WRITTEN QUESTION No. 2968/96 by Jesús CABEZÓN ALONSO to the Commission. Aid for the conversion of shipyards
Date: 1996-11-08
Institutions: CABEZON ALONSO, European Parliament
Subjects: European Commission, OECD, Spain, State aid, competition, control of State aid, industrial restructuring, redevelopment aid, shipbuilding













EUR-Lex - 91996E2968 - EN






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91996E2968

WRITTEN QUESTION No. 2968/96 by Jesús CABEZÓN ALONSO to the Commission. Aid for the conversion of shipyards  


Official Journal C 091 , 20/03/1997 P. 0056 





WRITTEN QUESTION E-2968/96 by Jesús Cabezón Alonso (PSE) to the Commission (8 November 1996)Subject: Aid for the conversion of shipyardsCan the Commission confirm that the granting of state aid for the conversion of Spanish shipyards has not yet been approved, despite the amount of time which has elapsed since the application was submitted?What has hindered the granting of this aid for the conversion of publicly owned shipyards in Spain?Answer given by Mr Van Miert on behalf of the Commission (29 November 1996)In November 1995 the Spanish authorities notified the Commission of plans to undertake a further restructuring of the Spanish public yards. These proposals included aids amounting to 180 000 million pesetas to be paid during the period 1995-1998 in accordance with the special derogation for Spain in the Organisation for economic cooperation and development (OECD) agreement respecting normal competitive conditions in commercial shipbuiding and repair. It is the Commission's duty to ensure that the proposed measures are compatible not only with the agreement but also with the seventh Council Directive on aid to shipbuilding (90/684/EEC ((OJ L 380, 31.12.1990. )), as amended by Directive 94/73/EC ((OJ L 351, 31.12.1994. ))).Contrary to the Honourable Member's impression, the Commission has in fact already approved a substantial part of the proposed aid package. In December 1995 the Commission decided not to raise any objections to the payment of 89 104 million pesetas in the form of previously approved but unpaid loss compensation aid (capital plus interest) since this aid was in compliance with Article 5a of the shipbuilding aid Directive.No decisions have yet been taken by the Commission on the remaining aids proposed (80 000 million pesetas social aids and 10 000 million pesetas investment aids). Together with past interest payments made on unpaid aid and proposed future tax credits to the yards, which could constitute additional aids, these elements are still under examination in order that the Commission can ensure that the nature and extent of the restructuring measures in the beneficiary yards render the aids compatible with the OECD agreement and the relevant provisions of the shipbuilding aid Directive. This requires particularly close attention given the difficult market situation and the fact that certain yards in other Member States facing similar problems to the Spanish yards have been forced to close.The Commission's examination process was necessarily interrupted for some time by the change of government in Spain, but discussions have since resumed and are continuing.