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Database of national-level policy measures

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 GR-2023-29/3292 – measures in Greece

State aid measures for fire-stricken areas

Μέτρα κρατικής αρωγής για τις πυρόπληκτες περιοχές.

Country Greece , applies nationwide
Time period Open ended, started on 21 July 2023
Context Extreme Weather Events
Type Other initiatives or policies
Category Measures to prevent social hardship
– Other humanitarian measures
Author Penny Georgiadou (INE GSEE)
Measure added 17 October 2023 (updated 25 April 2024)

Background information

During the summer of 2023, due to adverse weather conditions, including stormy winds and high temperatures, hundreds of wildfires occurred throughout Greece. These fires have burned over 1,800,000 acres as of 2 September 2023. 28 people lost their lives, with the most devastating incidents occurring in the Dadia area of Evros (from 19 August to 4 September) and on the island of Rhodes (from 18th July to 2nd August). On the European level, Greece suffered the most substantial damages, with an estimated cost of €1.66 billion.

In response to this crisis, the Ministry of Climate Crisis and Civil Protection activated a framework of state aid on 21 July 2023, to support the affected areas. This assistance program involves collaboration with the Ministries of Finance, Interior, Labour and Social Security, as well as the Independent Authority for Public Revenue.

Content of measure

The government measures activated on 21 July 2023 for the affected areas by the wildfires include:

  • Housing Assistance, through the “arogi.gov.gr.” platform, for the restoration of the unsafe or unsuitable for use buildings, up to €10,000.
  • Building Restoration, via free assistance (80%) and interest-free loans (20%) for property owners to repair or reconstruct buildings up to 150 sq.m.
  • Rent Subsidies, from €300 to €500 for temporary housing for those affected by the fires.
  • First Aid for Businesses, ranging from €2,000 to €4,000, through the arogi.gov.gr platform to address damages.
  • Prepayment Against Total Subsidy, of 20% of the estimated damage to businesses and agricultural holdings, in addition to the first aid.
  • Final Subsidy for Businesses, after calculating the above two subsidies, to cover damages, including machinery, raw materials, goods, and damaged vehicles.
  • Household Reconstruction Compensation from €600 to €6,000 per household.
  • Suspension of Tax Obligations for six months for both businesses and individuals.
  • Suspension of Compulsory Enforcement, for six months, against the mobile and immobile property of businesses and individuals.
  • Three-Year Exemption from Property Tax (ENFIA) for buildings deemed unsafe or temporarily unsuitable for use.
  • Regulation and payment Suspension of Social Security Contributions for businesses for six months.
  • Suspension of Employment Contracts and a €534 allowance to employees of affected businesses for three months.
  • Emergency Funding for Local Authorities to cover damages to networks and infrastructure.

Use of measure

According to an announcement by the Government Committee for State Aid, by 21 September 2023, a total of €1,689,563 was disbursed as initial aid payments to those affected by the wildfires that occurred during the summer in various regions of the country.

Furthermore, on the arogi.gov.gr platform, 987 finalized and 326 provisional aid applications were submitted by the affected of the July and August 2023 wildfires, including households, businesses, and farmers.

Also, until 22 November 2023, the Ministry of Labor had made three payments to employees whose employment contracts were suspended due to fires and floods. The beneficiaries received the special purpose compensation (€534 per month) as follows: On 10 November 2023, €1,540,608.00 was granted for special purpose compensation, covering a total of 4,528 payments to employees of businesses affected by fires for the months of July, August, and September 2023, as well as to beneficiaries of businesses affected by floods for September 2023. On 17 November 12023, €957,216.00 was granted for 2,153 payments to employees of businesses affected by fires and floods for the month of October 2023. On 22 November 2023, an additional €669,438.00 was provided to beneficiaries who were on suspension and had not received the relevant compensation with the first payments, in the regions of Thessaly and the South Aegean.

Target groups

Workers Businesses Citizens
Other groups of workers
Other businesses
Other groups of citizens

Actors and funding

Actors Funding
National government
Company / Companies
Local / regional government
National funds

Social partners

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

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

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

  • No involvement
  • Main level of involvement: N/A

Involvement

There is no involvement of social partners

Views and reactions

The Labour Centre of Rhodes with a letter adressed to the Prime Minister on 1 August 2023 and other competent authorities made additional proposals and requests for taking measures to support workers and businesses affected by the summer wildfires.

Sources

  • 21 July 2023: Μέτρα πλαισίου κρατικής βοηθειας για τη στήριξη πυρόπληκτων περιοχών 202 (www.government.gov.gr)
  • 01 August 2023: Τα μέτρα που ζητά το Εργατικό Κέντρο Ρόδου για τους πυρόπληκτους εργαζόμενου (rodosreport.gr)
  • 24 September 2023: Δελτίο Τύπου Κυβερνητικής Επιτροπής Κρατικής Αρωγής (arogi.gov.gr)
  • 27 November 2023: Υπουργείο Εργασίας.Συμπληρωματική αποζημίωση για πυρόπληκτους και πλημμυροπαθείς (www.insurancedaily.gr)

Citation

Eurofound (2023), State aid measures for fire-stricken areas , measure GR-2023-29/3292 (measures in Greece), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/GR-2023-29_3292.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.