EN Official Journal of the European Union C 36/542

P7_TA(2013)0086

Support for rural development by the European Agricultural Fund for Rural Development (EAFRD) (Decision on the opening of interinstitutional negotiations)

European Parliament decision of 13 March 2013 on the opening of, and on the mandate for, interinstitutional negotiations on the proposal for a regulation of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) (COM(2011)0627/3 — C7-0340/2011 — COM(2012)0553 — C7-0313/2012 — 2011/0282(COD) — 2013/2530(RSP))

(2016/C 036/41)

The European Parliament,

— having regard to the proposal of the Committee on Agriculture and Rural Development,

— having regard to Rules 70(2) and 70a of its Rules of Procedure,

whereas the financial envelope specified in the legislative proposal is only an indication to the legislative authority and cannot be fixed until agreement is reached on the proposal for a regulation laying down the multiannual financial framework for the years 2014-2020;

decides to open interinstitutional negotiations on the basis of the following mandate:

MANDATE

Amendment 1

Proposal for a regulation

Citation 1

Text proposed by the Commission Amendment Having regard to the Treaty on the Functioning of the European Union, and in particular Article 42 and 43 thereof, Having regard to the Treaty on the Functioning of the European Union, and in particular Article 42 and 43(2) thereof,

Justification

Clarification. The same legal basis should be used for all of the legislative acts of the reform package.

Amendment 2

Proposal for a regulation

Recital 8

Text proposed by the Commission Amendment (8) In order to ensure the immediate start and efficient implementation of rural development programmes, support from the EAFRD should be based on the existence of sound administrative framework conditions. Member States should therefore assess compliance with certain ex ante conditionalities. Each Member State should prepare either a national rural development programme for its entire territory or a set of regional programmes. Each programme should identify a strategy for meeting targets in relation to the Union priorities for rural development and a selection of measures. Programming should comply with Union priorities for rural development, while being adapted to national contexts and complement the other Union policies, in particular the agricultural market policy, cohesion policy and the common fisheries policy. Member States which opt for a set of regional programme should be able to also prepare a national framework, without a separate budgetary allocation, in order to facilitate co-ordination among the regions in addressing nation-wide challenges. (8) In order to ensure the immediate start and efficient implementation of rural development programmes, support from the EAFRD should be based on the existence of sound administrative framework conditions. Member States should therefore assess compliance with certain ex ante conditionalities. Each Member State should prepare either a national rural development programme for its entire territory or a set of regional programmes. Each programme should identify a strategy for meeting targets in relation to the Union priorities for rural development and a selection of measures. Programming should comply with Union priorities for rural development, while being adapted to national contexts and complement the other Union policies, in particular the agricultural market policy, cohesion policy and the common fisheries policy. Member States which opt for a set of regional programme should be able to also prepare a national programme for the implementation of specific measures at national level or a national framework, in order to facilitate co-ordination among the regions in addressing nation-wide challenges.

Amendment 3

Proposal for a regulation

Recital 12

Text proposed by the Commission Amendment (12) It is necessary to establish certain rules for programming and revising rural development programmes. A lighter procedure should be provided for revisions not affecting the strategy of the programmes or the respective Union financial contributions. (12) It is necessary to establish certain rules for programming and revising rural development programmes. A simplified procedure should be provided for revisions not affecting the strategy of the programmes or the respective Union financial contributions.

Amendment 4

Proposal for a regulation

Recital 13

Text proposed by the Commission Amendment (13) In order to ensure legal certainty and clarity concerning the procedure to be followed in the case of programme amendments, the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of the setting of the criteria on the basis of which proposed changes of the quantified targets of the programmes shall be considered as major, thus triggering the need to modify the programme by means of an implementing act adopted in accordance with Article 91 of this Regulation . (13) In order to ensure legal certainty and clarity concerning the procedure to be followed in the case of programme amendments, the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of setting criteria defining a major reset of quantified targets.

Justification

Changes to programmes are not purely technical decisions.

Amendment 5

Proposal for a regulation

Recital 16

Text proposed by the Commission Amendment (16) Farm advisory services help farmers, forest holders and SMEs in rural areas to improve the sustainable management and overall performance of their holding or business. Therefore both the setting up of such services and the use of advice by farmers, forest holders and SMEs should be encouraged. In order to enhance the quality and effectiveness of the advice offered, provision should be made for the minimum qualifications and regular training of advisors. Farm advisory services, as provided for in Regulation of the European Parliament and of the Council (EU) No HR/2012 of […] should help farmers assess the performance of their agricultural holding and identify the necessary improvements as regards the statutory management requirements, good agricultural and environmental conditions, agricultural practices beneficial to the climate and the environment set out in Regulation of the European Parliament and of the Council (EU) No DP/2012 of […], requirements or actions related to climate change mitigation and adaptation, biodiversity, protection of water, animal disease notification and innovation at least as laid down in Annex I to Regulation (EU) No HR/2012. Where relevant, advice should also cover occupational safety standards. Advice may also cover issues linked to the economic, agricultural and environmental performance of the holding or enterprise. Farm management and farm relief services should help farmers improve and facilitate management of their holding. (16) Farm advisory services help farmers, forest holders and SMEs in rural areas to improve the sustainable management and overall performance of their holding or business. Therefore both the setting up of such services and the use of advice by farmers, forest holders and SMEs should be encouraged. In order to enhance the quality and effectiveness of the advice offered, provision should be made for the minimum qualifications and regular training of advisors. Farm advisory services, as provided for in Regulation of the European Parliament and of the Council (EU) No …/2013 [HR] should help farmers assess the performance of their agricultural holding and identify the necessary improvements as regards the statutory management requirements, good agricultural and environmental conditions, agricultural practices beneficial to the climate and the environment set out in Regulation of the European Parliament and of the Council (EU) No …/2013 [DP], requirements or actions related to climate change mitigation and adaptation, biodiversity, protection of water, animal disease notification and innovation at least as laid down in Annex I to Regulation (EU) No …/2013 [HR]. Where relevant, advice should also cover occupational or farm safety standards. Advice may also cover support for setting up of young farmers, sustainable development of the economic activities of the holding, local processing and marketing issues linked to the economic, agricultural and environmental performance of the holding or enterprise. Farm management and farm relief services should help farmers improve and facilitate management of their holding.

Amendment 6

Proposal for a regulation

Recital 19

Text proposed by the Commission Amendment (19) In order to improve the economic and environmental performance of agricultural holdings and rural enterprises, improve the efficiency of the agricultural products marketing and processing sector, provide infrastructure needed for the development of agriculture and support non-remunerative investments necessary to achieve environmental aims, support should be provided to physical investments contributing to these aims. During the 2007-2013 programming period a variety of measures covered different areas of intervention. In the interest of simplification but also of allowing beneficiaries to design and realise integrated projects with increased added value, a single measure should cover all types of physical investments . Member States should define a threshold for agricultural holdings eligible for aid for investments related to supporting farm viability based on the results of the strengths, weaknesses, opportunities and threats (‘SWOT’) analysis as means to better target the aid . (19) In order to improve the economic and environmental performance of agricultural holdings and rural enterprises, improve the efficiency of the agricultural products marketing and processing sector, provide infrastructure needed for the development of agriculture and support non-remunerative investments necessary to achieve environmental aims, support should be provided to physical investments contributing to these aims. During the 2007-2013 programming period a variety of measures covered different areas of intervention. In the interest of simplification but also of allowing beneficiaries to design and realise integrated projects with increased added value, a single measure should cover all types of physical investments.

Amendment 7

Proposal for a regulation

Recital 21

Text proposed by the Commission Amendment (21) The creation and development of new economic activity in the form of new farms, new businesses or new investments in non-agricultural activities is essential for the development and competitiveness of rural areas. A farm and business development measure should facilitate the initial establishment of young farmers and the structural adjustment of their holdings after initial setting up, diversification of farmers into non-agricultural activities and the setting up and development of non-agricultural SMEs in rural areas. The development of small farms which are potentially economically viable should also be encouraged. In order to ensure the viability of new economic activities supported under this measure, support should be made conditional on the submission of a business plan. Support for business start up should cover only the initial period of the life of a business and not become operating aid. Therefore, where Member States opt to grant aid in instalments these should be for a period of no more than five years. In addition in order to encourage the restructuring of the agricultural sector, support in the form of annual payments should be provided for farmers participating in the small farmers scheme established by Title V of Regulation (EU) No DP/2012 who commit to transfer their entire holding and the corresponding payment entitlements to another farmer who does not participate in that scheme . (21) The creation and development of new economic activity in the form of new farms, new areas of activity, new agriculture- or forestry-related businesses or new investments in non-agricultural activities , new investments in social agriculture and new investments in tourist activity is essential for the development and competitiveness of rural areas. A farm and business development measure should facilitate the initial establishment of young farmers and the structural adjustment of their holdings after initial setting up, and should encourage entrepreneurship among women, including the diversification of farmers into non-agricultural activities and the setting up and development of non-agricultural SMEs in rural areas. The development of small agriculture- and forestry-related businesses which are potentially economically viable should also be encouraged. In order to ensure the viability of new economic activities supported under this measure, support should be made conditional on the submission of a business plan. Support for business start up should cover only the initial period of the life of a business and not become operating aid. Therefore, where Member States opt to grant aid in instalments these should be for a period of no more than five years. In addition, in order to encourage the restructuring of the agricultural sector, support should be provided for farmers who commit to transfer their entire holding and the corresponding payment entitlements to another farmer. In order to make this measure more attractive, such support should take the form of a one-off payment.

