Polish Shipyard Aid Under Scrutiny

Thursday, June 02, 2005
The European Commission has decided to open formal inquiries into public support for three shipyards in Gdynia, Gdañsk and Szczecin. The restructuring aid granted to these yards will be scrutinised in the light of EC Treaty rules on state aid, and in particular the rules on state aid to companies in difficulties, in so far as it has been granted after the accession of Poland to the European Union on May 1 2004. The Commission will not examine several measures granted by the Polish authorities before accession. “The type of aid proposed by the Polish authorities is only compatible with EU rules if accompanied by a detailed restructuring plan involving durable industrial restructuring and not limited to servicing debt and improving liquidity. We need to see a plan which is likely to result in viable companies capable of facing up to competitive pressures within the EU”, the Competition Commissioner Neelie Kroes commented. The formal state aid investigationconcerns financial support given by various Polish authorities both at the central and local level to the restructuring of the three largest Polish shipyards in Gdynia, Gdansk and Szczecin. Stocznia Szczecinska Nowa Sp.z o.o. (New Szczecin Shipyard) as well as Stocznia Gdynia S.A. (Gdynia Shipyard Group) (and its subsidiary Stocznia Gdañska - Grupa Stoczni Gdynia S.A. (Gdansk Shipyard) started their restructuring process already in 2002. New Szczecin Shipyard is owned by the public Agencja Rozwoju Przemys³u S.A. (Industrial Development Agency, ARP), Gdynia Shipyard Group is majority owned by the State Treasury. In all three cases, some aid was granted before accession, and some after accession. The Commission has no competence to assess the compatibility of aid granted before accession. However, the Commission is competent to act with regard to state aid granted after accession even if the state support falls in the context of restructuring launched before accession. The Commission has doubts whether the aid granted is capable of restoring the long-term viability of the yards. It also has doubts whether the companies undertook adequate capacity reductions to compensate for the distortion of competition and whether the beneficiaries’ own contributions are sufficient to demonstrate their commitment to restructuring. The Commission has therefore opened formal investigation procedures to allow Poland and third parties to submit comments in order to verify these points.
Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

D'Amico Orders Two 'Eco' LR1 Product Tankers

D'Amico International Shipping has ordered two new long range one product tankers, to be built by Vietnam’s Vinashin Shipyard Co for about $44m each.   The tankers

Vyborg Shipyard to Build Icebreaker

Vyborg Shipyard signed a License and Concept Design Agreement with the Finnish engineering company Aker Arctic Technology for two icebreaking support vessels.   Two

SENER Debuts Latest FORAN Release

At  Sinaval-Eurofishing in Bilbao, Spain, Sener will present enhancements in the shipbuilding CAD/CAM system FORAN, in all disciplines (forms, naval architecture and general arrangement,

Navy

"River Cities" Host First Navy Week of 2015

Bossier City-Shreveport Navy Week begins April 27 and will continue through May 3. Navy Weeks focus a variety of assets, equipment and personnel on a single

Northrop Grumman Navigation Systems for Canadian Navy

Northrop Grumman Corporation's Sperry Marine business unit has been selected to design and supply gyrocompass navigation systems for 12  Kingston Class coastal

Maritime Tension Dominates Southeast Asia Summit

Southeast Asian leaders edged closer to open criticism of China's land reclamation in the disputed South China Sea at a regional summit on Monday, as the Philippines

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Naval Architecture Salvage Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0995 sec (10 req/sec)