrawn that aidmeasures have
little influence onintra-Community trade .
<a.4)Rationalization ofoutput istobeachieved in1978 bytwoforms ofaid
anumber ofnon-viable pits aretobeclosed inFrance 'sNord/Pas-de-
Calais andCentre-Midi coalfields ,thepace oftheclosures being so
arranged that regional andsocial problems will beavoided ;the same
applies toclosures inSouthern Belgium .InGermany investment aids
arebeing granted toenable undertakings tomodernize their pits .All
these measures serve torationalize Community coal output ,free the
Community from the burden ofunprofitable pits andmaintain inacom­
petitive condition those pits which have been chosen toprovide future
supplies .
(b)Particular aspects affecting thetrends incoal prices
(b.1)Changes incoal prices inanumber ofsetected Community coalfields
can beseen from the following table ;

-12
Table 0
Trend incoal prices
innational currency per tonne
Germany
RAG
Saarbergwerke
AachenDate
DM
DM
DMSteam coal Coking coal
1.4.1977 1.1.1978 1.4.1977 1.1.1978
157j.50
173?.00 1172*50
189-00 1
mm165-«50
1Ç0.00
167.50175-50
190.00
184.00
Belgi umDate
Bfrs1.4.19 77
2;450,001.1.1978 j
2,450.00 I1.4.1977
2,500.001.1.1978
2,500,00
France Date
FF
FF
FF1.4.1977 1.5.1978 1.4.1977 i1.5,1978
Nord/f^s-de-Calais
Lorraine Nuts 2
Nut »5250.00
223.00270,00
240 ..00340,00
321.'00340.00
321.00
Britain IDate H1.3.1977 1.4.1978 1.3.1977 1.4.1978
North Yorkshire
Nuts 2 t 25.20 27.60
Nuts 5 b 23.03 25.30 29.04 32.00
1Long-flame coel nuts 5,
Asthetable shows,Ust prices remained stable only inBelgium Between
theearly part of1977 and 1978;they went upinGermany ,France and
Britain .This isnottosaythat increases were completely recovered
from themarket .
(b.2)Asprovided for bythethird electricity -from-coal law,German steam
coal prices arelinked totheproduction costs ofthemining industry
andarehigher than theprices for heavy fuel oil.There are noindirect
aids toindustrial coal consumers .
Theprices for German coking coal given inthetable arelisted prices .
Theprices actually charged are lower andarethe same asthose for
imported coking coal,sothat there are noindirect aids toindustrial
consumers .
<b.3)No probelms areexpected in1978 with theprices ofBritish steam and

-13-
coking coal ;they are unlikely tobring about indirect aids toindus-~
trial consumers .
(b.4)French steam coal issold atprices aligned onacompsite price formed
from therelatively lowpricefor imported non-Community steam coal and
theprice of fuel oil.There are noindirect aids toindustrial coal
consumers .The same applies tocoking coal prices ,which are the sme as
those for imported coking coal .French coal prices will presumably in­
crease in1978 .Inthis connection the reader isreferred tothe remarks
onthe''contrat deprogramme "between the Charbonnages deFrance and
the French Government onpage A12rfthe Annex .
i
(b.5)As provided for byBelgium 'senergy price pool,theprices ofBelgian
steam coal are based onthose ofrival fuels .This means there are no
indirect aids toindustrial coal consumers .Nor dotheprices ofcoking
coal constitute indirect aids totheBielgian steel industry .
' 7 ■ ■ ■ V "
Conclusions about the proper functioning cfthe common Market
Onthebasis ofthepreceding facts the Commission has come tothe conclu­
sion that nodisruption oftheproper functioning ofthe common market in
1978 byeither steam coal orcoking coal prices istobeexpected .
CHAPTER III ;
Conclusions
1.Predictions regarding thesituation onthe Community coal market in1978
indicate adeterioration inthefinancial returns ofthe Community mining
•industry ,except inBritain .Rising production costs ,theeffect ofchanges
inexchange rates andother factors will mean higher operating costs than
1ntheprevious year.Theresult 1sthat the amount ofaidtobegranted
forcurrent production 1nthe Community hasrisen from 1,063.0 million
EUAIn1977 to1.480.4 million EUA 1n1978;the Community average of

-14-
aidper tonne ofproduction rose from 4.35 EUAto6.28 EUA.Thediffe­
rences between theaid sums granted bythecoal-producing Member States
/
have increased .
2.The Commission examined thecompatibility ofthe measures envisaged
for 1978 with theprovisions ofDecision No528/76ineach Member State
.and came tothe conclusion that theaids forcurrent production envisaged
bythe Member States in1978 are compatible both with Articles 7to12
.ofDecision No528/76andwith theproper functioning ofthe common .mar­
ket/asset outinArticle 3ofthat Decision .
iFinally ,theCommission emphasises that theaids oftheMember States
serve notonly tosolve natural problems ofenergy supply andavoidance
ofredundancy butalso quarantee thestabilization ofcoal production
with theintention offurthering thesecurity oftheCommunity 'senergy
supplies .

