COMMISSION OF THE EUROPEAN COMMUNITIES 
COM(93) 455 final 
Brussels» 30 September 1993 
Proposal for a 
COUNCIL REGULATION (EEC) 
on the part-financing by the 
Community of remote sensing checks and amending Council Regulation 
(EEC) N° 3508/92 of 27 November 1992 establishing an integrated 
administration and control system for certain Community aid schemes. 
(presented by the Commission) 
~1-
Explanatory memorandum 
Remote sensing, used to monitor areas under cultivation for which subsidies 
are granted, was first tested by the Commission alone, starting in 1990, 
then proposed on a cooperative basis to the Member States, which are nov 
being asked to take over responsibility for it in their own countries, with 
technical back-up from the Commission. 
Official authorization for this monitoring technique was given by Article 8 
of Council Regulation (EEC) No 1703/91 of 13 June 1991 introducing a 
temporary set-aside scheme for arable land for the 1991/92 marketing 
yearI1) and subsequently by Article 9 of Council Regulation (EEC) 
No 3766/91 of 12 December 1991 establishing a support system for producers 
of soya beans, rape seed and sunflower seed(2). 
These provisions, which applied for a single marketing year, have now been 
replaced by Article 8(4) of Council Regulation (EEC) No 3508/92 of 27 
November 1992 establishing an integrated administration and control system 
for certain Commmunity aid schemes^3). For 1993 approximately 35 000 files 
will have been checked using remote sensing in 11 Member States, which is 
equivalent to around one quarter of the minimum number of checks required 
under the new Regulation. The rest, generally speaking, are being checked 
using traditional methods. 
Since 1970 national budgets have had to bear the administrative cost of 
controls under Article 1(4) of Council Regulation (EEC) No 729/70 of 
21 April 1970 on the financing of the common agricultural policy^4). The 
use of remote sensing is still a fairly new and complex technique, however, 
and although unit costs are falling rapidly, at the moment control by this 
method is still giving rise to considerable expenditure. The Commission 
considers that this should be part-financed out of Community funds in order 
to allow all the Member States which so wish to update their control 
systems more speedily. Part-financing could be limited, however, to the 
time required for the change-over. 
For that reason, as an exception to the general rule, Commission 
Regulations (EEC) Nos 2069/91<5) and 615/92(6) laying down detailed rules 
for the application of the temporary set-aside scheme for arable land and 
for a support system for producers of oilseeds respectively already 
provided for the possibility of financing checks carried out by remote 
sensing out of the Commission budget. This option was extended by 
Commission Regulation (EEC) No 3887/92 laying down detailed rules for 
applying the integrated administration and control system^7). 
Steps should be taken moreover to remove any ambiguity in Article 10(1) of 
Regulation (EEC) No 3508/92 between investment expenditure on the 
(1) OJNoL 162, 26. 6.1991, p. 1. 
(2) OJ No L 356, 24.12.1991, p. 17. 
(3) OJ No L 355, 5.12.1992, p. 1. 
(4) OJ No L 94, 28. 4.1970, p. 13. 
(5) OJ No L 191, 11. 7.1991, p. 19. 
(6) OJ No L 67, 10. 3.1992, p. 11. 
(7) OJ No L 391, 31.12.1992, p. 36. 
- 2 -
establishment of the integrated system and the costs of annual checks 
carried out by aerial or satellite-borne means of remote sensing. 
Experience has shown furthermore that negotiations for the purchase of the 
necessary satellite pictures conducted at Community level together with the 
joint management of archive pictures provide opportunities which are 
unavailable to the Member States acting individually. 
Remote sensing, lastly, is still developing and the Member States' 
requirements regarding the checking of areas have not yet all been 
identified, expressed or met. The Commission intends therefore to continue 
carrying out specific tests related to checking requirements. Provision 
should be made also for establishing a legal basis for their financing. 
All these considerations have resulted in the proposal below which is for a 
specific Regulation consolidating the provisions of Article 10 of Regulation 
(EEC) No 3508/92 and Article 7 of Regulation (EEC) No 3887/92 and 
introducing a number of new provisions, namely: 
the part-financing of up to 50% of expenditure for a maximum of 5 
years ; 
- specific technical support and test measures to be carried out by 
the Commission without a time limit; 
the centralized purchase of satellite pictures; 
the determination of a clear distinction between the establishment 
of the integrated system and the annual costs of remote sensing. 
