UK MS QUESTIONS ON ART 2. DEFINITIONS

1.Under the old framework the definition of ship building covered repair and maintenance of vessels; it also exempted smaller vessels under 100gt or less than 365KW in the case of tugs. Do the definitions of ship building under the old ship building framework still apply under the new GBER and if so would it be possible to grant aid to a project that supported the refurbishment and development of infrastructure (quays, docks and workspace) to maintain and repair small vessels under the new GBER?

As shipbuilding is not defined in the RAG or in the GBER, and as RAG makes a reference to the former Framework on State Aid to Shipbuilding (OJ C 364, 14.12.2011, p. 9), we can consider the definitions given there still to be relevant. According to paragraph 12 of the Shipbuilding Framework, ‘ship repair’ means the repair or reconditioning, in the Union, of self-propelled commercial vessels. Paragraph 12 of the Framework also defines ‘self-propelled commercial vessel’. If a vessel does not fall under the definition of ‘self-propelled commercial vessel’, its repair can be eligible for regional aid under the GBER. Therefore, as long as the infrastructure is used exclusively for this type of small vessels which do not fall under the definition of ‘self-propelled commercial vessel’, investments in the infrastructure could be eligible under Article 13 GBER, unless they fall within the transport sector (including related infrastructure), which is excluded in Article 13(a) GBER.

Please note also that such aid may fall under the scope of Article 56 GBER (local infrastructure), which however excludes port infrastructure.

2.If the aided port infrastructure was also used to repair smaller fishing vessels (less than 100 gt) could the project be supported under the new GBER?

If the infrastructure is related to vessels that are smaller than the limit set by the shipbuilding definition, such infrastructure falls out of the shipbuilding definition and may be supported under the new GBER.

Please note however that, according to Article 1(3) of the GBER, the GBER does not apply to aid granted in fisheries and aquaculture sector as covered by Regulation (EU) No 1379/2013 of the European Parliament and of the Council of 11 December 2013 on the common organisation of the markets in fishery and aquaculture products. Should the aid mentioned enter in this category, the GBER is not applicable.

3.Please can you clarify if the definition of ‘transport sector’ under the new GBER covers the cruise ship sector?

The transport sector is defined in Article 2(45) of the GBER as "the transport of passengers by aircraft, maritime transport, road or rail and by inland waterway or freight transport services for hire or reward; more specifically the 'transport sector' means the following activities in terms of NACE Rev. 2:

(a)NACE 49: Land transport and transport via pipelines, excluding NACE 49.32 Taxi operation, 49.42 Removal services, 49.5 Transport via pipeline;

(b)NACE 50: Water transport;

(c)NACE 51: Air transport, excluding NACE 51.22 Space transport."

Therefore, all the activities that fall under NACE 50 code are excluded from the scope of application of regional aid under the GBER. Cruise ships would normally fall under the water transport NACE code 50 and would consequently be excluded from regional aid under the GBER.