Belgium’s Council of State has blocked one of two mechanisms intended to grant nearly €1 billion in electricity bill discounts to energy-intensive industries.
Last year, Energy Minister Mathieu Bihet announced an agreement within the federal government to provide €900 million in discounts to struggling industries. The Council of State has now ruled against one of the mechanisms proposed.
The government planned to use the temporary European state aid framework CISAF, also employed by neighbouring countries to support energy-intensive businesses facing high energy prices. However, the Council deemed the approach outside the federal government’s authority, citing it as a regional matter.
A second mechanism involving a structural reduction of high-voltage network tariffs was approved by the Council. Bihet has confirmed plans to press forward with this legally robust option.
His office assures the original budget of €1 billion will remain intact to alleviate energy costs for industries. However, businesses are concerned the adjustments could delay delivery of the promised aid.
