1999R1268 — EN — 29.06.1999 — 000.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COUNCIL REGULATION (EC)No 1268/1999
of 21 June 1999
on Community support for pre-accession measures for agriculture and rural development in the
applicant countries of central and eastern Europe in the pre-accession period
(OJ L 161, 26.6.1999, p. 87)
Corrected by:
►C1Corrigendum, OJ L 244, 16.9.1999, p. 64 (1268/1999)
1999R1268 — EN — 29.06.1999 — 000.001 — 2
▼B
COUNCIL REGULATION (EC)No 1268/1999
of 21 June 1999
on Community support for pre-accession measures for agriculture
and rural development in the applicant countries of central and
eastern Europe in the pre-accession period
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, andin particular Article308 thereof,
Having regard to the proposal from the Commission(
1),
Having regard to the opinion of the European Parliament(2),
HavingregardtotheopinionoftheEconomicandSocialCommittee(3),
Having regard to the opinion of the Committee of the Regions(4),
(1)Whereas the conclusions of the European Council of 12 and
13December 1997 provide for an enhanced pre-accessionstrategy for the applicant countries of central and eastern Europeand a specific pre-accession strategy for Cyprus;
(2)Whereas the conclusions of the European Council provide thatthe aid provided for in this Regulation be granted for the timebeing to the 10 applicant countries of central and eastern Europe;
(3)Whereas the Community has decided to provide special assis-tance in the form of pre-accession aid for the countries applyingfor accession in order to carry out action to support the currenteconomic and social reform process in those countries and toprepare and facilitate the integration of their economies into theCommunity economy;
(4)Whereas assistance from the Community support for pre-acces-sion measures for agriculture and rural development in the appli-cant countries of central and eastern Europe in the pre-accessionperiod together with assistance from the Community underCouncil Regulation 1267/1999 of 21June 1999 establishing anInstrument for Structural Policies for Pre-accession(
5) should be
coordinated within the framework of Council Regulation 1266/1999 of 21June 1999 on coordinating aid to the applicant coun-tries in the framework of the pre-accession strategy andamending Regulation (EEC) No3906/89(
6) and be subject to the
conditional provisions of Council Regulation (EC) No622/98 of16March 1998 on assistance to the applicant countries in theframework of the pre-accession strategy, and in particular on theestablishment of Accession Partnerships(
7);
(5)Whereas paragraph17 of the conclusions of the LuxembourgEuropean Council of 12 and 13December 1997 provides thatfinancial support to the countries involved in the enlargementprocess will be based, in the allocation of aid, on the principle ofequal treatment, independently of the time of accession, withparticularattentionbeingpaidtocountrieswiththegreatestneed;
(6)Whereas the Community pre-accession aid has to be decided inparticular to resolve priority problems in adapting the economiesof the applicant countries in a sustainable manner and facilitating
(1) OJ C 175, 9.6.1998, p. 7 and OJ C27, 2.2.1999, p. 18.
(2) Opinion delivered on 6May 1999 (not yet published in the Official
Journal).
(3) OJ C 101, 12.4.1999.
(4) OJ C 93, 6.4.1999.
(5) See page 73 of this Official Journal.
(6) See page 68 of this Official Journal.
(7) OJ L85, 20.3.1998, p.3.
