Just Developmental Transition – Development Law 4887/2022

The project

Purpose of this scheme is to support investment projects carried out in the areas of Territorial Fair Transition Plans (E.S.D.I.M.) accompanying the Fair Development Transition Programme (CEMR), with the aim of enabling these regions to address the social, labour, economic and environmental impacts of the transition to a climate-neutral economy and to achieve balanced and sustainable development.

Who it concerns

The scheme applies to investment projects which are implemented in the regions of the SIFs and fall under the following activities of Article 8 of Regulation 2021/1056 of the European Parliament and of the Council of 24 June 2021 establishing the Fair Transition Fund:
(α) παραγωγικές επενδύσεις σε ΜΜΕ, συμπεριλαμβανομένων των πολύ μικρών επιχειρήσεων και των νεοφυών επιχειρήσεων, που οδηγούν σε οικονομική διαφοροποίηση, εκσυγχρονισμό και μετατροπή·
(β) επενδύσεις στην ίδρυση νέων επιχειρήσεων που οδηγούν στη δημιουργία θέσεων εργασίας·
(γ) επενδύσεις σε δραστηριότητες έρευνας και καινοτομίας και επενδύσεις προώθησης της μεταφοράς προηγμένων τεχνολογιών·
(δ) επενδύσεις στην ανάπτυξη τεχνολογίας, καθώς και σε συστήματα και υποδομές για οικονομικά προσιτή καθαρή ενέργεια, συμπεριλαμβανομένων τεχνολογιών αποθήκευσης ενέργειας, και επενδύσεις που συμβάλλουν στη μείωση των εκπομπών αερίων του θερμοκηπίου·
(ε) επενδύσεις στην ενέργεια από ανανεώσιμες πηγές σύμφωνα με την Οδηγία (ΕΕ) 2018/2001 του Ευρωπαϊκού Κοινοβουλίου και του Συμβουλίου, συμπεριλαμβανομένων των κριτηρίων αειφορίας που καθορίζονται σε αυτήν και στην ενεργειακή απόδοση·
(στ) επενδύσεις στην ψηφιακή καινοτομία και την ψηφιακή συνδεσιμότητα·
(ζ) επενδύσεις στην ενίσχυση της κυκλικής οικονομίας, μεταξύ άλλων μέσω της πρόληψης και της μείωσης αποβλήτων, μέσω της αποδοτικής χρήσης των πόρων, της επαναχρησιμοποίησης, της επισκευής και της ανακύκλωσης

Investment projects must have the integrated character of an initial investment.

This scheme may also cover investment projects that do not meet the condition of the integrated character of the initial investment if they include expenditure falling within the following categories of expenditure:

a. δαπάνες για έρευνα, ανάπτυξη και καινοτομία,
b. δαπάνες για την προστασία του περιβάλλοντος,
c. δαπάνες για επαγγελματική κατάρτιση,
d. δαπάνες ενισχύσεων προς ΜμΕ,
e. δαπάνες για συμβουλευτικές υπηρεσίες προς ΜμΕ
f. δαπάνες για καινοτομία στις ΜμΕ
G. δαπάνες για διαδικαστική και οργανωτική καινοτομία για ΜμΕ και Μεγάλες Επιχειρήσεις
H. δαπάνες για μέτρα ενεργειακής απόδοσης
I. δαπάνες για ανακύκλωση και επαναχρησιμοποίηση αποβλήτων
J. δαπάνες για τη συμπαραγωγή ενέργειας υψηλής απόδοσης από Ανανεώσιμες Πηγές Ενέργειας (Α.Π.Ε.) και την παραγωγή ενέργειας από Ανανεώσιμες Πηγές
K. τις δαπάνες για αποκατάσταση μολυσμένων χώρων

Επιλέξιμες επιχειρήσεις

Επιλέξιμες για το καθεστώς, Δίκαιη Αναπτυξιακή Μετάβαση, είναι οι επιχειρήσεις που είναι εγκατεστημένες ή έχουν υποκατάστημα στην ελληνική επικράτεια κατά τη χρονική στιγμή έναρξης εργασιών του επενδυτικού σχεδίου και έχουν μία από τις ακόλουθες μορφές:

