CELEX: 31976D0215
Language: en
Date: 1975-12-17 00:00:00
Title: 76/215/ECSC: Commission Decision of 17 December 1975 approving aids to be granted by the United Kingdom for the benefit of undertakings in the coal industry in respect of the financial year 1975/76

No L 46/20                            Official Journal of the European Communities                                        21 . 2. 76
                                                  COMMISSION DECISION
                                                      of 17 December 1975
               approving aids to be granted by the United Kingdom for the benefit of undertakings
                                  in the coal industry in respect of the financial year 1975/76
                                                (Only the English text is authentic)
                                                         ( 76/215 /ECSC)
 THE COMMISSION OF THE EUROPEAN                                       To cover expenditure on the supply of
 COMMUNITIES,                                                         concessionary coal to redundant miners aged
                                                                      from 55 to 65 years                                         0-8
Having regard to the Treaty establishing the                          For the retraining and retention of staff                   3-7
European Coal and Steel Community, and in
particular Articles 2, 3, 4 and 5 thereof,
                                                                     Whereas the aforementioned aids are in accordance
                                                                     with the criteria laid down in Articles 6 and 7 of
Having regard to Commission Decision 3/71 /ECSC                      Decision 3 /71 /ECSC for the admission of such State
of 22 December 1970 on Community rules for                           assistance ;
interventions by Member States for the benefit of the
coal industry (*),
                                                                     Whereas aid towards the covering of expenditure on
                                                                     pensions is granted to retired miners ; whereas the
Having regard to Decision 73/287/ECSC of 25 July                     expenditure on pensions incurred by the NCB is no
1973 on coking coal and coke (2 ), and in particular                 longer related to the production of coal and is
Article 9(1 ) thereof,
                                                                     covered in part by the aid ;
Having consulted the Council,
                                                                     Whereas the purpose and form of the aid show that
                                                                     the measure is in accordance with the criteria set out
Whereas the British Government has informed the                      in Article 6 ( 1 ) ( 1 );
Commission, pursuant to Article 2 of Decision
3/71/ECSC, of the financial measures which it
proposes to implement directly or indirectly for the                 Whereas aid towards severance payments for miners
                                                                     about     to  be      made    redundant     and/ or   for   the
benefit of the coal industry during the 1975/76 coal
marketing year (3); whereas of these measures the                    vocational retraining of staff was introduced bv the
following aids should be authorized pursuant to the                  Coal Industry Act 1965 ; whereas the Coal Industry
aforementioned Decision ;                                            Act 1973 continues the aid and makes provision for
                                                                     payment of a maximum of £ 60 million for the
                                                                     financial years 1973/74 to 1975/76 ; whereas for
Whereas the British Government proposes to grant to                   1975/76 provision has been made for a sum of £ 6-5
the British coal industry the following aids for the                 million ;
1975/76 coal marketing year :
                                                     £ million       Whereas such aid is granted in respect of miners
                                                                     leaving mining as a result of the closure of pits, and
To cover expenditure on pensions                         13-7        also of those being retrained and/or re-employed in
For severance payments to miners about to                            coal mining;
be made redundant and/or for the vocational
retraining of staff                      •                 6-5       Whereas the purpose and form of the aid show that
                                                                     the measure is in accordance with the criteria set out
To cover the NCB's expenditure resulting
from the early retirement of staff                         1-5       in Articles 6 ( 1 ) ( 1 ) and 7 (3 ) of Decision 3 /71 /ECSC ;
                                                                    Whereas aid towards the covering of the NCB's
(^ OJ No L 3 , 5 . 1 . 1971 , p. 7.                                  expenditure resulting from the early retirement of
(2) OJ No L 259, 15. 9. 1973 , p. 36.                                staff was introduced by the Coal Industry Act 1967 ;
(3) The 1975/76 coal marketing year runs from the                    whereas for 1975 /76 provision has been made for a
    beginning of April 1975 to the end of March 1976.                sum of £ 1-5 million ;
 ---pagebreak---    21.2.76                               Official Journal of the European Communities                             No L 46/21
  Whereas such aid is granted to miners retired                     — no adverse effect on trade in coal between the
   prematurely ; whereas such retirement was necessary                  United Kingdom and the other Member States is
  on account of the drop in production ( as a result of                 expected in 1975 ( Article 3 ( 1 ) ( 1 ) of Decision
  marketing difficulties) in 1967 to 1970 ; whereas the                 3 /71 /ECSC );
  expenditure on pensions incurred by the NCB is no
  longer related to the production of coal and is                   — no alignment of prices with those of other
