Carcassone airport funding to be investigated under EU state aid rules

The European Commission has opened an in-depth investigation into Carcassone airport’s funding arrangements with France and marketing agreements between the airport and Ryanair. Carcassonne is owned by the Languedoc-Roussillon region. Until May 2011, the airport was operated by the local Chamber of Commerce; it is now operated by Veolia Transport.

The Commission is concerned with public subsidies awarded to the Chamber of Commerce between 2000 and 2010. The subsidies went toward airport infrastructure and amounted to at least 11 million euros. The Commission is also looking into 8 million euros in support measures for the Chamber of Commerce’s operating costs. The public subsidies and support measures may have violated EU state aid rules. Measures granted to Veolia Transport and Languedoc-Roussillon’s financing will be examined as well.

Moreover, the Commission is to determine if airport operators and Ryannair’s agreements were made on market terms.

Full content: EC Press Release

Related content: The Current Financial Crisis and State Aid in the European Union: Has It Been Timely and Appropriate? (Abel Mateus, University College London)