The European Commission has ordered Ryanair Holdings Plc to repay €1.8 million in what it deems illegal state aid received from Carcassonne Airport in southern France between 2001 and 2011. The ruling, announced on Monday, September 22, concludes a thirteen-year investigation into commercial agreements between the Irish low-cost carrier and the local Chamber of Commerce and Industry, which managed the regional airport at the time. Brussels determined that the payments constituted unfair advantages that violated European competition rules.

According to the Commission's findings, the contested agreements included discounts on airport fees and tourism promotion commitments that provided Ryanair with undue economic benefits compared to competitors. The investigation, launched in 2012, examined marketing arrangements and rebates negotiated during the decade-long period. The EU executive has mandated that France recover the full amount plus interest from the airline, marking another chapter in the long-standing dispute between European regulators and the budget carrier.

In the same ruling, the Commission validated €11.7 million in public funding provided to the Carcassonne Chamber of Commerce during the same period, primarily earmarked for airport infrastructure modernization. These subsidies were deemed compatible with general interest objectives and therefore not subject to recovery. The dual decision highlights the EU's nuanced approach to regional development support, distinguishing between legitimate public investment and market-distorting advantages.

This case represents the latest in a series of similar rulings against Ryanair across Europe. The carrier has previously been required to repay subsidies in Germany, Belgium, and Italy after Brussels found agreements with regional airports violated competition rules. Ryanair has consistently maintained that its airport contracts comply with EU regulations, setting the stage for potential legal challenges to Monday's decision as the airline continues its expansion strategy targeting smaller European airports.