EC approves Slovenia's state aid to coronavirus-hit holder of Postojna cave concession

"The measure aims to compensate the concession holder for the damage incurred during the period between 16 March 2020 and 31 May 2020, when the Postojna and Predjama caves had to suspend operations in order to comply with governmental restrictions implemented to limit the spread of the virus," the EU's executive body said in a statement.

The support will be granted in the form of a reduction of the base concession fee, a higher-than-agreed deduction of investments from the base concession fee, and an additional deduction of interest payments and related loan costs from the base concession fee.

Such a support measure is proportionate, as the compensation does not exceed what is necessary to make good the damage, and is therefore in line the EU rules on state aid, the Commission concluded.

Postojna Cave is one of the top tourist destinations in Slovenia. Located in the southwest, it is the second longest cave in the country.

The cave and the Predjama Castle are operated by local company Postojnska Jama d.d..

($=0.853780 euro)