Amendment 8

Proposal for a regulation

Recital 22

Text proposed by the Commission Amendment (22) SMEs are the backbone of the Union rural economy. Farm and non-agricultural business development should be aimed at employment promotion and the setting up of quality jobs in rural areas, maintenance of already existing jobs, reduction of seasonality fluctuations in employment, development of non-agricultural sectors outside agriculture and agricultural and food processing while fostering at the same time business integration and local inter-sectoral links. Projects integrating at the same time agriculture, rural tourism through promotion of sustainable and responsible tourism in rural areas, natural and cultural heritage should be encouraged as well as renewable energy investments. (22) SMEs are the backbone of a sustainable Union rural economy. Farm and non-agricultural business development should be aimed at employment promotion and the setting up of quality jobs in rural areas, in particular for young people, as well as the maintenance of already existing jobs, reduction of seasonality fluctuations in employment, development of non-agricultural sectors outside agriculture and agricultural and food processing, while fostering at the same time business integration and local inter-sectoral links in line with sustainable regional development . Projects integrating at the same time agriculture, rural tourism through promotion of sustainable and responsible tourism in rural areas, natural and cultural heritage should be encouraged as well as renewable energy investments. The sustainable development of rural areas should be strengthened by promoting urban-rural links and cross-regional cooperation.

Amendment 9

Proposal for a regulation

Recital 27

Text proposed by the Commission Amendment (27) Producer groups help farmers to face jointly the challenges posed by increased competition and consolidation of downstream markets in relation to the marketing of their products including in local markets. The setting up of producer groups should therefore be encouraged. In order to ensure the best use of limited financial resources only producer groups that qualify as SMEs should benefit from support. In order to ensure that the producer group becomes a viable entity, a business plan should be submitted as a condition for the recognition of a producer group by Member States. To avoid providing operating aid and maintain the incentive role of support, its maximum duration should be limited to five years. (27) Producer groups and organisations help farmers to face jointly the challenges posed by increased competition and consolidation of downstream markets in relation to the marketing of their products including in local markets. The setting up and development of producer groups should therefore be encouraged. In order to ensure the best use of limited financial resources only producer groups that qualify as SMEs should benefit from support. In order to ensure that the producer group becomes a viable entity, a business plan should be submitted as a condition for the recognition of a producer group by Member States. To avoid providing operating aid and maintain the incentive role of support, its maximum duration should be limited to five years.

Amendment 10

Proposal for a regulation

Recital 28

Text proposed by the Commission Amendment (28) Agri-environment-climate payments should continue to play a prominent role in supporting the sustainable development of rural areas and in responding to society's increasing demands for environmental services. They should further encourage farmers and other land managers to serve society as a whole by introducing or continuing to apply agricultural practices contributing to climate change mitigation and adaptation and compatible with the protection and improvement of the environment, the landscape and its features, natural resources, the soil and genetic diversity. In this context the conservation of genetic resources in agriculture and the additional needs of farming systems that are of high nature value should be given specific attention. Payments should contribute to covering additional costs and income foregone resulting from the commitments undertaken and should only cover commitments going beyond relevant mandatory standards and requirements, in accordance with the ‘polluter pays’ principle . In many situations the synergies resulting from commitments undertaken jointly by a group of farmers multiply the environmental and climate benefit. However, joint action brings additional transaction costs which should be compensated adequately. In order to ensure that farmers and other land managers are in a position to correctly implement the commitments they have undertaken, Member States should endeavour to provide them with the required skills and knowledge. Member States should maintain the level of efforts made during the 2007-2013 programming period and have to spend a minimum of 25 % of the total contribution from the EAFRD to each rural development programme for climate change mitigation and adaptation and land management, through the agri-environment-climate, organic farming and payments to areas facing natural or other specific constraints measures. (28) Agri-environment-climate payments should continue to play a prominent role in supporting the sustainable development of rural areas and in responding to society's increasing demands for environmental services. They should , as a matter of priority, encourage farmers to serve society as a whole by introducing or continuing to apply agricultural practices contributing to climate change mitigation and adaptation and compatible with the protection and improvement of the environment, the landscape and its features, natural resources, the soil and genetic diversity. In this context the conservation of genetic resources in agriculture and the additional needs of farming systems that are of high nature value should be given specific attention. Payments should contribute to covering additional costs and income foregone resulting from the commitments undertaken. Outputs from recognised agri-environment measures should count towards the fulfilment of greening commitments in the context of the direct payments scheme. In many situations the synergies resulting from commitments undertaken jointly by a group of farmers multiply the environmental and climate benefit. However, joint action brings additional transaction costs which should be compensated adequately. In order to ensure that farmers are in a position to correctly implement the commitments they have undertaken, Member States should endeavour to provide them with the required skills and knowledge. Member States should maintain the level of efforts made during the 2007-2013 programming period . They should also be required to spend a minimum of 25 % of the total contribution from the EAFRD on each rural development programme for climate change mitigation and adaptation and land management, through the agri-environment-climate and organic farming payments. Farm managers should be eligible for this measure as a matter of priority.

Amendment 11

Proposal for a regulation

Recital 30

Text proposed by the Commission Amendment (30) Payments for the conversion to or maintenance of organic farming should encourage farmers to participate in such schemes thus answering society's increasing demand for the use of environmentally friendly farm practices and for high standards of animal welfare. In order to increase synergy in biodiversity benefits delivered by the measure, collective contracts or collaboration between farmers should be encouraged to cover larger adjacent areas. In order to avoid large-scale reversion of farmers to conventional farming, both conversion and maintenance measures should be supported. Payments should contribute to covering additional costs incurred and income foregone as a result of the commitment and should cover only commitments going beyond relevant mandatory standards and requirements. (30) Payments for the conversion to or maintenance of organic farming should encourage farmers to participate in such schemes thus answering society's increasing demand for the use of environmentally friendly farm practices and for high standards of animal welfare. In order to increase synergy in biodiversity benefits delivered by the measure, collective contracts or co-operation between farmers or other land managers should be encouraged to cover larger adjacent areas. In order to avoid large-scale reversion of farmers to conventional farming, both conversion and maintenance measures should be supported. Payments should contribute to covering additional costs incurred and income foregone as a result of the commitment and should cover only commitments going beyond relevant mandatory standards and requirements.

Justification

See corresponding Amendment to Article 30

Amendment 12

Proposal for a regulation

Recital 33

Text proposed by the Commission Amendment (33) In order to ensure efficient use of Union funds and equal treatment for farmers across the Union mountain areas and areas facing natural or other specific constraints should be defined in accordance with objective criteria. In the case of areas facing natural constraints these should be bio-physical criteria underpinned by robust scientific evidence. Transitional arrangements should be adopted in order to facilitate the phasing out of payments in areas that will no longer be considered as areas facing natural constraints as a result of the application of these criteria . (33) In order to ensure efficient use of Union funds and equal treatment for farmers across the Union mountain areas and areas facing natural or other specific constraints should be defined in accordance with objective criteria. In the case of areas facing natural constraints these should be bio-physical criteria underpinned by robust scientific evidence. By 31 December 2014, the Commission should present a legislative proposal on establishing mandatory bio-physical criteria and the corresponding threshold values to be applied for the future delimitation, as well as the appropriate rules for fine-tuning and transitional arrangements .

Amendment 13

Proposal for a regulation

Recital 37

Text proposed by the Commission Amendment (37) Farmers are exposed today to increasing economic and environmental risks as a consequence of climate change and increased price volatility. In this context, effective management of risks has an increased importance for farmers. For this reason a risk management measure should be set up to assist farmers in addressing the most common risks faced by them. This measure should therefore support farmers to cover the premiums they pay for crop, animal and plant insurance as well as the setting up of mutual funds and the compensation paid by such funds to farmers for losses suffered as a result of the outbreak of animal or plant diseases or environmental incidents. It should also cover an income stabilisation tool in the form of a mutual fund to support farmers facing a severe drop in their income. In order to ensure that there is equal treatment among farmers across the Union, that competition is not distorted and that the international obligations of the Union are respected, specific conditions should be provided for the granting of support under these measures. In order to ensure the efficient use of EAFRD budgetary resources the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of defining the minimum and maximum duration of commercial loans to mutual funds. (37) Farmers are exposed today to increasing economic and environmental risks as a consequence of climate change and increased price volatility. In this context, effective management of risks has an increased importance for farmers. For this reason a risk management measure should be set up to assist farmers in addressing the most common risks faced by them. This measure should therefore support farmers or groups of farmers to cover the premiums they pay for crop, animal and plant insurance as well as the setting up of mutual funds and the compensation paid by such funds to farmers for losses suffered as a result of the outbreak of animal or plant diseases, harmful organisms, environmental incidents or adverse climatic events . It should also cover an income stabilisation tool in the form of a mutual fund or insurance contract to support farmers facing a severe drop in their income. In order to ensure that there is equal treatment among farmers across the Union, that competition is not distorted and that the international obligations of the Union are respected, specific conditions should be provided for the granting of support under these measures. In order to ensure the efficient use of EAFRD budgetary resources the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of defining the minimum and maximum duration of commercial loans to mutual funds.

