Proposal for a Council Regulation (EC) amending Regulation (EEC) No 1765/92 establishing a support system for producers of certain arable crops

(96/C 243/03)

COM(96) 175 final - 96/0167(CNS)

(Submitted by the Commission on 25 June 1996)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Articles 42 and 43 thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament,

Whereas the support system for producers of certain arable crops introduced by Council Regulation (EEC) No 1765/92 (1) provides that in the case where the sum of the individual areas for which aid is claimed is in excess of the regional base area two types of measures are to be applied, one in the form of a reduction in eligible area, the other in the form of extraordinary set-aside; whereas that Regulation also provides that in the case where exceptional climatic conditions have caused a reduction in yields and an overshoot of the regional base area the producers concerned may be exempted from extraordinary set-aside; whereas severe climatic conditions have adverse financial consequences for the producers in the affected regions; whereas it is thus justified to broaden the scope of the exemption possible to include the reduction in eligible area provided that the budgetary situation allows it; whereas severe climatic conditions have been noted in certain regions of the Union in 1995; whereas the exemption from one or both measures under such conditions should already apply from 1995 onwards;

Whereas Member States may apply one or more national base areas; whereas in such a case the measures to be applied in the case of a possible overshoot of the base area are currently applied on a national basis; whereas it is considered appropriate that the Member States which choose this option should be able to divide each national base area into sub-base areas; whereas the minimum size of such sub-base areas should be laid down; whereas when a national base area has been exceeded the Member State concerned should be allowed to concentrate the application of the measures totally or partially on those areas for which the overshoot has been noted; whereas the Member States should be required to notify the Commission and producers, in due time, of the exercise of this option and how they intend to apply the measures;

Whereas Regulation (EEC) No 1765/92 should therefore be amended,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EEC) No 1765/92 is hereby amended as follows:

1. Article 2 (6) is replaced by the following:

'6. In the case of a regional base area, when the sum of the individual areas for which aid is claimed under the arable producers' scheme, including the set-aside provided for under that scheme, and land counted as being set-aside pursuant to Article 7 (2) and to Council Regulation (EEC) No 2328/91 of 15 July 1991 on improving the efficiency of agricultural structures (¹), is in excess of the regional base area, the following measures will be applied in the region in question:

- during the same marketing year, the eligible area per farmer will be reduced proportionately for all the aids granted under this Title,

- in the following marketing year, producers in the general scheme will be required to make, without compensation, an extraordinary set-aside. The percentage rate for extraordinary set-aside shall be equal to the percentage by which the regional base area has been exceeded, established by deducting 85 % of the area set-aside under voluntary set-aside in accordance with Article 7 (6). This shall be additional to the set-aside requirement given in Article 7. However, if the excess in the regional base area leads to a level of extraordinary set-aside of less than 1 % being applied in respect of the 1996 harvest, the extraordinary set-aside shall not be applied.

Areas which are the subject of extraordinary set-aside in accordance with the second indent of the preceding subparagraph shall not be taken into account in applying this paragraph.

In the event that exceptional climatic conditions have affected production in a marketing year in which it is found that the regional base area has been exceeded, and those conditions have had the effect of lowering yields to a level considerably below the normal and of causing the excess in question, the Commission may, pursuant to the procedure laid down in Article 23 of Council Regulation (EEC) No 1766/92 of 30 June 1992 on the common organization of the market in cereals (²), totally or partially exempt producers in the regions affected from one or both measures applicable under this paragraph.

(¹) OJ No L 218, 6. 8. 1991, p. 1. Regulation last amended by Regulation (EC) No 2387/95 (OJ No L 244, 12. 10. 1995, p. 50).

(²) OJ No L 181, 1. 7. 1992, p. 21. Regulation last amended by Regulation (EC) No 1863/95 (OJ No L 179, 29. 7. 1995, p. 1).`.

2. The following is added after Article 2 (6):

'7. Without prejudice to Article 3, where a Member State has chosen to establish one or more national base areas, it may subdivide each national base area into sub-base areas established in accordance with paragraph 2. A sub-base area shall not be smaller than level 2 of the Nomenclature of Territorial Statistical Units (NUTS).

In the case of an overshoot of a national base area, the Member State concerned may, in accordance with objective criteria, concentrate the measures applicable under paragraph 6 totally or partially on the sub-base areas for which the overshoot has been noted.

The Member State which has decided to apply the possibility for in the first and second subparagraphs shall notify producers and the Commission by 31 March of its choices and the rules and procedures for their application.

Where the option provided for in this paragraph is applied, the consequences must be the same as those that would result from application of the measures at national level.

If the option provided for in this paragraph is applied, the expression "regional base area" shall, for the purposes of Article 5 (1) (f), be understood to mean a sub-base area.`.

3. In Article 12 the following is added at the end of the first indent:

'and (7), including the special conditions to be applied in the case of Germany,`.

Article 2

This Regulation shall enter into force on the seventh day following its publication in the Official Journal of the European Communities.

However, Article 1 (1) shall apply from 1995/96 onwards.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

(1) OJ No L 181, 1. 7. 1992, p. 12. Regulation last amended by Regulation (EC) No 2989/95 (OJ No L 312, 23. 12. 1995, p. 5).