• trading company,
• cooperative,
• Social Cooperative Enterprises (SPs) of 4430/2016 (A 2015)), Agricultural Cooperatives (AC), Producer Groups (POs), Agricultural Corporate Partnerships (ACPs) of Law 4384/2016 (A 78),
• companies being formed or merged, with the obligation to have completed the disclosure procedures before the start of work on the investment project,
• joint ventures engaged in commercial activity
• public and municipal enterprises and their subsidiaries, provided that:
  • they are not entrusted with the service of a public purpose,
  • they are not exclusively entrusted by the State with the provision of services,
  • δεν επιχορηγείται η λειτουργία τους με δημόσιους πόρους για το διάστημα τήρησης των
    μακροχρόνιων υποχρεώσεων του άρθρου 22.

Μη επιλέξιμες επιχειρήσεις

The following are not eligible and are excluded from aid under this scheme:

• enterprizes, undertakings which are subject to pending aid recovery proceedings at the time of the submission of the investment project application (Deggendorf principle),
• firms in difficulty, as defined in paragraph 18 of Article 2 of the General Tax Code (Article 1(4)(c) of the General Tax Code),
• businesses που κατά τα δύο (2) έτη πριν από την υποβολή της αίτησης για ενίσχυση έχουν προβεί σε μετεγκατάσταση στην επιχειρηματική εγκατάσταση στην οποία θα πραγματοποιηθεί η αρχική επένδυση και για την οποία ζητείται η ενίσχυση ή δεν δεσμεύονται ότι δεν θα το πράξουν μέσα σε περίοδο δύο (2) ετών μετά την ολοκλήρωση της αρχικής επένδυσης για την οποία ζητείται η ενίσχυση,
• enterprises implementing investment projects carried out on the initiative and on behalf of the State, on the basis of a relevant contract for the execution of a project, concession or provision of services.

Program budget

The entity's participation in the total eligible costs of the investment project may be made either through own funds or external financing, provided that twenty-five percent (25%) of it does not contain any state aid, public support or benefit (Article 14(14) G.A.K.).

The same participation can also consist of external funding. The alternative ways to cover equity are:

• Increase in share or company capital from new cash contributions
• Capitalization of existing taxable reserves and retained earnings
• Use of existing taxable reserves and retained earnings
• Asset disposal
• Bank loan

Amount of subsidy

The minimum eligible investment project size for the inclusion of investment projects in the Fair Development Transition aid scheme is defined on the basis of the size of the entity, i.e:

• major enterprises, in the amount of one million (1.000.000) euros
• Medium enterprises, in the amount of five hundred thousand (500.000) euros
• small enterprises, in the amount of two hundred and fifty thousand (250.000) euros
• very small enterprises, in the amount of one hundred thousand (100.000) euros
• for the Social Cooperative Enterprises (JVs) of Law 4430/2016 (A'205), as well as the Agricultural Cooperatives (AC), the Producer Groups (POs) and the Agricultural Corporate Partnerships (ACPs) of Law. 4384/2016 (A' 78) in the amount of fifty thousand (50,000) euros.

Types of aid

• Tax exemption
• Subsidy
• Leasing subsidy
• Subsidization of the cost of employment created

 
For medium and large enterprises the aid includes all the above incentives except the grant.

The aid rates for the eligible costs of the initial investment may be granted up to the maximum aid intensities laid down in the Regional Aid Map

The aid rates for the eligible costs of non-regional aid for investment projects may be granted up to the maximum rate of the GGE, as specified in the decision to advertise the scheme.

Operators of investment projects covered by this scheme are entitled to use the fast-track authorisation procedure through the General Directorate for Strategic Investments of the Ministry of Development and Investment , as provided for in Article 9 of Law No. 4864/2021 (A' 237) for the attraction of strategic investments, without the procedures foreseen in this law.

Restrictions

• The total amount of aid per submitted investment project under the Fair Development Transition aid scheme can reach up to EUR 10.000.000
• The aid granted to each body, including aid to cooperating or associated enterprises may not exceed a cumulative total of 20 million euro. euros for an individual enterprise, and 30 million. euros for all related and cooperating undertakings, subject to the restrictions laid down in Article 4 of the General Tax Code. 

These restrictions shall apply to investment projects subject to the provisions of this and for a period of three (3) years from the date of the entity's application for inclusion of its investment project.

