In-depth State aid investigation into Denmark’s wastewater fee system
The Commission has opened an in-depth investigation into Denmark’s degressive tariff system for the discharge and treatment of companies’ wastewater. The investigation will assess whether the model may confer an unfair advantage on companies with high water consumption.
Denmark has applied a so-called “staircase model” since 2013, under which companies discharging larger volumes of wastewater pay a lower average charge per cubic metre than smaller users. In 2018, the Commission found that the model did not constitute State aid, but that decision was annulled by the General Court in April 2024 for insufficient application of the market economy operator test. The Commission will now examine the economic rationale and selectivity of the model.
For more information, see the Commission’s PR.