ANNEX
Survey offinancial aid awarded bythe Member States
tothe coal industry in1978
Examination ofthe compatibility ofthe measures envisages
with the provisions ofDecision No528/76
Tables

AI
I.Aids not related tocurrent production
These aids are related tosocial measures and the covering ofinherited
liabilities deriving from earlier pit closures .
A.Description andassessment offinancial measures inthe social security
field
Article 4ofDecision No528/76/ECSC states that contributions byMember
States tothe financing ofsocial security benefits shall beconsidered
compatible with the common market /provided that /for undertakings inthe
coal-mining industry ,they bring theratio between the burden per miner in
employment andthebenefits per person inreceipt ofbenefit into line
with the corresponding ratio inother sectors .
The following section isconcerned solely with the amount offinancial
aidgiven inthesocial sector and,where appropriate ,with cases where
the timits set out inArticle 4ofDecision No528/76/ECSC have been excee­
ded .
A,|)GERMANY# FRANCE .BELGIUM
InGermany DM7,745million areenvisaged in1978 tocover thedeficit inthe
surviving dependents pension scheme ofthe mining industry asawhole ,some ,
80%-DM6,196 million -ofwhich goes tothe coal industry .
Information provided bythe French Government shows that state aidtothe
French coal industry inthesocial sector in1978 will amount toFF6,079.7
million .Thefollowing table gives details
/

A/2
Source Expenditure
(inmiIlion FF)Purpose
IState i3,215.0 HDisability and old-age pensions insurance
 
\ Regular contribution amounting to22%of
wages subject tocontribution /andaddi- ;
tional State adjustment
Généra l
System293.0 Disability and old age pensions insurance
Regular contribution tocover part of
"exceptional expenditure "(amount fixed bylaw)
General 930.0 Insurance aqainst industrial accidents
• . ! and occupational diseases
Regular repayment ofinherited liabilities
Généra I 609.0 Sickness insurance
system Treatment benefits
State 579.7 Disability andaid-age pensions insurance
^""Exceptional expenditure "incoal-imrnng industry
within the meaning ofArticle 4ofDecision No528 /76
Généra I 453.0 Supplementary scheme :worker 'sretirement pensions
system
Total 6079.7
State contribution tothefinancing ofsocial security benefits forthe3elgian
mining industry maybeestimated atBfrs 24,632.5 million for1978.The
following table gives details .
• ■■■•>.■• -I *
Source Amount ofState
subsidiesPurpose
State
State
I
State
State10,539.0 1
•1,881.3 '
.4,843.6
7.368.6IOld-age pension andinsurance ofsurviving
dependants
Regular statutory contribution
Old-age pension andinsurance ofsurviving
dependants ,
Contribution tocover thedéficit
D1sability Dens ions insurance
Disability pensions
Occupational diseases *
50%oftheexpenditure arising from
miner 'spneumoconiosis
Total 24632.5• I
1Commission es1
\':1mate
, Λ·/

A3
Calculations bythe Commission reveal that Germany ,France and Belgium have
not exceeded the limits set inArticle 4ofDecision No528/76;
-InGermany the undertakings' actual welfare expenditure is DM288million
(7.7% )higher than the normal expenditure defined inArticle 4.
-InFrance theState subsidy toCharbonnages deFrance (FF579.7 million )
means that actual social expenditure and normal expenditure coincide .
-InBelgium the undertakings *actual social expenditure isBfrs 285.3
million higher than the normal expenditure' defined inArticle 4.
(A2)BRITAIN
Apart from the general social security -into which the coal industry is
integrated -almost all branches ofindustry inBritain have tisurance
systems oftheir own,from which pensions arepaid toretired workers .
TheBritish coal industry also has such asupplementary system inthe form
ofapensions fund,into which theBritish Government will pay fc36.8
million inthe 1978/79coal marketing year .However ,this sumisonly to
balance outtheratio between working andretired miners ,sothat the
limits set inArticle 4ofDecision No528/76are not exceeded .
(A^)Summary offinancial measures Inthesocial security sector
AsTable 1inthe Annex reveals ,State Intervention Inthesocial security
sector ofthe coal industry in1978 will be12,2^higher than in1977 and
will total 4120.4 million EUA.

