Press Release: State aid: The Commission approves Swedish €10 million aid for R&D project

The European Commission has authorised under EU state aid rules a support of SEK 90 million (approximately €9.8 million) that Sweden intends to grant to the LignoBoost research and development (R&D) project. Södra Cell AB, a Swedish pulp producer, will develop a demonstration plant for the production of chemical grade lignin from pulp mill residue material. The Commission concluded that the project is compatible with the EU Framework on State aid for research, development and innovation (R&D&I). In particular, the aid aims at tackling a market failure and generates positive effects for the EU, notably increased research activities and environmental protection.