Renault have had their suspension from this weekend's European Grand Prix in Valencia overturned by world motorsport's governing body FIA -- the official Formula One Web site has confirmed. Fernando Alonso will be on the grid for Sunday's European Grand Prix after Renault's ban was overturned. Renault were handed the punishment at last month's Hungarian Grand Prix when they were found at fault for allowing driver Fernando Alonso to leave the pits with a wheel that had not been properly secured. Although Renault admitted unsafe conduct, an FIA International Court of Appeal hearing in Paris on Monday decided that the penalty was too severe and replaced it with a reprimand and a $50,000 fine instead. Renault team manager Steve Nielsen had said he was confident the team's suspension would be lifted. "I've been optimistic since we got the penalty. We feel it's unjust," he told reporters. Jorge Martinez, the vice-president of European Grand Prix organisers Valmor Sports, welcomed the decision. "Alonso's presence is excellent news for the race. "It is especially a plus for Spanish fans. It would not make sense to hold a race in Spain without the flag carrier of Spanish motor racing," he told reporters in Spain. Having won their appeal, Renault are now expected to announce a new driver to replace Nelson Piquet. Piquet revealed over the summer break that he is being dropped midway through his second season with the French team and Renault tester Roman Grosjean has been widely tipped as his successor.