A4
Description and assessment ofthe financial measures tocover inherited
liabi lities -
Pursuant toArticle 5ofDecision No528/76measures taken byMember States
toassist the undertakings tocover the costs arising from pit closures
which are not related tocurrent production andthe sale ofcoal shall
becompatible with the common market provided that the amounts involved
insuch measures donot exceed the amount ofsuch costs ,i.e. the inherited
liabilities .Sums inexcess thereof represent direct aidtocurrent pro­
duction and aretoberegarded asaids pursuant toArticles 7to12of
Décision No528/76. -
'*
'.• \ •
B,j)GERMANY
For 1978 the Federal Government has planned the following measures to
cover inherited liabilities :
million DM s
-Aktionsgemeinschaft scheme :
-Closure premium 79.1
-Dispensation from obligations arising
under the Equalization ofBurdens Law .22.5
Sub-total 101.6
-Aid for water-control costs 82.1
-Aidtocover expenditure resulting
from contraction 119,1 -
-Aid tocover Inherited liabilities 178.1
' ■ ■, - 1 \-Aid tocover Ruhrkohle AG'sclosure
write-offs 48.0
Total 528.9
'ssssesss
203.4 million EUA )
Alltheabove liabilities represent liabilities Inherited bytheunder­
takings ,I.e.those resulting from theclosure ofpits 1nprevious
years ,andtherefore donotrelate tocurrent production .
These measures areaids already granted inprevious years .
Through theAktionsgemeinschaft Deutscher Steinkohlenbergbau (Action

AS
Association ofGerman Coal-Mining Undertaki ngs),the Federal Government
*
pays the undertakings concerned aprenium of DM20/tofannual capacity
forall closures undertaken in1978 .These closures are made torationalize
production .^The aid covers only asmall fraction oftheactual costs that
have tobeborne bythe undertakings inconnection with the closures .
Thepublic authorities will pay DM22.5 million totheequalization of
burdens fund asaidtocover theequalization ofburdens payments ,and
thereby release closed pits from their obligation .The level oftheaidis
equivalent tothe costs charged .
The sum of DM 82.1 million for water control costs will bepaid tothe
Ruhr mining industry specifically tocover thefinancial burden arising
from closures since 31December 1966 .Asaresult ofpit closures ,the Ruhr
coal-mining industry bore aheavy burden inthe form ofconstantly rising
contributions towater control associations andthe Pumpgemeinschaft Ruhr
(Ruhr pumping association ).Theaid does not exceed theactual additional
costs tobeborne bythe undertakings .
The sum of DM119,1 million tocover expenditure resulting from contraction
isadditional tothe closure premiums which (asmentioned above )donot
cover actual costs ofclosures .This measure concerns liabilities arising
out ofpit closures since 51December 1972 .Theaidisspread over aperiod
offive years inthe form ofaflat-rate payment of DM30forevery tonne
bywhich annual capacity isreduced ,but notexceeding actual costs borne
bythe undertakings asaresult oftheclosures . ,
The sumof DM178,1 million asaidfor covering inherited liabilities con­
cerns those inherited liabilities arising from pit closures ,before 1january
1973 .The relevant German laws ensure that the aid does not exceed actual
liabilities borne byundertakings .
The sum of DM48.0 million asaid towards closure write-off only concerns
Ruhrkohle A(S.Inprevious years the Ruhrkohle AGhas hadtoinclude depre­
ciation forassets lost asaresult ofpit closures with could not,however ,
beincluded intheprofit and loss account since this would have bankrupted
the undertaking .Aspecial item wastherefore introduced ontheassets side
ofthe balance and on31December 1976 this amounted to DM670 million .

