Commission Opens In-Depth Investigation into Arbitration Award Ordering Bulgaria to Compensate ACF
The Commission has opened an in-depth investigation to assess whether an arbitration award ordering Bulgaria to pay compensation to ACF Renewable Energy Limited complies with EU State aid rules. The award, issued in January 2024, concerns compensation for changes Bulgaria made to its renewable electricity support scheme originally introduced in 2011. Bulgaria notified the award to the Commission but has not paid the compensation, which amounts to EUR 61.04 million plus interest.
At this preliminary stage, the Commission considers that the arbitration award and its implementation may constitute incompatible State aid under Article 107(1) Treaty on the Functioning of the EU (‘TFEU’). The Commission will also examine whether the measure breaches other provisions of EU law, notably in the context of an intra-EU dispute. In particular, the investigation will assess the potential breach of Article 19(1) of the Treaty on European Union (‘TEU’), Articles 267 and 344 TFEU, regarding the exclusive jurisdiction of the Court of Justice of the European Union.
With the opening of the investigation, the Commission invites interested third parties to submit comments.
For more information, see the Commission’s PR .