State Aid: EU’s reaction to the US Inflation Reduction Act
28-06-2023 - 17:56
In the aftermath of the adoption of a US Inflation Reduction Act (US IRA) the ECON committee is holding a number of exchanges on the impact on Europe’s economy and competitiveness, in particular with a view to the implications on European State aid rules and policy.
Following the first exchange on Monday 5 June with Margrethe Vestager, Executive Vice-President and Commissioner for competition, a second exchange of views was organised on Wednesday 28 June, 16:30 - 17:30, with Paolo Gentiloni, Commissioner for Economy. The expected allocation of a large amount of public funds in the form of State aid is likely to have a significant economic impact on the internal market and Member States' budgets. It will be important to ensure that public funds from EU financing instruments or State aid do not replace private investment. These aspects and the coordination of the different tools available to achieve the targets of the Green Deal Industrial Plan were among the matters discussed with Commissioner Gentiloni.