The European Commission has begun consulting EU countries on a draft plan to temporarily loosen State aid rules so governments can support parts of the economy exposed to the Middle East crisis.
The proposal would create a Temporary Crisis Framework, which would set out what kinds of government support can be approved under EU State aid rules, the EU executive disclosed on Tuesday.
The Commission said the draft focuses on sectors it described as among the most exposed, including agriculture, fishery, road transport and intra-EU short sea shipping.
Under the draft, Member States could offer temporary support covering part of the rise in costs for fuel or fertilisers compared with levels before 28 February 2026, based on a beneficiary’s consumption.
The plan also includes a simplified option allowing a limited amount of aid per company — except for EU short sea shipping — and would allow governments to use relevant statistics rather than track each firm’s actual consumption.
Higher support limits for electricity costs
The draft would also temporarily adjust the Clean Industrial Deal State aid Framework, a set of EU rules for approving certain types of public support linked to industry and energy, to allow higher aid intensities for electricity price spikes, the Commission said.
It includes raising the maximum share of electricity costs that energy-intensive industries can have covered under a specific section of that framework above the existing 50% ceiling.
The Commission also said it was ready to assess additional temporary measures on a case-by-case basis, which could include subsidising the fuel cost of gas-fired power generation to reduce overall electricity costs.
EU countries have been asked to comment on the draft and respond to additional questions on whether further measures are needed, with the Commission aiming to adopt the temporary framework by the end of April.
