Within budget limits, the overall amount of the subsidy and the exemption from real estate taxes covers a percentage of the subsidiable base.

 

The rates of the supports depend on the size of the enterprise, its location and the objective of the investment programme.

 

With the exception of investments in renewal energy production, the amount of the support is determined by applying the gross rate to the eligible basis.

 

Amount of support = eligible basis (surcharge) X gross rate

 

Gross rates	SME	Large Company
Investments aimed at reducing the consumption of energy used in the manufacturing process	Small E.: 40% Medium E.: 30%	20%
Investments allowing the development of energy from renewable energy sources	50%	20% (*)

 

(*)     The rates given above, for a large enterprise can be increased by a bonus as follows:

1)       5% if the large enterprise is located in the communes listed in the development zones apart from the Province of Luxembourg;

2)       10% if the large enterprise is located in the communes listed in the development zone of the Province of Luxembourg.

 

The bonus does not apply to the large company that makes investments aimed at reducing the consumption of energy used during the production process.

 

For the small company that is not owned by a medium-sized or large company from the energy sector and produces energy from renewable sources on behalf of a company or a collectivity, the subsidy cannot exceed € 1,500,000 over 4 years.

 

The exemption from property tax will focus on real estate investments, including investments in equipment deemed immovable by nature or by destination.

 

The exemption can be awarded:

 

-        to the small-sized enterprise for a 5-year period;

-        to the medium-sized enterprise for a 4-year period;

-        to the large enterprise for a 3-year period.

 

Special cases

 

Amount of the subsidy = eligible investment X net rate

 

Aid net rates for the renewable and cogeneration sectors

 

The following percentages are to be applied to the total amount of the eligible investment, exclusive of VAT.

The sectors that do not appear in the table below are not subsidized.

 

Renewable energy and cogeneration sectors	Net rates by firm size
	SME	Large Company outside a development zone	Large Company in a development zone outside Luxembourg	Large Company in the Province of Luxembourg
Wind : ≤ 1000 kW	20%	8%	10%	12%
Solid biomass Cogeneration including wood gasification (kWe) : ≤ 500 kW > 500 – 1,000 kW > 1,000 – 2,000 kW > 2,000 – 5,000 kW included	30% 20% 20% 10%	12% 8% - -	15% 10% - -	18% 12% - -
Biogas : agricultural or mixed (kWe) : ≥ 10 - 600 kW > 600 kW	27,50% 22,50%	11% 9%	13,75% 11,25%	16,50% 13,50%
Hydroelectricity (1)	20%	8%	10%	12%
Solar Thermal (2)	30%	12%	15%	18%
Solid biomass boiler (3) : - up to 599 kW : replacing oil replacing gas - from 600 to 1,000 kW : replacing oil replacing gas	35% 40%   15% 40%	14% 16%   6% 16%	17,50% 20%   7,50% 20%	21% 24%   9% 24%
> 1 ,000 kW	Calculation in each case
Heat pump : Air/air Air/water, water/ water, soil/water Soil vertical drilling/water PAC domestic hot water	10% 15%   20%   25%	4% 6%   8%   10%	5% 7,50%   10%   12,50%	6% 9%   12%   15%
Deep geothermics	Calculation in each case

 

(1)     As regards hydropower, aid is granted on a maximum investment of € 5,000/kW for plants with a power exceeding 100 kW. For powers of up to 100 kW, the subsidized investment ceiling is set at € 9,000/kW.

(2)     In solar thermal, aid is granted on a maximum investment of € 1,200/sqm installed.

(3)     If it is a boiler that does not replace an old gas or fuel oil boiler, the company must prove by any justifying document that town gas is available on its operating site, hence considering that this is an investment for replacing gas. Otherwise, the investment will be considered as being made to replace fuel oil.

 

Payment of the subsidy

 

The incentives cannot be paid in case of bankruptcy, dissolution or voluntary or court winding-up of the company.

 

Subsidy withdrawal and recovery

 

The subsidies are repaid according to the consolidated laws on State accountancy:

 

1°       where the enterprise does not comply with the conditions or obligations stated in the individual decision of award and in the agreement;

2°       in case of bankruptcy, dissolution or voluntary or court winding-up;

3°       where the enterprise, whether on purpose or not, has provided inaccurate or incomplete data, whatever the effect of these data on the amount of the supports, without prejudice to legal proceedings instituted against the data providers.

 

In case of recovery, the exemption from real estate taxes is withdrawn.

