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Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure BE-2023-17/3202 – measures in Belgium

Energy support for enterprises

Energiesteun voor ondernemingen

Country Belgium , applies regionally
Time period Temporary, 24 April 2023 – 30 June 2023
Context War in Ukraine, Cost of Living Crisis
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Support for energy bills
Author Dries Van Herreweghe (Katholieke Universiteit Leuven) and Eurofound
Measure added 05 June 2023 (updated 26 April 2024)

Background information

Energy support enterprises are a partial intervention in energy costs for companies that faced rising energy costs in the first quarter of 2023. This aid provides continuity to healthy companies that faced EBITDA declines and prevents them from going bankrupt.

This measures is part of one of the promises of the Flemish government. In December, the Jambon government approved the support mechanism.

Content of measure

In total, the government will provide €250 million, divided into two allotments for this measure.

Strict conditions apply to qualify for this energy support measure. For instance, the company with an EBITDA decline will have to prove that it was sufficiently healthy before the crisis. The company needs to show that in the first quarter of 2023 it had an EBITDA decline of at least 50% compared to the benchmark EBITDA or suffered an operating loss due to the energy crisis.

Companies that had an energy cost per unit (kWh) of natural gas or electricity in the first quarter of 2023 that exceeds the average energy cost in the reference period, plus 50%, are eligible.

They must also have had at least €7,500 in natural gas and/or electricity costs at their Flemish sites in 2021. If the company was established between 1 January 2021 and 30 September 2021, the minimum energy expenses are calculated pro rata for the calendar year 2021.

Companies entitled to the support can be reimbursed up to 25% to 35% of eligible additional costs for natural gas and electricity.

Energy-intensive enterprises are eligible for increased aid. An enterprise is considered energy-intensive if the total energy costs for natural gas and electricity, including all costs and charges, in 2021 exceeded 3% of turnover in that year.

Use of measure

No data available.

Target groups

Workers Businesses Citizens
Does not apply to workers Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
Company / Companies
Regional funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Unknown Unknown
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • Unknown
  • Main level of involvement: N/A

Involvement

No information on social partner involvement

Views and reactions

No public statements on the specific measure by the employers' organisations. However, in general they are clear proponents of support measures for companies due to the recent increases in cost.

Sources

Citation

Eurofound (2023), Energy support for enterprises, measure BE-2023-17/3202 (measures in Belgium), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/BE-2023-17_3202.html

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