EU backs €103m Dutch aid for greener vessels amid shipping emission concerns

EU backs €103m Dutch aid for greener vessels amid shipping emission concerns
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The European Commission has approved a €103 million Dutch state aid scheme to support cleaner and zero-emission vessels using renewable methanol or renewable hydrogen.

The scheme covers the purchase of new vessels and the retrofitting of existing ships so they can use renewable methanol or renewable hydrogen, the Commission informed on Monday.

It applies to passenger, cargo and work vessels, mainly operating in short-sea shipping.

Support will be provided through direct grants awarded via an open, transparent and non-discriminatory selection process.

Grants are due to be awarded between 2027 and 2031.

The measure is intended to help companies meet high upfront investment costs and limited market incentives linked to cleaner shipping technologies.

How the scheme was approved

The Commission assessed the plan under EU state aid rules, including Article 107(3)(c) of the Treaty on the Functioning of the EU and the 2022 Climate, Environmental Protection and Energy Aid Guidelines.

It concluded the scheme was “necessary” and “appropriate” because the supported investments would not take place without public support at the same scale and within the same timeframe.

The measure was also judged “proportionate”, with limited effects on competition and trade in the EU’s internal market.

A non-confidential version of the decision will be published under case number SA.120994 in the Commission’s State aid register once confidentiality issues have been resolved.


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