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grope backs Spanish ruck buying subsidies
Page 9
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te European Court of :e has cleared the way Spain to resume using its hauliers who r hire-purchase new CVs. 1998 the European Comm ordered Spain to stop g operators pay the ist on loans for new vehi3ut now judges say the EC vrong to brand these pay; as illegal state aid.
e court says the EC had to effectively contest sh claims that it was ed to make grants ise introducing new CVs would improve the environment by cutting pollution.
Under EU law governments are allowed to help businesses improve the environment. The court adds that the EC made technical errors when reject ing Spain's assertion that the individual grants were too small to be banned.
The court's ruling also means that an order for Spain to recover grants paid out to its hauliers will be null and void.