State aid: Commission approves €6 million Danish scheme to support airlines in the context of the coronavirus outbreak

The European Commission has approved a DKK 45 million (approximately €6 million) Danish scheme to support the Danish aviation sector in the context of the coronavirus outbreak. The scheme was approved under the State aid Temporary Framework. The scheme will be open to all airlines holding a Danish air operator certificate. The support will take the form of direct grants to cover the beneficiaries’ wage costs in the period from 1 October to 31 December 2020 for the staff responsible for certain specific safety-critical functions. The measure is expected to benefit 26 airlines. The aim of the scheme is to support passenger air traffic in Denmark in order to restore the air connectivity within Denmark and to/from Denmark after the coronavirus outbreak. The Commission found that the scheme is in line with the conditions set out in the Temporary Framework. In particular, under the scheme, the maximum amount of aid that can be granted to each beneficiary is €500,000 (i.e. it will not exceed the €800,000 limit set in the Temporary Framework). The Commission concluded that the aid is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the scheme under EU State aid rules. More information on the Temporary Framework and other 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.59370 in the State aid register State aid register on the Commission’s competition website once any confidentiality issues have been resolved.