Aô - |
Because oftheunfavourable economic situation ,theundertaking isnot
I
inaposition towrite offthis special item inannual instalments and
thepublic authorities have therefore agreed totake over DM480million
ofthetotal sum-payable in10equal annual instalments of DM48million .f
Allthe above measures show that therequirements ofArticle 5(1)of
Decision No528/76are met.Thetotal sum involved inthese measures ;in
1978 is203.4 ?miIlion EUA andisincluded inTable 1ofthe Annex .
(B.,)FRANCE ,JUNITED KINGDOM ,BELGIUM
For 1978,the French Government hasallocated asumofFF397,6 million
(70.6 million EUA)asaidtowards covering inherited liabilities borne by
Charbonnages deFrance .This suminaidisintended tocover thefollowing
inhered liabilities : '
' Million FF
Contribution toearly retirement pensions - 20.1
Premiums ,lump sums forretrained personnel ,
cost ofhousing forthose retiring early , 62.4
Financial liabilities inrespect ofthose retiring
early . 304.5 :
Concessionary allowances forthose retiring early 10.6 •
Total 397.6
<=70.6 million EUA)
Broken down between coalfields asfollows : !
Nord/Pas -de-Calais 252.3 j;
Lorraine 39.3
; , '• •1 ' . r . I
Centre-Midi 106.0
:
The Commission estimates that theactual liabilities borne bythe
Charbonnages deFrance arethe same asthe sumgranted inaid. ;
:'v ■ 1' 'i
In1978 theBritish Government plans tointroduce thefollowing measures
II>«ΜΜ·Ι·······Ι IΙΙΙΙ"I «τ
under Article 5ofDecision No528/76: i
Million fc :
Redundancy payments tominers affected bypit '|
closures ' 6.Is .i
Early retirement payments 1.16 j
Aidinrespect ofconcessionary coal forpensioners 4.78
. – |
Total '.12.12 |
<18.6 million EUA > !
t
... • •• ' l
1" · . I

A7
The United Kingdom measures cover inherited liabilities arming out ofpit
closures ;these liabilities arethe same asthe sumgranted inaid.
For 1978,theBelgian Government hassetaside asumofBfrs 18million
<0.4million EUA),asaidtowards covering inherited liabilities inits
Southern coalfield .Ofthis sum Bfrs 8million istobeused tocover damage
from subsidence and Bfrs 10million tocover water control charges .The Com­
mission estimates that thecosts arising out ofsubsidence andwater control
following pit closures for which undertakings inthe Southern coalfield are
responsible ,are the same asthe sumgranted inaid.
Tosummarize ,itcan besaid that theBelgian ,French and United Kingdom
measures listed above meet thecriteria ofArticle 5(1)ofDecision No528/76.
(Bj)Summary ofthemeasures tocover inherited liabilities
Ascan beseen from Table 1ofthe Annexe ,theplanned state aids tocover
inherited liabilities 1n1978 will total 293million EUA for the Community
asawhole anincrease of6,5 %over 1977 .
 
II.Financial aidrelating tocurrent production
Allaids that are notsocial measures within the meaning ofArticle AofDecision
No528/76,oraids tocover inherited liabilities within the meaning ofArticle 5
areaids tocurrent production .
Aidtocurrent production may begranted directly orindirectly toundertakings .

Indirect financial aid tocurrent production inthe coal mining industry
Indirect financial aid covers all measures .which Member Governments announce
inaccordance with thefirst paragraph ofArticle 2(1)ofDecision No528/76
but which donot come into the category ofthedirect measures defined in
Articles 7to'12 oftheDecision .Indirect measures arereported tothe '
Commission under Decision No528/76andassessed according totheprovisions
ofthe ECSC Treaty .
Only Germany /France and Belgium have announced indirect measures toaid
current production inthe coal industry for 1978 .The following measures were
taken inprevious years inFrance and Belgium ,while one new measure has been
reported for Germany ,
(A,j)Description oftheGerman ,Belgian andFrench measures .
For 1978 the Federal Government has provided for special depreciation
facilities inrespect ofexpansion andrationalization measures irvthe
underground sector ofthe coal industry .The sum ofthese special de­
preciations amounts to23.6 miltbn DM<=9.1 miIlion EUA).The measure
isbased on§51ofthe Income Tax Law and on §81ofthe Income Tax
Regulation andwill give the German coal industry nocompetitive ad­
vantages vis-A~vis other Community coal producers ,since thebalance
sheets ofGrman coal-mining undertakings inany case show losses which
arepartially reduced bydirect aids .
Theindirect financial measures planned bytheBelgian Government .in
1978 involve the following sectors :
inmillion Bfrs
I –
.-Expenditure onseason tickets orcheap
holiday tickets forminers ,pneumoconiosis
sufferers y 15.0
\ \
'-Subsidies tothe Miners' National Pensions Fund
tocompensate for newexpenditure onwelfare arising
from the fncrease inthe miners 1annual holiday ,
allowance ,theintroduction ofnewsickness benefits
,and longer annual holiday (Articles 32.12 ,32.14 .
and 0104 inthe budget ofthe Economic Affairs
Ministry ) ^ 699«9
Total 714.9
<=17.4 -millions EUA)

