Memo: State aid: Commissioner Kroes discusses Polish shipyard subsidies with Polish Prime Minister

European Commissioner for competition, Neelie Kroes, and Polish Prime Minister, Jaroslaw Kaczynski, met in Brussels on 18 April 2007 to discuss the current state of play as regards the European Commission's investigation into subsidies to the shipyards at Gdynia, Gdansk and Szczecin (see IP/05/644). Commissioner Kroes underlined that state aid, including the write-off of public debt, can only be approved as part of a package including restructuring plans to ensure restoration of long-term viability, a significant private sector contribution to the restructuring costs and capacity reductions to limit the distortions of competition created by the aid. The Prime Minister and Commissioner Kroes agreed that contacts on the issue between the Commission and the Polish authorities would continue with a view to reaching a satisfactory outcome as soon as possible. In particular, it was agreed that Commissioner Kroes would meet with the Polish Economic Affairs Minister Piotr Wozniak in Brussels within the next few weeks.