L 153/30 Official Journal of the European Union 30.4.2004 EN 
COMMISSION REGULATION (EC) No 817/2004  
of 29 April 2004 
laying down detailed rules for the application of Council Regulation (EC) No 1257/1999 
on support for rural development from th e European Agricultural Guidance and 
Guarantee Fund (EAGGF) 
THE COMMISSION OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Community, 
Having regard to Council Regulation (EC) No 1257/1999 of 17 May 1999 on support for rural 
development from the European Agricultur al Guidance and Guarantee Fund (EAGGF) and 
amending and repealing certain Regulations1, and in particular Articles 34, 45 and 50 thereof, 
Whereas: (1)  Regulation (EC) No 1257/1999 established a single legal framework for EAGGF 
support for rural development. In particular, Title II thereof spec ifies the measures eligible for 
support, their objectives and the criteria for e ligibility. This legal framework applies to 
support for rural development throughout the Community. 
(2)  To supplement this framework, Commission Regulation (EC) No 445/2002 of 26 
February 2002 laying down detailed rules for th e application of Council  Regulation (EC) No 
1257/1999 on support for rural development from the European Agricultural Guidance and 
Guarantee Fund (EAGGF)
2 has been adopted, taking account of experience gained using the 
instruments applied under the various Council Regulations repealed by Article 55(1) of 
Regulation (EC) No 1257/1999.  
(3)  Commission Regulation (EC) No 445/2002 of 26 February 2002 has been 
substantially amended. In addition, when Regulation (EC) No 1257/1999 was amended, four 
new measures were introduced for which detailed rules are needed. Moreover, in view of the experience gained since the beginning of the programming period, certain provisions should 
be clarified, in particular those relating to the procedure for amending programming 
documents, to the financial management of programmes and to the controls. In the interests of 
clarity and rationality, therefore, a new Regul ation laying down detailed rules should be 
adopted and Regulation (EC) No 445/2002 should be repealed. 
(4)  Those rules should follow the principles of subsidiarity and proportionality, and 
should therefore be restricted to what is necessary for the attainment of the aims being 
pursued. 
                                                
 
1  OJ L 160, 26.6.1999, p. 80. Regulation as amended by Regulation (EC) No 1783/2003 (OJ L 270, 
21.10.2003). 
2  OJ L 74, 15.3.2002, p. 1. Regulation as last amended by Regulation (EC) No 963/2003 (OJ L 138, 
5.6.2003, p. 2). 
 2    (5)  With respect to the eligibility criteria, Regulation (EC) No 1257/1999 lays down three 
basic conditions for support for investments in ag ricultural holdings and processing plants and 
support for young farmers. The time at which thos e conditions must be fulfilled should be 
specified, including  the duration of the period of grace that Member States may grant to 
certain beneficiaries in which to comply with minimum standards in cases where an 
investment is carried out with a view to meeting those standards .  
(6)  Community support for investments in holdings and processing plants is subject to the 
condition that normal market outlets can be found for the products concerned. Detailed rules 
should be laid down for assessing such market outlets. 
(7)  Support for vocational training should not cover normal agricultural and forestry 
education. 
(8)  As regards the conditions for early retire ment support, specific problems arising where 
a holding is transferred by several transferors or by a tenant farmer should be solved. 
(9)  Compensatory allowances payable in less-favoured areas for land used jointly by 
several farmers should be paid to each farmer concerned in proportion to the degree to which 
the farmer is entitled to its use. 
(10) The competences and resources required from the authorities and bodies selected for 
providing the farm advisory services should be specified. 
(11) As regards support for agri-environment and animal welfare, the minimum 
requirements to be met by farmers in connection with the various agri-environment and animal welfare commitments should ensure a balanced application of  support that takes 
account of the objectives and will thus contribute to sustainable rural development.  
(12) As regards support for farmers participati ng in a food-quality scheme, the products 
concerned by this support and the types of fixed costs which may be taken into account for 
calculating the amount of assistance should be specified.  
(13) In order to ensure complementarity between the promotion measures set in Article 24d 
of Regulation (EC) N° 1257/1999 and the regime concerning information and promotion actions established by Regulation (EC) N° 2826/2000 of 19 December 2000 on information 
and promotion actions for agricultural products on the internal market
3, detailed requirements 
for support for the promotion of quality products should be laid down, in particular as regards 
beneficiaries and eligible activities. In addition,  in order to avoid the risk of double financing, 
information and promotion measures supporte d under Council Regulation (EC) No 2826/2000 
should not be eligible for rural development support. 
(14) The selection criteria for investments to improve the processing and marketing of 
agricultural products should be fixed. Experience  shows that these selection criteria should be 
based on broad principles rather than sectoral rules. 
(15) The outermost regions of the Community should be exempt, subject to certain 
conditions, from the second indent of Article 28(1) of Regulation (EC) No 1257/1999, under 
which no assistance may be granted for invest ments intended for the processing or marketing 
of products from third countries. 
                                                 
3  OJ L 328, 23.12.2000, p.2. 
 3    (16) The forests not eligible for support unde r Article 29(3) of Regulation (EC) No 
1257/1999 should be defined in greater detail. 
(17) Detailed conditions should be laid down for support for the afforestation of 
agricultural land and payments for activities to  maintain and improve the ecological stability 
of forests. 
(18) Under Article 33 of Regulation (EC) No 1257/1999, support is granted for other 
measures relating to farming activities and their conversion and to rural activities not covered 
by any other rural development measure. Given the wide variety of measures which could be 
covered by this Article, it should be left primarily to the Member States to lay down the 
conditions for support as part of their programming. 
(19) Rules common to several measures should be laid down to ensure, in particular, that 
common standards of good farming practice are appl ied where measures refer to that criterion, 
and to guarantee the flexibility needed for long-term commitments to take account of events 
which might affect those commitments without jeopardising the effective implementation of 
the various support measures.  
(20) A clear dividing line should be drawn be tween financing rural development support 
and financing support under the common market organisations. Any exceptions to the principle that measures covered by support schemes under common market organisations 
should not be eligible for rural development sup port should be proposed by Member States in 
their rural development programming, according to their specific needs and following a transparent procedure. 
(21) Rural development support payments should be made in full to the beneficiaries. 
(22) Commission Regulation (EC) No 1685/2000
4 lays down detailed rules for 
implementing Council Regulation (EC) 1260/ 1999 of 21 June 1999 laying down general 
provisions on the Structural Funds5 as regards eligibility of e xpenditure under operations part-
financed by the Structural Funds, and hence by the EAGGF Guidance Section. In the interests 
of consistency, Regulation (EC) No 1685/2000 shou ld also apply to measures part-financed 
by the EAGGF Guarantee Section, except wher e otherwise provided in Regulation (EC) No 
1257/1999, in Council Regulation (EC) No 1258/1999 of 17 May 1999 on the financing of the common agricultural policy
6 or in this Regulation.  
(23) Standard unit costs are frequently fixed fo r certain investments part-financed under the 
first, second and sixth indents of Article 30( 1) and under Article 31 of Regulation (EC) No 
1257/1999. In the interests of clarity and in order to simplify the management of those 
measures, beneficiaries should be exempt, from 2000, from the requirement to present invoices under Commission Regulation (EC) No 1685/2000. The conditions on which 
Member States may apply such standard costs should also be laid down in order to ensure 
efficient management. 
                                                
 
4 OJ L 193, 29.7.2000, p.39. Regulation as amended by Regulation (EC) No 448/2004, (OJ L 72, 
11.3.2004, p. 66). 
5  OJ L 161, 26.6.1999, p.1. Regulation as last amended by Regulation (EC) No 1105/2003 (OJ L 158, 
27.6.2003, p.3). 
6 OJ L 160, 26.6.1999, p.103.  
 4    (24) Commission Decision 1999/659/EC of 8 September 1999 fixing an indicative 
allocation by Member States of the allocations under the European Agricultural Guidance and 
Guarantee Fund Guarantee Section for rural development measures for the period 2000 to 
20067 specifies the type of expenditure covered by the allocations made to the Member States. 
Moreover, under Commission Regulation (EC) No 2603/1999 of 9 December 1999 laying 
down rules for the transition to the rural development support provided for by Council Regulation (EC) No 1257/1999
8, payments arising from certain commitments made before 1 
January 2000 may be included in rural development programming for 2000-06 subject to 
certain conditions. It is therefore necessary to specify what is included in the overall amount 
of Community support fixed for each rural de velopment plan under the single programming 
document approved by the Commission.  
(25) In order to ensure more flexible financ ial management, Member States which have 
opted for regionalised rural development programming should have the option of having the 
total amount of Community support granted to each regional programme set out in a separate 
decision containing a consolidated table for the entire Member State.  
(26) Article 5 of Council Regulation (EC) No 1259/1999 of 17 May 1999 establishing 
common rules for direct support schemes under the common agricultural policy9 stipulates 
that the amounts accruing from penalties for infringement of environmental protection requirements or from modulation remain available to the Member States as additional 
Community support for certain rural developm ent measures. Exactly what the Commission's 
approval covers in the case of such measures should be specified. 
(27) Detailed rules should be laid down for the pr esentation of rural development plans and 
their revision. 
(28) In order to facilitate the establishment of rural development plans and their 
examination and approval by the Commission, common rules should be laid down for the structure and content of these plans, based in particular on the requirements set out in Article 
43 of Regulation (EC) No 1257/1999. 
(29) Requirements should be set for amendments to rural development programming 
documents so as to enable the Commission to examine them quickly and efficiently. 
(30) Only amendments involving important changes to rural development programming 
documents should be subject to the management committee procedure. Other amendments 
should be decided by the Member States and communicated to the Commission. 
(31) To ensure effective and regular monitoring, the Member States should make a 
consolidated and updated electronic version of their programming documents available to the 
Commission. 
(32) Detailed rules should be laid down on financ ial planning and contributions to the 
financing of measures financed by the EAGGF Guarantee Section under Article 35(1) and (2) 
of Regulation (EC) No 1257/1999. 
                                                
 
7 OJ L 259, 6.10.1999, p. 27. Decision as amended by Decision 2000/426/EC (OJ L 165, 6.7.2000, p. 33). 
8 OJ L 316, 10.12.1999, p. 26. Regulation as last amended by Regulation (EC) No 2055/2001 (OJ L 277, 
20.10.2001, p. 12). 
