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Article 106 TFEU : control of public undertakings - Coggle Diagram
Article 106 TFEU : control of public undertakings
Art 106 (1) TFEU
APPLIES TO
PUBLIC UNDERTAKINGS
Undertakings to whom the State has entrusted special case exclusive rights
imposes positive obligation on MS to remove measures contrary to Art 86 EC
difficult interplay w/ Art 102 TFEU
may be relied upon in national court proceedings so long as the other treaty art is directly effective
National court may determine whether a body is an SGEI undertaking
Art 86 (2) may also be applied by the national courts though it's NOT certain that a national court may apply the proviso under Art 106 (2) TFEU
Art 106 (3) TFEU
designates Commission as sole legislator under Art 106 TFEU
ECJ has shown deference to Commission in exercise of its discretion to legislate
Art 106 (2) TFEU
excludes application of Art 106 TFEU where liable to obstruct SGEI
exception interpreted strictly
easier to satisfy where SGEI is assigned exclusive rights but must accept unprofitable service obligations
exception subject to proviso that development of trade would not be affected to such an extent as would be contrary to interests of the EU
Undertaking entrusted w/ operation of SGEI (services of good economic interest) subject to Treaty
seeks to strike a balance between allowing state to play in market plan + ensure competition condition of market are not distorted.
Lisbon Treaty 2 major amendments
Protocol no 26 on Service of General Interest
Amendment of Art 14 TFEU