Amendment 14

Proposal for a regulation

Recital 38

Text proposed by the Commission Amendment (38) The LEADER approach for local development has, over a number of years, proven its utility in promoting the development of rural areas by fully taking into account the multi-sectoral needs for endogenous rural development through its bottom-up approach. LEADER should therefore be continued in the future and its application should remain compulsory for all rural development programmes. (38) The LEADER approach for local development has, over a number of years, proven its utility in promoting the development of rural areas by fully taking into account the multi-sectoral needs for endogenous rural development through its bottom-up approach. LEADER should therefore be continued in the future and its application should remain compulsory for all rural development programmes. Synergies should be further explored through encouraging cooperation with local development actors in developing countries, respecting fully traditional knowledge as embodied in the UN Declaration on the Rights of Indigenous People and the UN Convention on Biological Diversity, with the aim of promoting sustainable farming practices, compatible with the protection and improvement of the environment, soil and genetic diversity.

Justification

Traditional and local knowledge and community-based innovation constitute an extensive realm of accumulated practical knowledge and knowledge-generating capacity that is needed if sustainability and development goals are to be reached. Exploration of synergies through cooperation with local development actors shall accordingly be in line with the principles embodied under the UN Convention on Biodiversity and the UN Declaration on the Rights of Indigenous People regarding the protection of traditional knowledge and practices of indigenous and local communities.

Amendment 15

Proposal for a regulation

Recital 40

Text proposed by the Commission Amendment (40) Support to LEADER local development from the EAFRD should cover all aspects of the preparation and implementation of local development strategies and operation of local action groups as well as cooperation among territories and groups which carry out bottom-up and community-led local development. In order to enable partners in rural areas not yet applying LEADER to test and prepare for the design and operation of a local development strategy a ‘LEADER start-up kit’ should also be financed. In order to ensure the efficient and effective use of EAFRD budgetary resources the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of the detailed definition of eligible animation costs for local action groups. (40) Support to LEADER local development from the EAFRD should cover all aspects of the preparation and implementation of local development strategies and operation of local action groups in which decision-making is community-led and occurs in partnership with other relevant actors, as well as cooperation among territories and groups which carry out bottom-up and community-led local development. In order to enable partners in rural areas not yet applying LEADER to test and prepare for the design and operation of a local development strategy a ‘LEADER start-up kit’ should also be financed. In order to ensure the efficient and effective use of EAFRD budgetary resources and the implementation of the LEADER approach, the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of the detailed definition of eligible animation costs for local action groups and for the purpose of adopting rules to ensure that Member States fully implement the community-led approach .

Amendment 16

Proposal for a regulation

Recital 50

Text proposed by the Commission Amendment (50) The EAFRD should signal the Union's recognition of how local development approaches and a trans-national dimension can reinforce each other, especially when an innovative spirit is applied. It should do this by awarding prizes to a limited number of projects which exemplify these characteristics. The prizes should complement other sources of funding available through rural development policy by conferring recognition on any leading suitable project, whether or not that project was also financed through a rural development programme. deleted

Amendment 17

Proposal for a regulation

Recital 51

Text proposed by the Commission Amendment (51) Rural development programmes should provide for innovative actions promoting a resource-efficient, productive and low-emission agricultural sector, with the support of the EIP for agricultural productivity and sustainability. The EIP should aim to promote a faster and wider transposition of innovative solutions into practice. The EIP should create added value by enhancing the uptake and effectiveness of innovation-related instruments and enhancing synergies between them. The EIP should fill gaps by better linking research and practical farming. (51) Rural development programmes should provide for innovative actions promoting a resource-efficient, productive and low-emission agricultural sector, with the support of the EIP for agricultural productivity and sustainability. The EIP should aim to promote a faster and wider transposition of innovative solutions into practice. The EIP should create added value by enhancing the uptake and effectiveness of innovation-related instruments and enhancing synergies between them. The EIP should fill gaps by better linking research and practical farming , thereby facilitating a dialogue .

Amendment 18

Proposal for a regulation

Recital 52

Text proposed by the Commission Amendment (52) Implementation of innovative projects in the context of the EIP for agricultural productivity and sustainability should be undertaken by operational groups bringing together farmers, researchers, advisors, businesses and other actors concerned by innovation in the agricultural sector. In order to ensure that results of such projects profit to the sector as a whole, their results should be disseminated . (52) Implementation of innovative projects in the context of the EIP for agricultural productivity and sustainability should be undertaken by operational groups bringing together farmers, researchers, advisors, businesses and other actors concerned by innovation in the agricultural sector. In order to ensure that results of such projects profit to the sector as a whole, the dissemination of their results should be encouraged and dissemination activities should be financed from various sources including technical assistance . Cooperation with innovation networks in developing countries, which pursue similar objectives, should be encouraged, in particular those which support decentralised participatory research and the dissemination of knowledge about the best sustainable agricultural practices, including schemes designed specifically for women.

Amendment 19

Proposal for a regulation

Article 2 — paragraph 1 — point d

Text proposed by the Commission Amendment (d) ‘operation’: a project, group of projects, contract, or arrangement or other action selected according to criteria for the rural development programme concerned and implemented by one or more beneficiaries allowing achievement of one or more of the Union priorities for rural development; (d) ‘operation’: a project, group of projects, contract, or arrangement or other action selected according to criteria for the rural development programme concerned and implemented by one or more beneficiaries allowing achievement of one or more of the Union priorities for rural development , including the possibility to combine the support from different Common Srategic Framework (CSF) funds, including within a single priority axis of programmes co-funded by the ERDF and ESF as referred to in Article 87(1) of Regulation No (EU) …/2013 [CSF] ;

Amendment 20

Proposal for a regulation

Article 2 — paragraph 1 — point f

Text proposed by the Commission Amendment (f) ‘monitoring and evaluation system’: a general approach developed by the Commission and the Member States defining a limited number of common indicators relating to the baseline situation and the financial execution, outputs, results , and impacts of the programmes; (f) ‘monitoring and evaluation system’: a general approach developed by the Commission and the Member States defining a limited number of common indicators relating to the baseline situation and the financial execution, outputs, results and financial execution of the programmes ; the system need not be exclusively metrics based, and such an approach can, where necessary and using appropriate methods, be replaced by a quality-based approach to programme outputs ;

Amendment 21

Proposal for a regulation

Article 2 — paragraph 1 — point j a (new)

Text proposed by the Commission Amendment (ja) ‘transition regions’: regions whose gross domestic product (GDP) per capita is between 75 % and 90 % of the average GDP of the EU-27;

Justification

Transition regions should be taken into account, in line with the amendment to Article 65 on fund contribution.

Amendment 22

Proposal for a regulation

Article 2 — paragraph 1 — point l

Text proposed by the Commission Amendment (l) ‘transaction cost’: a cost linked to a commitment but not directly attributable to its implementation; (l) ‘transaction cost’: a cost linked to a commitment that is indirectly generated by its implementation; it may be calculated on a standard-cost basis ;

Amendment 23

Proposal for a regulation

Article 2 — paragraph 1 — point l a (new)

Text proposed by the Commission Amendment (la) ‘production system’: a complex of land and inputs managed as a whole;

Amendment 143

Proposal for a regulation

Article 2 — paragraph 1 — point m a (new)

Text proposed by the Commission Amendment (ma) ‘agro-forestry’: a system of production in which trees and cultivated or grazed plants are grown together on, or on the edge of, the same plots of land;

Amendment 24

Proposal for a regulation

Article 2 — paragraph 1 — point o

Text proposed by the Commission Amendment (o) ‘adverse climatic event’: weather conditions, such as frost, storms and hail, ice, heavy rain or severe drought, which can be assimilated to a natural disaster; (o) ‘adverse climatic event’: weather conditions, such as frost, storms , cyclonic winds, hail, ice, heavy rain or severe drought, which can be assimilated to a natural disaster;

Amendment 25

Proposal for a regulation

Article 2 — paragraph 1 — point r

Text proposed by the Commission Amendment (r) ‘natural disaster’: a naturally occurring event of biotic or abiotic nature that leads to important disturbances of agricultural production systems and forest structures, eventually causing important economic damage to the farming and forest sectors; (r) ‘natural disaster’: a naturally occurring event of biotic or abiotic nature that leads to important disturbances of agricultural production systems and forest structures, eventually causing important economic damage to the farming or forestry sectors;

Amendment 26

Proposal for a regulation

Article 2 — paragraph 1 — point s

Text proposed by the Commission Amendment (s) ‘catastrophic event’: an unforeseen event of biotic or abiotic nature caused by human action that leads to important disturbances of agricultural production systems and forest structures, eventually causing important economic damage to the farming and forest sectors; (s) ‘catastrophic event’: an unforeseen event of biotic or abiotic nature caused by human action that leads to important disturbances of agricultural production systems and forest structures, eventually causing important economic damage to the farming or forestry sectors;

Amendment 27

Proposal for a regulation

Article 2 — paragraph 1 — point t

Text proposed by the Commission Amendment (t) ‘short supply chain’: a supply chain involving a limited number of economic operators, committed to co-operation, local economic development, and close geographical and social relations between producers and consumers; (t) ‘short supply chain’: a supply chain involving a limited number of economic operators in direct-selling , local-market and community-supported agriculture, committed to co-operation, local economic development, using a local development strategy, and close geographical and social relations between producers , processors and consumers;

Justification

In order to promote a holistic approach to short supply chain development and respond directly to the needs of rural communities the definition of short supply chains should make specific reference to marketing channels such as direct selling, local markets and community supported agriculture as means for farmers and producers to market high quality food products.