The French Government plans aStatesubsidy ofFF33.0 million (=5.9
million EUA)fortheresearch programme ofthe "Centre d'Etudes etde
Recherches des Charbonnages deFrance (CERCHAR )"in1978 .
(A^)Assessment ofindirect financial aidtothecoal industry
The Commission has examined the above-mentioned measures ,which have
already been inforce forseveral yeats and does not consider that they
violate the ban onsubsidies set out inArticle 4ofthe ECSC Treaty .
This conclusion applies also tothe new German measures ,which isnot
likely toprovide competitive advantages forthe German coal industry .
(A3)Summary ofindirect measures
Table 2ofthestatistical annex gives therelevant figures under A2»_
In1978 direct aidtothe coal industry fell to32.4 million EUAas
compared with 58.5 million EUA in1977 .This reduction isduetothe
fact that the advantages granted inthe Federal Republic in1977 onthe
basis ofthefirst coal-into-electricity law were discontinued asfrom
1978 .
(B)Direct financial aidtocurrent prodcution inthe coal-mining industry
Inaccordance with theprovisions ofDecision No528/76,direct aidtocurrent
production includes all measures based onArticles 7–12.
<B^>Federal Republic ofGermany
(a)The extent towhich direct financial aid tocurrent production inthe
German coal-mining industry iscompatible with the provisions ofArticles
7-12 ofDecision No528/76
The Federal Government proposes tocontinue in1978 thedirect aids
already granted in1977 .

A10
Legal basis ;
under Dec.
No 528/76Measuresi Amount ofaid
L Total ]Per tonne deprod .
Million
DM.Million
EUADM
l
IEUA
Art .7(1 )
Art .7(3 )
sub. s.3Investment aid
Promotion ofinnovation732.0
99.8281.5
38.48.31
1.133.20
On44
Art.8 Mineworkers' bonuses 112.0 43.1 1.27 0.49
Art.10 Aid tosecurity stocks 124.8 48.0 1.42 '0.55 |
i
Total 1,068.6 ! 411.0 12.13 4.68
Inaddition tothe aids mentioned above the Federal Government istogrant
acoking coal aidtothevalue of DM864million DMforthefirst three
quarters of1978,anaidtoproduction pursuant toDecision No287/73.A
decision onthegranting ofaidforthefourth quarter wastill outstanding
> when this memorandum was written .
' ■/ ' ■ ■ .·
The investmient aid of281.5 million EUAisintended for investment projects
inpits,coking plants ,briquettirig plants andpithead power stations .In
1978,total investment inthe German coal industry will come tosome 300
million EUA.Investment aidwill represent more than 90 %oftotal investment
Inrelation tothe Community 'snewpokicy forcoal,this 1978 investment
which increased sharply vis-a-vis 1977,istoberegarded as.beneficial
since itwill promote the long-term stabilization ofproduction inthe
German coalfields .Theaidcomplies with theprovisions ofArticle 7(1),
ofDecision No528/76.
The sumof38.4 million EUAtopromote innovation isintended toensure thc-t
research results areapplied toproduction asquickly aspossible .Theaid
islower than thecosts borne bytheundertakings andisgranted inrespect
ofindividual projects which ,when completed ,arelikely toprove their
economic worth tocoal-mining inthe medium term .Thepurpose and amount
ofthis aid show that itiscompatible with Article 7ofDecision No528/76.,

A11
Mineworkers' bonuses ,amounting tq43.1 million EUA,have applied since
1956 .Abonus of DM5ispaid forevery shift worked -underground ,thus ensu­
ring that thequalified mineworkers required forthe German coal industry
toincrease itsoutput stay incoal-mining .The measure therefore meets the
provisions ofArticle 8ofDecision No528/76.
The sum of48.0 million EUA asaid towards building uplong-term security
stocks isameasure introduced bythe Federal Government inorder toincrease
the long-term security ofenergy supplies .Forthis purpose ,the Notgemein -
schaft Deutscher Steinkohlenbergbau (Emergency Association ofGerman Coal-
Mining Undertakings )bought up10million tonnes ofcoal and coke .The Federal
Government covers only part oftheactual current cost ofmaintaining these
stocks in1978,bygranting anaidof DM124.8 million .The aim and sum in­
volved show that the measure meets the requirements ofArticle 10ofDecision
No528/76.
Theforegoing remarks show that thefinancial measures planned bythe Federal
Government for 1978 infavour ofthe German coal-mining industry comply with
theprovisions ofArticles 7,8and 10ofDecision No528/76.
(b)The extent towhich direct measures infavour ofcurrent production inthe
German coal-mimng industry are compatible with the proper functioning of
the common market
Anassessment ofthe extent towhich German aids are compatible with the
proper functioning ofthe common market requires consideration ofalldirect
andindirect aids forcurrent production 1n1978 (Article 3(2)ofDecision
No528/76).
Therelevant figures aregiven inasummary table (seeStatistical Annex ,
Table 2).
Bythis method ofcalculation ,thetotal proposed aid under the German measures
amounts to752.4 million EUA,i.e. 8.56 EUA/t.Incomarisonwith 1977 aids
per tonne have thus risen by116.7 X. , "

