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3.145. (...) in December 2020, the European Union adopted the Recovery Assistance for Cohesion and the Territories of Europe initiative know as REACT-EU, which extends crisis-repair measures delivered through the CRII [Coronavirus Response Investment Initiative] and CRII+ initiatives. The REACT-EU funds amount to about EUR 50 billion (current prices) (from the NGEU [NextGenerationEU]) and are available as a complement to the 2014-20 allocations for the European Regional Development Fund and European Social Fund. Funds are to be used until end-2023 and are intended to support projects that foster economic recovery and the green and digital transitions.

3.146. In addition to these funds, the European Union maintains several other funds intended to support entrepreneurs and businesses activities in general and in various areas such as research and innovation, climate and digital transition, and recovery and resilience, which were given further importance (or are new) under the budget 2021-27 in accordance with EU environmental and digital objectives (Table 3.25).

3.147. In the area of energy, total subsidies (at the EU and member State levels) for all types of energy (fossil fuels, nuclear, and renewables) rose between 2020 and 2021 from EUR 173 billion to EUR 184 billion, which was mostly due to an increase in energy demand as economic activities began to recover according to a recent report by the European Commission. (...)

3.149. Currently, various state aid guidelines and regulations, including the GBER [the State Aid General Block Exemption Regulation] and the De minimis regulation, are undergoing review to be updated. The adoption of these two legal instruments is expected during 2023, according to the Commission. The review was launched following the completion of an evaluation – the "fitness check" – of the SAM [the State Aid Modernisation] reform launched by the Commission in 2019. This assessment found that some specific changes to these exemptions are needed to integrate the objectives of the European Green Deal and the European Industrial and Digital Strategies.

3.150. (...) Pending the completion of its review, the current GBER [the State Aid General Block Exemption Regulation] was amended in 2021 to, inter alia, expand its coverage to include state aid granted for projects funded by certain EU managed programmes (e.g. InvestEU Fund, Horizon Europe) (Table 3.25) and state aid measures designed to support the green and digital transition, and that also contribute to the economic recovery from the effects of the COVID-19 pandemic (e.g. aid for energy-efficiency projects in buildings, (...)

3.151. In October 2022, the European Commission also published a revised framework regarding state aid for research, development, and innovation (RDI) activities. This new RDI framework simplifies and updates the existing rules, in place since 2014, and aligns them to the current EU objectives, notably those under the European Green Deal and the Industrial and Digital Strategies (Section 2). (...)

3.154. Non-COVID state aid increased by about 2.5% between 2019 and 2020, totalling 137.5 billion in 2020, and continued to be mainly directed to promote environmental protection and energy savings. In that year, state aid based on environmental considerations accounted for about half (EUR 68.7 billion) of the total non-COVID state aid, and was the main aid objective for the majority of EU member States. (...)

3.164. (...) As part of the European Green Deal (Section 2), the European Union is also promoting the development of green taxation, which includes taxes on energy, transport, pollution and resources.

3.168. During the review period, the European Union identified standardization as a key strategic tool to achieve its objectives under the European Green Deal, as well as under its new digital, industrial, and trade strategies (Section 2.1). To complement these strategies (and as provided in its Industrial Strategy), the European Union launched in February 2022 a new strategy on standardization entitled "Setting global standards in support of a resilient, green and digital EU single market". (...) In addition, during the review period the European Union continued its work in promoting the development of environmental (e.g. hydrogen, critical raw materials in batteries) and digital standards (e.g. artificial intelligence, cybersecurity, and chips).

3.177. In addition, labelling and other marking requirements may apply to certain non-food products, regardless of whether they are subject to the CE [conformité européenne] mark. These requirements apply equally to both imported and locally produced goods based on health, safety, or environmental considerations, and include energy rating labels, safety labels for toys and chemicals substances, and markings for waste from electrical and electronic equipment (WEEE) for electrical appliances. Labelling requirements also apply to textiles, footwear, and cosmetics. Since July 2021, plastic cups and certain sanitary and tobacco products are also subject to a single-use plastic marking based on waste management and environmental grounds.