31 July 2026

COMMISSION APPROVES STATE AID SCHEMES TO OFFSET FUEL COST INCREASES LINKED TO THE MIDDLE EAST CRISIS

The European Commission has approved additional national State aid schemes aimed at compensating transport operators for the sharp increase in fuel costs resulting from the ongoing crisis in the Middle East. The measures are adopted under the Middle East Crisis Temporary State Aid Framework (METSAF) introduced by the Commission on 29April 2026, which provides Member States with greater flexibility to support businesses affected by the geopolitical situation.

Luxembourg has received approval for a €54 million support scheme covering both the road and rail freight sectors. The programme provides direct grants that may compensate companies for up to 70% of the additional fuel costs incurred between 01 March and 31 December 2026. The Commission has further authorised a €300 million Italian aid scheme for the road transport sector. The measure takes the form of tax credits covering up to 70% of the additional fuel costs linked to the current crisis. It applies to fuel purchased between March and June 2026, with support available until 31 December 2026.

These are not the first aid schemes approved under the Framework. Similar measures introduced by France and Spain were already authorised by the Commission in May and June. The latest approvals demonstrate the Commission’s continued willingness to allow targeted national support measures to mitigate the economic impact of the Middle East crisis on Europe’s transport sector while preserving the integrity of the EU State aid framework.