Between 2017 and 2020, the chronic deficit of Fret SNCF SAS, a 100% subsidiary of the French public rail group SNCF, was systematically covered by the parent company. However, the European Commission, which has just opened an investigation, “fears that certain measures in favor of Fret SNCF, granted during the period 2007-2019, do not comply with the rules of the European Union on State aid “.
To put it simply, during this period, the SNCF “continuously” bailed out the Fret SNCF coffers to the tune of 4 to 4.3 billion euros via “intragroup cash advances”. And for Brussels, this sum actually came from “public resources due to state ownership and control” of the company. Aid that can contribute to distorting competition.
To see more clearly, the investigation will focus on these advances but also the cancellation of the financial debt (for a total amount of 5.3 billion euros, including cash advances) of Fret SNCF as well as a capital injection of 170 million euros in this subsidiary, when it becomes a commercial company in 2019. “The opening of an in-depth investigation gives France and other interested third parties, including the beneficiary , the opportunity to share their observations. It in no way prejudges the outcome of the investigation,” the Commission stressed.