9 OJ L 160, 26.6.1999, p. 113. Regulation as last amended by Commission Regulation (EC) No 41/2004 
(OJ L 6, 10.1.2004, p.19). 
 5    (33) In this connection, Member States should report regularly to the Commission on the 
state of financing of rural development measures. 
(34) Steps should be taken to ensure that appr opriations earmarked for rural development 
support are efficiently used, in particular by providing for the Commission to grant an initial 
advance payment to paying agencies and for allocations to be adjusted according to needs and 
in the light of past performance. It should also be possible to grant advances to certain 
categories of beneficiaries, under certain condi tions, in order to facilitate the implementation 
of investment measures. 
(35) The general rules on budgetary discipline, in particular those relating to incomplete or 
incorrect declarations by Member States, should apply in addition to the specific rules laid 
down in this Regulation. 
(36) The detailed financial administration of rural development measures should be 
governed by the regulations implementing Regulation (EC) No 1258/1999. 
(37) The procedures and requirements for monitoring and evaluation should be based on 
the principles applicable to other Community support measures, in particular those laid down 
by Regulation (EC) No 1260/1999. 
(38) The administrative rules should permit better administration, monitoring and control of 
rural development support. In the interests of simplicity, the integrated administration and 
control system foreseen in Title II, Chapter IV of Council Regulation (EC) No 1782/2003 of 
29 September 2003 establishing common rules for direct support schemes under the common 
agricultural policy and establishing certain support schemes for farmers10 for which the 
detailed implementing rules are laid down by Commission Regulation (EC) No 2419/200111 
should be applied wherever possible. 
(39) Provision should be made for a system of penalties at both Community and Member 
State level. 
(40) Information on the situation regarding the implementation of former accompanying 
measures under Council Regulations (EEC) Nos 2078/9212, 2079/9213and 2080/9214, should 
be included in the annual report provided fo r in Article 48(2) of Regulation (EC) No 
1257/1999 where such measures form part of the financial programming for 2000-06. The 
expenditure arising under such measures should also be included in the information which 
Member States are required to s upply by 30 September each year. 
(41) The measures provided for in this Regulation are in accordance with the opinion of the 
Committee on Agricultural Structures and Rural Development, 
                                                 
10 OJ L 270, 21.10.2003, p.1. Regulation as last amended by Commission Regulation (EC) No 583/2004 
(OJ L 91, 30.3.2004, p. 1). 
11 OJ L 327, 12.12.2001, p.11. Regulation as amended by Regulation (EC) No 2550/2001 (OJ L 341, 
22.12.2001, p. 105). 
12 OJ L 215, 30.7.1992, p. 85. Regulation as last amended by Commission Regulation (EC) No 2772/95 
(OJ L 288, 1.12.1995, p. 35) and repealed by Regulation (EC) No 1257/1999. 
13 OJ L 215, 30.7.1992, p. 91. Regulation as last amended by Commission Regulation (EC) No 2773/95 
(OJ L 288, 1.12.1995, p. 37) and repealed by Regulation (EC) No 1257/1999. 
14 OJ 215, 30.7.1992, p. 96. Regulation as last amended by Commission Regulation (EC) No 231/96 (OJ L 
30, 8.2.1996, p. 33) and repealed by Regulation (EC) No 1257/1999. 
 6    HAS ADOPTED THIS REGULATION: 
CHAPTER  I 
RURAL DEVELOPMENT MEASURES   
SECTION  1 
Investments in agricultural holdings  
Article 1 
The period of grace which the Member States  may grant under Article 5(3) of Regulation 
(EC) No 1257/1999 in which to comply with newly introduced standards may not exceed 
thirty-six months from the date on which the standard becomes mandatory for the farmer.   
The end of the investment period referred to in  Article 5(3) of Regulation (EC) No 1257/1999 
shall fall within the period of grace as fixed in the first paragraph.  
The period of grace as fixed in the first paragr aph shall not apply to applications for support 
introduced before 7 May 2004. 
Article 2 
1. For the purposes of Article 6 of Regulation (EC) No 1257/1999, the existence of 
normal market outlets shall be assessed at the appropriate level in terms of: 
(a) the products concerned;  
(b) the types of investment; 
(c) existing and planned capacity. 
2. Any restrictions on production or limitations on Community support under common 
market organisations shall be taken into account. 
3. Where a common market organisation places restrictions on production or limitations 
on Community support at the level of individual farmers, holdings or processing 
plants, no investment shall be supported which would increase production beyond those restrictions or limitations.  
Article 3 
Article 4(2) of this Regulation shall also apply to investments made by young farmers. 
SECTION 2 
Setting-up of young farmers 
 7    Article 4 
1. The conditions for start-up assistance for young farmers laid down in Article 8(1) of 
Regulation (EC) No 1257/1999 must be met at the time when the individual decision to grant support is taken.  
2. A period not exceeding five years may be allowed after starting up in order to meet 
the requirements relating to occupational skill and competence, economic viability 
and minimum standards regarding the environment, hygiene and animal welfare, if 
the young farmer needs a period of adaptation in which to start up or to restructure the holding.  
Article 5 
The individual decision to grant the aid provided for in Article 8 of Regulation (EC) No 
1257/1999 shall be taken no later than 12 months after start-up as defined by the provisions in 
force in the Member States.  
SECTION 3 
Training 
Article 6 
Support for vocational training shall not include courses of instruction or training which form 
part of normal programmes or systems of agricultural and forestry education at secondary or 
higher levels. 
SECTION 4 
Early retirement 
Article 7 
Where a farm is transferred by several tran sferors, overall support shall be limited to the 
amount provided for one transferor. 
Article 8 
Non-commercial farming activity continued by the transferor in accordance with the first 
indent of Article 11(1) of Regulation (EC) No 1257/1999 shall not be eligible for support 
under the common agricultural policy.  
Article 9 
A tenant farmer may transfer the released land to the owner provided that the lease is 
terminated and the requirements relating to the transferee laid down in Article 11(2) of 
Regulation (EC) No 1257/1999 are complied with.  
 8    Article 10 
Released land may be included in a re-parcelling operation or in a simple exchange of parcels.  In such cases, the conditions applicable to released land shall be applied to areas 
agronomically equivalent to the released land.  
Member States may make provision for released land to be taken in charge by a body which 
undertakes to reassign it at a later date to a transferee who satisfies the conditions laid down 
for early retirement. 
SECTION 5 
Less-favoured areas and areas with environmental restrictions 
Article 11 
Compensatory allowances for areas used jointl y by several farmers for the purpose of grazing 
animals may be granted to each farmer concerned in proportion to that farmer's use, or right of 
use, of the land.  
SECTION 6 
Meeting standards 
Article 12 
The authorities and bodies selected to provide the farm advisory services referred to in Article 
21d (2) of Regulation (EC) No 1257/1999 shall ensure the availability of appropriate 
resources in the form of qualified staff, administrative and technical facilities and advisory 
experience and reliability with respect to the st atutory requirements referred to Article 21d (1) 
of Regulation (EC) No 1257/1999.  
SECTION 7 
Agri-environment and animal welfare 
Article 13 
Any commitment to extensify livestock farming or manage livestock farming differently shall 
comply with at least the following conditions: 
a) grassland management shall continue;  
b) the livestock shall be distributed across the farm in such a way that the whole of the 
grazed area is maintained, thus avoiding both over-grazing and under-utilisation;  
c) livestock density shall be defined taking into account all grazing livestock kept on the 
farm or, in the case of a commitment to limit nutrient leaching, all animals kept on 
the farm which are relevant to the commitment in question.   
 9    Article 14 
1. Support may relate to the following commitments: 
(a) to rear farm animals of local breeds indigenous to the area and in danger of 
being lost to farming;  
(b) to preserve plant genetic resources naturally adapted to the local and regional 
conditions and under threat of genetic erosion.  
2. The local breeds and plant genetic resources must play a role in maintaining the 
environment on the area to which the measure provided for in paragraph 1 applies.  
The eligible species of farm animals and the criteria for determining the threshold of 
loss to farming of local breeds are defined in the table in Annex I to this Regulation.  
Article 15 
For the purposes of the second subparagraph of Article 24(1) of Regulation (EC) No 
1257/1999, capital works shall be considered to be non-remunerative provided that they do not normally lead to any significant net increase in the value or profitability of the farm.  
Article 16 
Agri-environment commitments beyond the mini mum period of five years referred to in 
Article 23(1) of Regulation (EC) No 1257/1999 shall not run for a longer period than is reasonably necessary for the achievement of their environmental effects. They shall normally 
be for no longer than 10 years, except in the case of specific commitments where a longer 
period is found to be indispensable. 
Article 17 
Various agri-environment and/or animal welfare commitments may be combined provided 
that they are complementary and compatible.  
Where agri-environment measures are thus combin ed, the level of support shall take account 
of income forgone and specific additional costs arising from the combination. 
Article 18 
1. The reference level for calculating income  forgone and additional costs resulting from 
the commitments given shall be the usual good farming practice in the area where the 
measure is applied. 
The economic consequences of abandoning land or ceasing certain farming practices 
may be taken into account where this is justified by the agronomic or environmental circumstances. 
2. Where commitments are normally expressed in units other than those used in Annex of 
Regulation (EC) No 1257/1999, Member States  may calculate payments on the basis 
 10    of these other units. In such cases, the Member States shall ensure that the maximum 
amounts per year eligible for Community support as set out in the Annex to 
Regulation (EC) No 1257/1999 are complied with. To this end the Member State may:  
(a) set a limit on the number of units per hectare of the farm to which the agri-
environment commitments applies; or     
(b) determine the overall maximum amount for each participating farm and ensure 
that the payments for each farm are compatible with this limit.  
3. Payments may be based on limitations on the use of fertilisers, plant protection 
products or other inputs only if such limitations are technically and economically 
measurable.  
Article 19 
Member States shall determine the need to provide an incentive as provided for in the third 
indent of the first subparagraph of Articl e 24(1) of Regulation (EC) No 1257/1999 on the 
basis of objective criteria.  
Incentives may not exceed 20% of the income forgone and additional costs due to the 
commitment given, except in the case of specific commitments where a higher rate is deemed to be indispensable for effective implementation of the measure.  
Article 20 
A farmer who gives an agri-environment or animal welfare commitment relating to one part 
of a farm shall adhere to at least the standard of usual good farming practice throughout the farm.  
