Commission authorises Poland to grant rescue aid for bus company Przedsiębiorstwo Komunikacji Samochodowej w Olkuszu S.A.

The European Commission decided yesterday not to raise objections to planned rescue aid for Przedsiębiorstwo Komunikacji Samochodowej w Olkuszu S.A. The aid is justified by serious social difficulties as 111 people could loose employment if the aid is not granted to the beneficiary.

Przedsiębiorstwo Komunikacji Samochodowej w Olkuszu S.A. is a firm „in difficulty” according to the definition outlined in the Guidelines on State aid for rescuing and restructuring firms in difficulty^[1]. The aid will be granted by the Industrial Development Agency S.A. in the form of a loan under conditions similar to those applicable on the market. Polish authorities will submit a restructuring plan of the company to the Commission within six months after the approval of the measure.

The unemployment ratio in the region where the company conducts its business activity has already reached 18%. The Commission is therefore of the opinion that the aid has a profound impact on the social situation in the region.

The aid does not exceed the maximum aid amount permissible under the formula envisaged in the Guidelines.

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^[1] OJ C 01.10.2004, 244, p. 2

Source:europa.eu.in