31.12. 94 Official Journal of the European Communities No L 384/23 - COMMISSION DECISION of 13 December 1994 authorizing the grant by the United Kingdom of aid to the coal industry (Only the English text is authentic) (Text with EEA relevance) (94/1042/ECSC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Coal and Steel Community. Having .regard to Commission Decision No 2064/86/ECSC of 30 June 1986 establishing Community rules for State aid to the coal industry (), Whereas: By letters of 26 September 1994 and of 15 November 1994, the United Kingdom notified the Commission, in conformity with Article 9 (2) of Decision No 2064/86/ECSC, of financial measures it has taken in respect of the coal industry during the period 1986 to 1993. The following aid is submitted for the approval of the Commission pursuant to Decision No 2064/86/ECSC: — 1390000 pounds sterling to the private coal mining industry in the form of investment grants for the development of mines for the period 1986 to 1993. Since the decision to grant the investment aid was taken prior to the 1 January 1994, the measure planned by the United Kingdom to support the coal industry complies with Article 1 (1) of Decision No 2064/86/ECSC. Consequently, pursuant to Article 10 thereof the Commission must determine whether the measure is compatible with the objectives and criteria laid down in that Decision and the proper functioning of the common market. 1I Under the terms of the Coal Industry Nationalization Act 1946, coal mining in the United Kingdom has been the () O] No L 177, 1. 7. 1986, p. 1. responsibility of the State-owned National Coal Board and of its successor, the British Coal Corporation. Nevertheless, under Section 36 of the abovementioned Act, coal mining was permitted by the private sector under strict licensing arrangements with the British Coal Corporation. The private coal mining sector in the United Kingdom has therefore been relatively restricted, consisting of very small drift mines or opencast sites generally situated in regions with economic difficulties and with high levels of unemployment. Total private sector coal production has historically been of the order of 3 % of the total UK output. In 1984 the United Kingdom notified to the Commission amendments to the Regional Selective Assistance Scheme, which were approved by the Commission on 26 December 1984. This regional aid scheme is designed to enable projects to go ahead where these have good prospects of commercial viability, but where certain financial assistance, in the form of grants, is necessary for the project to proceed. It covers a wide range of activities, including projects and ventures in the coal sector. In approving the Regional Selective Assistance Scheme, the Commission reminded the United Kingdom Government that the Community legislation and codes applicable to certain sectors of industry had to be observed in the implementation of the regional aid system. Any financial assistance which gives coal industry undertakings an economic advantage has to be assessed within the context of the ECSC Treaty and, in particular, under the provisions of Decision No 2064/86/ECSC. The United Kingdom Government recognizes its oversight in not having previously sought Commission approval before committing itself to provide assistance to coal industry undertakings. Since all the measures were decided upon, and the budgetary commitments made, by the United Kingdom Government during the period 1986 to 1993, they will have to be evaluated under the provisions of the Decision then in force, namely Decision No 2064/86/ECSC.