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Germany’s stance on the EU’s upcoming Clean Industrial Deal calls for looser state aid rules and deregulation, according to a document seen by Euractiv.
First revealed by Contexte, the document lays out Germany’s position on the EU’s forthcoming plan to drive Europe’s industry toward carbon neutrality and to boost competitiveness.
Berlin says opening the floodgates for state subsidies to companies is key. Germany wants the EU to extend its looser state aid rules – introduced during the energy crisis – to support renewables and clean industry.
Notably, the German government is also asking to keep a loophole that allows it to dish out €32 billion in subsidies to energy-intensive industry “until 2030 and beyond” – and to extend this “to other sectors.”
The document also calls for “ambitious and goal-oriented progress” to integrate the bloc’s single market for capital, a “modernisation” of EU competition law; and for businesses to be “freed” from “the shackles of unnecessary bureaucracy”.
It states that the EU should pursue “ambitious” trade deals with other countries and that Brussels should not “prejudge” any decisions relating to the EU’s seven-year regular budget, negotiations for which are set to open later this year.
Announced by Ursula von der Leyen ahead of her re-election as Commission President in July, the Clean Industrial Deal is one of the EU executive’s flagship initiatives for its first 100 days.
It is due to be formally presented by Teresa Ribera, Brussels’ competition and climate chief, on February 26.
It follows the release of the Commission’s “Competitiveness Compass” last month, which called for an “unprecedented” reduction of red tape to boost the EU’s faltering economy over the next five years.
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