Article 21 
1. Member States may authorise one commitment to be converted into another during the 
period of its operation, on condition that: 
(a) any such conversion is of unquestionable benefit to the environment or to 
animal welfare;  
(b) the existing commitment is significantly reinforced; and  
(c) the approved programme includes the commitments concerned. 
An agri-environment commitment may be converted into a commitment for 
afforestation of agricultural land under Ar ticle 31 of Regulation (EC) No 1257/1999 
subject to the conditions set out in points (a) and (b) of the first subparagraph of this 
paragraph. The agri-environment commitment shall cease without reimbursement being required.  
2. Member States may allow agri-environment or animal welfare commitments to be 
adjusted during the period for which they apply, provided that the approved 
 11    programme includes scope for such adjustment and that the adjustment is duly 
justified having regard to the objectives of the commitment.   
SECTION 8 
Food quality 
Sub-section 1 
Participation in food quality schemes  
Article 22 
1. Assistance foreseen in Article 24b of Regulation (EC) No 1257/1999 may be granted 
to farmers participating in a quality scheme only if the agricultural product or 
foodstuff has been officially recognised unde r the Regulations listed in paragraph 2 of 
that Article or a national quality scheme as provided for in paragraph 3 of that Article.  
2. Where a support under Article 24b of Regulation No 1257/1999 for participation in a 
food quality scheme under Council Regulation (EEC) No 2092/9115 for a specific 
product is included in the rural development programming document, the fixed cost 
resulting from the participation in this quality scheme shall no more be taken into 
account in calculating the amount of support in the framework of an agri-environment measure to support organic farming for the same product.  
3. For the purposes of Article 24c of Regulation (EC) No 1257/1999, “fixed costs” 
means the costs incurred for entering a quality scheme and the annual contribution for 
participating in such a scheme, including, where necessary, expenditure on checks 
required to verify compliance with the specifications of the scheme.  
Sub-section 2 
Promotion of quality products  
Article 23 
For the purposes of Article 24d(1) of Regulation (EC) No 1257/1999, “producer group” 
means any organisation, of whatever legal form, which brings together operators actively participating in a quality scheme covered by  Article 24b of Regulation (EC) No 1257/1999 for 
a specific agricultural product or foodstuff.  
Professional and/or interprofessional organisa tions representing one or more sectors cannot 
qualify as “producer groups” in the sense of the first paragraph..  
Article 24 
For the purposes of Article 24d(2) of Regul ation (EC) No 1257/1999, the information, 
promotion and advertising activities eligible fo r support shall be activities designed to induce 
                                                
 
15  OJ L 198, 22.7.1991, p.1.  
 12    consumers to buy the agricultural products or foodstuffs covered by quality schemes included 
in the programming document under the measure “participation in food quality schemes”. 
Such activities shall draw attention to the spec ific features or advantages of the products 
concerned, notably the quality, specific production methods, high animal welfare standards 
and respect for the environment linked to the quality scheme concerned, and may include the 
dissemination of scientific and te chnical knowledge about these products. 
Such activities shall include, in particular, the organisation of, and/or participation in, fairs 
and exhibitions, similar public relations exercise s and advertising via the different channels of 
communication or at the points of sale. 
Article 25 
1. Only information, promotion and advertising activities on the internal market shall be 
eligible for support under Article 24d of Regulation (EC) No 1257/1999.  
2. Activities under Article 24 may not concern commercial brands. They may not incite 
consumers to buy a product due to its particular origin, except for products covered by the quality scheme introduced by Council Regulation (EC) No 2081/92
16 and those 
covered by Council Regulation (EC) n°1493/1999 on the common organisation of the 
market in wine17.  
The origin of a product may nevertheless be indicated provided the mention of the 
origin is subordinate to the main message.  
3. Where activities covered by Article 24 of this Regulation concern a product included 
in a quality scheme provided for under Article  24b(2)(a), (b) or (c) of Regulation (EC) 
No 1257/1999, the Community logo provided for under those schemes shall appear on 
information, promotion and/or advertising material.  
4. Information and promotion activities supported under Council Regulation (EC) No 
2826/2000 shall not qualify for support under Article 24d of Regulation (EC) No 1257/1999.  
Article 26 
The Member States shall ensure that all dr aft information, promotion, and advertising 
materials drawn up in the context of an activity benefiting from support under Article 24d of Regulation (EC) No 1257/1999 comply with Community legislation. To that end, 
beneficiaries shall transmit all such draft materials to the competent authority of the Member 
State. 
 
SECTION 9 
Improving the processing and marketing of agricultural products   
                                                
 
16  OJ L 208, 24.7.1992, p.1. 
17  OJ L 179, 14.7.1999, p.1 
 13    Article 27 
Eligible expenditure may include:  (a) the construction and acquisition of immovable property, with the exception of land 
purchase; 
(b) new machinery and equipment including computer software; 
(c) general costs, such as architects', engineers' and consultants' fees, feasibility studies, 
acquisition of patents and licences. 
The costs referred to in point (c) of the first subparagraph shall be in addition to the costs 
referred to in (a) and (b) and sh all be considered eligible expenditure up to a ceiling of 12 % 
of those costs. For the development of new technologies as referred to Article 25(2), fourth 
indent, of Regulation (EC) No 1257/1999, the ceiling can be increased up to 25 %. 
Article 28 
1. For the purposes of the second subparagrap h of Article 26(1) of  Regulation (EC) No 
1257/1999, “small processing units” means undertakings with fewer than 10 
employees and an annual turnover or annual balance sheet total not exceeding EUR 2 
million. 
2. The period of grace which the Member States may grant under the second 
subparagraph of Article 26(1) of Regulation (EC) No 1257/1999 in which to comply 
with newly introduced minimum standards, may not exceed thirty-six months from the 
date on which the standard becomes mandatory for the small processing unit.
  
The end of the investment period referred to in the second subparagraph of Article 
26(1), of Regulation (EC) No 1257/1999 shall fall within the period of grace as fixed 
in the second paragraph above.  
Article 29 
1. For the purposes of Article 26(3) of Reg ulation (EC) No 1257/1999, the existence of 
normal market outlets shall be assessed at the appropriate level in relation to:  
(a) the products concerned;  
(b) the types of investment;  
(c) existing and planned capacity.  
2. Any restrictions on production or limitations on Community support under common 
market organisations shall be taken into account.  
 14    Article 30 
In the outermost regions, support may be granted for investment in the processing or 
marketing of products from third countries, provided that the processed products are intended for the market of the region in question.  
For the purpose of compliance with the condition laid down in the first subparagraph, support 
shall be limited to processing capacity corresponding to regional needs, provided that such 
processing capacity does not exceed such needs.  
SECTION 10  
Forestry  
Article 31 
The forests excluded from forestry support under Article 29(3) of Regulation (EC) No 
1257/1999 shall be:  
(a) forest or other wooded land owned by central or regional governments, or by 
government-owned corporations;  
(b) forest and other wooded land owned by the crown;  
(c) forests owned by legal persons at least 50 % of whose capital is held by one of the 
institutions referred to in points (a) and (b).  
Article 32 
Agricultural land eligible for support for affore station under Article 31 of Regulation (EC) No 
1257/1999 shall be specified by the Member State and shall include in particular arable land, 
grassland, permanent pastures and land used for perennial crops, where farming takes place on a regular basis 
Article 33 
1. For the purposes of the second indent of  the second subparagraph of Article 31(1) of 
Regulation (EC) No 1257/1999, "farmer" means a person who devotes an essential part of his or her working time to agricultural activities and derives from them a 
significant part of his or her income according to detailed criteria to be determined by 
the Member State.  
2. For the purposes of the second subparagrap h of Article 31(3) of  Regulation (EC) No 
1257/1999, "fast-growing species cultivated in the short term" means species with a rotation time, namely the period between two harvest cuts on the same parcel, of less 
than 15 years.  
Article 34 
1. Support under Article 32 of Regulation (E C) No 1257/1999 may not be granted for 
areas for which support has been granted under Article 31 of that Regulation. 
 15    2. Payments for maintaining fire-breaks through agricultural measures under the second 
indent of Article 32(1) of Regulation (EC) No 1257/1999 may not be granted for 
areas benefiting from agri-environment support. 
Such payments shall be consistent with any restrictions on production or limitations 
on Community support under common market organisations and shall take account 
of payments made under those common market organisations. 
SECTION 11 
Rules common to several measures 
Article 35 
1. For the purposes of the third indent of Article 14(2) and the first subparagraph of 
Article 23(2) of Regulation (EC) No  1257/1999, "usual good farming practice", 
means the standard of farming which a reasonable farmer would follow in the region 
concerned.  
The Member States shall define verifiable standards in their rural development plans. 
These standards shall at least entail compliance with general mandatory 
environmental requirements. Concerning the support for animal welfare according to article 22, second subparagraph, points (f) of Regulation (EC) No 1257/1999, these 
standards comprise at least the mandatory requirements in this area. 
2. Where a Member States grants a period for the compliance with a new standard as 
referred to article 1 of this Regulation or a period for the compliance of young 
farmers with the minimum standards referred to in article 4, second subparagraph, of 
this Regulation, the farmers remains eligible for the compensatory allowances 
referred to in Chapter V of Regulation (EC) No 1257/1999 and/or for agri-
environment or animal welfare support referred to in Chapter VI of that Regulation 
during this period provided the other conditions for granting these supports are met 
and provided that the farmer complies with the standards concerned at the end of the period.  
Article 36 
Where a beneficiary transfers all or part of a holding to another person during the period for 
which a commitment given as a condition for the grant of assistance runs, the transferee may 
take over the commitment for the remainder of the period. If the commitment is not taken 
over, the beneficiary shall reimburse the assistance granted. 
Member States may choose not to require su ch reimbursement if a beneficiary who has 
already honoured a significant part of the commitment concerned definitively ceases 
agricultural activities and it is not feasible for a successor to take over the commitment. 
In the event of minor changes to the situation of a holding, Member States may take specific 
measures to ensure that application of the fi rst subparagraph does not lead to inappropriate 
results in terms of the commitment entered into. 
 16    Article 37 
1. When a beneficiary increases the area of the holding during the period for which a 
commitment given as a condition for the gran t of assistance runs, Member States may 
provide for the commitment to be extended to cover the additional area for the 
remainder of the period of the commitment in accordance with paragraph 2, or for the 
original commitment to be replaced by a new one in accordance with paragraph 3. 
Provision may also be made for such replacement in cases where the area covered by 
a commitment within a holding is extended. 