 

Maintenance of the supports

 

These supports are maintained:

 

1°       where the non-compliance with the conditions is due to a case of absolute necessity, i.e. external, abnormal and unpredictable circumstances whose consequences could not be avoided;

2°       in the case of a company merger or division, a contribution of a generality of assets or a branch of activity, a transfer of a generality of assets or a branch of activity, or in the case of a judicial reorganization thereof, provided the economic activity of the company is carried on within the Walloon Region and investments are transferred to the new juridical entity and are maintained as provided and the obligations initially imposed on the beneficiary are complied with;

3°       in the case of a transfer or modification of the use or conditions of utilization, where the company applies for prior authorization.

 

If the aid is maintained during a business transfer or a sale of assets following a judicial reorganization procedure, any balance of the subsidy will not be paid.

 

The Walloon Region can maintain the aids where the facts entitling repayment do not originate from a fault or a voluntary deed on the part of the enterprise or its shareholders, up to the difference between the number of years during which the supported asset has really been used and the compulsory 5-year period during which the investments should be used. Nevertheless, a minimum 3-year period should elapse from the completion of the investment to the event justifying the withdrawal of the support.

 

Eligible costs are limited to costs (subsidiable base) incurred by the company :

 

1°       to achieve a higher level of energy efficiency in the case of the company that reduces its consumption of energy used in the production process;

2°       in relation to a conventional (non-renewable) energy production installation or a conventional heating system with the same capacity in terms of effective production of energy in the case of the company that develops energy from renewable energy sources or high-efficiency cogeneration plants.

 

The concerned investment programmes relate to investments in tangible or intangible fixed assets to be found on the assets side of the balance sheet under the heading "fixed assets" and covering:

 

1°      plants and equipments dedicated to achieving one or several objectives referred to at heading 2;

2°      land and buildings where they are strictly necessary to achieve several or one of the targets referred to at heading 2;

3°      expenses relating to the transfer of technology under the form of the purchase of licensable rights or patented or non-patented technical knowledge whose value is certified by a company auditor and meeting the following conditions:

a)       being considered as depreciable assets;

b)       being purchased on market terms from a third party;

c)       being exploited and remaining in the operating site of the company for a minimum period of 5 years following the decision to award the support, except where these intangible assets correspond to obviously dated techniques.

 

For investments in renewable energy production, the aid is granted only to new installations.

 

As regards the high-efficiency cogeneration, the investment subsidies are granted only for newly installed or renovated plants.

 

The proposed investments are subject to an € 25,000 threshold (exclusive of VAT) for large companies and € 20,000 (exclusive of VAT) for SMEs.

 

*        For a same investment programme, these supports cannot be awarded while another supports have been obtained on the basis of other regional legislations or regulations.

These supports can be granted together with the supports offered by the European structural funds.

 

*        As regards investments related to the production of renewable energy or quality cogeneration: this kind of investment cannot benefit from any other investment aid scheme (conventional aid), except for heat pumps, solar thermal and biomass boilers, the total amount of which would be less than the minimum required (€ 20,000 for a SME) and provided a joint application for support was made within the framework of the conventional aid.

 

*        The present scheme is restricted to firms with an operating site located in the Walloon Region of Belgium.

 

*        To benefit from the present support, the company should be:

 

1.       a natural person with a trading licence or with a self-employed activity or their association thereof;

2.       a legal person incorporated as a commercial company or a European economic interest group;

 

agricultural groupings included.

 

The non-profit associations are not eligible.

 

Enterprises whose activities are linked to one of the following sectors or part of sectors listed in the following divisions, classes and sub-classes of the NACE-BEL 2008 code (nomenclature of economic activities in the European Community) are excluded :

 

https://statbel.fgov.be/sites/default/files/Over_Statbel_FR/Nomenclaturen/NACE-BEL%202008_FR.pdf

 

-      05.100 to 6.200 of the NACE-BEL code : the extraction of coal, lignite, crude oil, natural gas ;

-      07.210 of the NACE-BEL code : the mining of uranium and thorium ores;

-      08.920 of the NACE-BEL code : the extraction of peat;

-      09.100 of the NACE-BEL Code : support activities for oil and gas extraction;

-      09.900 of the NACE-BEL code : as regards support services performed on behalf of third parties involved in the extraction of coal and lignite;

-      19.200 of the NACE-BEL code : as regards the manufacture of peat briquettes and production of coal and lignite briquettes;

-      20.130 of the NACE-BEL code : as regards the enrichment of uranium and thorium ores;

-      24.46 of the NACE-BEL code : the development and processing of nuclear material;