1999R1268 — EN — 29.06.1999 — 000.001 — 3
▼B
the implementation by them of the acquis communautaire ,
focusing in particular on the common agricultural policy (CAP);
(7)Whereas pre-accession aid for agriculture should follow thepriorities of the reformed CAP; whereas such aid should beapplied to priority areas to be defined for each country, such asthe improvement of structures for processing agricultural andfishery products, distribution, quality control of food as well asveterinary and plant-health controls and the setting-up ofproducer groups; whereas it should also be possible to financeintegrated rural development projects to support local initiativesand agri-environmental measures, to improve the efficiency offarms, to adapt infrastructure as well as measures which willaccelerate structural reconversion;
(8)Whereas, in the agricultural sector, the Community support willbe implemented in the form of multiannual programmes estab-lished in accordance with the guidelines and the principles of theoperational programmes applied in the framework of structuralpolicy in order to facilitate in the applicant countries the imple-mentation of the principles and procedures in force;
(9)Whereas, in accordance with Council Regulation (EC) No1260/1999 of 21June 1999 laying down general provisions on theStructural Funds(
1), assistance can only be granted for any
measure from one Community financial instrument within agiven period, subject in the case of the European InvestmentBank (EIB) to its own rules on the provision of assistance;
(10)Whereas Community funds should not replace funding availablein each applicant country and whereas Community assistanceconstitutes a financial contribution to the completion of projects;
(11)Whereas pre-accession aid in the agricultural sector has to begranted in the form of a financial contribution and subject to thespecific financial rules established by Council Regulation (EC)No1258/1999 of 17May 1999 on the financing of the commonagricultural policy(
2);
(12)Whereas the allocation to applicant countries of resources fixedby the budget authority in the preamble of this instrument shouldtake full account of national prosperity on the basis of grossdomestic product, of the agricultural workforce, of utilised agri-cultural area and, if necessary, of specific territorial particulari-ties;
(13)Whereas applicant countries should submit their plans as quicklyas possible in order to avoid delaying the implementation of thepre-accession measures from 1January 2000;
(14)Whereas the drawing-up of those programmes, their implementa-tion and the follow-up mechanisms should comply with thespecific Structural Fund rules and thus facilitate the transfer oftheacquis communautaire ;
(15)Whereas a detailed ex-anteassessment should be carried out
beforeCommunityresourcesarecommitedinordertoensurethatthe programme complies with real needs, to permit flexibility intheimplementationofCommunityinterventiontotakeaccountofthe relevant information and the first results of the measures, andto strengthen the monitoring and ex-postevaluation to ensure the
effectiveness of the anticipated impact;
(16)Whereasprovisionshouldbemadeforamonitoringcommitteetoassist the Commission with the follow-up to each programme;
(17)Whereasthenecessarydecisionsshouldbeadoptedinaccordancewith the procedure laid down in Article50(2) of Regulation (EC)No1260/1999 and for specific financial items in accordance with
(1) See page 1 of this Official Journal.
(2) OJ L160, 26.6.1999, p.103.
1999R1268 — EN — 29.06.1999 — 000.001 — 4
▼B
the procedure laid down in Article13 of Regulation (EC)
No1258/1999;
(18)Whereas reports should be submitted to the Parliament, theCouncil, the Economic and Social Committee and the Committeeof the Regions on progress achieved in the implementation ofagricultural pre-accession aid;
(19)Whereas, during the transitional period (1January 1999 to31December 2001) all reference to theeuro should as a generalrule be considered as a reference to theeuro as a monetary unit,in accordance with the second sentence of Article2, of CouncilRegulation(EC)No974/98of3May1998ontheintroductionoftheeuro(
1);
(20)Whereas the implementation of these measures will help toachieve the Community’s aims; whereas the Treaty does notprovide for the adoption of this Regulation powers other thanthose laid down in Article308,
HAS ADOPTED THIS REGULATION:
TITLE 1
OBJECTIVES AND TYPES OF MEASURES
Article 1
Objectives
1. ThisRegulationestablishestheframeworkforCommunitysupport
for sustainable agriculture and sustainable rural development for thepre-accession period for the following applicant countries: Bulgaria, theCzech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania,Slovakia and Slovenia.
2. Communitysupportshallcomplywiththeconditionslaiddownin
theframeworkofaccessionpartnershipsandshallrelateinparticularto:
(a) contributing to the implementation of the acquis communautaire
concerning the common agricultural policy and related policies;
(b) solving priority and specific problems for the sustainable adaptation
of the agricultural sector and rural areas in the applicant countries.