2. The extension referred to in paragra ph 1 may be granted only under the following 
conditions: 
(a) it is of unquestionable benefit to the measure concerned;  
(b) it is justified in terms of the nature of the commitment, the length of the 
remaining period and the size of the additional area; 
(c) it does not impede the effectiveness of checks to ensure compliance with the 
conditions for the grant of assistance. 
The size of the additional area referred to in (b) must be significantly less than the 
original area or not more than two hectares. 
3. The new commitment referred to in paragraph 1 shall cover the whole area concerned 
under terms at least as strict as those of the original commitment. 
Article 38 
Where a beneficiary is unable to continue to  comply with commitments given because the 
holding is reparcelled or is the subject of other similar public land-consolidation measures, 
Member States shall take the measures necessary to allow the commitments to be adapted to 
the new situation of the holding. If such adaptation proves impossible, the commitment shall 
expire and reimbursement shall not be required in respect of the period in which the 
commitment was effective. 
Article 39 
1. Without prejudice to the actual circumstances to be taken into consideration in 
individual cases, Member States may recognise , in particular, the following categories 
of force majeure : 
(a) death of the farmer;  
(b) long-term professional incapacity of the farmer;  
(c) expropriation of a large part of the holding if this could not have been 
anticipated on the day on which the commitment was given;  
(d) a severe natural di saster seriously affecting the agricultural land on the holding;  
 17    (e) the accidental destruction of livestock buildings on the holding;  
(f) an epizootic disease affecting all or part of the farmer's livestock. 
Member States shall notify the Commission of categories which they recognise as 
force majeure . 
2. Cases of force majeure  shall be notified in writing to the competent authority, together 
with relevant evidence to the satisfaction of that authority, within 10 working days of 
the date on which the farmer is in a position to do so. That deadline may be extended 
by 20 working days so long as that possibility is provided for in the programming 
document. 
CHAPTER II  
GENERAL RULES AND ADMINISTRATIVE AND 
FINANCIAL PROVISIONS  
SECTION 1 
General rules 
Article 40 
For the purposes of the second subparagraph of Article 37(3) of Regulation (EC) No 
1257/1999, Articles 41, 42 and 43 of this Regulation shall apply.  
Article 41 
1. Environmental measures implemented under common market organisations, 
agricultural quality and health measures, and rural development measures other than 
agri-environment support shall not preclude agri-environment support for the same 
production, provided that such support is a dditional and consistent with the measures 
concerned and without prejudice to paragraph 3. 
2. Where support is combined in accordance with paragraph 1, the level of assistance 
shall take account of income forgone and specific additional costs arising from the 
combination. 
3. Agri-environment measures on land set aside under Article 6 of Council Regulation 
(EC) No 1251/199918 shall qualify for support only if the commitments go beyond the 
appropriate environmental measures referred to in Article 6(2) of that Regulation. 
From 1 January 2005, new agri-environment measures on land set aside under Article 
54 or Article 107 of Council Regulation (EC) No 1782/2003 shall qualify for support only if the commitments go beyond the basic requirements laid down in Article 3(1) of 
that Regulation. 
                                                
 
18  OJ L 160, 26.6.1999, p. 1. 
 18    In the case of extensification of beef production, support shall take account of the 
extensification payment under Article 13 of Council Regulation (EC) No 
1254/199919. 
In the case of support for less-favoured areas and areas with environmental 
restrictions, agri-environment commitments sh all take account of the conditions laid 
down for support in the areas concerned. 
Article 42 
Under no circumstances may the same commitment be the subject of payments 
simultaneously under agri-environment support and another Community aid scheme. 
Article 43 
The Member States must propose any excepti ons under the first indent of the second 
subparagraph of Article 37(3) of Regulation (EC) No 1257/1999 in their rural development 
plans or programming documents presented for Obje ctives 1 and 2 as provided for in Article 
18(1) and (2) or Article 19(1), (2) and (3) of Regulation (EC) No 1260/1999. 
Article 44 
Payments under rural development measures shall be made in full to the beneficiaries. 
Article 45 
Regulation (EC) No 1685/2000 shall apply to measures included in the programming referred 
to in Article 40(2) and (3) of Regulation (EC) No 1257/1999, except where otherwise 
provided in Regulations (EC) No 1257/1999 and No 1258/1999 and this Regulation.  
Article 46 
1. Member States applying standard unit costs for establishing the cost of certain forestry 
investments under the first, second and sixth indents of Article 30(1) and under Article 
31 of Regulation (EC) No 1257/1999 may exempt beneficiaries from the requirement 
to present receipted invoices or accounting documents of equivalent probative value for the investments concerned as provided for in point 2 of Rule 1 of the Annex to 
Regulation (EC) No 1685/2000. 
2. The costs referred to in paragraph 1 may be applied provided the following conditions 
are fulfilled: 
(a) the costs are calculated by the competent public authorities on the basis of 
objective criteria permitting determination of the cost of individual activities, 
taking account of specific local conditions and avoiding any overcompensation; 
                                                
 
19 OJ L 160, 26.6.1999, p. 21. 
 19    (b) the part-financed investments are made between the date the aid application is 
submitted and the date final payment of that aid is made.";  
SECTION 2 
Programming 
Article 47 
The rural development plans under Chapter II of Title III of Regulation (EC) No 1257/1999 
shall be submitted in accordance w ith Annex II to this Regulation. 
Article 48 
1. The approval of programming documents referred to in Article 44(2) of Regulation 
(EC) No 1257/1999 shall determine the overall amount of Community support. If 
Member States opt for regionalised rural development programming, that overall amount may be the subject of a separate decision containing a consolidated financial 
table for all the rural development programmes of the Member State concerned .  
That amount referred to in the first subparagraph shall include: 
(a) expenditure on measures presented under the new rural development 
programming, including expenditure on evaluation under Article 49(2) of 
Regulation (EC) No 1257/1999;  
(b) expenditure incurred under earlier accompanying measures covered by Council 
Regulations (EEC) Nos 2078/92, 2079/92 and 2080/92 and under the measures 
covered by the earlier Regulations re pealed by the above Regulations;  
(c) expenditure incurred on measures under Article 4 of Regulation (EC) No 
2603/1999.  
2. Approval shall also cover the allocation and use of amounts remaining available to the 
Member States as additional Community support under Article 5 of Regulation (EC) No 1259/1999. If a separate decision as referred to in the first subparagraph of 
paragraph 1 is adopted, these amounts shall appear in the financial table annexed to 
this decision. 
However, those amounts shall not be included in the overall amount of Community 
support referred to in paragraph 1. 
3. Approval may cover State aid intended to provide additional financing to rural 
development measures only if the State aid is identified in accordance with point 16 of Annex II.  
Article 49 
Member States shall make rural development programming documents available to the public. 
 20    Article 50 
Where rural development measures are submitted in the form of general framework 
regulations, rural development plans shall make  appropriate reference to such regulations. 
Articles 47, 48 and 49 shall also apply in the case referred to in the first paragraph. 
Article 51 
1. Amendments to rural development programming documents and rural development 
measures included in single programming documents under Objective 2 financed by 
the EAGGF Guarantee Section shall be duly substantiated, in particular giving the 
following information: 
(a) the reasons and any implementation problems justifying adjustment of the 
programming document;  
(b) the expected effects of the amendment;  
(c) the implications for financing and verification of commitments. 
2. Acting in accordance with the procedures referred to in Articles 50(2) and 48(3) of 
Regulation (EC) No 1260/1999, the Commission shall approve any amendments to rural development programming documents, financial table annexed to the decision 
referred to in the first subparagraph of Ar ticle 48(1) and rural development measures 
included in single programming documents under Objective 2 financed by the EAGGF 
Guarantee Section whenever they have a bearing on: 
(a) priorities;  
(b) the main features of the support measures as indicated in Annex II; 
(c) the overall maximum amount of Community support and/or the overall 
minimum total eligible cost or eligible public expenditure fixed in the decision 
approving the programming document or in the decision referred to in the first subparagraph of Article 48(1);  
(d) the distribution of the financial allocation made for the measures contained in 
the programming document, where it exceeds:  
– 15% of the total eligible cost of the programme concerned for the entire 
programming period, if the Community contribution is based on the 
total eligible cost, 
– 20% of the total eligible public expenditure for the programme 
concerned for the entire programming period, if the Community 
contribution is based on the eligible public expenditure,  
calculated on the basis of the last column (total) of  the financial table annexed to 
the Commission Decision approving the programming document or annexed to the decision referred to in the first subparagraph of Article 48(1), as last 
amended.  
 21    3. The amendments referred to in paragraph 2 shall be submitted to the Commission in a 
single proposal per programme no more than once per calendar year. 
The first subparagraph shall not apply: (a) where amendments are required as a result of a natural disaster or other 
exceptional occurrence with a major impact on the Member State's programming; 
(b) where an amendment of the financial table annexed to the decision referred to 
in Article 48(1) is necessary as a result of an amendment of a regional rural 
development programming document. 
4. Amendments of a financial nature which are not covered by paragraph 2(d) and 
amendments to the Community contribution rate  as referred to in the first indent of 
point 9(2) B of Annex II shall be communicated to the Commission together with the financial table amended in accordance with point 8 of Annex II. They shall enter into 
force on the date on which they are received by the Commission. 
Amendments of a financial nature as referred to in the first subparagraph may not 
exceed the ceilings provided for in paragraph 2(d) when totalled over a calendar year. 
5. Amendments other than those covered in paragraphs 2 and 4 shall be communicated to 
the Commission at least three months before their entry into force.  
Such amendments may enter into force earlier if the Commission confirms to the 
Member State before the end of the three-month period that the notified amendments 
comply with Community legislation.  
If the notified amendment does not comply with Community legislation, the 
Commission shall inform the Member State thereof and the three–month period provided for in the first subparagraph shall be suspended until the Commission 
receives a compliant amendment.  
Article 52 
Where Community legislation is amended, rural development programming documents and 
single programming documents under Objective 2 shall be revised in line with those 
amendments if necessary.  
Article 51(3) shall not apply to such revisions. 
Such amendments to rural development programming documents or single programming 
documents under Objective 2 which are limited to bringing the document into line with new 
Community legislation shall be sent to the Commission for information.   
Article 53 
Member States shall make available to the Commission a consolidated electronic version of 
their programming documents, updated following each amendment. They shall provide the 
Commission with the electronic address at whic h the consolidated versions of programming 
documents can be consulted and shall inform it each time they are updated. 
