Division 3 Appropriateness of the aidF1

United Kingdom Repealed

1. 1Please explain why State aid is the appropriate instrument rather than other policy instruments (non-State aid instruments) or the full implementation of the ‘polluter pays priciple’ (see points 41 – 44 of the EEAG).
2. 2Please explain why the State aid instrument selected is deemed to be the most appropriate State aid instrument to address the policy objective concerned and why it is likely to generate the least distortions of trade and competition in comparison with other State aid instruments (see point 45 – 48 of the EEAG).
3. 3In the case of generation adequacy please confirm and explain that the aid is remuneration purely for availability in accordance with point 225 of the EEAG. Please also describe how the measure provides adequate incentives to both existing and future generators and to operators using substitutable technologies, such as demand-side response or storage solutions (such as allowing for different lead times to allow different technologies) in accordance with point 226 of the EEAG. Please explain to what extent interconnection capacity could remedy any possible problem of generation adequacy (as stated in point 226 of the EEAG).