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Ex Post Assessment of the Impact of State Aid on Competition

DOI https://doi.org/10.21552/estal/2018/4/6

Nicole Robins, Hannes Geldof


The EU’s State aid modernisation reforms introduced a role for ex post evaluations of aid schemes. State aid evaluation provides an opportunity to continuously improve the effectiveness and efficiency of aid schemes to ensure that their positive impact outweighs possible distortions to competition and trade. Traditionally, the role for an extensive analysis of the impact of aid on competition has been limited compared with other areas of competition policy, such as merger control, and assessments of anticompetitive agreements or abuse of dominance. The European Commission therefore asked Oxera to develop an economic framework that can be used to assess the competitive effects of aid, and to gain further insights into the actual impact of aid on competition. Oxera’s study may have significant implications for future State aid control. This article discusses the economic framework developed by Oxera as well as insights from Oxera’s study into the main drivers of the likely impact of aid on competition.

Nicole Robins is a Partner at Oxera Consulting LLP (Oxera) and heads Oxera’s State Aid practice. Hannes Geldof is an Analyst in Oxera’s State Aid practice. Based in Amsterdam, Berlin, Brussels, London, Oxford, Paris and Rome, Oxera is an independent economics and finance consultancy with a large State Aid practice that has worked on an extensive number of State aid cases across a range of sectors throughout the EU.

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