EU Ministers Urge Extension of Key State Aid Rules to Meet Policy Goals, SolarPower Europe Issues a Statement

The Industry and Competitiveness Ministers of the 27 EU member states met in Brussels. The Competitiveness Council discussed the EU State Aid’s Temporary Crisis and Transition Framework (TCTF), and its contribution to EU policy objectives. 

 In a concluding press conference, the Presidency of the Council confirmed that the EU Member States have requested the European Commission to extend certain elements of the TCTF rules. Neither the elements requested for extension, nor the duration of the extension have been specified yet. In connection with this, Dries Acke, Deputy CEO of SolarPower Europe, said, “It’s good news for solar manufacturers that Europe will extend parts of the current subsidy framework beyond 2025. Solar manufacturers need support to reach the EU target of 30 GW of manufacturing by 2030 – we recommend the extension of the TCTF until then. 

EU solar manufacturers face energy prices twice as high as China, and three times as high as the US. This is felt particularly the more energy-intensive stages of the supply chain, from polysilicon to wafer. The TCTF should be adjusted to support the operational expenditure of factories. It’s not enough to support the construction of factories, manufacturers need to be able to keep the lights on in their scale up phase.

Right now, the rules are quite complex, making support difficult to access and implement for the sectors that need it most. However, a successful and Clean Industrial Deal relies on the extension and simplification of EU subsidy rules.

We look forward to analysing the Council conclusions in detail when they available, and supporting the European Commission in their update of State Aid rules.”