31. 12. 94 Official Journal of the European Communities No L 385/1 (Acts whose publication is not obligatory) COMMISSION COMMISSION DECISION of 27 July 1994 concerning aid granted to the Volkswagen Group for investments in the new German Lander (Only the German text is authentic) (Text with EEA relevance) (94/1068/EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, and in particular the first subparagraph of Article 93 (2) thereof, Having regard to the Agreement establishing the European Economic Area, and in particular subparagraph (a) of Article 62 (1) thereof, ‘Having given the parties concerned the opportunity to submit their comments, in accordance with the abovementioned Articles (1), Whereas: I By letter dated 14 January 1992, the Commission informed Germany of its decision of 18 December 1991 to initiate the procedure provided for in -Article 93 (2) of the EC Treaty with respect to investment aid measures proposed by the German authorities for the Volkswagen Group in the new Ldinder. In opening the procedure the Commission expressed serious doubts as to the compatibility of the aid with Article 92 of the EC Treaty for the following reasons: — the State aid had not been properly notified to the Commission in accordance with the procedure provided for in Article 93 (3) and could not yet be fully quantified, (') O No C 68, 17. 3. 1992, p. 14, opening a one-month deadline for comments from third parties. — the apparently high aid intensity proposed for a plan involving significant expansionof capacity within the " European car market could give rise to an unfair distortion of competition, — not enough evidence had been presented to justify the combination of a relatively high intensity of regional aid and the granting of indirect investment as well as temporary operating aid by the Treuhandanstalt (THA) in connection. with the structural and economic problems in the new Linder; indeed, the overall aid intensity might be disproportionately high and incompatible with the criteria of the Community framework on State aid to the motor . vehicle industry. I By létters dated 19 September 1990, 14 December 1990 and 14 March 1991 the Commission requested the notification, in accordance with the Community framework on State aid to the motor vehicle industry, of the aid measures supporting the investments of Volkswagen AG in the new German Ldinder and stressed that such aid could not be granted without prior notification and approval by the Commission. Germany explained by letter dated 29 May 1991 that, in its view, the Community framework did not apply to the new German Ldinder between 1 January and 31 March 1991 because it had been due to expire by the end of 1990 and its renewal by the Commission in December 1990 could only become legally binding upon formal acceptance of the prolongation by the German Government or upon a formal decision of the