The Netherlands currently has sectoral screening regimes, and a residual general screening regime, the Dutch Investments, Mergers and Acquisitions (Security Screening) Act (Act Vifo). Both regimes may have a profound impact on companies and investments in the energy space.

Sectoral screening regimes such as the Electricity Act, Gas Act, Nuclear Energy Act or Mining Act provide for investment screening and approval mechanisms in very specific sectors. The purpose of the screening mechanisms under these Acts is generally to preserve the security of energy infrastructure and of supply and delivery of energy, and to promote public safety and efficient exploration and production of natural resources. 

The purpose of the Act Vifo is to protect national security. The Act Vifo provides for a screening mechanism of investments in companies providing goods or services vital to the Netherlands (‘vital providers’), operators of tech campuses and companies active in (highly) sensitive technology. The latter category comprises goods and services with a military purpose, dual-use products and services and certain specifically designated technologies such as semiconductor technology. If the Act Vifo applies, notification of qualifying investments is mandatory.

Upon notification, the Minister of Economic Affairs and Climate Change (Minister) will confirm whether further investment screening is needed. If so, the Minister has the authority to prohibit the investment or permit it with conditions. 

Companies subject to an existing sector-specific review are not in scope of the Act Vifo, as the Act Vifo serves as a residual safety net.

Our overview in the PDF outlines the applicability of the sectoral regimes and the Act Vifo to various categories of businesses within the energy sector. The table is intended as an overview of investment screening mechanisms. We do not outline general license or permitting requirements.

Download the PDF here.