EUROPEAN COMMISSION
Competition DG
Directorate F. Markets and cases V: Transport, Post and other services
Unit F3. State aid: Post and other services
Brussels, 10 November 2023
COMP/F3/comp(2023)11704948
Permanent Representation of Estonia
to the European Union
Rue Guimard 11/13
1040 Brussels
Belgium
Subject: Case SA.110032 (2023/N) – Estonia
Amendments to State aid SA.57541 (2020/N) – Support for international
passenger shipping
Dear Madam/Sir,
The abovementioned scheme was first authorised from 28 August 2020 until 31 December
2023 by Commission decision of 28 August 2020 in case SA.57541. The validity of the
scheme authorised in case SA.57541 expires on 31 December 2023.
On 8 November 2023, your authorities submitted a notification concerning the prolongation
of the scheme for a 5-year period, i.e., from 1 January 2024 until 31 December 2028.
The Commission services have preliminarily assessed the notification documents submitted
by your authorities. However, after an initial examination, the services of DG Competition
have found that some precisions are needed (see Annex I below).
In order to proceed to an assessment of the notified measure, the services of DG Competition
would need additional information. We would be grateful if we could receive the information
on the matters in Annex I at your earliest convenience, ideally within 5 working days from the
date of this letter.
In your reply you are kindly requested to inform the services of DG Competition whether or
not any of the information is confidential 1. Otherwise, it will be considered that none of the
information provided in your reply contains professional or business secrets.
1
Commission communication on Professional secrecy 4582 of 1 December 2003, OJ C 297, 9.12.2003 p. 6.
Please specify the name of the case and the case number in all correspondence.
Commission européenne, B-1049 Bruxelles / Europese Commissie, B-1049 Brussel - Belgium. Telephone: (32-2) 299 11 11.
Email address:
[email protected]
We look forward to your further input and remain available to discuss, if that is considered
necessary.
Yours faithfully,
[e-signed]
Eduardo MARTINEZ RIVERO
Head of Unit
p.o. Eduardo CABRERA MAQUEDA
Contact persons:
Mr Eduardo CABRERA MAQUEDA (
[email protected])
Mr Timothée GUÉRIN (
[email protected])
2
Annex I
§4(3) of the draft regulation: temporal application of the scheme
§4(3) of the draft regulation included in the notification states that “the aid can be applied for
the first quarter of 2023 to the fourth quarter of 2028 or until the aid budget is exhausted”.
Q1. Could the Estonian authorities please confirm that the definitive version of the
regulation will mention that “the aid can be applied for the first quarter of 2024 to
the fourth quarter of 2028 (…)”?
Q2. Could the Estonian authorities please confirm that the aid cannot be granted later
than the fourth quarter of 2028?
§8(1) of the draft regulation: the amount of the aid and its calculation
§8(1) of the draft regulation included in the notification has been modified compared to the
last regulation, as shared with the Commission in the framework of case SA.57541.
Q3. Could the Estonian authorities please confirm that the aid is still calculated based
on the difference between (i) labour taxes calculated from paid wages and (ii)
labour taxes calculated from the so-called tax base, and that the only difference
with the previous scheme is the “capping” of point (i), i.e., labour taxes calculated
from paid wages, to a maximum of 5 times the minimum monthly wage for full-
time work in Estonia for the relevant year?
This is, could the Estonian authorities please confirm that the aid under the notified
scheme will be calculated as follows?
The Estonian authorities have explained that the aid amount will be calculated
based on the difference between labour taxes (social tax and income tax)
calculated from paid wages – capped to a maximum of 5 times the minimum
monthly wage for full-time work in Estonia for the relevant year – and labour
taxes (social tax and income tax) calculated from the so-called tax base. The
Estonian authorities have also explained that the tax base is 1.5 times the
value of the minimum monthly wage in case of a rating (i.e., members of the
ship’s crew other than the master (or ‘captain’) or an officer) and 2.5 times
the value of the minimum monthly wage in case of a member of the ship’s
management level (i.e., the master or the officers 2 of the ship). 3
2
The ship’s officers include the deck officer, the engineer officer, the electro-technical officer, the radio electronic
officer, the ship security officer, and other specialist positions determined by the ship-owner.
3
The rankings of the seafarers are determined by the Regulation no 96 by the Government of Estonia The Training and
Qualification Requirements and the Procedure of Certification for Seafarers, compliant with the Directive 2008/106/EC
of the European Parliament and of the Council of 19 November 2008 on the minimum level of training of seafarers, OJ
L 323, 3.12.2008, p. 33–61, amended by Directive 2012/35/EU of the European Parliament and of the Council of
21 November 2012 amending Directive 2008/106/EC on the minimum level of training of seafarers, OJ L 343,
14.12.2012, p. 78–105. The Estonian authorities indicated that all employers are obliged to register their employees and
their positions in the Employment Register governed by the Estonian Tax and Customs Board. When registering crew
3
Q4. Could the Estonian authorities please precise the “specifics relating to the
declaration of labour taxes” and the related modification of the scheme?
Q5. The services of DG Competition understand that aid can only be granted if the paid
wages are higher than the tax base. Is this always the case in the maritime passenger
ships industry?
Other issues
Q6. Please provide the minimum monthly wage for full-time work in Estonia in 2023,
as well as in 2024 if already available.
Q7. Could the Estonian authorities please confirm there is no other modification in the
notified scheme apart from (i) the budget; (ii) the changes to §4(3) and §8(1) of the
draft regulation (on duration, calculation and capping); and (iii) the replacement of
the granting authority (i.e. the replacement of the Estonian Maritime Administration
by the Estonian Transport Administration as of 1 January 2021)?
Q8. Please be so kind to re-submit the language waiver duly date, signed and stamped
including a reference to “the present notification in case SA.110032 (2023/N)”.
members in the Employment Register, the applicant also has to specify whether an employee is a master/an officer or a
rating.
4
Keit Kasemets Teie 07.11.2023 nr 16-11/23/5210
Kliimaministeerium Meie 12.11.2023 nr 12.1-3/6768-2
[email protected]
Riigiabi teatise edastamine ja
komisjoni küsimused
Austatud härra Kasemets
Esitasite 7.11.2023 kirjaga Rahandusministeeriumile riigiabi teatise „Amendments to state aid
SA.57541(2020/N) Support for international passenger shipping“. Rahandusministeerium
edastas riigiabi teatise Euroopa Komisjonile (komisjon), kes registreeris teatise numbriga
SA.110032(2023/N).
Komisjon saatis riigiabi teatise kohta lisaküsimused 10.11.2023 kirjaga. Edastame komisjoni
küsimused (lisas).
Palume vastused küsimustele saata meile hiljemalt 17.11.2023 (komisjoni kirjas toodud
tähtaeg). Rahandusministeerium edastab vastused Euroopa Komisjonile.
Lugupidamisega
(allkirjastatud digitaalselt)
Kaur Kajak
halduspoliitika asekantsler
Lisa(d):
Euroopa Komisjoni küsimused
Maris Kalda 5885 1434
[email protected]
Suur-Ameerika 1 / 10122 Tallinn / 611 3558 /
[email protected] / www.rahandusministeerium.ee
registrikood 70000272