 22    Furthermore, Member States shall keep an electronic version of all the previous versions of 
their programming documents. 
SECTION 3 
Additional measures and Community initiatives 
Article 54 
The scope of assistance from the EAGGF Guidance Section is extended to the whole 
Community in the case of measures under the rural development Community initiative and its financing extended to measures eligible under European Parliament and Council Regulations 
(EC) Nos 1783/1999
20 and 1784/199921.  
SECTION 4 
Financial provisions 
Article 55 
1. No later than 30 September each year, the Member States shall forward the following 
information to the Commission, for each rural development programming document 
and each single programming document under Objective 2 as regards rural 
development measures financed by the EAGGF Guarantee Section: 
(a) a statement of expenditure incurre d in the current financial year and 
expenditure remaining to be disbursed by the end of that year and covered by 
Community support as defined in Article 48(1), and 
(b) revised forecasts of such expenditure for subsequent financial years until the 
end of the programming period concerned, keeping within the allocation for 
each Member State. 
This information shall be transmitted in table format using a computerised model 
supplied by the Commission. 
2. Without prejudice to the general rules on budgetary discipline, where the information 
which Member States are required to transmit to the Commission under paragraph 1 is 
incomplete or the time limit has not been met, the Commission shall reduce advances 
on entry in the accounts of agricultural expenditure on a temporary and flat-rate basis. 
Article 56 
1. For the month during which the decision is adopted approving a rural development 
programming document or a single programming document under Objective 2 as 
regards rural development measures financed by the EAGGF Guarantee Section, the 
paying agencies may enter in the accounts as expenditure an advance not exceeding 12.5% of the average annual EAGGF contribution provided for in the programming 
document, covering the expenditure referred to in Article 48(1). 
                                                
 
20 OJ L 213, 13.8.1999, p. 1. 
21 OJ L 213, 13.8.1999,p .5. 
 23    This advance shall represent working capital which shall be recovered for each 
programming document: 
(a) once the aggregate sum of the expenditure paid out by the EAGGF and the 
amount of the advance is equal to the total EAGGF contribution provided for in 
the programming document  or, 
(b) at the end of the programming period,  if the total amount of the EAGGF 
contribution is not reached.  
However, Member States may decide to pay the advance back before the end of the 
programming period. 
2. For countries whose currency is not the euro on the date of such entry, advances 
under paragraph 1 shall be entered in the accounts using the rate of exchange 
prevailing on the penultimate Commission working day of the month preceding that in which the paying agencies enter the advance in the accounts. 
Article 57 
1. For each Member State, expenditure declared for any given financial year shall be 
financed up to the limit of the amounts notified to the Commission under point (b) of the first subparagraph of Article 55(1) which are covered by the appropriations 
entered in the budget for the financial year concerned. 
2. Where the total amount of the forecasts notified under point (b) of the first 
subparagraph of Article 55(1) exceeds the total appropriations entered in the budget 
for the financial year concerned, the maximum amount of expenditure to be financed 
for each Member State shall be limited using the formula used to establish the 
corresponding annual allocation as defined in Decision 1999/659/EC. 
If, after this reduction, appropriations rema in available because some Member States 
have made forecasts which are below th eir annual allocation, the surplus amount 
shall be distributed in proportion to the Member States' respective annual allocations 
while ensuring that the amount forecast for each Member State as referred to in the 
first subparagraph is not exceeded. The Comm ission shall adapt the initial allocations 
per Member State fixed by Decision 1999/659/EC within two months of the adoption 
of the budget for the financial year concerned. Within six weeks following that 
adaptation the Member States shall communicate to the Commission, for each rural 
development programme and single programming document for Objective 2 as 
regard rural development measures financed by the EAGGF-Guarantee Section, a new financial table complying with the adjusted forecasts for the financial year 
concerned and the allocations fixed by Decision 1999/659/EC as modified.  
For 2004, the communication of the new financial table referred to in the second 
subparagraph should be done within eight weeks following the entry into force of the 
present Regulation. 
3. Where expenditure actually incurred by a Member State in any given financial year 
exceeds the amounts notified under point (b) of the first subparagraph of Article 55 (1) or the amounts resulting from the applic ation of paragraph 2 of this Article, the 
overruns on expenditure in the current financial year shall be taken into account on a 
 24    pro rata basis, up to the limit of the appropriations remaining available after 
reimbursing to the other Member States the expenditure incurred. 
4. Where expenditure actually incurred by a Member State in a given financial year is 
less than 75% of the amounts referred to in paragraph 1, the expenditure to be 
recognised for the following financial year shall be reduced by a third of the 
difference between this threshold, or the amounts resulting from the application of 
paragraph 2 if they are below it, and the actual expenditure incurred during the 
financial year concerned. 
This reduction shall not be taken into ac count when establishing actual expenditure 
in the financial year following that in which the reduction was made. 
Article 58 
Articles 55, 56, and 57 of this Regulation shall not apply to expenditure incurred under Article 
5 of Regulation (EC) No 1259/1999. 
Article 59 
The Community shall contribute to financing ev aluations in the Member States under Article 
49(2) of Regulation (EC) No 1257/1999 where such evaluations actually contribute to 
evaluation at Community level by virtue of their scope, particularly through their replies to 
common evaluation questions and their quality. 
The Community contribution shall not exceed 50% of a ceiling which, except in duly justified 
cases, shall be 1% of the total cost of the rural development programme.  
Article 60 
1. Beneficiaries of investment support measur es under Chapters I, VII, VIII and IX of 
Title II of Regulation (EC) No 1257/1999 may request the payment of an advance 
from the competent paying agencies if th is option is included in the programming 
document. As regards public beneficiaries, this advance may be granted only to 
municipalities and associations thereof and to public law bodies. 
2. The amount of the advance shall not exceed 20% of the total cost of the investment, 
and its payment shall be subject to the establishment of a bank guarantee or an 
equivalent guarantee corresponding to 110% of the amount of the advance.  
However, in the case of the public beneficiaries referred to in paragraph 1, the paying 
agency may accept a written guarantee from their authority, in accordance with provisions applied in the Member States, co vering an amount equal to the percentage 
specified in the first subparagraph, provided that the authority undertakes to pay the 
amount covered by its guarantee should entitlement to the advance paid not be 
established. 
3. The guarantee shall be released once the competent agency notes that the amount of 
real expenditure resulting from the investment exceeds the amount of the advance.  
 25    4. Paying agencies shall declare to the EAGGF Guarantee Section the amount 
corresponding to the Community part-financing: 
(a) of the advance paid;  (b) of the actual expenditure subsequently paid to beneficiaries, minus the amount 
of the advance already paid.  
SECTION 5 
Monitoring and evaluation 
Article 61 
1. The annual progress reports provided for in Article 48(2) of Regulation (EC) No 
1257/1999 shall be submitted to the Commission by 30 June of each year and shall 
relate to the previous calendar year.  
Progress reports shall contain the following information:  
(a) any change in the general conditions which is of relevance to the 
implementation of the measure, and in particular any major socio-economic 
trends or changes in national, regional or sectoral policies;  
(b) the progress of measures and priorities in relation to their operational and 
specific objectives, expressed us ing quantitative indicators;  
(c) action taken by the management authority and the Monitoring Committee, if 
provision has been made for such a committee, to ensure high quality and 
effective implementation, and in particular: 
(i) monitoring measures, financial control and evaluation, including data 
collection procedures;  
(ii) a summary of the major problems encountered in managing the measure 
and any steps taken;  
(d) measures taken to ensure compatibility with Community policies. 
2. The indicators referred to in point (b) of the second subparagraph of paragraph 1 shall 
follow, as far as possible, the common indicators defined in the guidelines drawn up 
by the Commission. Where additional indicato rs are needed to effectively monitor 
progress towards the objectives in the rural development programming documents, 
these shall be included. 
Article 62 
1. Evaluations shall be performed by independent evaluators in accordance with 
recognised practice. 
2. Evaluations shall provide answers, in pa rticular, to common evaluation questions 
defined by the Commission in consultation with the Member States and shall, as a 
general rule, be accompanied by perfor mance-related criteria and indicators. 
 26    3. The authority responsible for managing the rural development programming 
document shall assemble the appropriate resources for evaluations, making use of 
monitoring results and gathering additional information where necessary. 
Article 63 
1. Ex ante evaluation shall analyse the disparities, gaps and potentials of the current 
situation, assess the consistency of the proposed strategy with the situation and 
targets and consider the issues raised in the common evaluation questions. It shall 
assess the expected impact of the selected priorities for action and quantify their 
targets where possible. It shall also verify the proposed implementing arrangements 
and consistency with the common agricu ltural policy and other policies. 
2. Ex ante evaluation shall be the responsibility of  the authorities preparing the rural 
development plan and shall form part of it. 
Article 64 
1. Mid-term and ex post  evaluation shall deal with the specific issues arising in the rural 
development programming document concerned and with common evaluation 
questions relevant at Community level. Thes e shall relate to the living conditions and 
structure of the rural population, employ ment and income from farm and off-farm 
activities, agricultural structures, agricultural commodities, quality, competitiveness, 
forest resources and the environment.  
If a common evaluation question is not considered relevant to a particular rural 
development programming document, this shall be substantiated. 
2. Mid-term evaluation shall deal with the evaluation questions and shall examine in 
particular the initial achievements, their relevance to and consistency with the rural 
development programming document and the extent to which the targets have been 
attained. It shall also assess the use made of financial resources and the operation of monitoring and implementation. 
Ex post  evaluation shall answer the evaluation questions, paying particular attention 
to the use made of resources and the effectiveness and efficiency of assistance and its 
impact and shall draw conclusions concerning rural development policy, including its 
contribution to the common agricultural policy. 
3. Mid-term and ex post evaluation shall be performed in consultation with the 
Commission under the responsibility of the authority in charge of managing rural development programming. 
4. The quality of individual evaluations shall be assessed using recognised methods by 
the authority in charge of managing the rural development programming document, 
the Monitoring Committee, if any, and the Commission. The results of the 
evaluations shall be made available to the public. 
 27    Article 65 
1. A mid-term evaluation report shall be transmitted to the Commission not later than 
31 December 2003. The authority responsible for managing the rural development programming document shall inform the Commission on the follow-up to the 
recommendations in the evaluation report. The Commission shall prepare a 
Community-level summary upon receipt of the individual evaluation reports. Where 
necessary, an update of the mid-term evaluation shall be completed by 31 December 
2005. 