Article 2
Measures
In accordance with the priorities defined by the applicant countries and
as defined in Article4(3), support for agriculture and rural developmentshall relate to one or more of the following measures, which shall beconsistent with the relevant acquis communautaire :
— investments in agricultural holdings,— improving the processing and marketing of agricultural and fishery
products,
— improving the structures for quality, veterinary and plant-health
controls, for the quality of foodstuffs and for consumer protection,
— agriculturalproductionmethodsdesignedtoprotecttheenvironment
and maintain the countryside,
— development and diversification of economic activities, providing
for multiple activities and alternative income,
— setting up farm relief and farm management services,— setting up producer groups,— renovation and development of villages and the protection and
conservation of the rural heritage,
(1) OJ L139, 11.5.1998, p.1.
1999R1268 — EN — 29.06.1999 — 000.001 — 5
▼B
— land improvement and reparcelling,
— establishment and updating of land registers,— improvement of vocational training,— development and improvement of rural infrastructure,— agricultural water resources management,— forestry, including afforestation of agricultural areas, investments in
forest holdings owned by private forest owners and processing andmarketing of forestry products,
— technical assistance for the measures covered by this Regulation,
includingstudiestoassistwiththepreparationandmonitoringoftheprogramme, information and publicity campaigns.
TITLE II
ASSISTANCE
Article 3
Complementarity and technical assistance
1. The Community action shall complement corresponding national
actions or contribute to these. It shall be established in close collabora-tion between the Commission, the applicant country, the competentauthorities and bodies and the economic and social partners at theappropriate level. Such cooperation shall cover preparation, imple-mentation including financing and appraisal, monitoring and evaluationof the measures.
2. Intheframeworkofthetechnicalassistance,theCommissionshall
take initiatives and measures to ensure that the Community measuressupports the priority objectives referred to in Article 1 and bring addedvalue to national initiatives.
Article 4
Programming
1. Measures for agriculture and sustainable rural development under
thisRegulationshallbethesubjectofaplantobedrawnupatthemostappropriate geographical level. The plan shall be prepared by thecompetent authorities designated by the applicant country and shall besubmitted by those countries to the Commission after the competentauthorities and organisations at the appropriate level have beenconsulted.
2. The plan shall cover a period of up to seven years from the year
2000 and subject to the application of Article1(2), shall include:
— a quantified description of the current situation showing disparities,
shortcomings and potential for development, the main results ofprevious operations undertaken with Community assistance, thefinancial resources deployed and the evaluation results available,
— a description of the strategy proposed, its quantified objectives, the
priorities selected and the geographical scope,
— a prior appraisal showing the anticipated economic, environmental
and social impact, including effects on employment,
— an indicative overall financial table summarising the national, the
Community and, where appropriate, the private financial resourcesprovided for and corresponding to each rural development priorityadopted in the context of the plan, including, if necessary, measuresfinanced by the EIB and other international financial instruments,
— anindicativefinancialprofileforeachyearcoveredbytheprogram-
ming period for each source contributing to the programme,
— where appropriate, information on the need for any studies, training
or technical assistance operations relating to the preparation, imple-mentation or adaptation of the measures concerned,
— the names of the competent authorities and bodies responsible for
carrying out the programme, including the paying agency,
1999R1268 — EN — 29.06.1999 — 000.001 — 6
▼B
— a definition of ‘final beneficiaries',which may be organisations, or
public or private undertakings responsible for conducting the opera-tions. In cases where public aid is granted by other authoritiesentrusted there with by the applicant countries, the final beneficia-ries shall be the institutions deciding the granting of the public aid,
— a description of the measures contemplated for implementing the
plans, and in particular aid schemes, including the points necessaryfor assessing the rules of competition,
— provisions ensuring correct implementation of the programme,
including monitoring and evaluation and the definition of quantifiedindicators for evaluation and the arrangements for controls andpenalties,
— the results of consultations and provisions adopted for associating
competent authorities and bodies as well as appropriate economic,social and environmental partners.
3. Intheirplans,applicantcountriesshallensurethatpriorityisgiven
to measures to improve market efficiency, quality and health standardsand measures to create new employment in rural areas, in compliancewith the provisions on the protection of the environment.
