Commission Regulation (EC) No 2236/98 of 16 October 1998 amending Regulation (EC) No 296/96 on data to be forwarded by the Member States and the monthly booking of expenditure financed under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF) and repealing Regulation (EEC) No 2776/88
Date: 1998-10-16
Institutions: European Commission
Subjects: EAGGF Guarantee Section, euro, exchange rate, exchange transaction, national currency, payment

17. 10. 98

EN

Official Journal of the European Communities

L 281/9

COMMISSION REGULATION (EC) No 2236/98

of 16 October 1998

amending Regulation (EC) No 296/96 on data to be forwarded by the Member
States and the monthly booking of expenditure financed under the Guarantee
Section of the European Agricultural Guidance and Guarantee Fund (EAGGF)
and repealing Regulation (EEC) No 2776/88

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EEC) No 729/70 of
21 April 1970 on the financing of the common agricul-
tural policy (1), as last amended by Regulation (EC) No
1287/95 (2), and in particular Articles 4 and 5 thereof,

Whereas Council Regulation (EC) No 974/98 of 3 May
the euro (3), provides in
1998 on the introduction of
Article 2 that from 1 January 1999 the currency of the
participating Member States shall be the euro;

Whereas it is accordingly necessary to amend Commis-
sion Regulation (EC) No 296/96 (4), as amended by Regu-
lation (EC) No 1391/97 (5), specifying that the advances
against the booking of expenditure shall be drawn up and
paid to the participating Member States in euro;

Whereas the advances to be paid at the beginning of
January 1999 relate to expenditure effected between 16
October and 30 November 1998; whereas these advances
should still be paid to the participating Member States, for
the last time, in units of national currency;

Whereas, for the non-participating Member States, the
payment of the advances in euro, would lead to them
taking over exchange rate differences between the 10th of
month n+1 and the third working day of month n+2;
whereas the taking over of exchange rate differences
would constitute a new element in comparison to the
system used up until now; whereas, in consequence, it is
appropriate to provide specific measures
these
Member States which avoid all differences compared to
the amounts effectively spent;

for

Whereas the measures provided for in this Regulation are
in accordance with the opinion of the European Agricul-
tural Guidance and Guarantee Fund Committee,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EC) No 296/96 is hereby amended as follows:

1. the following paragraphs 8, 9, 10 and 11 are added to

Article 3:

(1) OJ L 94, 28. 4. 1970, p. 13.
(2) OJ L 125, 8. 6. 1995, p. 1.
(3) OJ L 139, 11. 5. 1998, p. 1.
(4) OJ L 39, 17. 2. 1996, p. 5.
(5) OJ L 190, 19. 7. 1997, p. 20.

‘8.

(a) Member States participating in the euro may
choose, during the transitional period referred to
in the sixth indent of Article 1 of Regulation
(EC) No 974/98, to keep the accounts at the
level of the paying agency:

— either solely in euro,

— in euro for the payments effected in euro
and in units of national currency for the
payments effected in units of national
currency,

— or solely in units of national currency.

(b) The choice of currency for the accounts as well
as the declarations to be furnished to the
EAGGF by the participating Member States
must be maintained for the whole of the finan-
cial year. However for the first year of applica-
tion this choice applies from 1 January 1999.

(c) The same choice must be maintained for the
clearance of

the

declarations made under
accounts procedure.

9.

(a) The

paying

agencies

of non-participating
Member States in the euro must maintain sep-
arate accounts according to the currency in
which the payments have been made to the
beneficiaries. The same separation must be
maintained for the declarations made under the
clearance of accounts procedure.

(b) However, if the paying agency of a non-parti-
cipating Member State is capable of converting
into national currency the amounts paid to
beneficiaries in euro at the exchange rate applied
on the day of payment, the complete accounts of
that paying agency may be maintained in
national currency.

Recoveries, where arising, of amounts paid in
euro must correspond to the national currency
booked on the day of payment.

10.
If, in accordance with paragraphs 8 and 9, the
paying agencies of a Member State may choose
between the euro, units of national currency and the
national currency for their accounts, it is not obligatory
that they all adopt the same choice.

11.
The communications referred to in Article 3
shall be established in the currency or currencies in
which the accounts are maintained.';

L 281/10

EN

Official Journal of the European Communities

17. 10. 98

2. the following paragraph 1a is added to Article 4:

The advances against the booking of expendit-

‘1a.
ure of the EAGGF-Guarantee are:

(a) drawn up and paid in euro to participating Member

States;

(b) for the non-participating Member States, drawn up

and paid:

— in euro for

the payments effected by the

Member State in euro,

— in national currency for the payments effected
by the Member State in national currency.

However, if the conversion to national currency of
payments in euro is made at the exchange rate
applied on the day of payment to the beneficiary
(as provided for in Article 3(9)(b)), the advances

relating to these payments in euro may also be
effected in national currency;

(c) paid in units of national currency or in national
currency for the expenditure effected by the parti-
cipating and non-participating Member States
between 16 October and 30 November 1998.'

Article 2

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

It shall apply from 1 January 1999.

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

Done at Brussels, 16 October 1998.

For the Commission

Franz FISCHLER

Member of the Commission