A12
Theportion ofthis sum devoted tocoking coal .'add covers only three
quarters of1978 . i
Asregards the compatibility ofGerman aids with theproper functioning
ofthe common market /reference ismade tothe comments inthe main body
ofthis document (see page 9onwards ).
(8_)France
(a)The extent towhich direct financial aid tocurrent production inthe
French coal-mining industry iscompatible with theprovisions ofAr­
ticles 7-12 ofDecision No528/76
The French Government did not provide for any new measures in1978,
but continued with aids instituted inprevious years ;this involves
only loss-covering aid;
Légal basis
under Dec.
No528/76Measures
ITotal– ! 1
Per tonne ofprod .
million
FFj
millior\
EUAFF EUA
Article 12
/!(a)Cover for the
losses bythe cen­
tral administration
ofthe Charbonnages
deFrance
Cb)Cover for the
coalfields'
operating losses
Tota I200.0
2229.935.5
396.1>10.00
111.501.78
19.81
2/429.9 431.6
I i121.50 21.59 ,
Inaddition intheabovementioned aids,anaidforcoking-coal 6fFF9.8
\
miIlion istobegranted In1978 . '
Itshould bepointed outatthis point that,although the French Government
didnotintroduce any newmeasures In1978,anewprocedure forgranting
aid wasintroduced onthebasis ofanagreement concluded with theChar-
bonnages deFrance .This agreement gives the Charbonnages deFrance ,as
from 1978,far-reaching Independance andresponsibility both asregards
operational arrangements andthesolution offinancial problems .Forthis 1
purpose theFrench Government incorporated into this agreement afinancial
framework forgranting ofaid.Thematters covered bythis framework include .

A/13
the following :
-theinherited liabilities ofthe Charbonnages deFrance are coveredby
aids ,
-for current production aflat-rate aid of14FF/kilothermie (=approxi­
mately 100.-FF/TCE)isgranted ,which isliked totheprice index of
thegross national product (1978 =100),
-the Charbonnages deFrance isresponsible fordistributing theflat-rate
amount among the coalfields .
This arrangement ,andother measures which are not described here for
reasons ofspace ,are intended tohelp make thegranting ofaidtothe
Charbonnages deFrance more transparent andeasier tohandle .
Asregards thegeneral assessment oftheaidgranted in1978 onthebasis
ofthe newprocedure within the limits ofDecision No528/76,theaid .sum
ofFF2/429.9 million isexpected tobeless than thetotal losses of
theCharbonnages deFrance .The amount oftheaidistherefore 1nline with
.theprovisions ofArticle 12ofthe Decision .
The following points arerelevant inconnection with aidtotheindividual
coalfields :
-In1978,aidtothe Nord/Pas-de-Calais and Centre-Midi coalfields will
becalculated insuch awaythat,asaresult oftheclosure offurther
pits,there will beareduction inproduction ,which will mean that somefewer
2,800 persons wilt beemployed inthecoal industry .Theaids will prevent
severe economic andsocial disruption inareas where there are not yet
adequate opportunities for re-employment .Theaids tothese coalfields
therefore comply with theprovisions ofArticle 12(1 )subsection 1and
Article 12(2 )ofthe Decision .
-The output planning ofthe Charbonnages deFrance intheLorraine coal­
field aims atlong-term stabilization ,since the coking coal produced
inthis coalfield isimportant forsupplying thesteel industry .Theaid
granted forthis purpose complies with Article 12(1),subsection 2and
Article 12(3 )ofthe Decision .

