Commission Regulation (EC) No 2813/98 of 22 December 1998 laying down detailed rules for applying the transitional measures for the introduction of the euro to the common agricultural policy
Date: 1998-12-22
Institutions: European Commission
Subjects: European Monetary System, agri-monetary policy, common agricultural policy, exchange rate, monetary compensatory amount

L 349/48

EN

Official Journal of the European Communities

24. 12. 98

COMMISSION REGULATION (EC) No 2813/98

of 22 December 1998

laying down detailed rules for applying the transitional measures for the intro-
duction of the euro to the common agricultural policy

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

HAS ADOPTED THIS REGULATION:

Having regard to the Treaty establishing the European
Community,

TITLE I

Compensation for appreciable revaluations

Having regard to Council Regulation (EC) No 2799/98 of
15 December 1998 establishing agrimonetary arrange-
ments for the euro (1), and in particular Article 10 thereof,

Article 1

Having regard to Council Regulation (EC) No 2800/98 of
15 December 1998 on the transitional measures for the
introduction of
the euro to the common agricultural
policy (2), and in particular Article 4 thereof,

Whereas Regulation (EC) No 2800/98 allows Member
States to grant compensation to farmers who have suffered
the effects of an appreciable revaluation; whereas part of
that compensation is specifically to offset certain actual
reductions in direct aid; whereas that Regulation lays
down certain conditions for granting compensation and
its phasing over time, and indicates the method for deter-
mining the maximum amount that may be allocated by a
Member State; whereas the compensation concerned is
financed entirely or in part by the Community budget;

Whereas it is necessary to define the operative event that
determines the exchange rate used to convert amounts
expressed in euros; whereas, to facilitate financial manage-
ment, the payment of more than one annual instalment
of compensation in the same budget year should be
avoided; whereas,
the European
Community’s international commitments, and in the
interests of administrative transparency, the procedures to
be
followed by Member States wishing to grant
compensation should be laid down;

to take account of

Whereas, in order to fulfil its purpose, the compensation
must be granted directly to the beneficiaries, in principle
farmers, within a fixed period and for amounts not
exceeding
concerned; whereas,
however,
to avoid administrative complications arising
from the grant of small amounts to beneficiaries, simpli-
fied procedures may be used in certain cases;

income

losses

the

Whereas the measures provided for in this Regulation are
in accordance with the opinion of
the management
committees concerned,

This Title lays down the detailed rules for granting
1.
the compensatory aid referred to in Article 2 of Regula-
tion (EC) No 2800/98.

2.
The maximum amounts of compensatory aid shall
be determined in accordance with Article 4(2) of Regula-
tion (EC) No 2799/98.

Article 2

The maximum level of the aid shall be converted, in the
case of the Member States participating in the euro, into
national currency units using the conversion rates irrevoc-
ably fixed by the Council in accordance with the first
sentence of Article 109l(4) of the Treaty and, in the case
of Member States not participating in the euro, into the
national currency using the exchange rate at 1 January
1999.

Article 3

The provisions on the grant of compensatory aid in
Articles 7(1), and Articles 8 and 9 of Commission Regula-
tion (EC) No 2808/98 (3) shall apply to compensatory aid
under this Title.

TITLE II

Compensation for reductions in the rates applied to
direct aid

Article 4

This Title lays down the detailed rules for granting
1.
the compensatory aid referred to in Article 3 of Regula-
tion (EC) No 2800/98.

2.
The maximum amounts of compensatory aid shall
be determined in accordance with Article 5(2) of Regula-
tion (EC) No 2799/98.

(1) See page 1 of this Official Journal.
(2) See page 8 of this Official Journal.

(3) See page 36 of this Official Journal.

24. 12. 98

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Official Journal of the European Communities

L 349/49

Article 5

TITLE III

The maximum level of the aid shall be converted, in the
case of the Member States participating in the euro, into
national currency units using the conversion rates irrevoc-
ably fixed by the Council in accordance with the first
sentence of Article 109l(4) of the Treaty and, in the case
of Member States not participating in the euro, into the
national currency using the exchange rate on the date of
the operative event.

Article 6

The maximum amount of the compensatory aid referred
to in Article 4(2) resulting from a reduction in the agricul-
tural conversion rate frozen until 1 January 1999 shall be
increased by the inverse of the relation between the rate
referred to in Article 5 and the agricultural conversion
rate referred to above.

Article 7

Article 10(2), (3), (4) and (5) of Regulation (EC) No 2808/
98 shall apply to compensatory aid under this Title.

General and transitional provisions

Article 8

The general provisions in Articles 11, 12, 13 and 15 of
Regulation (EC) No 2808/98 shall apply to compensatory
aid under Titles I and II of this Regulation.

Article 9

Notwithstanding Article 1 of Regulation (EC) No 2808/
98, the exchange rate to be used for operations whose
operative event date falls between 1 January 1999 and 4
January 1999 shall be that of 4 January 1999.

Article 10

into force on the day
This Regulation shall enter
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, 22 December 1998.

For the Commission

Franz FISCHLER

Member of the Commission