THE LEVEL PLAYING FIELD IN CRISIS MODE 77 within a year and relaxing the conditions beyond certain limits were unexpected developments (although mostly appreciated by the Member States and undertakings). Turning back to the specific situation of the touristic sector and all related activities, we can conclude even now that the updated and modified legal framework gives ample possibilities to help to undertakings active in these areas suffering heavy losses. With the evolution of the rules, we have seen that Member States put into effect grant, loan, guarantee, tax reduction and employment subsidy schemes for the benefit of the entire economy, including undertakings in the tourism sector, but more targeted ones as well. Especially, the fourth and the fifth modification of the Temporary Framework allowed Member States to grant higher “limited amounts” of aid and to cover the uncovered fix costs (now up to 10 million euros), which is particularly helpful for tourism, HORECA, transport, event organisation and so on. At the same time, the regular updates of the temporary compatibility rules have also shown the limits of State aid law. Granting State aid in itself is not a panacea. Nor would it solve structural problems caused by the pandemic in the longer run. Without having a high level of vaccination, without confidence in traveling, and with capacities not adjusted to market realities, Europe will never leave the impacts of the pandemic behind. Besides, some industries and activities would change for good anyway due to digital solutions or changing customer habits. State aid can help in adjusting, and as the present case shows, give temporary relief, but undertakings cannot rely on the taxpayers’ money for years. Member State cannot allow themselves to conserve economic situations where changing marker realities are passing by. How industries and sectors would and have to change due to the pandemic cannot be clearly seen for the time being, at least not all of these aspects are clear. State aid has definitely a role here and the new Recovery and Resilience Facility172 as well as other EU and national public funds. Although these means cannot be the sole drivers of the desired processes. They can only be used to supplement the efforts and ideas of the market players and leverage private investments where market failures exists and public investment make sense in the long term. The reactions of the Member States by notifying a high number of schemes with extreme budgets, as well as granting significant amounts to certain undertakings, have shown the role of State aid rules in reducing inequalities among Member States. If the richer States can finance their economic at a larger scale, even if this is done in a way compatible with the internal market under 172 Source: https://eur-lex.europa.eu/legalcontent/EN/TXT/PDF/?uri=CELEX:32021R0241&from=EN (accessed on 10 March 2021).
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