State Aid Serbia

26 Jul 2021

State Aid and Climate Change: The Challenges

Here we go again, fighting climate change.  This time, we are focusing on State aid and climate change, and discussing an important question – how green is State aid? Back in 2019, Europe ushered the European Green Deal.  The European Commission published a Communication on the European Green Deal in its tenacious efforts to tackle climate change and other environmental challenges.  This Communication is the EU’s attempt to work on the transition to a future where there will be no “bad emissions”, to put it plainly.  If we were to get more technical, to create a Europe with net-zero emissions […]

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Serbia: One small step for a legislator means one big step for the EU acquis alignment

In the process of gradually aligning its legislation with the EU acquis the Government of the Republic of Serbia adopted two bylaws on 11 March 2021 in the field of state aid, complementary to the recently adopted new State Aid Control Act. All this adds value to the start of talks on the Chapter 8 – Competition Policy of Serbia’s negotiation process and may speed up Serbia’s EU accession. Regional Aid Regulation This regulation is designed to promote economic development of the least developed regions or the development of regions with a high level of unemployment. It also allows state […]

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Be it for Better, be it for Worse – the New State Aid Control Act is Coming!

Alea iacta est! Serbia is in line for a new State Aid Control Act. Ten years ago, when enacted, the first (and still the only) act was welcomed as a long-awaited and indispensable piece of legislation.  Today, and following ten-years’ implementation, we are about to get a new one. What lessons have we drawn from implementation of the current act (apart from the fact that we need a new one)? The reasons for adopting a new act, according to its drafters, are as follows: Harmonization with the EU acquis – Well, that’s a turn-up for the books!  Can you think […]

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08 Nov 2017

Gecić Law Advises in Yet Another Landmark Decision Before the European Commission

Gecić Law acted as legal counsel to the Government of Serbia and the Železara Smederevo steel mill with respect to an European Commission (EC) investigation on the historical State aid received by the old company, and the potential responsibility of Hesteel Serbia to reimburse it, under the Stabilisation and Association Agreement (SAA).  On Wednesday, November 8, 2017, Johannes Hahn, Commissioner for European Neighborhood Policy and Enlargement Negotiations, informed the Prime Minister of the Republic of Serbia, Ana Brnabić, that the European Commission concluded that “the HeSteel-owned steel mill does not have to reimburse any state aid received in the past” (link).  […]

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02 Sep 2016

EU State Aid: Commission Goes After the Forbidden Fruit

“The European Commission has concluded that Ireland granted undue tax benefits of up to €13 billion to Apple [the biggest tax bill ever imposed outside the US]. This is illegal under EU state aid rules, because it allowed Apple to pay substantially less tax than other businesses. Ireland must now recover the illegal aid [indirect subsidies].“1 Following an in-depth state aid investigation of the “sweetheart fiscal deal” between Ireland and Apple, the European Commission has concluded that Apple received illegal tax benefits from Ireland through a favorable tax arrangement selectively provided to this company for a number of consecutive years. […]

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11 May 2016

Gecić | Law Advises on €46 million Asset Sale of Železara Smederevo

Gecić | Law advised Železara Smederevo and the Government of Serbia on EU, regulatory and corporate matters in connection with the €46 million ($52 million) sale of assets of Železara Smederevo’s through a public tender procedure to the Chinese company Hebei Iron and Steel Company Limited (HBIS).  Under the transaction, HBIS pledged to invest at least $300 million in a new company and to utilize the acquired assets to develop its global layout and to provide better service for its customers in Europe. Leading Serbian Steel Manufacturer Železara Smederevo is Serbia’s leading producer of steel and is the second largest […]

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11 Mar 2016

Italian Concessions for Maritime Operators – A Tsunami for European Services Market?

On February 25, 2016, in the joined cases Promoimpresa srl v Consorzio dei Comuni della Sponda Bresciana del Lago di Garda e del Lago di Idro, Regione Lombardia, and Mario Melis, Tavolara Beach Sas, and Dionigi Piredda, Claudio Del Giudice v Comune di Loiri Porto San Paolo, Provincia di Olbia Tempio (hereinafter: Promoimpresa and others), Mr. Maciej Szpunar, an Advocate General at the EU Court of Justice of the European Union (the “ECJ”) since 2013, produced a nonbinding opinion for the ECJ stating that the European Union (the “EU”) law precludes national legislation under which the period of validity of […]

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05 Jan 2016

A State Aid Perspective: Amendments to the Act on Incentives in Agriculture and Rural Development

On 12 December 2015, the Serbian Parliament enacted the amendments to the Act on Incentives in Agriculture and Rural Development.  The law was promulgated on 22 December and will be enforced as of 1 January 2016. Before we review the changes the Act on Incentives in Agriculture and Rural Development introduces, we will address the burning issue that all beneficiaries of agricultural subsidies might feel threatened by – whether these subsidies are currently caught by state aid rules (the “State Aid Act”) leaving beneficiaries open to potential recovery claims from the State Aid Authority? Тhe purpose of the Act on Incentives in […]

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09 Dec 2015

Gecić Law Contributes Serbian Chapter to Legal Aspects of Doing Business in Europe – Second Edition

We are pleased to announce that our partner Bogdan Gecić together with Dr. Tatjana Jovanić, an associate professor at the University of Belgrade Faculty of Law, co-authored the Serbian chapter for Legal Aspects of Doing Business in Europe – Second Edition.  The chapter provides a comprehensive overview of most important legal aspects for both domestic and foreign investors and businesses in Serbia.  The chapter provides an in-depth analysis of the following topics: Enterprises: Establishment, Acquisition & Bankruptcy Customs Regulation Investment Incentives and Currency Regulation Competition and Market Regulation Intellectual Property Employment Banking The edition is published by Juris Publishing, Inc., a full-service legal […]

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