4. Unless otherwise agreed with the applicant country, the plan shall
be submitted not later than six months after the entry into force of thisRegulation.
5. On the basis of each applicant country’s plan, a Programme for
Agriculture and Rural Development shall be approved by the Commis-sion in accordance with the procedure laid down in Article50(2) ofRegulation (EC) No 1260/1999 within six months of submission of theplan, on condition that all the relevant information is available. InparticulartheCommissionshallappraisetheproposedplantodeterminewhether it is consistent with this Regulation.
6. The programme may, if necessary, be revised and amended as a
result:
— of socioeconomic development, relevant new information and the
results observed from the implementation of the actions concerned,including the results of monitoring and evaluation, as well as theneed to adjust the amounts of aid available,
— in view of actions taken in the framework of the accession partner-
ship and the national programme for the adoption of the acquis
communautaire ,
— of a reallocation of resources as laid down in Article15.
Article 5
Ex-ante appraisal, monitoring and evaluation
1. In order to assess their effectiveness, support for measures
included in the programme shall be subject to prior and mid-termappraisal, on-going monitoring and ex-postevaluation designed to
appraise the success and impact with respect to the defined objectives.
2. The Commission and the applicant country shall monitor the
implementation of the programme. Such monitoring shall be carried outby way of jointly agreed procedures.
Monitoring shall be carried out by reference to specific physical envir-
onmental and financial indicators agreed and established beforehand.
ApplicantcountriesshallsubmitannualprogressreportstotheCommis-
sion not later than the end of the first six months of the following year,which shall contain at least the information referred to in Article37 ofRegulation (EC) No1260/1999.
3. A monitoring committee shall be established for each rural devel-
opment programme in compliance with Article35 of Regulation (EC)No1260/1999.
1999R1268 — EN — 29.06.1999 — 000.001 — 7
▼B
Article 6
Compatibility
Measures granted Community support shall comply with the commit-
ments adopted in the Accession Partnership and shall be consistent withthe principles of the national programme for the adoption of the acquis
communautaire .
Measures financed under this Regulation shall comply with the provi-
sions of the Europe Agreements, including the provisions implementingthose agreements with regard to State aids.
Measures financed under this Regulation shall comply with the objec-
tives of the CAP, in particular those relating to common market organ-isations, and of Community structural measures. They shall not causecommercial disruption.
TITLE III
FINANCIAL PROVISIONS
Article 7
Resources
1. Community assistance under this Regulation shall be granted
duringtheperiodfrom2000to2006.Theannualappropriationsshallbeauthorised by the budgetary authority within the limits of the financialperspective.
2. The Community financial contribution for carrying out the rural
development programme shall be granted in the form of advances,part-financing and financing in accordance with the principles laiddown in Article30 of Regulation (EC) No1260/1999.
Payments of financial assistance may take the form of advances for
programme implementation and of payments against expenditureincurred.
3. The financial allocation to each applicant country for pre-acces-
sion aid under this instrument shall be based on the following objectivecriteria:
— farming population,— agricultural area,— gross domestic product (GDP) per capita in purchasing power,— specific territorial situation.
4. For the period referred to in Article4(2), up to 2% of the annual
allocation of funds may be devoted to financing the measures taken onthe initiative of the Commission for preliminary studies, exchangevisits, evaluations and controls.
Article 8
Rate of Community contribution
1. The Community contribution may amount to up to 75% of the
total eligible public expenditure.
For measures referred to in the last indent of Article2 and Article7(4),
theCommunitycontributiontofinancingmayamounttoupto100%ofthe total eligible cost.
2. For revenue generating investments, public aid may amount to up
to 50% of the total eligible cost of which the Community contributionmay amount to up to 75%. In any case the Community contributionshall comply with the ceilings on rates of aid and cumulation laid downfor State aid.
1999R1268 — EN — 29.06.1999 — 000.001 — 8
▼B
3. Thefinancialsupportandthepaymentsshallbeexpressedineuro.
Article 9
Financial control
1. The financial support shall comply with the principles laid down
in Regulation (EC) No1258/1999.