-3 
Proposal for 
Council Regulation (EEC) No / on the part-financing by the 
Community of remote sensing checks and amending Council Regulation (EEC) 
No 3508/92 of 27 November 1992 establishing an integrated administration and 
control system for certain Commmunity aid schemes 
TUB COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Community, 
and in particular Article 43 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Whereas Article 8(4) of Council Regulation (EEC) No 3508/92 of 27 November 
1992 establishing an integrated administration and control system for 
certain Commmunity aid schemes* provides that Member States may use remote 
sensing to determine the area of agricultural parcels, identify crops and 
verify their status; 
Whereas, on account of its novelty and complexity, remote sensing is giving 
rise to further major expenditure which should be covered partly out of 
Community funds in order to enable all Member States who so wish to update 
their control techniques more rapidly; whereas, however, provision should 
be made for part-financing which is limited in time; 
Whereas the part-financing must be granted only for techniques applied and 
may not result in the charging to the Community budget of purely 
administrative expenditure which, under Article 1(4) of Council Regulation 
(EEC) No 729/70 of 21 April 1970 on the financing of the common agricultural 
policy^, is chargeable to national budgets; 
Whereas provision should be made for the Commission to be consulted on the 
technical and financial aspects of projects drawn up by the Member States 
and on the award of contracts in order to ensure satisfactory uniformity 
between Member States; 
Whereas since the funds available are limited, it is essential that 
provision be made for their fair distribution among the Member States on the 
basis of a maximum rate of part-financing and a distribution scale; 
Whereas experience has shown that negotiations centralised at Community 
level, for the purchase of the necessary satellite pictures, and the joint 
management of archive pictures, open up opportunités which are unavailable 
to individual Member states; 
1 OJ Ito L 355, S.12.1992, p. 1. 
2 OJ MOL 94, 28. 4.1970, p. 13. 
Whereas remote sensing is undergoing constant development; whereas,. 
moreover, the Member States' requirements regarding the control of 
agricultural areas have not yet all been identified, expressed or met? 
whereas provision should be made therefore for specific tests related to 
control requirements to be financed; 
Whereas it is essential, for the satisfactory management of the funds, to 
have currency exchange rates which remain fixed throughout the budget year; 
Whereas steps should be taken to eliminate all ambiguity in Article 10(1) of 
Regulation (EEC) No 3508/92 between investment expenditure linked with the 
establishment of the integrated system and the costs of the annual checks 
carried out by aerial or satellite remote sensing, 
HAS ADOPTED THIS REGULATION: 
Article 1 
1. The Community may contribute, towards the costs incurred by the Member 
States, in réponse to an annual request to the Commission, for the use of 
aerial or satellite remote sensing during checks on agricultural areas 
pursuant to Article 8(1) of Regulation (EEC) No 729/70. 
Without prejudice to Article 1(4) of that Regulation, for the purposes of 
this Regulation "technical costs" means the costs of: 
acquiring satellite pictures or aerial photographs; 
the photointerpretation of the above; 
- the processing of documents or the use of techniques for locating parcels 
shown in applications for assistance for the purpose of surveying the 
areas under crops and measuring the areas declared. 
2. The part-financing referred to in this Article may only be granted by 
calendar year for a period of five consecutive years as from the date of 
entry into force of this Regulation. It shall be granted within the limit 
of the appropriations allocated for this purpose in the Community budget and 
may not exceed 50% of the actual expenditure incurred by the Member State 
concerned in respect of the relevant budget year. 
The appropriations available shall be distributed among the Member States in 
accordance with the scale shown in the Annex, less, where appropriate, the 
costs and work expenditure referred to in Article 2 of this Regulation. 
Appropriations for which application has not been made may be used again in 
accordance with Article 2, or redistributed, without taking into account the 
distribution scale, among the Member States which satisfy the requirements 
of this Regulation. 