-      35 of the NACE-BEL code : the production and distribution of electricity, gas, steam and air conditioning. However, the exclusion does not apply to: small companies that are not owned by a medium or large company involved in the energy sector and which produces energy from renewable sources for a company or a community (excluding housing);

-      36 of the NACE-BEL Code : the collection, purification and distribution of water ;

-      38.12 of the NACE-BEL code : as regards the collection of nuclear waste;

-      38.222 of the NACE-BEL code : the treatment, disposal and storage of nuclear radioactive waste unless they are related to the treatment and disposal of transition radioactive waste from hospitals, that is to say, which will degrade during transport;

-      41.1 of the NACE-BEL code : real estate development;

-      42 of the NACE-BEL code : as regards the real estate activities of civil engineering;

-      59 of the NACE-BEL code : film, video and television activities and sound recording and music publishing except for classes 59.11 : the production of motion picture, video and television programmes, 59.12 : the post-production of motion picture, video and television programmes, and the subclasses 59.202 : sound recording studios, 59.203 : music publishing and 59.209 : other sound recording services;

-      60.10 of the NACE-BEL code : radio broadcasting;

-      63.91 of the NACE-BEL code : activities of news agencies;

-      64 of the NACE-BEL code : financial service activities, except insurance and pension funds;

-      65 of the NACE-BEL code : insurance, reinsurance and pension funds except compulsory social insurance;

-      66 of the NACE-BEL code : activities auxiliary to financial services and insurance;

-      68 of the NACE-BEL code : real estate activities;

-      69 of the NACE-BEL code : legal and accounting activities;

-      71.11 of the NACE-BEL Code : architectural activities;

-      71.122 of the NACE-BEL code : geometers activities;

-      74.202 of the NACE-BEL code : press photographers activities;

-      75 of the NACE-BEL code : veterinary activities;

-      81.100 of the NACE-BEL code : combined support activities for buildings;

-      85 of the NACE-BEL code : education and activities consisting in the issuance of training courses or the organization of seminars;

-      86 of the NACE-BEL code : human health activities;

-      87 of the NACE-BEL code : medico-social and social activities with accommodation;

-      88 of the NACE-BEL code : social work activities without accommodation;

-      90 of the NACE-BEL code : creative, arts and entertainment activities;

-      91 of the NACE-BEL code : libraries, archives, museums and other cultural activities, except the subclasses 91.041 : management of botanical and zoological gardens and 91.042 : management of nature reserves;

-      92 of the NACE-BEL code : organization of games of chance and money;

-      93 of the NACE-BEL code : sporting, recreational and leisure activities except the subclass 93.212 : activities of amusement parks and theme parks as well as the management of tourist sites ;

-      the large retail sector whose main purpose is the sale of goods to individuals.

 

*        The subsidy is granted to large enterprises (which do not meet the European definition of a SME) as well as SMEs (Annex 1 of the Regulation N° 651/2014 of the European Commission of 17.06.2014 declaring certain categories of aids compatible with the internal market (GBER)).

 

According to the European definition, are considered as SMEs:

 

*        A small-sized enterprise is an enterprise:

1)       which employs less than 50 workers;

2)       and whose:

a)       yearly turnover does not exceed €10,000,000;

or

b)       whose balance sheet total does not exceed €10,000,000.

 

*        A medium-sized enterprise is an enterprise:

1)       which employs at least 50 workers and less than 250 workers;

2)       and whose:

a)            yearly turnover does not exceed €50,000,000;

or

b)       whose balance sheet total does not exceed €43,000,000.

 

Categories of enterprises to be considered for the calculation of the staff and the financial amounts.

 

As regards the calculation of the ceilings and thresholds mentioned above, a distinction is to be drawn between 3 categories of enterprises according to the kind of relationships they have with other enterprises in terms of capital contribution and voting rights (the highest of the 2 rates being considered); these enterprises are:

 

-        the autonomous enterprise, provided:

*        it has less than a 25% holding in another company;

*        it is not directly owned as to 25% or more by an enterprise or a public body, or jointly by several linked enterprises or public bodies, besides some exceptions;

To be noticed :

An enterprise is considered as an autonomous one although the 25% ceiling is reached or exceeded when the investors are included in the following categories (provided they are not linked to the applicant enterprise):

-              public participation companies, venture capital companies, natural persons or groups of natural persons with a regular activity as investors in venture capital (“business angels”) who invest own funds in enterprises that are not quoted on the stock exchange, provided the total amount of the investment of the “business angels” in a same enterprise does not exceed € 1,250,000;

-              non-profit universities or research centres;

-              institutional investors, regional development funds included.

