State aid: Commission approves around €1 million Romanian public support to compensate Timișoara Airport for damage caused by coronavirus outbreak

The European Commission has found a Romanian direct grant of approximately RON 4.8 million (around €1 million) to Timișoara Airport to be in line with EU State aid rules. The measure aims at compensating the airport for the damage suffered due to the coronavirus outbreak. Due to the measures that Romania implemented to limit the spread of the coronavirus as of 16 March 2020, airlines operating at Timișoara Airport had to gradually reduce their scheduled flights, until the total cessation of flight operations on 25 March 2020. This resulted in high operating losses for the airport. Restrictive measures were lifted and air traffic operations started resuming only on 17 June 2020. The aim of the public support notified by Romania, which takes the form of a direct grant, is to compensate Timisoara Airport for the losses suffered as a result of the suspension of the flights due to the coronavirus outbreak in the period between 16 March 2020 and 16 June 2020. The Commission assessed the measure under Article 107(2)(b) of the Treaty on the Functioning of the European Union (TFEU), which enables the Commission to approve State aid measures granted by Member States to compensate specific companies for the damage directly caused by exceptional occurrences, such as the coronavirus outbreak. The Commission found that the measure will compensate the damage that is directly linked to the coronavirus outbreak. It also found that the measure is proportionate, as the envisaged compensation does not exceed what is necessary to make good the damage. The Commission therefore concluded that the scheme is in line with EU State aid rules. More information on actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.57178 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.