Government Decree No. 310 / 2004 Coll.
Government Regulation establishing the permissible level of public support in the cohesion regions of the Czech Republic
Valid
Effective from 26.05.2004
Text versions:
26.05.2004
310
GOVERNMENT REGULATION
of 28 April 2004
establishing the permissible level of public support in the cohesion regions of the Czech Republic
The Government orders pursuant to § 11 (3) of Act No. 72 / 2000 Coll., on investment incentives and on the amendment of certain laws, as amended by Act No. 19 / 2004 Coll., ("the Act ') to implement § 6 (3) of the Act:
Allowed public aid intensity in individual regions
(1) The permissible level of public aid for investment action must not exceed the following values in the various regions of the Czech Republic during the entire period of public aid implementation:
(a) in the region of cohesion Moravian-Silesia 50%;
(b) 50% in the cohesion region of Central Bohemia;
(c) in the North West Cohesion Region 49%;
(d) in the region of cohesion Central Moravia 49%,
(e) in the cohesion region, the Northeast 48%;
(f) in the cohesion region, the Southeast 48%;
(g) in the Cohesion region, the South West 46%;
h) in the cohesion region Prague 20%.
(2) If the investment is carried out by a small or medium-sized entrepreneur, (2) the permissible level of public support may not exceed the following values in the various regions of cohesion of the Czech Republic during the entire period of public support:
(a) in the region of cohesion Moravia-Silesia 65%;
(b) in the cohesion region of Central Bohemia 65%;
(c) in the region of cohesion North West 64%;
(d) in the region of cohesion Central Moravia 64%,
(e) in the Cohesion region, the North East 63%;
(f) in the cohesion region, the Southeast 63%;
(g) in the cohesion region, South West 61%;
h) in the cohesion region Prague 30%.
Amount of eligible public aid against costs exceeding EUR 50 000 000
The permissible rate of public aid for an investment event for which the value of the costs that may be supported, as expressed by the Czech National Bank's exchange rate at the date of the submission of the intention to obtain investment incentives under the law, exceeds EUR 50 000 000 for that part of the costs which may be supported and which exceed EUR 50 000 000 and do not exceed EUR 100 000, 50% of the public aid intensity in each of the regions of cohesion of the Czech Republic determined in accordance with § 1 (1) or (2).
Amount of permissible public aid against costs exceeding EUR 100 000 000
(1) In the event that public aid is to be granted against the part of the costs which may be supported and which are recalculated by the Czech National Bank rate announced at the date of submission of the intention to obtain investment incentives under the Act in excess of EUR 100 000 000, such public aid may be granted only after prior notification and approval of this public aid to the Commission.3)
(2) Public aid may not be granted in the cases referred to in paragraph 1 if:
(a) the sales by the recipient of the public aid from the sale of the product subject to an investment operation exceed 25% in the year preceding or following the implementation of the investment operation within the relevant relevant market, 4); or
(b) the capacity created by the investment project will be more than 5% of the relevant relevant market4) measured according to the value of the apparent consumption of the investment product in the year following the year in which the investment project was completed. This aspect shall not apply if the average annual growth of the apparent consumption of the investment product in the last five years exceeds the average annual growth of the gross domestic product of the European Economic Area.
(3) The permissible public support rate for an investment event, for which the value of the costs that may be supported, translated at the Czech National Bank rate declared at the date of the submission of the intention to obtain investment incentives under the law exceeds EUR 100 000 000, for that part of the costs which may be supported and which exceed EUR 100 000 000, 34% of the permissible public aid intensity in the individual regions of cohesion of the Czech Republic determined in accordance with § 1 (1) or (2).
(4) The permissible public aid intensity fixed in accordance with paragraph 3 may be increased by 15 percentage points if the project is co-financed by the Structural Funds of the European Communities as a major project, 5), and
(a) the co-financing rate of the Structural Funds of the European Communities shall be at least 10% of public resources and the investment action shall be located in the regions of the Czech Republic referred to in § 1 (1) (a) to (g); or
(b) the rate of co-financing from the Structural Funds of the European Communities shall be at least 25% of public resources and the investment action shall be located in the cohesion region of the Czech Republic referred to in Paragraph 1 (1) (h).
