EC says Sardinia gave illegal State aid to airlines

(ANSA) - Brussels, July 29 - The European Commission said Friday that the Sardinian regional government had given illegal State aid to selected airlines operating at Cagliari and Olbia airports, adding that this "unfair advantage" which must be repaid. It added that it found the measures involved no aid to Sardinian airports.
    The case concerns a scheme adopted in 2010 to develop air transport and to ensure air connections to and from Sardinia all year round. The scheme provided financing to the Sardinian airports of Cagliari and Olbia, which in turn used it to provide financial compensation to selected airlines. "State aid to airlines may be justified and compatible provided it meets an objective of general interest, such as regional development or accessibility," the Commission said.
    "However, the Commission found that the measures failed to meet the criteria set by the 2005 Guidelines on state aid for developing regional airports. "In particular, the measures were not designed to make routes profitable without public funding in the future and were not restricted to the extra costs of opening new routes.
    "Sardinia also failed to organise tender procedures to select the airlines to provide the activities financed.
    "The public financing therefore failed to meet common transport objectives and gave certain airlines an unfair economic advantage, which they will now have to pay back". It said the amounts to be repaid by the airlines will need to be determined by the Italian authorities.