By Peggy Corlin - 24th April 2006
French plans for six high-tech projects worth €1.7bn will be closely watched for a breach of EU competition rules.
French president Jacques Chirac announced the “grands projets” in a bid to bolster the reputation of his troubled administration, in its final year.
The projects, launched under the aegis of the French newly created Agency for industrial innovation, are to bring European companies, in particular German and French industrial groups.
“Those grand programmes focus on technological challenges essential for our future” said the French president on Tuesday.
Chirac argued that the projects will strengthen French industry’s “excellence” and create “new highly qualified jobs”.
Paris plans a €1.7bn euros fund that should benefit French as well as German comapnies
Projects include: Neoval, a new generation of metro train to be presented by German Siemens; Quaero, a Franco-German rival to Google and TVMSL, to develop a European standard of TV on mobile phones.
Even though the initiative will mobilise private funding, Chirac’s state sponsored plan will be scrutinised carefully by EU competition watchdogs.
“We welcome all projects relevant for EU industry, especially if member states are looking to work together, but any publicly supported projects must comply with state aid rules,” said a commission spokeswoman.
Chirac is also hopeful that Germany will respond to the Paris overture - but so far Berlin has remained silent.
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