2. An ex post evaluation report shall be transmitted to the Commission not later than 
two years after the end of the programming period. Within three years of the end of 
the programming period and upon receipt of the individual evaluation reports the 
Commission shall prepare a Community-level summary. 
3. The evaluation reports shall explain the methods used, including their implications 
for the quality of the data and the findings . Reports shall include a description of the 
context and contents of the programme, financial information and the answers - including the indicators used - to the common evaluation questions and the 
evaluation questions defined at national or regional level, as well as conclusions and 
recommendations. Their structure shall follow,  as far as possible, a common structure 
for evaluation reports defined in guidelines drawn up by the Commission.  
SECTION 6 
Applications, checks and penalties 
Article 66 
1. Applications for rural development support for areas or animals which are lodged 
separately from aid applications under Article 6 of Regulation (EC) No 2419/2001 
shall indicate all the areas and animals on the holding which are relevant for 
checking the applications under the measure in question, including those for which no support is requested. 
2. Where a rural development support measure relates to areas, parcels shall be 
identified individually. During the period covered by a commitment, parcels 
receiving support may not be exchanged except in cases specifically provided for in 
the programming document. 
3. Where an application for payment is included with an application for an area 
payment in the context of the integrated administration and control system, the Member State shall ensure that parcels covered by applications for rural development 
support are declared separately. 
4. Animals and plots of land shall be identified in accordance with Articles 18 and 20 of 
Regulation (EEC) No 1782/2003. 
5. Where support is multiannual, payments subsequent to that made in the year an 
application was submitted shall be made in response to an annual application for 
payment, except where the Member State has introduced an effective annual verification procedure as refe rred to in Article 66(1). 
 28    Article 67 
1. Initial applications to join a scheme and s ubsequent applications for payment shall be 
checked in a manner which ensures effective verification of compliance with the conditions for granting support.  
The Member States shall define suitable methods and means for verifying each 
support measure as well as the persons  who shall be subject to checks. 
Wherever appropriate, Member States shall make use of the integrated administration 
and control system introduced by Regulation (EC) N°1782/2003. 
2. Verification shall consist of administrative and on-the-spot checks. 
Article 68 
Administrative checks shall be exhaustive and shall include cross-checks wherever 
appropriate, inter alia  with data from the integrated administration and control system. They 
shall relate to parcels and livestock covere d by a support measure in order to avoid all 
unjustified payments of aid. Compliance with long-term commitments shall also be checked.  
Article 69 
On-the-spot checks shall be made in accorda nce with Title III of Regulation (EC) No 
2419/2001. They shall cover at least 5% of benefi ciaries each year and all the different types 
of rural development measures set out in the programming documents. As regards the 
measure “early retirement” referred to in Chapter IV of Regulation (EC) No 1257/1999 and 
the measure “afforestation of agricultural land” referred to in Article 31 of that Regulation,  this rate can be reduced down to 2.5 % from the sixth year of support for these measures 
onwards, without increasing the cont rol rate for the other measures.  
On-the-spot checks shall be spread over the year on the basis of an analysis of the risks 
presented by each rural development measure. For investment support measures under 
Chapters I, VII, VIII and IX of Title II of  Regulation (EC) No 1257/1999, Member States may 
provide that on-the-spot checks concern only th ose projects in the process of completion.  
Checks shall cover all the commitments and obligations of a beneficiary which can be 
checked at the time of the visit.  
Article 70 
Articles 30 and 31 and Article 32(1) of Regul ation (EC) No 2419/2001 shall apply to area 
payments. Those provisions shall not apply to support under forestry measures other than 
afforestation of agricultural land. 
Articles 36, 38 and 40 of that Regulation shall apply to support based on livestock. 
 29    Article 71 
1. Article 44 of Regulation (EC) No 2419/2001 shall apply to support granted to all rural 
development measures. 
2. In the event of undue payment, the beneficiary under a rural development measure 
shall be under an obligation to repay the amount concerned in accordance with Article 49 of Regulation (EC) No 2419/2001. 
Article 72 
1. Any beneficiary found to have made a false declaration as a result of serious 
negligence shall be excluded from all rural development measures under the relevant 
chapter of Regulation (EC) No 1257/1999 for the calendar year in question.  
Where a false declaration was made intentionally, the beneficiary shall be excluded 
for the following year as well.  
2. The penalties provided for in paragraph 1 shall apply without prejudice to additional 
penalties provided for under national rules. 
Article 73 
Member States shall lay down the rules on penalties applicable to infringements of the 
provisions of this Regulation and shall take all measures necessary to ensure that they are implemented. The penalties provided for must be effective, proportionate and dissuasive. 
CHAPTER III 
FINAL PROVISIONS  
Article 74 
1. Regulation (EC) No 445/2002 is hereby repealed. 
Article 65(2) of Regulat ion (EC) n°445/2002 shall continue to apply. 
2. References to the repealed Regulation shall be construed as references to this 
Regulation and shall be read in accordance with the correlation table in Annex III. 
Article 75 
This Regulation shall enter into force on the seventh day following its publication in the 
Official Journal of the European Union . 
Article 46 shall apply from 1 January 2000. 
 30    This Regulation shall be binding in its entirety and directly applicable in all Member States. 
Done at Brussels, 29 April 2004. 
 For the Commission 
 Franz FISCHLER  
 Member of the Commission 
 31    ANNEX I  
(Article 14) 
Eligible farm animal species Thresholds under which a local breed is 
considered as being in danger of being lost 
to farming 
(number of breeding females * ) 
Cattle 
Sheep 
Goat 
Equidae 
Pigs 
Avian 7 500 
10 000 
10 000 
5 000 
15 000 
25 000 
 
* Number, calculated for all EU Member States, of breeding females of the same breed 
available for a pure-bred reprodu ction, included in a registe r recognised by the Member 
State (e.g. herd book or zoological book).  
 32    ANNEX II  
RURAL DEVELOPMENT PLANS 
1. Title of rural development plan 
2. Member State and administrative region (if relevant) 
3.1. Geographical area covered by the plan  
Article 41 of Regulation (EC) No 1257/1999 
3.2 Regions classified as Objectives 1 and 2  
Article 40 of Regulation (EC) No 1257/1999 
Identify: 
– Objective 1 regions and Objective 1 regions  in transition. This applies only to 
the accompanying measures (early retirement, compensatory allowances, agri-
environment and afforestation of agricultural land under Article 31 of Regulation (EC) No 1257/1999);  
– Objective 2 regions. This applies to: 
1) Accompanying measures 
2) Other measures which do not form part of the Objective 2 programming. 
4. Planning at the relevant geographical level 
Article 41(2) of Regulation (EC) No 1257/1999 
Where exceptionally more than one rural development plan will apply in the region, 
indicate: 
– all the relevant plans;  
– why it is not possible to integrate measures into a single plan;  
– the relationship between measures in the different plans and details as to how 
compatibility and consistency between plans will be ensured. 
5. Quantified description of the current situation 
First indent of Article 43(1) of Regulation (EC) No 1257/1995 
1. Description of the current situation  
 Describe the current situation of the geographical area using quantified data, 
highlighting strengths, disparities, gaps  and potential for rural development. 
This description should concern both agriculture and forestry (including the 
type and extent of handicaps affecting farming in less-favoured areas), the rural 
 33    economy, the demographic situation, hu man resources, employment and the 
state of the environment. 
2. Impact from the previous programming period  
 Describe the impact of EAGGF financial resources allocated to rural 
development during the previous programming period and under accompanying measures since 1992. Present the results of evaluations. 
3. Other information  
 Where relevant, also describe any supplementary measures in addition to 
Community rural development and accompanying measures which have had an impact on the programming area concerned. 
6. Description of the strategy proposed , its quantified objectives, the rural 
development priorities selected and the geographical area covered 
Second indent of Article 43(1) of Regulation (EC) No 1257/1999 1. Proposed strategy, quantified obje ctives and priorities selected 
 In the light of the strengths, disparities, gaps and development potential 
identified in the area concerned, describe in particular: 
– the priorities for action;  
– the appropriate strategy to attain the objectives;  
– the operational objectives and e xpected impact, quantified where 
possible, also in terms of both monito ring and estimates that can be used 
for evaluation purposes;  
– the extent to which the strategy takes account of the specific features of 
the areas concerned;  
– how the integrated approach has been applied;  
– the extent to which the strategy provides for the involvement of women 
and men;  
– the extent to which the strategy takes account of all relevant international 
Community and national obligations in the field of the environment, 
including those relating to sustainable development, in particular the 
quality and use of water, conservation of biodiversity including on-farm conservation of crop varieties, and global warming. 
2. Description and effects of other measures  Where relevant, the description must also include any measures taken outside 
the rural development plan (other Community measures or national measures, such as compulsory rules, codes of practice and State-aided measures) and the 
extent to which these measures meet the needs identified. 
 34    3. Areas covered by specific territorial measures 
 Describe the geographical coverage of any measures as defined at point 8 
which do not apply throughout the region indicated at point 3. 
 In particular, include: 
– the list of less-favoured areas ad opted for the area concerned;  
– any amendments to the list of less-favoured areas, giving the reasons 
(Article 55(4) of Regulation (EC) No 1257/1999);  
– areas with environmental re strictions, giving reasons. 
4. Timetable and uptake 
 Proposed timetable for implementing the various measures, expected uptake 
and duration (see also point 8). 
7. Appraisal showing the expected economic, environmental and social impact 
Third indent of Article 43(1) of Regulation (EC) No 1257/1999 
Detailed description in accordance with Article 43 of Regulation (EC) No 
1257/1999. 
 35    8. Indicative overall financia l table (EAGGF financial year) 
Article 43(1), fourth indent, of Regulation (EC) No 1257/1999 
Financial programming table: rural deve lopment programmes (EUR million) 
 Year 1 ......Year 7 TOTAL 
 Public 
expenditure 
(1) EC 
contribution
(2) Private sector 
contribution
(3) Public 
expenditu r
e 
(1) EC 
contribution
(2) Private sector 
contribution 
(3) Public 
expenditu r
e 
(1) EC 
contribution
(2) Private sector 
contribution
(3) 
Priority A          
Measure A1 (e.g. agri-
environment and  animal 
welfare)          
Of which measures 
approved under Regulation (EEC) No 2078/1992)          
Measure A2…          
…Measure An           
Total A          
Priority B….           