Amendment 28

Proposal for a regulation

Article 2 — paragraph 1 — point u

Text proposed by the Commission Amendment (u) ‘young farmer’: farmer who is less than 40 years of age at the moment of submitting the application, possesses adequate occupational skills and competence and is setting up for the first time in an agricultural holding as head of the holding; (u) ‘young farmer’: farmer who is 40 years of age or less at the moment of submitting the application, possesses adequate occupational skills and competence and is the head of the holding;

Amendment 29

Proposal for a regulation

Article 2 — paragraph 1 — point x a (new)

Text proposed by the Commission Amendment (xa) ‘farmer’: an active farmer within the meaning of Article 4(1)(a) and Article 9 of Regulation(EU) No …/2013 [DP].

Amendment 30

Proposal for a regulation

Article 2 — paragraph 1 — point x b (new)

Text proposed by the Commission Amendment (xb) ‘community-led local development’: decentralised bottom-up governance and partnership action at local and sub-regional level which encourage rural actors to plan and carry out multi-sectoral area based local development strategies, promoting community ownership, capacity building and innovation;

Amendment 31

Proposal for a regulation

Article 2 — paragraph 1 a (new)

Text proposed by the Commission Amendment 1a. The definitions set out in Article 4 of Regulation (EU) No …/2013 [DP] shall also apply for the purposes of this Regulation.

Amendment 32

Proposal for a regulation

Article 2 — paragraph 2

Text proposed by the Commission Amendment 2. As regards the definition of young farmer laid down in paragraph 1(u) , the Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the conditions under which a legal person may be considered a ‘young farmer’, including the setting of a grace period for the acquisition of occupational skills. 2. As regards young farmers, and, small farms, the Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the conditions under which a legal person may be considered to be young farmer, or a small farmer, including the setting of a grace period for the acquisition of occupational skills , and taking into account the special characteristics of each Member State .

Amendment 33

Proposal for a regulation

Article 3

Text proposed by the Commission Amendment The EAFRD shall contribute to the Europe 2020 Strategy by promoting sustainable rural development throughout the Union in a complementary manner to the other instruments of the common agricultural policy (hereinafter ‘CAP’), to cohesion policy and to the common fisheries policy. It shall contribute to a more territorially and environmentally balanced, climate-friendly and resilient and innovative Union agricultural sector. The EAFRD shall contribute to the Europe 2020 Strategy , within the framework of a European rural development strategy, by promoting sustainable rural development throughout the Union in a complementary manner to the other instruments of the common agricultural policy (hereinafter ‘CAP’), in coordination with and in addition to cohesion policy and to the common fisheries policy. It shall contribute to the development of a more territorially and environmentally balanced, climate-friendly and resilient , competitive, productive and innovative Union agricultural and forestry sector and of vital rural territories.

Justification

As the objectives of the EAFRD outlined in Articles 4 and 5 also concern measures targeting rural territories beyond the agricultural sector, the mission of the EAFRD should be formulated in a more inclusive manner.

Amendment 34

Proposal for a regulation

Article 4

Text proposed by the Commission Amendment Within the overall framework of the CAP, support for rural development shall contribute to achieving the following objectives: Within the overall framework of the CAP, support for rural development shall contribute to achieving the following objectives: (1) the competitiveness of agriculture; (1) fostering the competitiveness of agriculture and forestry ; (2) the sustainable management of natural resources, and climate action; (2) ensuring the sustainable management of natural resources, and climate action; (3) a balanced territorial development of rural areas. (3) achieving a balanced territorial development of rural economies and communities that creates and maintains employment .

Amendment 35

Proposal for a regulation

Article 5

Text proposed by the Commission Amendment The achievement of the objectives of rural development, which contribute to the Europe 2020 strategy for smart, sustainable and inclusive growth, shall be pursued through the following six Union priorities for rural development, which translate the relevant Thematic Objectives of the CSF: The achievement of the objectives of rural development, which contribute to the Europe 2020 strategy for smart, sustainable and inclusive growth, shall be pursued through the following six Union priorities for rural development, which translate the relevant Thematic Objectives of the CSF: (1) fostering knowledge transfer and innovation in agriculture, forestry, and rural areas with a focus on the following areas: (1) fostering knowledge transfer and innovation in agriculture, forestry, and rural areas with a focus on the following areas: (a) fostering innovation and the knowledge base in rural areas; (a) fostering innovation , new ways of cooperating, and the development of the knowledge base in rural areas; (b) strengthening the links between agriculture and forestry and research and innovation; (b) strengthening the links between agriculture and forestry and research and innovation; (c) fostering lifelong learning and vocational training in the agricultural and forestry sectors. (c) fostering lifelong learning and vocational training in the agricultural and forestry sectors , including as regards farm safety awareness; (2) enhancing competitiveness of all types of agriculture and enhancing farm viability , with a focus on the following areas: (2) enhancing farm viability and the competitiveness of all types of agriculture and forestry and of the food sector, with a focus on the following areas: (a) facilitating restructuring of farms facing major structural problems, notably farms with a low degree of market participation, market-oriented farms in particular sectors and farms in need of agricultural diversification; (a) encouraging investment in innovative farm technologies and facilitating their diffusion and uptake; (b) facilitating generational renewal in the agricultural sector. (b) facilitating the entry into the farming sector of new, fully skilled, entrants, including through generational renewal; (ba) improving the economic performance of all farms, increasing market participation, orientation and diversification; (bb) facilitating the restructuring and modernisation of farms; (bc) maintaining productive agriculture in mountainous or less favoured areas, or in outermost regions; (bd) improving the competitiveness of the agri-food processing sector, including by increasing efficiency, and the value added to agricultural products. (3) promoting food chain organisation and risk management in agriculture, with a focus on the following areas: (3) promoting food chain organisation and risk management in agriculture, with a focus on the following areas: (a) better integrating primary producers into the food chain through quality schemes, promotion in local markets and short supply circuits, producer groups and inter-branch organisations; (a) better integrating primary producers into the food chain through quality schemes, promotion in local markets and short supply circuits, producer groups and inter-branch organisations; (b) supporting farm risk management: (b) supporting farm risk prevention and management: (4) restoring, preserving and enhancing ecosystems dependent on agriculture and forestry, with a focus on the following areas: (4) restoring, preserving and enhancing ecosystems that are influenced by agriculture and forestry, with a focus on the following areas: (a) restoring and preserving biodiversity, including in Natura 2000 areas and high nature value farming, and the state of European landscapes; (a) restoring and preserving biodiversity, including in Natura 2000 areas and high nature value farming, and the state of European landscapes; (aa) improving animal welfare; (b) improving water management; (b) improving water management; (c) improving soil management. (c) improving soil management. (5) promoting resource efficiency and supporting the shift towards a low carbon and climate resilient economy in agriculture, food and forestry sectors, with a focus on the following areas: (5) promoting resource efficiency and supporting the shift towards a low carbon and climate resilient economy in agriculture, food and forestry sectors, with a focus on the following areas: (a) increasing efficiency in water use by agriculture; (a) increasing efficiency in water use by agriculture; (b) increasing efficiency in energy use in agriculture and food processing; (b) increasing efficiency in energy use in agriculture and food processing; (c) facilitating the supply and use of renewable sources of energy, of by-products, wastes, residues and other non food raw material for purposes of the bio-economy; (c) facilitating the supply and use of renewable sources of energy, of by-products, wastes, residues and other non-food raw material for purposes of the bio-economy; (d) reducing nitrous oxide and methane emissions from agriculture; (d) reducing greenhouse gas and ammonia emissions from agriculture and improving air quality ; (e) fostering carbon sequestration in agriculture and forestry; (e) fostering carbon conservation and sequestration in agriculture and forestry; (ea) facilitating the use of new research-based products and application methods and processes in the agri-food value chain to improve biodiversity management and resource-efficiency; (6) promoting social inclusion poverty reduction and economic development in rural areas, with a focus on the following areas: (6) promoting social inclusion poverty reduction and economic development in rural areas, with a focus on the following areas: (a) facilitating diversification, creation of new small enterprises and job creation; (a) facilitating diversification, creation of new small enterprises and job creation; (b) fostering local development in rural areas; (b) fostering local development in rural areas; (c) enhancing accessibility to, use and quality of information and communication technologies (ICT) in rural areas. (c) enhancing accessibility to, use and quality of information and communication technologies (ICT) in rural areas. All of the priorities shall contribute to the cross-cutting objectives of innovation, environment and climate change mitigation and adaptation. All of the priorities shall contribute to the cross-cutting objectives of innovation, environment and climate change mitigation and adaptation.

