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State Aid

State aid: Norway made changes to the financing of the Analysis Centre Trondheim

25.2.2015

PR(15)06

Following a proposal by the EFTA Surveillance Authority, the Municipality of Trondheim, Norway, has implemented measures to ensure that the financing of its Analysis Centre complies with the state aid rules of the EEA Agreement. Therefore, the Authority decided today to close the case.

The Analysis Centre is owned and financed by the municipality and tasked with monitoring the municipal water supply system, as well as shellfish production for the Food Safety Authority. However, it also provides laboratory services to customers on a market where there are already private operators.

To ensure compliance with the state aid rules, the Authority proposed several measures in March 2013 (see press release). Norway accepted the proposal and implemented the following changes in the course of 2014:

  • The establishment of a separate legal entity, LabTjenester AS, to handle the sales and marketing activities previously carried out by the Analysis Centre. LabTjenester AS is subject to regular business taxation rules.

  • New procedures ensuring that no cross-subsidisation takes place between the Analysis Centre and LabTjenester AS. This is achieved through the application of a full cost calculation method, ensuring not only that LabTjenester AS reimburses the full costs to the Analysis Centre for the laboratory services it procures, but also pays a market-based calculated rent for the premises it occupies, and covers the full costs for the collective services it enjoys.

  • The assurance that the agreements concluded by LabTjenester AS, as of 1 January 2015, are based on prices covering the full costs relating to the laboratory services procured from the Analysis Centre, with the addition of an amount to cover LabTjenester AS's administrative costs as well as a reasonable profit.   

In its decision today, the Authority recorded the measures taken by the Norwegian authorities and decided to close the case.

A non-confidential version of the decision will be published in the register of state aid decisions on the Authority's website, normally within a month.

 

For further information, please contact:

Andreas Kjeldsberg Pihl
Press and Information Officer
(+32) 2  286 18 66




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