27.8.2009 Official Journal of the European Union L 225/53 COMMISSION DECISION of 4 June 2008 on the State aid C 41/05 awarded by Hungary through Power Purchase Agreements (notified under document C(2008) 2223) (Only the Hungarian text is authentic) (Text with EEA relevance) (2009/609/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 those comments, Whereas 1. PROCEDURE (1) By letter dated 31 March 2004, registered on the same day, the Hungarian authorities notified the Commission of Government Decree 183/2002 (VIIL.23) (?) under the procedure referred to in Annex IV, paragraph 3, subparagraph 1(c) to the Treaty of Accession of the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia to the European Union (interim procedure). The notified Decree provides for a system of compensation of the costs borne by the State-owned electricity wholesaler (koziizemi  nagykereskedelmi ~ engedélyes), the company Magyar Villamos Mtivek Zrt. (hereinafter referred to as MVM). The Commission registered the notification under State aid case number HU 1/04. (2) A number of official letters were exchanged between the Hungarian authorities and the Commission concerning the measure (}). The Commission also received comments from third parties (¥). In the course of the interim procedure, the Commission discovered that the Hungarian electricity wholesale market was essentially structured around long-term Power Purchase Agreements (hereinafter referred to as PPAs) between MVM and () OJ C 324, 21.12.2005, p. 12. () Government Decree 183/2002 (VIIL.23) on the detailed rules for the definition and management of stranded costs. (®) Letters of the Hungarian authorities dated 4 June 2004, registered on the same day and 20 October 2004, registered on 21 October 2004. () Letter dated 21 December 2004 from the power generator AES- Tisza Erémd Kft. certain power generators. Based on the information available to it at that time, the Commission suspected that the PPAs contained unlawful State aid elements. (3) By letter dated 13 April 2005, registered on 15 April 2005, the Hungarian authorities withdrew the notifi- cation of Government Decree 183/2002. On 4 May 2005, in line with Council Regulation (EC) No 659/1999 of 22 March 1999 laying down detailed rules for the application of Article 93 of the EC Treaty (°), (hereinafter the ‘Procedural Regulation’) the Commission registered a State aid file on its own initiative (case number NN 49/05) concerning the PPAs. (4) By letter dated 24 May 2005 (D/54013), the Commission requested additional information from the Hungarian authorities. The reply, dated 20 July 2005, was registered by the Commission on 25 July 2005. Further information was provided by the Hungarian authorities by letter dated 28 September 2005, registered on 30 September 2005. (5) By letter dated 9 November 2005, the Commission informed Hungary that it had decided to open the procedure laid down in Article 88(2) of the EC Treaty in respect of the PPAs (hereinafter referred to as the ‘Opening Decision’). The Opening Decision was published in the Official Journal of the European Union (°). (6)  In the Opening Decision, the Commission expressed its doubts as to the compatibility of the PPAs with the common market and called on interested parties to submit their comments. (7)  Following a request for an extension of the deadline for comments, accepted by the Commission (’), Hungary submitted its comments on the Opening Decision on 31 January 2006, registered by the Commission on 1 February 2006. () O] L 83, 27.3.1999, p. 1. () O] C 324, 21.12.2005, p 12. (7) Request of 14 December 2005 accepted by the Commission on 20 December 2005.