Amendment 36

Proposal for a regulation

Article 6 — paragraph 1

Text proposed by the Commission Amendment 1. There shall be consistency between support from the EAFRD and the measures financed by the European Agricultural Guarantee Fund. 1. There shall be consistency between support from the EAFRD and the measures financed by the European Agricultural Guarantee Fund , or other Union financial instruments.

Amendment 173

Proposal for a regulation

Article 6 a (new)

Text proposed by the Commission Amendment Article 6a Policy Coherence for Development The reform shall ensure that, in accordance with Article 208 of the TFEU, objectives of development cooperation, including those approved in the context of the United Nations and other international organisations, are taken into account by the CAP. Measures taken under this Regulation shall not jeopardise the food production capacity and long-term food security of developing countries, in particular least developed countries (LDCs), and shall contribute to achieving the Union's commitments on mitigating climate change. In promoting sustainable agriculture, the Union should build on the conclusions of the International Assessment of Agricultural Knowledge, Science and Technology for Development (IAASTD).

Amendment 37

Proposal for a regulation

Article 7

Text proposed by the Commission Amendment 1. The EAFRD shall act in the Member States through rural development programmes. These programmes shall implement a strategy to meet the Union priorities for rural development through a set of measures defined in Title III, for the achievement of which aid from the EAFRD will be sought. 1. The EAFRD shall act in the Member States through rural development programmes. These programmes shall implement a strategy to meet the Union priorities for rural development through a set of measures defined in Title III, for the achievement of which aid from the EAFRD will be sought. 2. A Member State may submit either a single programme for its entire territory or a set of regional programmes. 2. A Member State may submit a single programme for its entire territory or a set of regional programmes , or both. Measures implemented at national level shall not be implemented through regional programmes. 3. Member States with regional programmes may also submit for approval a national framework containing common elements for these programmes without a separate budgetary allocation. 3. Member States with regional programmes m ay also submit for approval national framework containing common elements for these programmes without a separate budgetary allocation.

Amendment 38

Proposal for a regulation

Article 8

Text proposed by the Commission Amendment 1. Member States may include within their rural development programmes thematic sub-programmes , contributing to the Union priorities for rural development, aimed to address specific needs identified, in particular in relation to: 1. With the aim of contributing to the achievement of rural development priorities, Member States may include within their rural development programmes thematic sub-programmes that address specific needs . Such thematic sub-programmes may, inter alia, relate to: (a) young farmers; (a) young farmers; (b) small farms as referred to in the third subparagraph of Article 20(2); (b) small farms as referred to in the third subparagraph of Article 20(2); (c) mountain areas as referred to in Article 33(2); (c) mountain areas as referred to in Article 33(2); (d) short supply chains. (d) short supply chains; (da) women in rural areas. An indicative list of measures and types of operations of particular relevance to each thematic sub-programme is set out in Annex III. An indicative list of measures and types of operations of particular relevance to each thematic sub-programme is set out in Annex III. 2. Thematic sub-programmes may also address specific needs relating to the restructuring of agricultural sectors with a significant impact on the development of a specific rural area. 2. Thematic sub-programmes may also address specific needs relating to the restructuring of agricultural sectors with a significant impact on the development of a specific rural area or other specific needs identified by the Member State . 3. The support rates laid down in Annex I may be increased by 10 percentage points for operations supported in the framework of thematic sub-programmes concerning small farms and short supply chains. In the case of young farmers and mountain areas, the maximum support rates may be increased in accordance with Annex I. However, the maximum combined support rate shall not exceed 90 %. 3. The support rates laid down in Annex I may be increased by 10 percentage points for operations supported in the framework of thematic sub-programmes concerning small farms and short supply chains. In the case of , inter alia, young farmers and mountain areas, the maximum support rates may be increased in accordance with Annex I. However, the maximum combined support rate shall not exceed 90 %.

Amendment 39

Proposal for a regulation

Article 9 — paragraph 1 — point c — subparagraph 2 — point vii

Text proposed by the Commission Amendment (vii) initiatives are planned for raising awareness and animating innovative actions and establishing operational groups of the EIP for agricultural productivity and sustainability; (vii) initiatives are planned for raising awareness and animating innovative actions and establishing operational groups of the EIP for agricultural production , economic viability and sustainability;

Amendment 40

Proposal for a regulation

Article 9 — paragraph 1 — point d

Text proposed by the Commission Amendment d) the assessment of the ex ante conditionalities and, where required, the actions referred to in Article 17(4) of Regulation (EU) No [CSF/2012] and the milestones established for the purpose of Article 19 of Regulation (EU) No [CSF/2012] ; (d) the assessment of the ex ante conditionalities pertaining to rural development referred to in Annex IV which are relevant to the programme and, where required, the actions referred to in Article 17(4) of Regulation (EU) No …/2013 [CSF];

Justification

The ex ante conditionalities for rural development programmes should not impinge on areas falling outside the remit of the Rural Development Policy, and should be used only for assessment of conditions directly related to work under the programme.

Amendment 41

Proposal for a regulation

Article 9 — paragraph 1 — point f

Text proposed by the Commission Amendment (f) in relation to local development, a specific description of the coordination mechanisms between the local development strategies, the measure co-operation referred to in Article 36, the measure basic services and village renewal in rural areas referred to in Article 21 and the support for non-agricultural activities in rural areas under the measure farm and business development in rural areas referred to in Article 20; (f) in relation to local development, a specific description of the coordination mechanisms between the local development strategies, the measure regarding co-operation referred to in Article 36, the measure regarding basic services and village renewal in rural areas referred to in Article 21 including urban-rural links and cross-regional cooperation and the support for non-agricultural activities in rural areas under the measure regarding farm and business development in rural areas referred to in Article 20;

Amendment 42

Proposal for a regulation

Article 9 — paragraph 1 — point g

Text proposed by the Commission Amendment (g) a description of the approach towards innovation in view of enhancing productivity and sustainable resource management and the contribution to achieving the objectives of the EIP for agricultural productivity and sustainability referred to in Article 61; (g) a description of the approach towards innovation in view of enhancing production by farms, their economic viability and sustainable resource management and the contribution to achieving the objectives of the EIP for agricultural production , economic viability and sustainability referred to in Article 61;

Amendment 43

Proposal for a regulation

Article 9 — paragraph 1 — point j

Text proposed by the Commission Amendment (j) an indicator plan comprising for each of the Union priorities for rural development included in the programme the indicators and the selected measures with planned outputs and planned expenditure, broken down between public and private; (j) an indicator plan comprising for each of the Union priorities for rural development included in the programme the indicators and the selected measures with planned process and policy focused outputs and planned expenditure, broken down between public and private;

Justification

To ensure a clear link between policy objectives for rural development and evidence in the programming documents justifying specific objectives where intervention is required, it is necessary to maintain a focus on policy objectives in the programme output measures.

Amendment 44

Proposal for a regulation

Article 9 — paragraph 1 — point m

Text proposed by the Commission Amendment (m) information on the complementarity with measures financed by the other common agricultural policy instruments, through cohesion policy or by the EMFF ; (m) information on the complementarity with measures financed by the other common agricultural policy instruments, on the mechanisms that ensure coordination with measures supported by other CSF funds, and on the application of financing instruments referred to in Title IV of Regulation (EU) No …/2013 [CSF].

Amendment 45

Proposal for a regulation

Article 9 — paragraph 2 — point c

Text proposed by the Commission Amendment (c) a separate specific indicator plan, with planned outputs and planned expenditure, broken down between public and private. (c) a separate specific indicator plan, with planned process-focused and policy-focused outputs and planned expenditure, broken down between public and private.

Justification

To ensure a clear link between policy objectives for rural development and evidence in the programming documents justifying specific objectives where intervention is required, it is necessary to maintain a focus on policy objectives in the programme output measures.

Amendment 46

Proposal for a regulation

Article 10

Text proposed by the Commission Amendment In addition to the ex ante conditionalities referred to in Annex IV , the general ex ante conditionalities established in Annex IV of Regulation (EU) No [CSF/2012] shall apply for the EAFRD. The ex-ante conditionalities referred to in Annex IV shall apply for the EAFRD if they are relevant and can be applied to the specific goals pursued with the programme’s priorities .

Justification

Policy for development in the agricultural area may not be conscientious for the fulfilment of requirements in other political areas. Just for essential priorities of this policy ex-ante- conditionality should be a requirement.

Amendment 47

Proposal for a regulation

Article 11 — paragraph 2 a (new)

Text proposed by the Commission Amendment 2a. The Commission may approve a rural development programme before the adoption of a Partnership Contract with a Member State in those cases where the Commission considers that all the elements of the rural development programme conform to the provisions of this Regulation and to those parts of the Partnership Contract pertaining to the EAFRD.

Amendment 48

Proposal for a regulation

Article 12 — paragraph 1 — point a — point ii

Text proposed by the Commission Amendment (ii) a change in the EAFRD contribution rate of one or more measures; deleted

Amendment 49

Proposal for a regulation

Article 12 — paragraph 1 — point a — point iv

Text proposed by the Commission Amendment (iv) a transfer of funds between measures implemented under different EAFRD contribution rates. deleted

Amendment 50

Proposal for a regulation

Article 12 — paragraph 1 — point a — point iv a (new)

Text proposed by the Commission Amendment (iva) a transfer of funds between programmes, with a view to avoiding the loss of EAFRD resources.

