1. ECONOMIC SGIs - Market forces - You have to pay > UE law applied but primacy of the mission of general interest on the treaty rules NON – ECONOMIC SGIs -Public authorities functions -exclusively social functions  UE law doesn’t apply but only general principles of the Treaty SGEIsNESGIs SSGEIs NESSGIs SOCIAL SERVICES OF GENERAL INTEREST (COM 2006 - 2007) SSGIs = SSGEIs + NESSGIs Specific general interest objectives Fondamental Rights – social risks – basic social needs SERVICES OF GENERAL INTEREST (COM 1996 – 2000 - 2007) SGIs = SGEIs + NESGIs Services under specific obligations to garantee a general interest objective Services of General Interest

2. Social and Healthcare Services of general interest objectives of general interest = social protection, public healthcare (Social Fundamental Rights – coverage of social risks – basic social needs) SERVICES OF GENERAL INTERET : ECONOMIC versus NON ECONOMIC ? Services subject to specific obligations of public services (OPS) to guarantee the accomplishment of an objective of general interest Electricity Gas Telecom Post Transports Audiovisual NETWORK SERVICES ruled by Community law (Sectorial Directives) Water – Water Treatment Waste, recyclage paper School canteens Funeral services Harbour services Fundraising > SIG (…) SOCIAL SERVICES by non mandatory capitalisation by mandatory cost sharing Social Housing Personal services Fight against exclusion Inclusion Accomodation Provision of work for > public system unemployed persons HEALTHCARE SERVICES Hospital public system Nursing Services Patient Transport Police Justice Registry Office Defence Administration Cost guard Harbour pilots (…) PUBLIC AUTHORITY FUNCTIONS Economic Social and Healthcare Services Non-Economic Social and Healthcare Services Community SGI not ruled by Community law (exclusive competence of the Member States subject to manifest error / ECJ) EXCLUSIVELY SOCIAL FUNCTIONS -No remuneration – free of charge -no economic reward in return -no market -Mandatory social protection / cost sharing (principle of solidarity, disconnection of contributions / services, non profit-orientated) (ECJ) Eurocontrol EURES Galiléo CEN - CENELEC EU Administration (…) GREY ZONE ECONOMIC SGIs -there is a market -the service is remunerated -economic reward in return > Application of the rules of competition and the common market, unless they impede the accomplishment of the mission of general interest (art 86.2) NON – ECONOMIC SGIs -Public authority functions -Exclusively social functions > Non application of the rules of competition and the common market (art 50) ((( ))). ECJ

3. THE « EASY » ROAD TO SECURE STATE AIDS TO SOCIAL SERVICES ECONOMIC ACTIVITY NON-ECONOMIC ACTIVITY ESSENTIAL FUNCTION OF THE STATE / SOLIDARITY Control of the Court on the legal foundation SSGEIs NESSGIs support = State Aids = notification for EU control MEMBERS STATES DECISIONS (UNDER THE FINAL CONTROL OF THE COURT) EU STATE AID CONTROL CHECK POINT ALTMARK IN > support = State Aids > OK OUT > support = State Aids CHECK POINT MONTI-KROES Small SGEIs, social housing and hospital > OK but with a LEGAL ACT defining specific missions, obligations and fair compensation Others > notification to Brussel for control EU NON-LIBERALISED ACTIVITY NO CONTROL (State-Aid regulation do not apply) IN OUT (Control of the Court on the legal foundation)