Expenses subsidized

 
The investment projects covered herein may receive aid for eligible costs:

• Regional in nature for initial investment, either independently or in combination with non-regional aid from the other sections of the G.A.K. and other European Union Regulations or
• exclusively non-regional from the other sections of the GAC and other European Union Regulations, to the schemes provided for in Part B.

Regional investment aid

Regional aid is granted in accordance with the Regional Aid Charter for:

• Initial investment:
  • The investment in tangible and intangible assets in connection with the creation of a new business establishment, the expansion of the capacity of an existing business establishment, the diversification of the production of a business establishment into products that have never been produced in it, or the fundamental change of the entire production process of an existing business establishment.
  • The acquisition of assets belonging to a business establishment that has closed or would have closed had it not been purchased and which is purchased by an investor unrelated to the seller and excludes a simple acquisition of the shares of a business.
• Initial investment for new economic activity:
  • The investment in tangible and intangible assets related to the creation of a new business establishment, or the diversification of the business establishment's activity, provided that the new activity is not the same or similar to that previously carried out in the establishment.
  • The acquisition of the assets belonging to a closed business establishment which is purchased by an investor unrelated to the seller, provided that the new activity to be carried on using the acquired assets is not the same or similar to that practiced in the business establishment prior to the purchase.

Eligible expenditure for regional aid

Tangible assets

• Construction, expansion, modernization of building facilities and special and auxiliary building facilities and the shaping of the surrounding area. Aggregate may not exceed 45% of the total eligible costs.

  For investment projects in the tourism sector, the rate is set at 60% for building costs, for investments in the logistics sector in 70% also for the building costs of these investment projects, while for investment projects for plant production in greenhouses the rate is 60%. Finally, for buildings that are classified as listed buildings, this coefficient amounts to 80%.

• Purchase of all or part of the existing fixed assets, such as buildings, machinery and other business establishment equipment, under the following conditions, which must be cumulative:
  • the business establishment is closed,
  • the purchase is made by the entity of the investment plan, which is not related to the seller of the business establishment of approx. i unless it is a small business, which is acquired by an employee of the original owner,
  • the relevant transaction is carried out under normal market conditions. The cost of assets which have previously been granted or subsidized through development laws or other aid schemes prior to their purchase shall be deducted from such eligible expenditure.
• Purchase and installation of new modern machinery and other equipment, technical installations and means of transport that move within the area of ​​the integrated unit
• Leases for financial leasing of new modern machinery and other equipment
• Modernization of special non-building facilities and mechanical facilities

Intangible assets

• Transfer of technology, purchase of intellectual property rights, licenses, patents, know-how and unproprietary know-how
• Quality assurance systems, certifications, software supply and installation and business organization systems

 
For large enterprises, the aided expenditure on intangible assets may not exceed thirty percent (30%) of the total aided regional aid expenditure. For SMEs the maximum percentage is fifty percent (50%).

Wage cost

The wage costs of new jobs created as a result of the implementation of the investment plan are subsidized, calculated for a period of two (2) years from the creation of each position.

Conditions for wage cost support

1. Mandatory a net increase in the number of Annual Work Units (AWUs) compared to the AWUs of the previous 12 months from the date of submission of the application for membership
2. The filling of jobs should be within 3 years from the date of completion and start of production operation
3. Each job created through the investment is maintained in the assisted establishment concerned for a period of at least five (5) years for large enterprises, at least four (4) years for medium-sized enterprises and at least three (3) years for small enterprises, from the date of first occupation.

Eligible expenditure other than regional aid:

• Consultancy fees for SMEs
  Only for new small and medium-sized enterprises and up to €50,000 (up to 5% of total eligible costs)
• Expenses for research and development projects (expenses for personnel, buildings, instruments, equipment, etc.)
• Innovation expenditure for SMEs
  They concern a budget of up to 20% of the total supported costs and up to 200.000 EUR
• Expenditure on procedural and organisational innovation
  They concern a budget of up to 10% of the total supported costs and up to 100,000 euros
• Expenditures for the protection of the environment
• Investment costs for energy efficiency measures
• Investment costs for co-production of high efficiency energy from RES
• Costs for remediation of contaminated sites
• Costs for waste recycling and reuse
• Vocational training expenses

Important dates

Expected

Necessary supporting documents for submission

Expected