Justification

With a view to avoiding the loss of EU funds by Member States, the reallocation of resources between rural development programmes in the same Member State shall be permitted where implementation analysis demonstrates that there is a risk of automatic de-commitment.

Amendment 51

Proposal for a regulation

Article 12 — paragraph 1 a (new)

Text proposed by the Commission Amendment 1a. The approval referred to in paragraph 1 shall be issued by the Commission within two months of its receiving the request.

Amendment 52

Proposal for a regulation

Article 13 — paragraph 1 — introductory part

Text proposed by the Commission Amendment The Commission shall , by means of implementing acts, adopt rules on procedures and timetables for: The Commission shall be empowered to adopt delegated acts, in accordance with Article 90, on rules on procedures and timetables for:

Justification

This is not simply a technical decision.

Amendment 53

Proposal for a regulation

Article 13 — paragraph 2

Text proposed by the Commission Amendment These implementing acts shall be adopted in accordance with the examination procedure referred to in Article 91. deleted

Amendment 54

Proposal for a regulation

Article 14 — paragraph 1 a (new)

Text proposed by the Commission Amendment Only those farmers that are active farmers as defined in Regulation (EU) No …/2013 [DP] shall benefit from measures targeting agricultural holdings.

Amendment 55

Proposal for a regulation

Article 15

Text proposed by the Commission Amendment 1. Support under this measure shall cover vocational training and skills acquisition actions, demonstration activities and information actions. Vocational training and skills acquisition actions may include training courses, workshops and coaching. 1. Support under this measure shall cover vocational training and skills acquisition actions, demonstration activities and information actions. Vocational training and skills acquisition actions may include training courses, workshops and coaching. Support may also cover short-term farm management exchange and farm visit . Support may also cover short-term farm and forest management exchange as well as farm and forest visits . 2. Support under this measure shall be for the benefit of persons engaged in the agricultural, food and forestry sector, land managers and other economic actors which are SMEs operating in rural areas. 2. Support under this measure shall be for the benefit of persons engaged in the agricultural, food and forestry sector, land managers and other economic actors which are SMEs operating in rural areas. When providing support under this measure for SMEs, priority may be given to SMEs linked to the agriculture and forestry sectors. The training or other knowledge transfer and information action provider shall be the beneficiary of the support. The training or other knowledge transfer and information action provider , which may be a public body, shall be the beneficiary of the support. 3. Support under this measure shall not include courses of instruction or training, which form part of normal education programmes or systems at secondary or higher levels. 3. Support under this measure shall not include courses of instruction or training, which form part of normal education programmes or systems at secondary or higher levels. Bodies providing knowledge transfer and information services shall have the appropriate capacities in the form of staff qualifications and regular training to carry out this task. Bodies providing knowledge transfer and information services shall have the appropriate capacities in the form of staff qualifications and regular training to carry out this task. 4. Eligible costs under this measure shall be the costs of organising and delivering the knowledge transfer or information action. In the case of demonstration projects, support may also cover relevant investment costs. Costs for travel, accommodation and per diem expenses of participants as well as the cost of replacement of farmers shall also be eligible. 4. Eligible costs under this measure shall be the costs of organising and delivering the knowledge transfer or information action. In the case of demonstration projects, support may also cover relevant investment costs. Costs for travel, accommodation and per diem expenses of participants as well as the cost of replacement of farmers shall also be eligible. 5. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the further specification of eligible costs, the minimum qualifications of bodies providing knowledge transfer services and the duration and content of farm exchange schemes and farm visits. 5. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the further specification of eligible costs, the minimum qualifications of bodies providing knowledge transfer services and the duration and content of farm exchange schemes and farm visits.

Amendment 56

Proposal for a regulation

Article 16

Text proposed by the Commission Amendment 1. Support under this measure shall be granted in order to: 1. Support under this measure shall be granted in order to: (a) help farmers, forest holders and SMEs in rural areas benefit from the use of advisory services for the improvement of the economic and environmental performance as well as the climate friendliness and resilience of their holding, enterprise and/or investment; (a) help farmers, forest holders and SMEs in rural areas benefit from the use of advisory services for the improvement of the economic and environmental performance as well as the climate friendliness and resilience of their holding, enterprise and/or investment; (b) promote the setting up of farm management, farm relief and farm advisory services, as well as forestry advisory services, including the Farm Advisory System referred to in Articles 12, 13 and 14 of Regulation (EU) No HR/2012; (b) promote the setting up of farm management, farm relief and farm advisory services, as well as forestry advisory services, including the Farm Advisory System referred to in Articles 12, 13 and 14 of Regulation (EU) No …/2013 [HR]; (c) promote the training of advisors. (c) promote the training of advisors. (ca) support the setting up of young farmers. 2. The beneficiary of support provided in paragraph 1(a) and (c) shall be the provider of advice or training. Support under paragraph 1(b) shall be granted to the authority or body selected to set up the farm management, farm relief, farm advisory or forestry advisory service. 2. The beneficiary of support provided in paragraph 1(a), (c) and (ca) shall be the provider of advice or training. Support under paragraph 1(b) shall be granted to the authority or body selected to set up the farm management, farm relief, farm advisory or forestry advisory service. 3. The authorities or bodies selected to provide advice shall have the appropriate resources in the form of regularly trained and qualified staff and advisory experience and reliability with respect to the fields they advise in. The beneficiaries shall be chosen through calls for proposals. The selection procedure shall be objective and be open to public as well as to private bodies. 3. The authorities or bodies selected to provide advice shall have the appropriate resources in the form of regularly trained and qualified staff and advisory experience and shall demonstrate independence and reliability with respect to the fields they advise in. The beneficiaries shall be chosen through calls for proposals. The selection procedure shall be governed by public law and shall be open to both public and private bodies. It shall be objective and shall exclude candidates with conflicts of interest. When providing advice, advisory services shall respect the non-disclosure obligations referred to in Article 13(2) of Regulation (EU) No HR/2012 When providing advice, advisory services shall respect the non-disclosure obligations referred to in Article 13(2) of Regulation (EU) No …/2013 [HR] 3a. The Farm Advisory System shall meet the requirements laid down in Article 12 of Regulation (EU) No …/2013 [HR]. Additional support for advisory services shall only be granted if the Member State has set up a Farm Advisory System pursuant to Article 12 of Regulation (EU) No …/2013 [HR]. 4. Advice to farmers shall be linked to at least one Union priority for rural development and shall cover as a minimum one of the following elements: 4. Advice to farmers shall be linked to two or more Union priorities for rural development and shall cover two or more of the following elements: (a) one or more of the statutory management requirements and/or standards for good agricultural and environmental conditions provided for in Chapter I of Title VI of Regulation (EU) No HR/2012; (a) one or more of the statutory management requirements and/or standards for good agricultural and environmental conditions provided for in Chapter I of Title VI of Regulation (EU) No …/2013 [HR]; (b) where applicable, the agricultural practices beneficial for the climate and the environment as laid down in Chapter 2 of Title III of Regulation (EU) No DP/2012 and the maintenance of the agricultural area as referred to in Article 4(1)(c) of Regulation (EU) No DP/2012; (b) where applicable, the agricultural practices beneficial for the climate and the environment as laid down in Chapter 2 of Title III of Regulation (EU) No …/2013 [DP]and the maintenance of the agricultural area as referred to in Article 4(1)(c) of Regulation (EU) No …/2013 [DP]; (c) the requirements or actions related to climate change mitigation and adaptation, biodiversity, the protection of water and soil, animal and plant disease notification and innovation as laid down in Annex I to Regulation (EU) No HR/2012; (c) the requirements or actions related to climate change mitigation and adaptation, biodiversity, the protection of water and soil, animal and plant disease notification and innovation as laid down in Annex I to Regulation (EU) No …/2013 [HR]; (d) the sustainable development of the economical activity of the small farms as defined by the Member States and at least of the farms participating in the Small farmers scheme referred to in Title V of Regulation (EU) No DP/2012; or (d) the sustainable development of the economical activity of the small farms as defined by the Member States and at least of the farms participating in the Small farmers scheme referred to in Title V of Regulation (EU) No …/2013 [DP]; or (e) where relevant, occupational safety standards based on Union legislation. (e) where relevant, occupational safety or farm safety standards based on Union or national law; (ea) support for the setting up of young farmers or new farmers, access to land and loans for setting up a farm, or any of these; (eb) the sustainable development of the economic activities of agricultural holdings in line with all measures recommended in the rural development programmes, including farm modernisation, competitiveness building, sectoral integration and the development of organic farming; (ec) specific advisory services supporting local processing and short distance marketing including training and the implementation of adapted hygiene rules and food safety standards; (ed) the ‘One health’ aspects of animal husbandry. Advice may also cover other issues linked to the economic, agricultural and environmental performance of the agricultural holding. Advice may also cover other issues linked to the economic, agricultural and environmental performance of the agricultural holding. 5. Advice to forest holders shall cover as a minimum the relevant obligations under Directives 92/43/EEC, 2009/147/ECand 2000/60/EC. It may also cover issues linked to the economic and environmental performance of the forest holding. 5. Advice to forest holders shall cover as a minimum the relevant obligations under Directives 92/43/EEC, 2009/147/EC and 2000/60/EC. It may also cover issues linked to the economic and environmental performance of the forest holding. 6. Advice to SMEs may cover issues linked to the economic and environmental performance of the enterprise. 6. Advice to SMEs may cover issues linked to the economic and environmental performance of the enterprise. Priority may be given to micro-enterprises and to SMEs linked to the agriculture and forestry sectors. 7. Where justified and appropriate, advice may be partly provided in group, while taking into account the situations of the individual user of advisory services. 7. Where justified and appropriate, advice may be partly provided in group, while taking into account the situations of the individual user of advisory services. 8. Support under paragraphs 1(a) and (c) shall be limited to the maximum amounts laid down in Annex I. Support under paragraph 1(b) shall be degressive over a maximum period of five years from setting up. 8. Support under paragraphs 1(a) and (c) shall be limited to the maximum amounts laid down in Annex I. Support under paragraph 1(b) shall be degressive over a maximum period of five years from setting up. 9. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the further specification of the minimum qualifications of the authorities or bodies providing advice. 9. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the further specification of the minimum qualifications of the authorities or bodies providing advice.

