National Promotional Banks (NPBs) and State Aid

• Jurisdiction: European Union
• Year: 2025

Speaker

Jacques Derenne is Head of EU Competition & Regulatory at Sheppard Mullin, and a member of the Brussels and Paris Bars. With over 35 years of experience, he advises on all aspects of EU competition law—including mergers, cartels, abuses of dominance, and State aid—as well as EU regulatory matters in sectors such as energy, telecoms, transport, and postal services. Jacques regularly represents clients before the European Commission, EU courts, national competition authorities, and regulatory bodies across Europe.

He has acted in landmark EU litigation for clients including Air France-KLM, EDF, Philip Morris International, and the European Commission. A leading expert in State aid, Jacques co-authored key studies for the Commission that helped shape its enforcement notices.

Beyond his practice, Jacques teaches State aid law at the University of Liège and the Brussels School of Competition. He is a founding member of the Global Competition Law Centre and holds degrees from the University of Liège and the College of Europe.

Topic

Jacques Derenne’s presentation at the ERA Annual Conference on European State Aid Law 2024 explores the role of National Promotional Banks (NPBs) in the EU and their relationship with State aid rules. The presentation provides an in-depth analysis of how NPBs, such as KfW (Germany), Bpifrance (France), and CDP (Italy), aim to correct market failures and foster investment, particularly in areas like infrastructure, SMEs, and the green transition.

A key focus is the Market Economy Operator Principle (MEOP), which determines whether public investments by NPBs confer an economic advantage and thus qualify as State aid under Article 107(1) TFEU. Derenne examines challenges arising from location clauses and public policy conditions that may “pollute” a MEOP-compliant investment, affecting its market conformity.

The presentation also addresses the interplay between State aid rules and investment mechanisms such as InvestEU, clarifying when support through NPBs may be exempted under the General Block Exemption Regulation (GBER). Additionally, Derenne outlines the role of national courts in safeguarding the rights of third parties in cases of...