Brussels investigates Chinese solar panel companies for excessive subsidies nasshliski

Date: April 3, 2024 Time: 20:18:26

The European Commission reported today, Wednesday, the launch of two investigations to determine whether the entry of capital from China into different companies that are bidding for public contracts to develop photovoltaic plants is an undue advantage and may distort competition in the community market. If any irregularities are confirmed, Brussels can agree to commitments with companies to correct distortions or prohibit the awarding of contracts.

New European Union regulations to protect key sectors from distortions due to foreign subsidies require companies to notify their public procurement tenders when the estimated value of the contract exceeds 250 million euros and the company has received at least 4 million euros . of investment from a non-EU country at least once in the three years prior to the competition.

Community services are investigating the consortiums of Enevo Group (including LONGi Solar Technologie GmbH) and Shanghai Electric to apply through the Romanian Societata Parc Rovinari for a project for the design, construction and operation of a photovoltaic park in Romania partially financed by the European modernization fund.

preliminary exam

Following its preliminary examination, the Commission has justified opening a thorough investigation in both cases by considering that there is sufficient evidence that foreign subsidies have been granted that distort the internal market. During the in-depth investigation, the Community Executive will continue to evaluate the alleged foreign subsidies and will collect all the information necessary to determine whether they have allowed companies to submit an unduly advantageous offer in response to a tender, since this offer could last the opportunities of other companies bidding for the same tender.

Both consortia submitted a complete notification on March 4, 2024 and Brussels has 110 working days from that date to adopt a decision. Community services clarify that opening a detailed investigation does not prejudge its outcome.

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