3. The grant of part-financing shall be conditional on: 
- the presentation of a declaration of intent from the Member State to be 
sent before a date to be determined by the Commission, prior to 1 January 
of the budget year concerned; 
the submission before 15 January of a specification setting out in detail 
the work for which part-financing is requested. The Commission may 
request that changes be made to it; 
- the consultation of the Commission before 31 March, on the award of the 
contract, and on a budget estimate. Irrespective of the form given to 
this contract by the Member State, the Commission's consent to 
part-financing must be renewed annually. 
In all three cases a negative opinion on the part of the Commission or 
failure to consult within the prescribed period shall mean that part-
financing will be refused. The Commission may itself propose a specification 
to those Member States that desire it. In which case, it is considered as 
approved. 
4. Community payment shall be made upon submission of supporting 
documents. These shall comprise at least the principal components of the 
agreement between the Member State and the supplier or suppliers of services 
as well as the corresponding proof of payment. In order to be eligible for 
reimbursement, proof of payment must reach the Commission at the latest on 
15 June of the year following the budget year concerned. 
5. The Commission may, on receipt of a duly substantiated request from a 
Member State, advance all or part of the amounts covering the annual 
payments referred to in the preceding paragraph. 
6. The conversion into national currency of the amounts expressed in ecus 
shall be made by applying the exchange rate in force on the first working 
day of the calendar year concerned, as published in the C series of the 
Official Journal of the European Communities. 
Article 2 
The Commission may acquire and supply free of charge to the control 
agencies, or to suppliers of services authorized by those agencies to 
represent them, the satellite pictures required for the checks, the list of 
which shall be agreed with the Member State in accordance with the 
specification referred to in Article 1(3). The Commission shall continue to 
own the pictures supplied and shall recover them on completion of the work. 
It may also see to it that work is carried out on perfecting the technique 
and working methods for checking agricultural areas by remote sensing. 
Article 3 
The Community part-financing provided for in this Regulation, in the areas 
referred to in Articles 1 and 2, may not be aggregated with the financial 
contribution provided for in other Regulations, in particular: 
- Council Regulation (EEC) No 3508/92 of 27 November 1992 establishing an 
integrated administration and control system for certain Commmunity aid 
schemes; 
- Council Regulation (EEC) No 307/91 of 4 February 1991 on reinforcing the 
monitoring of certain expenditure chargeable to the Guarantee Section of 
the European Agricultural Guidance and Guarantee Fund3. 
$ «llMl 1?9 »*a«t9»l, 9. 9. 
Article 4 
The Commission shall adopt detailed rules for the application of this 
Regulation in accordance with the procedure laid down in Article 13 of 
Regulation (EEC) No 729/70. 
Article 5 
In Article 10(1) of Regulation (EEC) No 3508/92, the words "and for the 
acquisition of aerial photographs or satellite pictures and the analysis 
thereof are hereby deleted. 
Article 6 
1 
This Regulation shall enter into force on the seventh day following its 
publication in the Official Journal of the European Communities. It shall 
apply with effect from 1 January 1994. However, for expenditure incurred by 
the Member States before the entry into force of this Regulation, the old 
version of Article 10 of Regulation (EEC) No 3508/92 shall continue to 
apply. 
This Regulation shall be binding in its entirety and directly applicable in 
all Member States. 
Done at 
For the Council 

s 
ANNEX 
Method of calculation 
The maximum authorized appropriation is: 
. ECU 15 million in the first year; 
. ECU 20 million in the four subsequent years; 
. ECU 3 million thereafter. 
It is broken down as follows: 
(1) Part-financing: maximum reimbursement of ECU 12 million in 1994 and 
ECU 17 million for four years 
(50% of Member States' actual expenditure); 
(2) Ancillary services: 
- satellite pictures or aerial photographs: 
ECU 2.5 million/year, based on expenditure in 1992 and 1993; 
technical assistance for Member States: 
estimated ECU 0.5 million/year. 
(3) Amendment of Regulation (EEC) No 3508/92: neutral from budgetary 
point of view. 
J 
ISSN 0254-1475 
COM(93) 455 final 
DOCUMENTS 
EN 03 
Catalogue number : CB-CO-93-502-EN-C 
ISBN 92-77-59562-0 
Office for Official Publications of the European Communities 
Lr2985 Luxembourg