The Competence of the Office for the Protection of Competition in the Area of State Aid

The competence of the Office for the Protection of Competition (hereinafter referred to as “the Office”) in the area of state aid is regulated by Act No. 215/2004 Coll., on the Regulation of Certain Relations in the Area of State Aid and on the Amendment of the Act on the Support of Research and Development, as amended (hereinafter referred to as “the Act”). The Office acts as the coordinating authority for all matters concerning state aid, except for the sectors of agriculture, forestry, fisheries, and aquaculture, where the Ministry of Agriculture exercises the competence of a coordinating authority. 

As the coordinating authority, the Office performs central coordination, advisory, consulting, and monitoring activities. These in particular cover:

1.      Cooperation with state aid providers prior to the notification of the state aid measures 

The Office issues advisory opinions on whether a measure constitutes state aid, whether it qualifies for an exemption from notification, or whether it must be notified to the European Commission. 

2.      Cooperation with state aid providers and the European Commission within the proceedings before the European Commission 

The Office facilitates communication between the European Commission and state aid providers, transmits notification forms, and issues advisory opinions. 

Proceedings before the European Commission typically concern notified state aid, unlawful state aid, misuse of aid, and existing aid schemes. 

3.      Management of de minimis register and coordination of Transparency Award Module system on the national level 

4.      Submission of the annual report to the European Commission on state aid granted  by the providers in the Czech Republic 

5.      Representation of the Czech Republic in discussions and preparations of EU legislation concerning state aid.  

Following the Czech Republic’s accession to the European Union, the Office no longer holds decision-making authority in state aid matters, as this competence was transferred to the European Commission. However, the Office retains decision-making powers in relation to administrative offence proceedings under the Act, in particular imposing fines for late entries in the de minimis aid register.