State aid: Commission approves Hungary’s €131 million investment aid to MOL petrochemical plant

The investment aid granted by Hungary will support MOL’s plans to invest in total €874 million to introduce the production of polyols and propylene glycols in its existing plant in Tiszaújváros. Polyol is the main component of polyurethanes, which are used for example for the production of foams for car seats, dashboards, coatings, adhesives and sealants. Propylene glycol is primarily used in the production of polymers, but is also used in food processing, personal care products and pharmaceuticals.

The project is expected to create new direct jobs in Tiszaújváros located in the Northern Hungary region, an area eligible for regional aid (Art. 107(3)(a)) of the Treaty on the functioning of the European Union).  

The Commission assessed the aid measure under the Guidelines on Regional State Aid for 2014-2020, which enable Member States to support economic development and employment in the EU’s less developed regions and to foster regional cohesion in the Single Market.

The Commission found that without the public funding, the project would not have been carried out in Tiszaújváros. The Commission also found that the aid was limited to the minimum necessary, as it merely compensated the company for costs incurred by carrying out the project in Tiszaújváros rather than an alternative location. The Commission therefore concluded that the positive effects of the project on regional development clearly outweigh any distortion of competition brought about by the State aid.

Background

The aid is granted in the framework of pre-existing aid schemes, but had to be notified to the Commission for individual assessment and clearance because of the aid amount involved.

When approving an aid measure under the Guidelines on Regional State Aid for 2014-2020, the Commission has to be convinced that, among other things, the aid must:

  • have a real “incentive effect”, in other words it must effectively encourage the beneficiary to invest in a specific disadvantaged region;
  • be kept to the minimum necessary to attract the investment to the disadvantaged region;
  • not have undue negative effects, such as creation of excess capacity by the aided investment in a declining market;
  • not exceed the regional aid ceiling applicable to the region in question;
  • not directly cause the relocation of existing or closed down activities from elsewhere in the EU to the aided establishment; and
  • not divert investment away from another region in the EU which has the same, or lower, level of economic development than the region where the aided investment takes place.

The non-confidential version of the decision will be made available under the case number SA.48382 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved. New publications of State aid decisions on the internet and in the Official Journal are listed in the State Aid Weekly e-News.




112/2017 : 25 October 2017 – Judgment of the Court of Justice in Case C-106/16

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111/2017 : 25 October 2017 – Judgment of the Court of Justice in Case C-201/16

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Proposal to restrict hazardous substances in tattoo inks and permanent make-up

ECHA/PR/17/18

Together with the competent authorities of Denmark, Italy and Norway, ECHA has prepared a restriction proposal to reduce the risks caused by hazardous substances contained in some tattoo inks. These include some substances already banned in cosmetics but also additional substances.

Helsinki, 25 October 2017 – Due to the growing popularity of tattoos and no harmonised control in the EU on tattoo and permanent make-up inks, ECHA was asked by the European Commission to assess the chemical-related risks associated with the inks, the need for Union-wide action, and the relevant socio-economic impacts. ECHA asked Member States if they wanted to be involved in developing the proposal and Denmark, Italy and Norway became co-responsible. In addition, Germany contributed significantly to the proposal. As a conclusion to this assessment, the dossier submitters have made the proposal for a restriction.

The aim of the proposal is not to ban tattoo inks or tattooing. Instead, the aim is to regulate specific hazardous substances present in tattoo inks so that they are safe for people.

The proposal suggests to restrict the intentional use or concentration limit of approximately 4 000 substances when contained in tattoo inks. These include those substances already banned in cosmetic products or subject to certain harmonised classifications, such as carcinogens or skin sensitisers. Only some of these substances have been found in tattoo inks, but they are included in the proposal to prevent their potential use as substitutes in the future. Most of the substances are also covered by the recommendation by the Council of Europe on tattoo inks (ResAP(2008)1 and its predecessor) on which seven Member States have based their national legislation.

Stakeholders are expected to be able to comply with the proposed restriction as it is largely similar to the national measures on tattoo inks of the seven Member States. The proposal also takes into account other socio-economic impacts on the industry and the people who get tattoos.

It is expected that the restriction will significantly reduce the potential health risks for people getting new tattoos, such as allergic reactions to tattoo inks and possible long-term effects from exposure to hazardous substances injected under the skin.

ECHA plans to launch a six-month public consultation on the proposed restriction in mid-December 2017. Stakeholders and the public at large are invited to provide comments on the proposal and its anticipated impacts. ECHA’s Committees for Risk Assessment and Socio-economic Analysis are expected to give an expert opinion on the proposal by the end of 2018, taking into account the submitted information. A draft decision by the European Commission is expected after that.

If you have any questions or concerns about tattooing, contact your local healthcare service provider.




Ladislav Hamran elected President of Eurojust

The Hague, 24 October 2017

Today, the College of Eurojust elected Ladislav Hamran, currently Vice-President of Eurojust, as well as National Member for the Slovak Republic, as the new President of Eurojust. Mr Hamran will replace Michèle Coninsx, who is leaving Eurojust. In accordance with Article 28(2) of the Eurojust Council Decision and Article 3(1) of the Rules of Procedure of Eurojust, the result of the election will be submitted to the Council for approval.

Ladislav Hamran has 17 years’ experience as a prosecutor. He started working at the General Prosecution Office in Bratislava in 2003, investigating and prosecuting mainly economic crime and corruption, until his secondment to Eurojust as National Member for the Slovak Republic in 2007. He was elected Vice-President of Eurojust in December 2013, and was re-elected Vice-President in December 2016. As Vice-President, he was mainly responsible for information and knowledge management projects, leading Eurojust’s Working Group on reorganisation and prioritisation.

Mr Hamran said: ‘I am overwhelmed with emotion and extremely grateful that my colleagues have placed their trust in me once again. They twice voted for me for Vice-President, and have now granted me the ultimate honour, President of Eurojust. I vow to listen carefully to people throughout the organisation to help make Eurojust a trusted and effective key partner in judicial cooperation. I fully believe in collegiality, both as an approach and as a working method, by developing healthy, effective and sustainable links between the College and the Administration, and also with our external partners and stakeholders. I want my term in office to be marked by objectivity, fairness, transparency and integrity. My door will always be open. I look forward to modernising and professionalising Eurojust, in line with its wonderful new premises.’

Photo: © Eurojust