The Commission shall implement expenditure under this Regulation in
accordance with the Financial Regulation applicable to the generalbudget of the European Communities on the basis of the financingmemorandum to be drawn up between the Commission and the appli-cant country.
2. The Commission, in accordance with the procedure set out in
Article12, shall adopt the methods for managing the programme, theprovisions for monitoring and checking its execution, the systems forpreventingandcheckingirregularitiesandtheproceduresforrecoveringamounts unduly paid. These measures shall be adopted as a prerequisiteto the approval of the programme as referred to in Article4(5).
3. Without prejudice to checks carried out by beneficiary countries,
the Commission and the Court of Auditors may, through their ownagentsordulyauthorisedrepresentatives,carryouton-the-spottechnicalor financial audits, including sample checks and final audits.
Article 10
Reduction, suspension and cancellation of aid
1. If the implementation of a measure does not appear to justify any
part of the finance allocated to it, the Commission shall carry out anappropriate examination of the case, in particular by requesting theapplicant country or the authorities designated by it to implement themeasure to make their comments within a specified period.
2. Following that examination, the Commission may reduce or
suspend the aid for the measure concerned if the examination confirmsthe existence of an irregularity or of an important modification whichaffects the nature or the conditions of implementation of the measureand for which Commission approval was not obtained.
3. Anyamountrecoveredbywayofoverpaymentshallbetransferred
to the Commission. The amounts not transferred shall be subject tointerest on arrears in accordance with the provisions of the FinancialRegulation.
Article 11
The Commission shall allocate the available resources to the applicant
countriesfortheimplementationofArticle7(2).Withinthreemonthsofthe adoption of this Regulation, the Commission shall communicate itsdecisionstoeachapplicantcountryontheindicativefinancialallocationfor seven years.
TITLE IV
IMPLEMENTING RULES
Article 12
1. The Commission shall adopt detailed rules for the implementation
of this Regulation in accordance with the procedure laid down inArticle50(2) of Regulation (EC) No1260/1999.
▼
C1
2. The Commission shall adopt the detailed financial rules in accord-ance with the procedure laid down in Article 13 of Regulation (EC) No1258/1999. They shall relate, in particular, to appropriate provisions toensure compliance with budgetary discipline.
1999R1268 — EN — 29.06.1999 — 000.001 — 9
▼B
TITLE V
OTHER PROVISIONS
Article 13
Reports
The Commission shall present an annual report on the Community
supportgrantedunderthisRegulationtotheEuropeanParliament,totheCouncil, the Economic and Social Committee and to the Committee ofthe Regions.
In such reports the Commission shall outline in particular the progress
made towards achieving the objectives set out in Article1.
TITLE VI
FINAL PROVISIONS
Article 14
Information and publicity
1. The programmes set out in Article4(5) shall be the subject of
appropriate publicity in the applicant countries.
2. The publicity shall entail in particular:
— informing potential beneficiaries and professional organisations of
the assistance available,
— informing the general public of the Community’s role in relation to
the aid.
The proposals contemplated and the measures adopted to that end shall
be communicated to the Commission.
Article 15
OnaccessiontotheEuropeanUnion,acountryshallloseitsentitlement
to support under this Regulation. Resources made available as a resultof an applicant country acceding to the European Union shall be reallo-cated to other applicant countries listed in Article1(1). Reallocationshall be based on applicant countries’ need and capacity for absorbingassistance and on the criteria laid down in Article7(3).
The Council, acting by qualified majority on a proposal from the
Commission, shall take a decision outlining the general approach forreallocation.
In the light of the decision referred to in the second paragraph by the
Council, the Commission shall decide on the reallocation of availableresources among the other beneficiaries in accordance with the proce-dure laid down in Article12(1).
Article 16
Entry into force
This Regulation shall enter into force on the third day following its
publication in the Official Journal of the European Communities .
It shall apply from 1January 2000.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicablein
all Member States.