Press Release: State aid: Commission endorses support of up to EUR 45 million for Bavarian ethylene pipeline

The European Commission has approved under EC Treaty state aid rules (Article 87) a direct subsidy that the German Land of Bavaria intends to grant to EPS (Ethylene Pipeline Süd GmbH & Co. KG), a consortium of German petrochemical companies, for the construction of an ethylene pipeline. The planned aid amounts to 29.9% of the total eligible costs of the investment, up to a maximum aid level of €44.85 million. The Commission considers that this project is an important step towards the realisation of a pan-European ethylene pipeline network, but does not unduly distort competition.