18.11.2002 Official Journal of the European Communities L 314/17 COMMISSION DECISION of 11 July 2001 on the State aid scheme applied by Spain to certain newly established firms in Navarre (Spain) (notified under document number C(2001) 1762) (Only the Spanish text is authentic) (Text with EEA relevance) (2002/893/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, in accordance with the abovementioned Articles (), called on interested parties to submit their comments, and having regard to those comments, Whereas: I. PROCEDURE (1)  As a result in particular of the information received in response to the procedures initiated following the complaints about the State aid granted to Daewoo Electronics Manufacturing Espafia SA (%), Ramondin SA and Ramondin C4psulas SA (%), the Commission learned of the existence of a scheme of non-notified investment aid in Spain, in Alava, consisting of tax incentives in the form of a reduction of taxable income for certain newly established firms. It also received unofficial information that similar measures existed in Navarre, since that territory enjoys the same autonomy in tax matters as Alava. (2) By letter dated 17 August 1999, SG(99)D/6865, the Commission informed Spain of its decision to initiate in respect of this aid the procedure laid down in Article 88(2) of the Treaty. (3) By letter from the Permanent Representation dated 26 August 1999, registered on 30 August 1999, the Spanish authorities requested more time in which to submit their comments. By letter from the Permanent () OJ C 340, 27.11.1999, p. 52. (%) Commission Decision 1999/718/EC (O] L 292, 13.11.1999, p. 1). (®) Commission Decision 2000/795/EC (O] L 318, 16.12.2000, p. 36). Representation dated 24 January 2000, registered on 31 January 2000, the Spanish authorities submitted their comments under the abovementioned procedure. (4)  The Commission's decision to initiate the procedure was published in the Official Journal of the European Communities (*). The Commission invited interested parties to submit their comments on the aid within one month of the date of publication. (55 The Commission has received no comments from interested parties. (6)  Pursuant to Provincial Law 8/2001 of 10 April (°), the first section of Chapter II of Provincial Law 24/1996 of 30 December (°), which constituted the legal basis for the tax incentives in question, was repealed as from the tax year starting on 1 January 2001. II. DETAILED DESCRIPTION OF THE AID (7)  According to the information at the Commission's disposal, the tax incentives in question were introduced by Articles 52 to 56 of Section 1 of Chapter II of Provincial Law 24/1996 of 30 December on Corporation Tax (’). The text of the Articles reads as follows (%): ‘Section 1 Incentives for newly established firms Article 52 — Reduction of tax liability Companies starting their business activity after the entry into force of the Provincial Law shall be entitled to a reduction of 50 % of their total tax liability in respect of the income from the (% See footnote 1. (°) Published in the Diario Oficial de Navarra N° 51, 25.4.2001. (%) Provincial Law 24/1996, Boletin Oficial de Navarra N° 159, 31.12.1996. (’) Boletin Oficial de Navarra No 159, 31.12.1996. (®) Only the parts essential to the assessment of the aid are cited.