  covered in full by the aid ;                                          Community producers is expected in respect of
                                                                        British coal in 1975 ;
  Whereas the purpose and form of the aid show that
  the measure is in accordance with the criteria set out            — although the prices for British coal have been
  in Article 6 ( 1 ) ( 1 ) of Decision 3 /71 /ECSC ;                    considerably increased, they have not yet
                                                                        reached the level of the equivalent prices for
                                                                        heating oil or coking coal imported from the
                                                                        United States . This state of affairs does not
  Whereas the aid towards the covering of the NCB's                     however lead to indirect aids to industrial
  expenditure on the supply of concessionary coal is                    consumers as the British coal industry is receiving
  granted in respect of expenditure which is no longer
                                                                        no aids to cover operating losses in the coal
  related to the production of coal ; whereas the NCB's
                                                                        marketing year 1975 /76, in accordance with
  expenditure on the supply of concessionary coal to                    Article 9 of Decision 3 /71 /ECSC ;
  redundant miners between the ages of 55 and 60 is
  fully reimbursed by the British Government ; whereas
  for miners made redundant between the ages of 60                 — the closure of two or three unprofitable pits will
 and 65 , the aid is to cover 50 % of the expenditure                   lead to rationalization and the concentration of
 on the supply of concessionary coal ; whereas the                     production in pits where productivity is highest;
  amount of aid provided for 1975/76 is £ 800 000 ;
                                                                   Whereas it can therefore be said that the British aids
 Whereas the purpose and form of the aid show that                 for the benefit of the coal industry in 1975 /76 are
 the measure is in accordance with the criteria set out            compatible with the proper functioning of the
 in Article 6 ( 1 ) ( 1 ) of Decision 3/71 /ECSC ;                 common market;
 Whereas the aid towards the retraining and                        Whereas this also applies if account is taken of aids
 retention of staff is a supplement to be paid by the              granted to the coal industry under Decision
 British Government to help to cover the expenditure               73 /287/ECSC ;
 which the NCB will have to spend in 1975/76 for the
 regrouping of staff which will be required as part of
 the rationalization programme ; whereas, in order to              Whereas, pursuant to Article 11 ( 1 ) of Decision
 ensure that qualified workers are retained, the costs             3 /71 /ECSC, the Commission must ensure that the
 falling on the miners affected by the regroupment                 aids authorized are used for the purposes set out in
 schemes must be reimbursed to them by the NCB ;                   Articles 6 and 7 of that Decision ; whereas the
whereas such costs include removal costs,                          Commission must be informed in particular of the
resettlement costs, travel expenses and compensation               amount of these aids and the manner in which they
for a temporary loss of income ;                                   are apportioned ,
 Whereas the British Government is to contribute
£3-7 million towards such costs to be borne by the
NCB in respect of 197^/76 ;
                                                                   HAS ADOPTED THIS DECISION :
Whereas the purpose and form of the aid show that
the measure is in accordance with the criteria set out
in Article 7 (3 ) of Decision 3/71 /ECSC ;                                                 Article 1
Whereas the following remarks must be made in                     The Government of the United Kingdom is hereby
respect of the compatibility of the total amount of               authorized to grant aids totalling £ 26 200 000 for
British aids with the proper functioning of the                   the benefit of the British coal industry in the coal
common market :                                                   marketing year 1975/76, divided as follows :
 ---pagebreak--- No L 46/22                          Official Journal of the European Communities                             21 . 2. 76
1 . assumption of responsibility for expenditure on                                  Article 2
    pensions for retired miners (£ 13-7 million);
                                                               The British Government shall notify the Commission
2. severance payments to miners to be made                     by 30 April 1976 of the details of the aids granted
    redundant as a result of the closure of pits and/or       pursuant to this Decision, and in particular as regards
    for miners to be retrained or re-employed up to a          the amounts paid and the manner in which they are
    maximum of £ 6-5 million ;
                                                              apportioned.
3 . reimbursement of the NCB's expenditure resulting
    from the early retirement of miners (£ 1-5                                       Article 3
    million);
                                                               The Decision is addressed to the United Kingdom.
4. assumption of responsibility for the costs of
    supplying concessionary coal to redundant miners
    aged between 55 and 60 years, up to a maximum
    of £ 800 000 ;                                            Done at Brussels, 17 December 1975 .
5 . supplement to cover the NCB's expenditure on the                                          For the Commission
    regrouping of staff which will be required as part                                          Henri SIMONET
    of the rationalization programme, up to a
    maximum of £ 3-7 million.                                                                    Vice-President