(5) In the event of an increase in public aid as referred to in paragraph 4, public aid may not be granted to an extent exceeding 75% of the amount of the permissible public aid intensity determined in accordance with Paragraph 1 (1) or (2).
Amount of public support for investment actions carried out in the motor vehicle industry
(1) For the purposes of this Regulation:
(a) the production industry of motor vehicles, the development, manufacture and assembly of motor vehicles, motor vehicles and modules or subsystems of such vehicles or engines, carried out either directly by the manufacturer or subcontractor of the first level, and, as regards these subcontractors, this shall be carried out within the framework of the overall project;
(b) motor vehicle passenger cars, vans, lorries, road tractors, urban and long-distance buses and other commercial vehicles; motor vehicles are not considered as motor vehicles, vehicles intended for use on the ground (for example, vehicles designed for snow or for the transport of persons on golf courses), motorcycles, trailers, agricultural and forestry tractors, residential cars and trailers, special purpose vehicles (for example, fire-fighting vehicles, mobile workshops), tilting cars and trucks, in-service vehicles (for example, forklift trucks, saddleboard trucks, landlords) and military vehicles intended for the military,
(c) compression-ignition or spark-ignition engines for motor vehicles, whether or not electric and turbojets, gas, hybrid and other motor vehicles;
(d) a module or subsystem of a primary component assembly intended for a vehicle or engine which is manufactured, assembled or assembled by a first-level subcontractor and which is supplied via a computer order system or on the basis of "delivery at the right time"; logistic, supply and storage systems and subcontracted complete operations forming part of the production chain (e.g. painting of assembly units) are also considered as modules and subsystems,
(e) a subcontractor of the first level supplier who has his or her share of responsibility for construction and development and who produces, assembled or supplies modules or subsystems for vehicle manufacturers during manufacture or at assembly stage; the first level subcontractor is also a service supplier, in particular logistics services,
(f) a comprehensive project such as:
1. integrate one or more of the first-level subcontractors' projects at the investment site or in an industrial park or several industrial parks not too distant from each other, participating in the supply of modules or subsystems for motor vehicles produced or for engines produced for motor vehicles, the investment of the first-level subcontractor being integrated if at least half of the production resulting from the investment is supplied to the manufacturer in its plant; and
2. the vehicle manufacturer shall continue for the investment project.
(2) The permissible rate of public aid for an investment action carried out in the automotive sector, for which the value of the public aid, translated at the Czech National Bank rate declared at the date of submission of the intention to obtain investment incentives under the law, which may be granted in relation to the costs which may be supported, exceeds EUR 5 000 000, shall be 30% of the amount of the permissible public aid intensity established under Article 1 (1).
This Regulation shall enter into force on the day of its publication.
Prime Minister:
PhDr. Špidla v. r.
Minister for Industry and Trade:
Ing. Urban v. r.
1) Article 15 of Act No. 248 / 2000 Coll., on the promotion of regional development.
2) Article 2 of Act No. 47 / 2002 Coll., on the Promotion of Small and Medium Business and on the Amendment to Act No. 2 / 1969 Coll., on the Establishment of Ministries and other Central Authorities of the Government of the Czech Republic, as amended.
3) Article 211 et seq. of the Treaty establishing the European Community.
4) Paragraph 2 (2) of Act No. 143 / 2001 Coll., on the Protection of Competition and on the amendment of certain laws (Law on the Protection of Competition).
5) Articles 25 and 26 of Council Regulation (EC) No 1260 / 1999 of 21 June 1999 laying down general rules on the EC Structural Funds.
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Regulation Information
| Citation | Government Regulation No. 310 / 2004 Coll., establishing the permissible level of public support in the cohesion regions of the Czech Republic |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 26.05.2004 |
|---|---|
| Effective from | 26.05.2004 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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