The Competition Council developed the Instruction on the concept of state aid. The document was published and entered into force. It will be valid until Moldova’s accession to the EU. Then the Instruction will cease to be in force.
The only criterion is economic activity
According to its provisions, the only criterion for classifying an entity as an enterprise may be its economic activity, its offer on the market of goods and services, regardless of its legal form, form of ownership or institutional status.
In this sense, an association or a sports club, for example, can also be categorized as a recipient of state aid, provided it meets the requirements.
At the same time, non-profit organizations that do not carry out economic activities cannot be beneficiaries of state support. And an entity that carries out both economic and non-economic activities is considered an enterprise only with regard to the first activity.
The instruction defines the forms of assistance. It is support provided directly or indirectly from public funds related to the public sector or administrative-territorial unit.
The document also regulates the cases when resources from other sources of funding can be attributed to state aid. It also includes the concept of selectivity of support measures (tax, material, regional), assessment of the impact of state support on trade and competition, etc.
The new provisions entered into force on the day of publication, except for the norms regulating the impact of state aid on trade with the EU and public financing of infrastructure. They will apply from January 1, 2027.