*        it does not draw up consolidated accounts and is not to be found in the accounts of an enterprise that draw up consolidated accounts and is thus not a linked enterprise.

 

-         the enterprise partner of another enterprise, provided:

*        it has a holding ranging from 25% to 50% in the other enterprise;

*        this other enterprise has a holding ranging from 25% to 50% in the applicant enterprise;

*        the applicant enterprise does not draw up consolidated accounts including this other enterprise and is not to be found in the consolidated accounts of this enterprise or an enterprise linked to it.

 

-        the enterprise is linked, provided:

*        it has more than a 50% holding in the enterprise;

*        this other enterprise has more than a 50% holding in the applicant enterprise;

*        it is part of a group;

*        it has to draw up consolidated accounts or is included in the consolidated accounts of another enterprise.

 

*        The person in charge of the enterprise makes a sworn statement on a document stating the enterprise is in order with the legal regulations prevailing over its activities and complies with the fiscal, environmental and social regulations or commits itself to abiding by these regulations in compliance with the terms and deadlines fixed by the SPW Economie, Emploi, Recherche. If need be, the enterprise will have to provide the SPW Economie, Emploi, Recherche with the necessary justifying documents where the application file proves eligible.

 

*        The company should comply with the provisions relating to book keeping and yearly accounts, except for enterprises that are taxed on a flat-rate basis.

 

*        The company cannot be an enterprise experiencing difficulties (see explanatory note point 9 : http://www.wallonie.be/fr/formulaire/detail/20452).

 

*        The company must establish the incentive effect of the subsidy that is justified if the company introduces an application BEFORE the beginning of the investment.

 

*        The investment programme must start within 6 months from the date when it is considered and must be carried out within 4 years.

 

         In the case of repurchases, the beginning of the work is the moment of the acquisition of the assets directly related to the acquired establishment. * The company cannot be subject to a recovery order pursuant to a decision of the European Commission stating that received aids are illegal and incompatible with the common market.

 

*        The investment programme should be aimed at the sustainable use of energy, i.e. the investments allowing:

a.       the reduction of the consumption of energy used in the manufacturing process;

b.       the development of energies from renewable energy sources;

c.       the development of high-yield cogeneration plants.

 

*        The company must, for a 5-year period beginning at the date of completion of the investments, use these investments as provided, keep and maintain them as provided for in the decision of award. Investments in intangible assets should be exploited in the recipient company for a minimum period of 5 years following the award of the incentives.

 

A.        Application for authorization to start

 

Before the beginning of the investment, the enterprise must introduce an authorization application form to start an investment programme which is available to be completed online in the «Formulaires» section of the process :

 

http://www.wallonie.be/fr/formulaire/detail/138789

 

If it has not already been done, the enterprise will be invited to register in on «Mon Espace», an essential step for all forms to be completed online. The explanations for connecting to this space are available in the “Documents utiles” part of the process.

 

The SPW Economie, Emploi, Recherche acknowledges receipt of this prior application within a 10-working day period and fixes the date of the authorization to start the investments programme (date when the investments can be considered), corresponding to the date of the sending of this 1st application.

 

The beginning of the work (or early investment programme) is defined as follows : either the start of the investment-related construction work or the first legally binding commitment to an order of equipment or any other commitment making the investment irreversible, whichever comes first, excluding the preparatory work. Preparations such as obtaining permits and feasibility studies are not considered as the beginning of the work. In the case of repurchases, the beginning of the work is the moment of the acquisition of the assets directly related to the acquired establishment.

 

The application for support should at least contain the following information :

 

a)       a description of the project, including its start and end;

b)       the location of the project;

c)       a list of project costs;

d)       the type of aid and the percentage of public funding required for the project.

 

B.        Application for Company passport

 

            An application for a Company Passport must be submitted via an online form also available on «Mon Espace».

 

         This document determines the category of the company and is issued by the Reference Centre of the SPW Economie, Emploi, Recherche.

 

C.        Application for support

 

Thereafter, within 6 months of the first request, the duly completed investment aid application form must be submitted. This form is also available to be completed online under “Formulaires”: http://www.wallonie.be/fr/formulaire/detail/138789. It is this most comprehensive document that will serve as a basis for considering the SPW Economie, Emploi, Recherche.

 

Where the SPW Economie, Emploi, Recherche needs additional information, it can require further information from the enterprise, allowing a 1-month period to complete the application file.

