Competition: state aid, 1994-1998. 8th survey

The Parliament voted 267 to 51 with 228 abstentions in favour of the resolution drafted by Mr Jonathan EVANS (EPP/ED, UK) on the Commission's eighth survey on state aid in the European Union with a number of amendments, including one that takes the view that the government can be justified in order to redress market failures. In addition to the recommendations expressed by the committee responsible (refer to the previous stage in the legislative process), the Parliament reiterates that EU State aid control is centred on the principle that while State aid is incompatible with the common market, the granting of such aid by Member States can be justified in exceptional circumstances. It equally regrets that the eighth survey reveals that the levels of State aid granted by Member States have increased in the majority of EU countries. The Commission is called upon to continue to pursue a rigorous policy, particulary in controlling sector specific and adhoc state aid. The Parliament also insists that the Commission present proposals aimed to ensure that all Member States introduce fiscal instruments for CO2 emissions, thus avoiding possible distortions of competition. Lastly, the Commission is called upon to review the presentation of the ninth survey of State aid to include a more detailed assessment of the application of State aid control to the financial services sector, recognising that the sums of State aid granted in this sector can have disproportionate effects upon competition.