Amendment 57

Proposal for a regulation

Article 17

Text proposed by the Commission Amendment 1. Support under this measure shall cover new participation by farmers in: 1. Support under this measure shall cover new participation by farmers , producer groups and producer organisations in: (a) quality schemes for agricultural products, cotton or foodstuffs established by Union legislation; (a) quality schemes for agricultural products, cotton or foodstuffs established by Union law; (b) quality schemes for agricultural products, cotton or foodstuffs recognised by the Member States as complying with the following criteria: (b) quality schemes for agricultural products, cotton or foodstuffs recognised by the Member States as complying with the following criteria: (i) the specificity of the final product under such schemes is derived from clear obligations to guarantee: (i) the specificity of the final product under such schemes is derived from clear obligations to guarantee: — specific product characteristics, or — specific product characteristics, or — specific farming or production methods, or — specific farming or production methods, or — a quality of the final product that goes significantly beyond the commercial commodity standards as regards public, animal or plant health, animal welfare or environmental protection; — a quality of the final product that goes significantly beyond the commercial commodity standards as regards public, animal or plant health, animal welfare or environmental protection; or — short and local food supply chains (ii) the scheme is open to all producers; (ii) the scheme is open to all producers; (iii) the scheme involves binding product specifications and compliance with those specifications is verified by public authorities or by an independent inspection body; (iii) the scheme involves binding product specifications and compliance with those specifications is verified by public authorities or by an independent inspection body; (iv) the scheme is transparent and assures complete traceability of products; (iv) the scheme is transparent and assures complete traceability of products; or or (c) voluntary agricultural product certification schemes recognised by the Member States as meeting the Union best practice guidelines for the operation of voluntary certification schemes relating to agricultural products and foodstuffs. (c) voluntary agricultural-product and farm certification schemes recognised by the Member States as meeting the Union best practice guidelines for the operation of voluntary certification schemes relating to agricultural products and foodstuffs. 1a. Support may also cover costs arising to farmers or producer groups and producer organisations from information and promotion activities for products under the quality schemes referred to in paragraph 1(a) and (b). 2. Support shall be granted as an annual incentive payment, the level of which shall be determined according to the level of the fixed costs arising from participation in supported schemes, for a maximum duration of five years. 2. Support shall be granted as an annual incentive payment, the level of which shall be determined according to the level of the fixed costs arising from participation in supported schemes, for a maximum duration of five years. By way of derogation from paragraph 1, support may also be provided to beneficiaries who participated in a similar scheme during the programming period 2007-2013, provided that double payments are excluded and that the overall maximum duration of five years is complied with. Support shall be paid annually on presentation of documents proving participation in the scheme. However, the producer shall make a single application covering a five-year period. For the purposes of this paragraph, ‘fixed costs’ means the costs incurred for entering a supported quality scheme and the annual contribution for participating in that scheme, including, where necessary, expenditure on checks required to verify compliance with the specifications of the scheme. For the purposes of this paragraph, ‘fixed costs’ means the costs incurred for entering a supported quality scheme and the annual contribution for participating in that scheme, including, where necessary, expenditure on checks required to verify compliance with the specifications of the scheme. 3. Support shall be limited to the maximum amount laid down in Annex I. 3. Support shall be limited to the maximum amount laid down in Annex I. Where support is provided to producer groups in accordance with paragraph 1a, Member States may fix a different maximum amount. 4. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the specific Union quality schemes to be covered by paragraph 1(a). 4. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the specific Union quality schemes to be covered by paragraph 1(a).

Amendment 58

Proposal for a regulation

Article 18

Text proposed by the Commission Amendment 1. Support under this measure shall cover tangible and/or intangible investments which: 1. Support under this measure shall cover tangible and/or intangible investments which: (a) improve the overall performance of the agricultural holding; (a) improve the overall performance and sustainability of the agricultural holding , including its resource efficiency and greenhouse gas balance; (b) concern the processing, marketing and/or development of agricultural products covered by Annex I to the Treaty or cotton. The output of the production process may be a product not covered by that Annex; (b) concern the processing, marketing , conservation or development of agricultural products covered by Annex I to the Treaty or cotton, including such products covered by quality schemes as referred to in Article 17; the output of the production process may be a product not covered by that Annex; support may be granted for the setting up or development of small scale slaughterhouses; (c) concern infrastructure related to the development and adaptation of agriculture, including access to farm and forest land, land consolidation and improvement, energy supply and , water management ; or (c) concern infrastructure related to the development , modernisation or adaptation of agriculture, including access to farm and forest land, land consolidation and improvement, the supply and saving of energy and water and the collective management of land and water, or (d) are non productive investments linked to the achievement of agri- and forest- environment commitments, biodiversity conservation status of species and habitat as well as enhancing the public amenity value of a Natura 2000 area or other high nature value area to be defined in the programme. (d) are non productive investments linked to the achievement of agri- and forest- environment commitments, biodiversity conservation status of species and habitat and to the sustainable management of cynegetic and genetic resources, as well as enhancing the public amenity value of a Natura 2000 area or other high nature value area to be defined in the programme. 2. Support under paragraph 1(a) shall be granted to agricultural holdings. In the case of investments to support farm restructuring, only farms not exceeding a certain size, to be defined by the Member States in the programme based on the SWOT analysis carried out in relation to the Union priority for rural development ‘enhancing competitiveness of all types of agriculture and enhancing farm viability’, shall be eligible. 2. Support under paragraph 1(a) shall be granted to agricultural holdings or to producer groups and organisations. 3. Support under this measure shall be limited to the maximum support rates laid down in Annex I. These maximum rates may be increased for young farmers, collective investments and integrated projects involving support under more than one measure, investments in areas facing significant natural constraints as referred to in Article 33(3) and operations supported in the framework of the EIP for agricultural productivity and sustainability in accordance with the support rates laid down in Annex I. However, the maximum combined support rate may not exceed 90 %. 3. Support under this measure shall be limited to the maximum support rates laid down in Annex I. These maximum rates may be increased for young farmers for cooperation projects between small farmers to improve the sustainable productivity of their holdings and to encourage them to diversify into alternative sources of revenue including processing; for farmers or groups of farmers investing into agro-ecological production systems; for collective investments and integrated projects involving support under more than one measure ; for investments in areas facing significant natural constraints as referred to in Article 33(3) and for operations supported in the framework of the EIP for agricultural productivity and sustainability in accordance with the support rates laid down in Annex I. However, the maximum combined support rate may not exceed 90 %. 4. Paragraph 3 shall not apply to non-productive investments referred to in paragraph 1(d). 4. Paragraph 3 shall not apply to non-productive investments referred to in paragraph 1(d). 4a. Support may be granted in respect of investments made by farmers in order to comply with newly introduced Union standards in the fields of environmental protection, public health, animal and plant health, animal welfare and occupational safety adopted after the entry into force of this Regulation.

Amendment 59

Proposal for a regulation

Article 19 — paragraph 1 — point a

Text proposed by the Commission Amendment (a) investments in preventive actions aimed at reducing the consequences of probable natural disasters and catastrophic events; (a) investments in preventive actions aimed at reducing the consequences of probable natural disasters , adverse ambient conditions and catastrophic events;

Amendment 60

Proposal for a regulation

Article 19 — paragraph 1 — point b

Text proposed by the Commission Amendment (b) investments for the restoration of agricultural land and production potential damaged by natural disasters and catastrophic events. (b) investments for the restoration of agricultural land and production potential damaged by natural disasters , adverse ambient conditions and catastrophic events.