Measure B1 (e.g. early 
retirement)           
Of which measures 
approved under Regulation 
(EEC) No 2079/1992)          
Measure B2…          
…Measure Bn           
Total B          
... Priority N          
Measure N1 (e.g. 
afforestation)           
Of which measures 
approved under Regulation 
(EEC) No 2080/1992)          
Measure N2…           
…Measure Nn          
Total N          
Other measures          
Evaluation          
Former measures from 
before 1992          
Transitional measures (4)          
Total other measures          
Total expenditure 
incurred (D)          
Total plan (P) (5)          
Under-utilisation (P-D)          
Over-utilisation (D-P)          
(1) Column for planned (public) expenditure, provided for guidance. 
 36    (2) Column for the Community contribution planned for each measure. The Community 
contribution relating to expenditure to be paid is calculated using the rates and 
arrangements laid down in the programme for each measure. The Community contribution can be calculated in relati on to eligible public expenditure (column 
2/column 1) or total eligible cost [column 2/(column 1 + column 3)].  
(3) Column for planned (private-sector) expe nditure, provided for guidance when such a 
contribution is foreseen for the measure. 
(4) Article 4(2) of Regulation (EC) No 2603/1999. The Member States must define the 
criteria, identifying clearly the expenditure to be included in programming. 
(5) Calculated on the basis of the financial table annexed to the Commission Decision 
approving the programming document as last amended. 
APPLICATION OF APPROPRIATIONS RESULTING FROM MODULATION 
Year 1 Year 2 ......Year 7 Total  
Public 
expenditure EC 
contribution Public 
expenditureEC 
contributionPublic 
expenditureEC 
contribution Public 
expenditure EC 
contribution
Early retirement          
Agri-
environment 
and animal welfare         
Afforestation          
Less-
favoured areas         
Total 
modulation         
Note: 
Where a measure is entered simultaneously unde r more than one priority, the Member State 
shall provide, for the purposes of financial management, an additional table consolidating all 
expenditure relating to the measure. This additional table should follow the structure of the 
table above and the order of the list below. Idem for Member States with a consolidated 
financial table. 
The consolidated financial table referred to in Article 48(1) of this Regulation must follow the 
structure of the table above and the order of the list below. 
 37    ----------------------------------------------------------------------------------------- 
– The different measures are defined as follows: 
(a) investment in farms; 
(b) start-up assistance for young farmers; 
(c) training; 
(d) early retirement; (e) less-favoured areas and areas with environmental restrictions; 
(f) agri-environment and animal welfare; 
(g) improving processing and marketing of agricultural products; 
(h) afforestation of agricultural land; 
(i) other forestry measures; 
(j) land improvement; 
(k) reparcelling; (l) setting up farm advisory services, fa rm relief services and farm management 
services;  
(m) marketing of quality agricultural products, including the setting-up of quality 
schemes; 
(n) basic services for the rural economy and population; 
(o) renovation and development of villages and protection and conservation of the 
rural heritage; 
(p) diversifying agricultural activities and activities close to agriculture to provide 
multiple activities or alternative sources of income; 
(q) agricultural water resources management; 
(r) development and improvement of infrastructure connected with the 
development of agriculture; 
(s) encouragement for tourist and craft activities; (t) protecting the environment in connection with agriculture, forestry and 
landscape management and improving animal welfare; 
(u) restoring agricultural production pote ntial damaged by natural disasters and 
introducing appropriate prevention instruments; 
(v) financial engineering. 
 38    (w) management of integrated rural development strategies by local partners; 
(x) implementing demanding standards; 
(y) use of farm advisory services; 
(z) participation in food quality schemes; 
(aa) promotion of quality products. 
– Measures (j) to (w) may be defined as a single measure: (j) promoting the adaptation 
and development of rural areas. 
– EAGGF Guarantee Section resources for me asures to promote the adaptation and 
development of rural areas (Article 33 of Regulation (EC) No  1257/1999) in 
Objective 2 (rural) areas: EUR …………..million (% of total for Article 33)." 
9. Description of the measures designed to implement the plans 
Fifth indent of Article 43(1) of Regulation (EC) No 1257/1999 For each point below, provide: 
A. the main features of support measures,  
B. other information. 
1. General requirements 
A. Main features of support measures: 
– list of measures in the order presented in Regulation (EC) No 
1257/1999; 
– identify the specific article (and paragraph) which covers each rural 
development payment measure. Where two or more articles are 
cited, the payment measure must be divided into its constituent parts. 
– overall objective of each measure 
2 Requirements concerning all or several measures(1). 
A. Main features: 
– exceptions referred to in the first indent of the second subparagraph 
of Article 37(3) of Regulation (EC) No 1257/1999. 
B. Other information: 
– Community contribution based on either the total cost or public 
expenditure; 
 39    – aid intensity and/or amount and differentiation applied (Chapters I 
to VIII); 
– details of eligibility conditions; 
– criteria to demonstrate economic viability (Chapters I, II, IV and 
VII); 
– usual good farming practice (Chapters V and VI); 
– minimum standards regarding environment, hygiene and animal 
welfare (Chapters I, II and VII); 
– level of occupational skill and competence required (Chapters I, II 
and IV); 
– sufficient assessment of the existence of normal market outlets for 
the products concerned (Chapters I and VII) in accordance with 
Articles 6 and 26 of Regulation (EC) No 1257/1999; 
– description of all ongoing contr acts (from the previous period), 
including in financial terms, and the procedures/rules which apply 
to these. 
3. Information required for specific measures 
 In addition, the following specific information is required for measures under 
the individual chapters: 
I. Investment in agricultural holdings 
A. Main features: 
– primary production sectors and types of investments. 
B. Other information: 
– maximum limits on total amount of investment eligible for 
support; 
– types of support. 
– designation of the standards for which a period of grace can 
be granted to the farmer in accordance with article 5(3) of 
Regulation (EC) No 1257/1999, justification related to the 
specific problems involved in complying with these standards 
and maximum duration of the period per standard concerned. 
II. Start-up assistance for young farmers 
A. Main features: 
None. 
 40    B. Other information: 
– length of time allowed for young farmers to fulfil the 
eligibility criteria within the five-year period authorised 
under Article 4 (2) of this Regulation , 
– age limit, 
– conditions applying to young farm ers not established as sole 
head of the holding or who start up as members of associations or cooperatives whose main purpose is to 
manage an agricultural holding, 
– type of start-up support. 
– designation of farm advisory serv ices linked to the setting-up 
of young farmers in  cases  where the support granted is higher  
than provided  for in the second subparagraph of Article 
8(2)(b) of Regulation (EC) No 1257/1999. 
III. Training 
A. Main features: 
None. 
B. Other information: 
– eligible measures and beneficiaries; 
– assurance that no normal education system or programmes 
are proposed for financing. 
IV. Early retirement 
A. Main features: 
None. 
B. Other information: 
– detailed description of conditions concerning transferor, 
transferee, worker and land released, in particular the use of 
land to be retained by the transferor for non-commercial 
purposes and the length of time allowed to improve viability; 
– type of aid, including a description of the method used for 
calculating the maximum amount to be part-financed per 
holding and a justification for each type of beneficiary; 
– description of national retirement and early-retirement 
schemes; 
– details on the duration of the aid. 
 41    V. Less-favoured areas and areas wi th environmental restrictions 
A. Main features: 
– amount of aid: 
1) for compensatory allowances under Article 13(a) of 
Regulation (EC) No 1257/1999: proposals to exceed the 
maximum amount which can be part-financed in accordance 
with the second subparagraph of Article 15(3) of Regulation (EC) No 1257/1999 must include the necessary justification. 
Specify how it will be assured that the upper limit for 
compensatory allowances is complied with in these cases and 
explain the administrative procedure by which compliance 
with the maximum amount that can be part-financed will be ensured; where the maximum payment as laid down in the 
Annex to Regulation (EC) No 1257/1999 is applied, indicate 
the objective circumstances justifying this application ; 
2) for compensatory allowances under Articles 13(b) and 16 of 
Regulation (EC) No 1257/1999: the initial detailed agronomic calculations showing: (a) income foregone and 
costs incurred as a result of the environmental restrictions, (b) 
agronomic assumptions used as reference point; 
3) for compensatory allowances as referred to in Article 16 of 
Regulation (EC) No 1257/1999:    
– indicate, if necessary, the specific problems justifying a 
higher support than the maximum amount, as provided for in 
the first subparagraph of Article 16(3) of the above 
Regulation;  
– indicate, if necessary, the justification for initially higher 
support as provided for in the second subparagraph of Article 16(3) of the above Regulation.  
B. Other information: 
– details of eligibility conditions, in particular: 
1) definition of the minimum area;  2) description of the appropriate conversion mechanism used in 
the case of common pastures; 
3) amount of aid for payments refe rred to in point (a) of Article 
13 of Regulation (EC) No 1257/1999: justification of differentiation of the amount of aid using the criteria set out 
in Article 15(2) of that Regulation;  
4.) for compensatory allowances referred to in point (b) of 
Article 13 and Article 16 of Regulation (EC) No 1257/1999: 
 42    changes to the detailed agronomic calculations fixed in the 
programming document as approved; 
– amendments to the lists of less-favoured areas adopted or 
amended by Council and Commission Directives, and the list 
of areas with environmental restrictions. 
VI. Meeting standards 
VI.1. Implementing demanding standards  
A. Main features: 
– list of standards based on Community legislation eligible for 
support under Article 21b of Regulation (EC) No 1257/1999, 
date from which the standard is mandatory in accordance with Community legislation and justification of choice.  
 
B. Other information: 
– description of the significant impact on farm operating costs 
stemming from the obligations or restrictions imposed by the 
new standard; 
– amount of support per eligible standard and detailed 
calculations justifying this amount. 
VI.2.  Use of farm advisory services 
A. Main features: 
 None.  
B. Other information: 
– description of the farm advisory system put in place by the 
Member State, including the procedure for the selection of the bodies responsible for the advisory services. 
