Keywords
Summary

Keywords

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1 . EEC POLICY - AIDS GRANTED BY MEMBER STATES OR THROUGH STATE RESOURCES - GENERAL EVALUATION BY THE COMMISSION

( EEC TREATY, ARTICLES 92 AND 93 )

2 . EEC POLICY - AIDS GRANTED BY MEMBER STATES OR THROUGH STATE RESOURCES - METHOD OF FINANCING - TAXATION - ARTICLE 95 OF THE TREATY - ARTICLES 92 AND 93 OF THE TREATY

3 . EEC POLICY - AIDS GRANTED BY MEMBER STATES OR THROUGH STATE RESOURCES - DIRECT AND INDIRECT AID - METHOD OF FINANCING - CONNEXION BETWEEN METHOD OF FINANCING AND AID

4 . EEC POLICY - AIDS GRANTED BY MEMBER STATES OR THROUGH STATE RESOURCES - METHOD OF FINANCING - QUASI-FISCAL CHARGE

Summary

1 . IN ORDER TO DETERMINE WHETHER AID GRANTED BY A MEMBER STATE OR THROUGH STATE RESOURCES IS INCOMPATIBLE WITH THE COMMON MARKET WITHIN THE MEANING OF ARTICLE 92 ( 1 ) AND ( 3 ), OR WHETHER IT IS BEING MISUSED, IT IS NECESSARY TO CONSIDER ALL THE LEGAL AND FACTUAL CIRCUMSTANCES SURROUNDING THAT AID, IN PARTICULAR WHETHER THERE IS AN IMBALANCE BETWEEN THE CHARGES IMPOSED ON THE UNDERTAKINGS OR PRODUCERS CONCERNED ON THE ONE HAND AND THE BENEFITS DERIVED FROM THE AID IN QUESTION ON THE OTHER .

2 . SINCE ARTICLE 92 AND 93 ON THE ONE HAND AND ARTICLE 95 ON THE OTHER HAVE DIFFERENT AIMS, THE FACT THAT A NATIONAL MEASURE SATISFIES THE REQUIREMENTS OF ARTICLE 95 DOES NOT IMPLY THAT IT IS VALID IN RELATION TO OTHER PROVISIONS SUCH AS THOSE OF ARTICLES 92 AND 93 . WHEN AN AID IS FINANCED BY TAXATION OF CERTAIN UNDERTAKINGS OR PRODUCERS, THE COMMISSION IS REQUIRED TO CONSIDER NOT ONLY WHETHER THE METHOD BY WHICH IT IS FINANCED COMPLIES WITH ARTICLE 95 OF THE TREATY BUT ALSO WHETHER, IN CONJUNCTION WITH THE AID WHICH IT SERVICES, IT IS COMPATIBLE WITH THE REQUIREMENTS OF ARTICLES 92 AND 93 .

3 . IN ITS APPRAISAL THE COMMISSION MUST TAKE INTO CONSIDERATION ALL THOSE FACTORS WHICH DIRECTLY OR INDIRECTLY CHARACTERIZE NOT ONLY AID, PROPERLY SO-CALLED, FOR SELECTED NATIONAL ACTIVITIES BUT ALSO THE INDIRECT AID WHICH MAY BE CONSTITUTED BOTH BY THE METHOD OF FINANCING AND BY THE CLOSE CONNEXION WHICH MAKES THE AMOUNT OF THE AID DEPENDENT UPON THE REVENUE FROM THE CHARGE .

IT MAY BE THAT AN AID PROPERLY SO-CALLED CAN BE ACKNOWLEDGED AS PERMISSIBLE BUT THAT THE DISTURBANCE WHICH IT CREATES IS INCREASED BY THE METHOD OF FINANCING IT WHICH WOULD RENDER THE SCHEME AS A WHOLE INCOMPATIBLE WITH A SINGLE MARKET AND THE COMMON INTEREST .

4 . A SYSTEM WHEREBY AN AID IS SERVICED BY A CHARGE DESIGNED FOR THAT PURPOSE LEADS TO A SYSTEM OF PERMANENT AIDS, THE AMOUNT OF WHICH IS UNFORESEEABLE AND DIFFICULT TO REVIEW . IF THIS SYSTEM WERE TO BECOME GENERAL IT WOULD HAVE THE EFFECT OF OPENING A LOOPHOLE IN ARTICLE 92 OF THE TREATY AND OF REDUCING THE COMMISSION' S POSSIBILITIES OF KEEPING IT UNDER CONSTANT REVIEW .