Amendment 61

Proposal for a regulation

Article 20

Text proposed by the Commission Amendment 1. Support under this measure shall cover: 1. Support under this measure shall cover: (a) business start-up aid for: (a) business start-up aid for: (i) young farmers; (i) young farmers; (ii) non-agricultural activities in rural areas; (ii) non-agricultural activities and the provision of agricultural services in rural areas; (iii) the development of small farms; (iii) the development of small farms; (b) investments in non-agricultural activities; (b) investments in non-agricultural activities; (c) annual payments for farmers participating in the small farmers scheme established by Title V of Regulation (EU) No DP/2012 (hereafter ‘the small farmers scheme’) who permanently transfer their holding to another farmer. (c) one-off payments for farmers participating in the small farmers scheme established by Title V of Regulation (EU) No …/2013 [DP] (hereafter ‘the small farmers scheme’) who permanently transfer their holding to another farmer; (ca) payments for farmers who permanently transfer their holding to another farmer with the intention of creating viable economic units. 2. Support under paragraph 1(a)(i) shall be granted to young farmers. 2. Support under paragraph 1(a)(i) shall be granted to young farmers. Support under paragraph 1(a)(ii) shall be granted to farmers or members of the farm household diversifying into non-agricultural activities and to non-agricultural micro- and small- enterprises in rural areas. Support under paragraph 1(a)(ii) shall be granted to farmers or members of a farm household who diversify into non-agricultural activities and to non-agricultural micro- and small- enterprises in rural areas , including to those engaged in tourism . Support under paragraph 1(a)(iii) shall be granted to small farms as defined by Member States. Support under paragraph 1(a)(iii) shall be granted to small farms as defined by Member States. Support under paragraph 1(b) shall be granted to non- agricultural micro- and small- enterprises in rural areas and to farmers or members of the farm household. Support under paragraph 1(b) shall be granted to non- agricultural micro- and small- enterprises in rural areas and to farmers or members of the farm household. Support under paragraph 1(c) shall be granted to farmers participating in the small farmers scheme, at the time of submitting their application for support, for at least one year and who commit to permanently transfer their entire holding and the corresponding payment entitlements to another farmer. Support shall be paid from the date of the transfer until 31 December 2020. Support under paragraph 1(c) shall be granted to farmers participating in the small farmers scheme, at the time of submitting their application for support, for at least one year and who commit to permanently transfer their entire holding and the corresponding payment entitlements to another farmer. Support shall be calculated from the date of the transfer until 31 December 2020. Support under paragraph 1(ca) shall be granted to farmers on condition that they: (a) have practised farming for at least 10 years, (b) undertake to permanently transfer their entire holding and the corresponding payment entitlements to another farmer and (c) stop all commercial farming activity definitively. Member States shall lay down additional criteria for the viability of economic units, which may be subject to support under paragraph 1(ca). 2a. When support is provided under paragraphs 1(a)(ii) or 1(b), priority may be given to non-agricultural activities linked to agriculture and forestry as well as to activities developed by community-led local partnerships. 3. Any natural or legal person or a group of natural or legal persons, whatever legal status is granted to the group and its members by national law, may be considered as a member of a farm household, with the exception of farm workers. Where a legal person or a group of legal persons is considered as a member of the farm household, that member must exercise an agricultural activity on the farm at the time of the support application. 3. Any natural or legal person or a group of natural or legal persons, whatever legal status is granted to the group and its members by national law, may be considered as a member of a farm household, with the exception of farm workers. Where a legal person or a group of legal persons is considered as a member of the farm household, that member must exercise an agricultural activity on the farm at the time of the support application. 4. Support under paragraph 1(a) shall be conditional on the submission of a business plan. Implementation of the business plan has to start within six months from the date of the decision granting the aid. 4. Support under paragraph 1(a) shall be conditional on the submission of a business plan. Implementation of the business plan has to start within six months from the date of the decision granting the aid. Member States shall define upper and lower thresholds for allowing agricultural holdings access to support under paragraphs 1(a)(i) and 1(a)(iii) respectively. The lower threshold for support under paragraph 1(a)(i) shall be significantly higher than the upper threshold for support under paragraph 1(a)(iii). Support shall, however, be limited to holdings coming under the definition of micro- and small- enterprises. Member States shall define upper and lower thresholds for allowing agricultural holdings access to support under paragraphs 1(a)(i) and 1(a)(iii) respectively. The lower threshold for support under paragraph 1(a)(i) shall be significantly higher than the upper threshold for support under paragraph 1(a)(iii). Support shall, however, be limited to holdings coming under the definition of micro- and small- enterprises. Support under paragraph 1(a)(i) may also be targeted at land leasing for young farmers, and may take the form of a bank guarantee for land lease contracts and support for interest rates. 5. Support under paragraph 1(a) shall be in the form of a flat rate payment, which may be paid in at least two instalments over a period of maximum five years. Instalments may be degressive. The payment of the last instalment, under paragraph 1(a)(i) and (ii) shall be conditional upon the correct implementation of the business plan. 5. Support under paragraph 1(a) shall be in the form of a flat rate payment, which may be paid in at least two instalments over a period of maximum five years. Instalments may be degressive. The payment of the last instalment, under paragraph 1(a)(i) and (ii) shall be conditional upon the correct implementation of the business plan. 6. The maximum amount of support for paragraph 1(a) is laid down in Annex I. Member States shall define the amount of support under paragraph 1(a)(i) and (ii) also taking into account the socio-economic situation of the programme area. 6. The maximum amount of support for paragraph 1(a) is laid down in Annex I. Member States shall define the amount of support under paragraph 1(a)(i) and (ii) also taking into account the socio-economic situation of the programme area. 7. Support under paragraph 1(c) shall be equal to 120 % of the annual payment that the beneficiary received under the small farmers scheme. 7. Support under paragraph 1(c) shall be equal to 120 % of the annual payment that the beneficiary received under the small farmers scheme , calculated for the period from the date of the transfer until 31 December 2020. The corresponding amount shall be paid in the form of a one-off payment . 7a. Support under paragraph 1(ca) shall be granted in the form of a one-off payment up to the maximum amount laid down in Annex I. 8. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the minimum content of business plans and the criteria to be used by Member States for setting the thresholds referred to in paragraph 4. 8. The Commission shall be empowered to adopt delegated acts in accordance with Article 90 concerning the minimum content of business plans and the criteria to be used by Member States for setting the thresholds referred to in paragraph 4.

Amendment 62

Proposal for a regulation

Article 21

Text proposed by the Commission Amendment 1. Support under this measure shall cover in particular: 1. Support under this measure shall cover in particular: (a) the drawing up and updating of plans for the development of municipalities in rural areas and their basic services and of protection and management plans relating to NATURA 2000 sites and other areas of high nature value; (a) the drawing up and updating of plans for the development of municipalities in rural areas and their basic services and of protection and management plans relating to NATURA 2000 sites and other areas of high nature value; (b) investments in the creation, improvement or expansion of all types of small scale infrastructure, including investments in renewable energy; (b) investments in the creation, improvement or expansion of all types of small scale infrastructure, including the development and expansion of local marketing and agro-tourism; and investments in renewable energy , energy saving systems and sustainable resource and waste management systems ; (c) broadband infrastructure, including its creation, improvement and expansion, passive broadband infrastructure and provision of access to broadband and public e-government solutions; (c) broadband infrastructure, including its creation, improvement and expansion, passive broadband infrastructure and provision of access to broadband and public e-government solutions; (d) investments in the setting-up, improvement or expansion of local basic services for the rural population, including leisure and culture, and the related infrastructure; (d) investments in the setting-up, improvement or expansion of local basic services for the rural population, including leisure and culture, and the related infrastructure; (e) investments by public bodies in recreational infrastructure, tourist information and sign-posting of touristic sites; (e) investments for public benefit in recreational infrastructure, tourist information , small scale tourist infrastructure, marketing of rural tourism services and sign-posting of touristic sites; (f) studies and investments associated with the maintenance, restoration and upgrading of the cultural and natural heritage of villages and rural landscapes, including related socio-economic aspects; (f) studies and investments associated with the maintenance, restoration and upgrading of the cultural and natural heritage of villages and rural landscapes, including related socio-economic aspects; (g) investments targeting the relocation of activities and conversion of buildings or other facilities located close to rural settlements, with a view to improving the quality of life or increasing the environmental performance of the settlement. (g) investments targeting the relocation of activities and conversion of buildings or other facilities located close to rural settlements, with a view to improving the quality of life or increasing the environmental performance of the settlement. Priority may be given to investment in community-led local development initiatives and investment projects that are subject to community ownership and control. 2. Support under this measure shall only concern small-scale infrastructure, as defined by each Member State in the programme. However, rural development programmes may provide for specific derogations from this rule for investments in broadband and renewable energy. In this case, clear criteria ensuring complementarity with support under other Union instruments shall be provided. 2. Support under this measure shall only concern small-scale infrastructure, as defined by each Member State in the programme. However, rural development programmes may provide for specific derogations from this rule for investments in broadband and renewable energy. In this case, clear criteria ensuring complementarity with support under other Union instruments shall be provided. 3. Investments under paragraph 1 shall be eligible for support where the relevant operations are implemented in accordance with plans for the development of municipalities in rural areas and their basic services, where such plans exist and shall be consistent with any local development strategy where one exists. 3. Investments under paragraph 1 shall be eligible for support where the relevant operations are implemented in accordance with plans for the development of mun