• What do aid intensity limit and cash grant equivalent mean?

    Particular aid intensity limits are specified for each scheme approved under a block exemption or other regulation. These determine the maximum level of public funding that can be given under the rules that apply to your project, and are expressed as a percentage of the total costs eligible for support.

    In the case of grants it is relatively easy to translate this into the amount of money that can be provided; however for soft loans and guarantees the aid element will have to be calculated, for example, for loans this would be the difference between the soft and commercial interest rates. This aid element is called the cash grant equivalent.