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EU Thumbs Up To State payment to Sweden’s Posten

Published torsdag 23 november 2006 kl 13.42

Sweden has own European Union approval to the pay postal service Posten AB 400 million Swedish kronor, a year in 2006 and 2007, that’s 56.7 million US dollars per year, to supply basic cashier services throughout the country.

The European Commisision said it was satisfied that the state funding only covered Posten’s obligation to offer basic payment and cash facilities - managed by Posten’s SKS AB unit, and could be exempted from rules that ban government subsidies to industry.’

Sweden’s mail delivery sector was one of the first in Europe to be opened up to competion. Other EU nations will have to do the same by 2009, making sure that government payments do not overcompensate companies for offering a public service.

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