– frequency of support granted to a farmer for the use of 
agricultural advisory services in the four areas referred to in 
article 21d (1) of Regulation (EC) No 1257/1999 
VII. Agri-environment and animal welfare 
A. Main features: 
– justification for the commitments, based on their expected 
impact; 
– the initial detailed agronomic calculations showing: (a) 
income foregone and cost incurred in relation to usual good 
 43    farming practice; (b) the agronomic assumptions used as 
reference point; (c) the level of incentive and a justification 
for this based on objective criteria; 
B. Other information: 
– the list of local breeds in danger of being lost to farming and 
the number of breeding females for the areas concerned. That 
number must be certified by a duly recognised technical body 
- or breeder's organisation/association - which must register 
and keep up-to-date the herd or flock book for the breed. The 
body concerned must possess the necessary skills and knowledge to identify animals of the breeds in, 
– for plant genetic resources under threat of genetic erosion, 
evidence of genetic erosion ba sed upon scientific results and 
indicators for the occurrence of  landraces/primitive (local) 
varieties, their population diversity and the prevailing 
agricultural practices at local level; 
– details of obligations on farmers and any other terms of the 
commitment, including scope and procedures for adjusting of 
running contracts, 
– changes to the level of support up to 120 % of the costs and 
income lost indicated in the agronomic calculations fixed in 
the programming document as approved and the justification 
for these changes 
– description of coverage of the measure, showing its scope in 
relation to needs and its degree of targeting in terms of 
geographical, sectoral or other coverage; 
– for all the agri-environment and animal welfare commitments 
together, the possible ways of combining commitments should be shown and the mutual consistency of commitments 
should be ensured. 
VIII. Food quality  
VIII.1. Participation in food quality schemes   
A. Main features 
– list of Community and national quality schemes eligible for 
support. For national schemes, description of the scheme 
regarding the criteria referred to in Article 24b(3) of 
Regulation No 1257/1999.  
B. Other information 
 44    – amount of support per type of eligible scheme and 
justification for fixed costs as provided for in Article 24c of 
Regulation No 1257/99. 
VIII.2. Promotion of quality products   
A. Main features 
– None.  
B. Other information 
– list of products qualifying for support under the quality 
scheme chosen under the measure referred to in VIII.1; 
– procedure for ensuring that actions benefiting from rural 
development support are not also supported under Council Regulation (EC) No 2826/2000; 
– procedure for ex-ante  checks on information, promotion, and 
advertising materials (Article 26 of this Regulation); 
– description of eligible costs. 
IX. Improving the processing and marketing of agricultural products 
A. Main features 
– sectors of basic ag ricultural production 
B. Other information 
– criteria to prove economic benefits for primary producers, 
– designation of the standards for which a period of grace can 
be granted to the small processing units in accordance with 
article 26(1), second indent, of Regulation (EC) No 
1257/1999, justification related to the specific problems 
involved in complying with these standards and maximum duration of the period per standard concerned.. 
X. Forestry 
A. Main features: 
– None 
B. Other information: 
definition of: 
(i) "agricultural land" in relation to Article 32 of this 
Regulation; 
 45    (ii) “farmer" in relation to Article 33 of this Regulation; 
(iii) provisions ensuring that the planned measures are suited 
to local conditions and compatible with the environment as well 
as keeping balance between fo restry and game populations 
where applicable; 
(iv) contractual arrangements between regions and potential 
beneficiaries concerning measures  referred to in Article 32 of 
Regulation (EC) No 1257/1999. 
– where the standard costs referred to in Article 46 are applied: 
– (i) the standard unit costs;  
– (ii) the method used to fix those costs;  
– (iii) compliance with the criterion of avoidance of 
 overcompensation 
– description of eligible measures and beneficiaries; 
– linkage between proposed measures  and national/sub-national forest 
programmes or equivalent instruments; 
– reference to the forest protection plans for areas classified as high or 
medium risk for forest fires and the conformity of proposed measures 
with these protection plans. 
XI. Promoting the adaptation and development of rural areas 
A. Main features: 
– description and justification of the action proposed under 
each measure. 
B. Other information: 
– definition of financial engineering, which must comply with 
the general eligibility criteria. 
10. Need for any studies, demonstration pr ojects, training or technical assistance 
operations (where applicable) 
Sixth indent of Article 43(1) of Regulation (EC) No 1257/1999 
11. Designation of competent authorities and bodies responsible 
Seventh indent of Article 43(1) of Regulation (EC) No 1257/1999 
12. Provisions to ensure the effective and correct implementation of the plans, 
including monitoring and evaluation, a de finition of quantified indicators for 
evaluation, arrangements for controls and sanctions and adequate publicity. 
 46    Eighth indent of Article 43(1) of Regulation (EC) No 1257/1999 
1. Detailed information on the implementation of Articles 60 to 65 of this 
Regulation 
 This should include in particular: 
– the possibility of granting advances to certain beneficiaries of investment 
measures, 
– the description of the financial circuits for the payment of assistance to 
final beneficiaries, 
– the arrangements for monitoring and evaluating the programme, notably 
systems and procedures for collecting,  organising and coordinating data 
relating to financial, physical and impact indicators, 
– the role, composition and rules of procedure of any monitoring 
committees, 
– codification. This codification shall be in accordance with the model 
provided by the Commission. 
2. Detailed information on the implementation of Articles 66 to 73 of this 
Regulation. 
 This should include the specific control measures planned to verify the 
substance of claims and compliance with the conditions for support as 
well as the specific rules on penalties. 
3. Detailed information on compliance with the general eligibility criteria 
laid down in Regulation (EC) No 1685/2000. 
 Article 45 of this Regulation. 
4.  Other information: 
Where appropriate, information that the time limit for notifying cases of 
force majeure  has been extended (Article 39(2) of this Regulation). 
13. Results of consultations and designation of associated authorities and bodies as 
well as economic and social partners 
Ninth indent of Article 43(1) of Regulation (EC) No 1257/1995 
1. Describe: 
– the economic and social partners and other relevant national bodies to be 
consulted in accordance with national rules and practice, 
– the agricultural and environmental authorities and bodies to be involved, 
in particular, in preparing, implementing, monitoring, evaluating and 
reviewing agri-environment measures and other measures targeting the 
 47    environment, thus ensuring a balance between these measures and other 
rural development measures. 
2. Summarise the results of consultations and indicate the extent to which the 
views and advice received have been taken into account 
14. Balance between the different support measures 
Second indent of Article 43(2) of Regulation (EC) No 1257/1999 
1. Describe, with reference to strengths, needs and potential: 
– the balance between the different rural development measures; 
– the extent to which the agri-environment measures apply throughout the 
territory. 
2. This description shall refer (as the case may be) to: 
– measures taken outside the scope of Council Regulation (EC) No 
1257/1999, 
– measures taken or planned under separate rural development plans. 
15. Compatibility and consistency 
Article 37(2) of Regulation (EC) No 1257/1999 A. Main features 
1. Appraisal of compatib ility and consistency with: 
– other Community policies and measures implemented under those 
policies, in particular competition policy, 
– other common agricultural policy instruments, in particular where 
exceptions under Article 37(3) of  Regulation (EC) No 1257/1999 
are provided for, 
– other support measures included in the rural development plans, 
– the general eligibility criteria. 
2. For measures under Article 33 of Regulation (EC) No 1257/1999, ensure 
and, where necessary, demonstrate that: 
– measures adopted under the sixth, seventh and ninth indents of that 
Article are not receiving financial assistance from the ERDF for 
rural areas covered by Objective 2 and in areas in transition, 
– measures are not covered by any other measure referred to in Title 
II of Council Regulation (EC) No 1257/1999. 
B. Other information. 
 48     In particular, appraisal shall cover arrangements to ensure proper 
coordination with the various authorities responsible for: 
– development measures provided for under the market organisations, 
– any rural development measures provided for under national legislation. 
16. Additional State aids 
Article 52 of Regulation (EC) No 1257/1999 A. Main features 
 Identify the measures to which additional financing will be granted in the form 
of State aid [Article 52 of Counc il Regulation (EC) No 1257/1999]. The 
amount of additional support to be grante d for each of the measures concerned 
during each year covered by the plan should be shown in an indicative table. 
B. Other information 
– abolition of a State aid;  
– changes to the additional financing in the form of State aid granted for any of the 
measures in the programming document as approved; 
– rate of aid. 
 49    ANNEX III  
CORRELATION TABLE 
Regulation (EC) No 445/2002 Present Regulation 
Article 1 - 
 Article 1 
Article 2 Article 2 
Article 3(1) - 
Article 3(2) Article 3 
Article 4 Article 4 
Article 5 (1) Article 5 
Article 5(2) and (3) - 
Article 6 Article 6 
Article 7 Article 7 
Article 8 Article 8 
Article 9 Article 9 
Article 10 Article 10 
Article 11 Article 11 
Article 12 - 
- Article 12 
Article 13 Article 13 
Article 14 Article 14 
Article 15 Article 15 
Article 16 Article 16 
Article 17 Article 17 
Article 18 Article 18 
Article 19 Article 19 
Article 20 Article 20 
 50    Article 21 Article 21 
- Article 22 
- Article 23 
- Article 24 
- Article 25 
- Article 26 
Article 22 Article 27 
- Article 28 
Article 23 Article 29 
Article 24 Article 30 
Article 25 Article 31 
Article 26 Article 32 
Article 27 Article 33 
Article 28 Article 34 
Article 29 Article 35 
Article 30 Article 36 
Article 31 Article 37 
Article 32 Article 38 
Article 33 Article 39 
Article 34 Article 40 
Article 35(1) Article 41(1) 
Article 35(2) Article 41(3) 
Article 35(3) Article 41(2) 
Article 36 Article 42 
Article 37 Article 43 
Article 38 Article 44 
Article 39 Article 45 
 51    Article 39a Article 46 
Article 40 Article 47 
Article 41 Article 48 
Article 42 Article 49 
Article 43 Article 50 
Article 44 Article 51 
Article 45 Article 52 
Article 45a Article 53 
Article 46 Article 54 
Article 47 Article 55 
Article 48 Article 56 
Article 49 Article 57 
Article 50 Article 58 
Article 51 Article 59 
Article 52 Article 60 
Article 53 Article 61 
Article 54 Article 62 
Article 55 Article 63 
Article 56 Article 64 
Article 57 Article 65 
Article 58 Article 66 
Article 59 Article 67 
Article 60 Article 68 
Article 61 Article 69 
Article 62  Article 70 
Article 62a Article 71 
Article 63 Article 72 
 52    Article 64 Article 73 
Article 65(1) Article 74(1), first subparagraph and 74(2) 
Article 65(2) Article 74(1), second subparagraph 
Article 66 Article 75, first subparagraph 
- Article 75, second subparagraph  
Annex I Annex I 
Annex II Annex II 
Annex III Annex III