The European Commission approves German investment aid in favour of Paderborn/Lippstadt Airport

On 17 June 2026, the European Commission approved investment aid notified by Germany in favour of Paderborn/Lippstadt Airport.

Paderborn/Lippstadt Airport is a regional commercial airport located in North Rhine-Westphalia and operated by the publicly owned company Paderborn/Lippstadt Airport GmbH. In 2024, it handled approximately 820,000 passengers.

The airport will receive a grant of EUR 4.565 million to finance part of its 2025–2030 investment programme. 

1. Description of the project

The aid aims at financing investments necessary to ensure the continuity of the commercial operation of Paderborn/Lippstadt Airport while improving the quality of the airport’s transport infrastructure and services, without creating any additional airport capacity.

The investments will enable the airport to comply with the German Aviation Act (Luftverkehrsgesetz), and more specifically:

• ensure the safe and efficient use of airport facilities, buildings and passenger-accessible areas;
• comply with air navigation technical requirements;
• ensure the protection of airport operations against terrorist attacks, sabotage and other unlawful acts;
• comply with environmental requirements governing installations handling water-polluting substances; and
• enhance the quality of transport infrastructure and services.

The budget of the eligible investments amounts to EUR 13.32 million. The aid therefore represents 34.27% of the total eligible investment costs, with the remaining EUR 8.755 million to be financed by the operator from its own resources. According to the German authorities, the measure will contribute to regional connectivity and economic development while not increasing airport capacity.

2. Aid compatible under Article 107(3)(c) TFEU

The Commission assessed the compatibility of the aid under the criteria set out in point 79 of the 2014 Aviation Guidelines.

A. The aid facilitates the development of the economic activity

• Identification of the economic activity concerned and its positive effects: the measure aims both to ensure that the airport can continue operating as a commercial airport pursuant to German legislation and to enhance the quality of transport infrastructure and services at Paderborn/Lippstadt Airport, without creating additional capacity. It therefore contributes to regional development while promoting the mobility of Union citizens and connectivity within North Rhine-Westphalia, one of Germany’s most densely populated regions.
• Incentive effect: the Commission found that the investment project was not economically viable on its own and would either not have been undertaken or would not have been implemented to the same extent, in the absence of State aid.

B. The aid does not unduly affect trading conditions to an extent contrary to the common interest

• Minimisation of distortions of competition and trade: the aid must not adversely affect trading conditions to an extent contrary to the common interest. The Commission therefore assessed the potential negative effects of the measure on competition and trade in the transport sector:
  • Necessity of State intervention: the aid brings about a material improvement that the market cannot deliver on its own. In particular, point 89 of the Aviation Guidelines recognises that airports handling between 200,000 and one million passengers per year are generally unable to cover a substantial part of their capital costs. Paderborn/Lippstadt Airport falls within that category.
  • Appropriateness of the aid measure: Paderborn/Lippstadt Airport was unable to raise sufficient private capital because the assets concerned constitute specialised immovable infrastructure dedicated to transport activities and are therefore not considered suitable collateral for loans. The Commission therefore considered the aid to be an appropriate policy instrument to achieve the intended objective.
  • Proportionality of the aid: the aid amounted to 34.27% of the total eligible investment costs, whereas the maximum permissible aid  intensity was 75%. The German authorities further demonstrated that the aid would not exceed the project’s funding gap. The Commission therefore concluded that the measure was proportionate.
  • Cumulation: the German authorities confirmed that the aid would not be cumulated with other aid covering the same eligible costs.
  • Transparency: Germany committed to complying with the transparency requirements set out in points 161 to 163 of the Aviation Guidelines. Relevant information will be published in the Commission’s State Aid Transparency Database.
• Avoidance of undue negative effects on competition and trade between Member States: the Commission emphasised that investment aid should not result in the duplication of unprofitable airports or the creation of additional unused capacity within the catchment area of existing infrastructure. As the measure merely finances the maintenance and improvement of existing infrastructure without creating new capacity, the Commission considered that any negative effects on competition and trade between Member States were limited.

C. Balancing the positive effects of the aid against its negative effects on competition and trade

The Commission concluded that the positive effects of the measure in facilitating the development of the economic activity concerned outweighed any potential negative effects on competition and trade. The measure was therefore found compatible with Article 107(3)(c) TFEU, as it facilitates the development of airport services in East Westphalia-Lippe and South-Westphalia without adversely affecting competition and trade between Member States to an extent contrary to the common interest.

On that basis, the Commission approved this investment aid under the 2014 Aviation Guidelines.

Finally, the Commission reiterated that the subsidy allocated to financing rescue and fire-fighting services did not constitute State aid, as those activities are non-economic in nature and fall within the exercise of public authority powers.

For information, the Aviation Guidelines are currently being revised and the new framework will enter into force in April 2027. For further details, we invite you to read our previous articles on the EU Evaluation Support Study for Revision of Aviation Guidelines and on the revision of the Aviation Guidelines.