 

Where the enterprise does not comply with the condition (not being a company in difficulty), a decision to suspend the application for the investment subsidy is notified, registered mail, to the enterprise by the SPW Economie, Emploi, Recherche. This decision comes into force on the date of its notification to the enterprise and ends when the SPW Economie, Emploi, Recherche receives a new financial situation relating to one of the two subsequent accounting periods.

 

Where the enterprise does not provide within a 24-month period beginning on the date when the notification of the decision to suspend the application is made, this new financial situation, a negative decision is notified, registered mail, to the enterprise by the SPW Economie, Emploi, Recherche.

 

Within a 4-month period following receipt of the file, the missing information or the new financial situation, a decision of award is taken in the form of an agreement including, inter alia:

 

1.       the provisions relating to the amount of the subsidy and the exemption from real estate taxes;

2.       the investment programme;

3.       the starting and ending dates of the investment programme;

4.       the targets to be reached by the investment programme as regards the protection of the environment.

 

D.        Request for payment of the subsidy

 

Where the eligible investment programme (subsidized basis or additional cost) is inferior or equal to € 250,000: the company introduces an application for the payment of the subsidy within a 5-year period, at the latest, following the date when its investment programme is taken into account.

 

Where the eligible investment programme (subsidiable basis or overcost) is superior € 250,000, the company introduces an application for the payment of a 1st 50% instalment after completion and payment of 50% of the investment programme on the basis of a true-certified standard certificate issued by a company auditor or a chartered accountant or an approved accountant. It should provide the proof of the compliance with tax and social regulations.

When its programme is achieved and paid, the company applies for the payment of the amount outstanding within a 5-year period, at the latest, following the date when its investment programme is taken into account.

 

To obtain this payment, the company should:

 

1)       have achieved and paid its investment programme;

2)       provide the proof of the compliance with tax and social regulations (clearances debts);

3)       comply with environmental regulations;

4)       where such objectives are provided for in the agreement, have reached the objectives of the investment programme as regards the protection of the environment to be checked by experts or laboratories;

5)       comply with the conditions : not being a company in difficulty, nor being subject to a recovery order following a decision of the European Commission declaring the aids received as illegal and incompatible with the internal market.

 

In addition, the small company that is not owned by a medium or a large enterprise within the energy sector and which produces energy from renewable sources for en enterprise or a community must maintain its quality of small business up to the payment of the subsidy.

 

Where the conditions and objectives listed here-above are not met or complied with, a decision to suspend the payment of the investment subsidy is taken for a maximum 24-month period to begin at the date of the notification by the SPW Economie, Emploi, Recherche which asks for compliance with these conditions or achieve its objectives.

After expiration, if the company has not provided the requested proofs, the withdrawal of the supports is notified, registered mail, to the company.

 

SPW Economie, Emploi, Recherche

Département de l'Investissement

Direction des Programmes d'investissement

Place de la Wallonie, 1 Bâtiment II

B-5100 JAMBES (Namur)

Tel. : (32) 081.33.37.60 (helpline from 9 a.m. to noon)

E-mail : ingrid.thiry@spw.wallonie.be

 

The investment aid application form is available at:

 

http://www.wallonie.be/fr/formulaire/detail/138789

 

Decree of 11.03.2004                                       - MB of 08.04.2004

A.G.W. of 02.12.2004                                        - MB of 30.12.2004

AGW of 15.04.2005                                          - MB of 18.05.2005

AGW of 09.02.2006 (I)                                     - MB of 03.03.2006

AGW of 09.02.2006 (II)                                    - MB of 03.03.2006

Decree of 12.07.2007                                       - MB of 09.08.2007

AGW of 29.05.2008                                          - MB of 06.06.2008

AGW of 12.12.2008                                          - MB of 24.12.2008

AGW of 07.05.2009                                          - MB of 28.05.2009

AGW of 14.05.2009                                          - MB of 17.06.2009

AGW of 20.10.2011                                          - MB of 03.11.2011

MO of 18.07.2013                                            - MB of 07.08.2013

AGW of 18.07.2013                                          - MB of 16.08.2013

Regulation N° 651/2014 of the European Commission of 17.06.2014 declaring certain categories of aids compatible with the internal market (GBER).

AGW of 29.01.2015                                          - MB of 10.02.2015

AGW of 26.02. 2015                                         - MB of 17.03.2015

Programme Decree of 17.07.2018                       - MB of 08.10.2018

AGW of 01.12.2022                                          - MB of 16.12.2022.