In the near future the UK Government is expected to submit its Contract for Difference (CfD) Feed‑in Tariff to the Commission for state aid approval. In order for the UK to achieve its national renewable energy target under the 2009 Renewable Energy Directive(1) it is crucial that the state aid process should not cause any delays. While the guidelines on state aid for environmental protection explicitly allow aid for energy saving, aid for renewable energy sources, aid for cogeneration and aid for district heating, the Community Framework and these guidelines do not appear to provide a legal basis for the Commission to approve a Feed‑in Tariff CfD for nuclear energy.
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What legal basis is available to the Commission to approve state aid to nuclear energy in the form of a Feed‑in Tariff (CfD) as currently being considered by the UK Government?