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Brussels, 14 December 2010

State Aid: Commission approves €80 million film support scheme in Romania

The European Commission has approved under EU state aid rules a €80.68 million (RON 347 million) Romanian scheme to support the development of the film industry, culture and cinematographic education. The Commission found the measure to be in line with its Cinema Communication (IP/09/138), because if furthers a cultural objective without unduly distorting competition.

The Commission has approved a Romanian scheme providing for interest-free loans or non-reimbursable grants for the production of Romanian films or films made with Romanian participation.

The scheme is in line with previous cases approved under EU rules that allow state subsidies for cultural objectives, and in particular with the state aid assessment criteria laid down in Commission's Cinema Communication.

In particular, the Commission found that the cultural criteria defined by the Romanian authorities will direct the aid towards cultural products. Moreover, the measure allows producers to spend up to 20% of the film budget within the European Economic Area (EEA), not just in Romania.

The Romanian authorities plan to run the scheme until 31 December 2014.

The non-confidential version of the decision will be made available under the case number N303/2010 in the State Aid Register on the DG Competition website once any confidentiality issues have been resolved. New publications of state aid decisions on the internet and in the Official Journal are listed in the State Aid Weekly e-News.

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