Commission approves Bulgarian, German and Slovenian State aid schemes providing temporary electricity price relief for energy-intensive companies

This article is brought to you in association with the European Commission.

The European Commission has approved State aid schemes to provide temporary electricity price relief for energy-intensive companies in Bulgaria, Germany and Slovenia in line with the objectives of the Clean Industrial Deal. Through the condition to reinvest a significant share of the aid received in decarbonisation measures, these schemes will contribute to the transition towards a net-zero economy. The schemes were approved under the Clean Industrial Deal State Aid Framework (CISAF) adopted by the Commission on 25 June 2025.

The support measures

Bulgaria, Germany and Slovenia notified to the Commission, under the CISAF, schemes to provide temporary electricity price relief for companies in energy-intensive industries. The budgets of the schemes are €334 million for Bulgaria, €3.8 billion for Germany and €90 million for Slovenia.

The purpose of the schemes is to support energy-intensive companies by compensating them for a share of their electricity costs in the coming three years. The measures will be open to companies active in sectors with a significant risk of activities moving outside the EU to locations where environmental measures are absent or less ambitious. This risk depends on the electro-intensity of the sector in question and its openness to international trade. The sectors with a significant risk are listed in the 2022 guidelines on State aid for climate, environmental protection and energy.

The Commission found that the schemes are in line with the conditions set out in the CISAF. In particular:

1. the schemes facilitate the development of economic activities in the eligible sectors and aim to preserve the economic viability of companies in these sectors;
2. the schemes comply with the condition that the reduced electricity price is at least €50/MWh;
3. the schemes cover the electricity consumption of beneficiaries for a maximum duration of three years; and
4. the beneficiaries will be required to invest at least 50% of the aid received in new or modernised assets to reduce electricity system costs, reflecting market and system needs, without increasing fossil fuel use.

The Bulgarian measure will run from 1 July 2025 to 30 June 2028. Bulgaria will pay the aid through electricity suppliers via a reduction on the beneficiaries’ monthly electricity bill.

The German measure will run from 1 January 2026 to 31 December 2028. Companies can apply for aid payments after the end of each year, when the electricity consumption and the average wholesale market price are known. 

The Slovenian scheme will run from 1 January 2026 to 31 December 2028 and will pay out the aid twice a year based on expected electricity consumption.

The Commission concluded that the schemes are necessary, appropriate and proportionate to accelerate the transition towards a net-zero economy and facilitate the development of certain economic activities, which are of importance for the implementation of the Clean Industrial Deal. This is in line with Article 107(3)(c) of the Treaty on the Functioning of the EU and the conditions set out in the CISAF.

On this basis, the Commission approved the three aid measures under EU State aid rules.

Background

On 25 June 2025, the Commission adopted the CISAF to foster support measures in sectors which are key for the transition to a net-zero economy, in line with the Clean Industrial Deal.

The CISAF allows the following types of aid, which can be granted by Member States until 31 December 2030 in order to accelerate the green transition:

• Measures accelerating the rollout of renewable energy and low-carbon fuels (sections 4.1 and 4.2). Member States can set up schemes for investments in all renewable energy sources as well as energy storage, with simplified tender procedures. Specific rules are also provided to accelerate the roll-out of low-carbon fuels.
• Measures allowing temporary electricity price relief for energy-intensive users to ensure the transition to low-cost clean electricity (section 4.5). Such measures will help avoid industrial activities relocating to locations where environmental regulations are absent or less ambitious, before the decarbonisation of the EU’s electricity system fully translates into lower electricity prices.
• Measures facilitating the decarbonisation of industrial processes (section 5). Member States can support investments in the decarbonisation of industrial activities to reduce dependency on imported fossil fuels. This can happen through electrification, energy efficiency and the switch to the use of renewable and electricity-based hydrogen which complies with certain conditions, with expanded possibilities to support the decarbonisation of industrial processes switching to hydrogen-derived fuels.
• Measures to ensure sufficient clean technology manufacturing capacity (section 6). Member States can grant investment support for strategic projects in line with the Net Zero Industry Act (such as batteries, solar panels, wind turbines, heat-pumps, electrolysers, and carbon capture usage and storage). This also includes the production of key components and the production and recycling of related critical raw materials.
• Measures to de-risk private investments required for the roll-out of clean energy, industrial decarbonisation, clean tech manufacturing, certain energy infrastructure projects, and projects supporting the circular economy (section 8).

More information on the CISAF can be found online.

On 13 April 2026, the Commission launched a consultation for Member States on a Temporary Crisis Framework to address higher energy prices due to the Middle East crisis. This framework would complement the ample possibilities for Member States to design measures in line with existing EU State aid rules, including those under the CISAF.

For more information

The non-confidential versions of today’s decisions will be made available under the case numbers SA.120414 (Bulgaria), SA.120495 (Germany), SA.120965 (Slovenia) in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved. New publications of State aid decisions on the internet and in the Official Journal are listed in the Competition Weekly e-News.