A14
(b)Total direct and indirect aidtocurrent production inthe French -
coal industry amounts to439.3 million EUA for 1978 (=21.98 EUA/t;,
see Annex ,Table 2).Incomparison with 1977 this means that theaid
.ishigher by11.2% per tonne .
Asregards thecompatibility ofFrench aids with theproper functioning
ofthe common market (Article 3(1)ofDecision No528/76,reference
ismade tothe comments inthe main body ofthis document (see p.9
onwards ).
I
I
•' .• '' '
(Bj)Belgium |
(a)The extent towhich direct financial aidtocurrent production inthe
Belgian coal mining industry iscompatible with theprovisions ofAr­
ticles 7-12 ofDecision No528/76
In1978,theBelgian Government intends toprovide investment aid and
aidtocover operating losses .
Légal basis
under Dec.
No528/76MeasuresAmount ofaid ■
Tota l per tonne ofoutput
mi11ion
Bfrsmillion
EUABfrs EUA
Art.7(1 ) Investment aid 288.8 .7*0 41
-- '1.0
Art .12 Aid tocover losses
Coal :Campine
Southern
Sub-total4/119.2
1,797.4100.5
43.8644
2,99615.70
73.00
5.916.6 144.3 845 20.61
Total––––––
6205.4 151.3 886 21.61

A15
Inaddition totheabove aids,theBelgian Government intends togrant
acoking coal aid (Decision No73/287)ofBfrs 3,297.5 million <=80.4million
EUA).Total direct Belgian aidamounts toBfrs 9,502.9 million ;itisdivided
between the two coalfields asfollows :
Campine :Bfrs 7,697.7 million =1,203.-Bfrs/t
Southern :Bfrs 1805.2 million =3.009 .-Bfrs /t
i '
Total :Bfrs 9,502.9 million =1,358 .-^Bfrs/t
Ofthe investment aid sum ofBfrs 288.8 million ,281.0 million will goto
the Campine coalfield and7.8million totheSouthern coalfield .This aid
covers thedepreciations inthe Campine coalfield ,sothat itcanmaintain
production ofcoking coal,which isimportant fortheBelgian steel industry .
The investment aidforthe Southern coalfield enables ittocarry outthe
most essential repairs soasnottojeopardize thetechnical safety ofthe
collieries .
Belgian investment aidistherefore compatible with theprovisions ofArticle
7(1 )ofDecisions No528/76.
Aidtotalling Bfrs 5916.6 million tocover operating losses ispaid tothe
twoBelgian coalfields fordifferent reasons .T.heaidpaid tothe Campine
coalfield will almost make upthedifference between costs andreturns .This
almost complete covering ofthedifference between costs andreturns isos-
cessary ,because thecoalfield ismeant tosupply theBelgian steel industry
with coking coal andmust therefore maintain itsoutput .Thepurpose and
amount ofaidgranted tocover losses inrespect fothe Campine coalfield
therefore comply with theprovisions ofArticle 12(1),subsection 2,and
Article 12(3 )ofDecision No528/76.
TheSouthern coalfield ,however ,receives aidcovering only about 80%ofthe
difference between costs andreturns .Here theintention istoensure that
only essentials aremaintained andthepits remain viable intheshort term
only .Campine
Southern
Total

A16
,sothat thecoalfield can beclosed down asplanned within aperiod (by
about 1980 )which will ensure that serious economic and social disturbances
'over the re-employment ofredundant miners are avoided .Onepit inthe
Southern coalfield isdueforclosure in1978,affecting approximately
341 miners .From all this itcan beseen that the aid tocover losses in
the Southern coalfield iscompatible with Article 12(1),subsection 1/
,andArticle 12(2).
(b)The extent towhich direct measures infavour ofcurrent production in •
the Belgian coal mining industry are compatible with the proper functioning
ofthe common market
IntheBelgian coal mining industry ,aids tocurrent production total 249.1
million EUA (=35.59 EUA/t)for 1978 (see Annex ;Table 2).This isanincreasi
of15.7% per tonne vis-a-vis' 1977 .
Asregards the compatibility ofBelgian aids tocurrent production with the
proper functioning ofthe common market ,reference ismade tothe comments
inthe main body ofthis document (seep.9onwards ).
(B^)United Kingdom
(a)The extent towhich direct financial aidtocurrent production inthe British
coal mining industry iscompatible with the provisions ofArticles 7-12 of
Decision No528/76 :
Forthe coal marketing year 197S/79,theBritish Government plans the
following direct aids tocurrent production :
Légal basis
under Dec.
No528/76Measures
' / ■Total per tonne of
output
million
_ bmillion
"EUAt EUA
Art .8
►Aid toattract skilled
workers •3.3 5.1 0.03 0.04
Art.9 Aidtoproducers' stocksI9V0 13.8 0.07 0.11
Art.11
■. iAid tosteam coal 8.5 13.1 0.07 0.11
Total 20.8 32.0 0.17 0.26

