8.2.2001 Official Journal of the European Communities L 38/33 COMMISSION COMMISSION DECISION of 19 July 2000 on State aid granted by Austria to Lenzing Lyocell GmbH & Co KG (notified under document number C(2000) 2454) (Only the German text is authentic) (Text with EEA relevance) (2001/102/EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, and in particular the first subparagraph of Article 88(2) thereof, Having regard to the Agreement on the European Economic Area, and in particular Article 62(1)(a) thereof, Having called on interested parties to submit their comments pursuant to the provisions cited above (') and having regard to their comments, Whereas: 1. PROCEDURE AND BACKGROUND In several letters and at various meetings in 1994 and 1995, Austria informed the EFTA Surveillance Authority and the Commission that it intended to grant State aid to the company Lenzing Lyocell GmbH & Co KG, Heili- genkreuz (LLG). LLG forms part of the Austrian Lenzing Group, one of the world's largest producers of viscose fibres. Beginning in 1995, LLG established a new production plant at the Business Park Heiligenkreuz- Szentgotthard (Business Park) to manufacture Lyocell, a new type of man-made staple fibre, produced from natural cellulose in wood pulp. Only Lenzing AG and the British chemicals group Courtaulds plc (?) have patent rights to produce this fibre. The Business Park is a cross-border project between Austria and Hungary. LLG is situated in the Province of Burgenland, Austria's only Article 87(3)(a) region. Investment costs amounted to EUR 138 million. () O] C 9, 13.1.1999, p. 6. () In July 1998 Courtaulds plc became part of Akzo Nobel, an inter- national pharmaceuticals, coatings, chemicals and fibres company based in the Netherlands. () Austria intended to provide investment aid of up to 40 % of eligible costs on the basis of the previously approved regional aid scheme N 589/95. In response to Austria's written request of 30 August 1995, the Commission informed Austria by letter of 5 October 1995 that if grants were provided under this approved regional scheme, no individual notification would be required. The Commission also reminded Austria that it had to inform the Commission in due time before providing any State guarantees. By letter dated 21 April 1997, Austria forwarded to the Commission application forms for ERDF co-financing on two large-scale investment projects at the Business Park, carried out by the companies Business Park Heili- genkreuz (BPH) and Wirtschaftspark Heiligenkreuz Servicegesellschaft mbH (WHS). In these documents, Austria stated that the interest of LLG had had an important impact on the development activities in the Business Park by BPH. Furthermore, Austria stated that WHS would invest in a utility centre to provide basic process utilities, such as electricity, process steam, fresh water, cooling water, compressed air, and waste-water treatment primarily to LLG. Austria also indicated that the Province of Burgenland would have to provide grants to WHS to cover expected negative cash flows resulting from the supply of infrastructure service at prices guaranteed over a period of 30 years. The Commission started to re-investigate the case and informed Austria by letter dated 23 December 1997 that it had transferred the case to the NN-register for non- notified State aid. Further meetings and correspondence failed to clarify the Commission's concerns. Austria argued that a number of aid measures would be covered by approved or existing aid schemes.