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By Foo Yun Chee
BRUSSELS, July 14 (Reuters) - Ryanair on Wednesday
lost its challenge against state aid for Austrian Airlines
approved by EU competition regulators after Europe's
second-highest court said the aid complied with EU rules.
Europe's biggest budget airline has launched 16 lawsuits
against the European Commission for allowing state aid for
individual airlines.
In addition to Austrian, those carriers include Austrian's
parent Lufthansa, Portugal's TAP as well as
flag carriers that were helped by national schemes.
Ryanair took its grievance to the Luxembourg-based General
Court after the EU competition enforcer approved Vienna's
decision to grant aid to Austrian Airlines in June 2020.
"The aid granted by Austria to Austrian Airlines in order to
compensate it for the damage resulting from the cancellation or
rescheduling of its flights due to the COVID-19 pandemic is
compatible with the internal market," the General Court ruled on
Wednesday.
"That aid, having been deducted from the subsidies granted,
in the same context, by Germany to the Lufthansa group, which
also includes Austrian Airlines, does not constitute
overcompensation in favour of that group."
Ryanair can appeal to the EU Court of Justice (CJEU),
Europe's highest court.
The General Court this year has ruled in favour of Ryanair
in its challenges against aid given to German charter airline
Condor, KLM and TAP.
It has thrown out challenges against aid for SAS,
Finnair and Air France.
The case is T-677/20 Ryanair & Laudamotion v Commission
(Austrian Airlines; Covid-19).
(Reporting by Foo Yun Chee, editing by Louise Heavens and Jason
Neely)