A17
Theaidtocoking coal isestimated at fc5.0million for 1978 . •_--
The'aid forattracting and keeping skilled workers (b3.3 million )isintended
tooffset inpart the NCB'scosts arising from rationalization andthetransfer
ofproduction totheir best pits .This results inoutgoings onremovals /
transport /etc.Theaidiscompatible with Article 8ofDecision No528/76.
When assessing theaidtocover costs forproducers' stocks ofcoal and' coke
(t-9.0million )/itmust beremembered that total pithead stocks andadditional
distributed stocks directly orindirectly financed bytheproducers total about
16million tonnes .Given amonthly production ofsome 10.0 million tonnes /the
volume ofpithead stocks qualifying foraidis6million tonnes .This means
that theper-tonne gran<t inaidisb1.5.Theactual costs ofmaintaining pro­
ducers *stocks (including depreciation andinterest )areconsiderably higher
than the sumgranted .Theaidtherefore complies with theprovisions ofArticle
9ofDecision No528/76.
The aidgranted tosteam coal (b8.5million )isasum fordeliveries ofpower -
station coal toScotland .,From the information povided bytheBritish Government
'
the amount and purposes ofthe aidgranted can beregarded ascompatible .nth
>Article 11ofDecision No528/76.
(b)The extent towhich direct measures infavour ofcurrent production inthe
British coal mining industry are compatible with the proper functioning of
the common market , *
Inthe coal marketing year 1978/79/aidtocurrent production 1nthe limited
Kingdom will total 39.7 million EUA (=0.32 EUA/t)(see Annex /Table 2).In
comparison with 1977/this means thit theaidfor 1978 will besome 20million
1Pending approval bytheBritish Government

Α18
EUA Lower .
Asregards the compatibility ofBritish aids tocurrent production with *h
proper functioning ofthe common market ,reference ismade tothe comments
the main body ofthis document (see p.9onwards ).

Table 1
Aids not relating tocurrent production
(million EUA)
Social security measures pursuant toArticle 4
ofDecision No528/76Aids tocover inherited liabilities pursuant to
Article 5ofDecision No528/76
Total 1Infringements of
j Art.4(1978 )Total Infringements of
Article 5(197?) Γ 1977 1978 1977 1978
Federal Republic of
Germany
Belgium
France
United Kingdom
Total for the
Community2137.3
s
550.22,383.1
600.8
56.6 m'197.6
1.1
57.6
18.7203.4
0.4
70.6
18.6
3673.0
i4120.4
B275.0 293.0
1 ...TheUnited Kingdom hasanintegrated social security system .Thefigure shown inthis column covers only
thespecial miners' pension fund,which exists side-by-side with thegeneral social security system .

Table 2
1Aid for current oroduction in1978
Unit Fédéral Repu- France United |Belgium Communityblic ofGerma - Kingdom
| ny
A.Aids under Decision No528/76 ¡
i
1.Infringement ofArticle 4 million EUA
ofArticle 5 million EUAi
I - J
Total !million EUA
per tonne ofproduction EUA
2.Direct measures million EUA 9.1 5.9 17.4 32.4
per tonne ofproduction EUA 0.ÏO 0.30 2.49 0.14
3.Indirect measuresi
I
Article 7 million EUA 319.9 7.0 326.9
Article 8 million EUA 43.1 5.1 48.2
Article 9 imillion EUA 13.8 13.8
Article 10 million EUA i 48.0 48.0
Article 11 million EUA 13.1 13.1
Article 12 million EUA Ji
i431.6 144.3 575.9
Total million EUA 411.0 431.6 32,0 151.3 1,025.9
per tonne ofproduction ! EUAj 4.68 j
? _ »21.59 0.26 21.61 4.35
B.Coking 'cost aid (Decision No73/287 million EUA I 332.3 1.7 7.7 80.4 422.1
per tonne EUA j 3.78 0.09|0.06
!11.49 1.79
C.Total (A +B)
TotaIs mitlion EUA -752.4 ! 439.2 39.7 249.1 1,480.4
per tonne ofproduction j EUA
i8.56 21.98 0.32 I
î i35.59 6.28
Planned figures
Aid sura for three quarters of year .