Proposal for a Council Regulation amending Regulation (EC) No 2792/1999 laying down the detailed rules and arrangements regarding Community structural assistance in the fisheries sector
Date: 2002-05-28
Institutions: European Commission
Subjects: FIFG, Structural Funds, fishing fleet, fishing industry, fishing regulations, structural policy

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Official Journal of the European Communities

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Proposal for a Council Regulation amending Regulation (EC) No 2792/1999 laying down the
detailed rules and arrangements regarding Community structural assistance in the fisheries sector

(2002/C 203 E/39)

(Text with EEA relevance)

COM(2002) 187 final — 2002/0116(CNS)

(Submitted by the Commission on 29 May 2002)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Articles 36 and 37 thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament,

Whereas:

(1) Regulation (EC) No 2792/1999 of 17 December 1999
and arrangements
the
assistance
relating to the

laying down the detailed rules
regarding Community
structural
includes provisions
fisheries
restructuring of the Community fisheries sector.

sector (1)

in

(2) The period of application of Council Decision 97/413/EC
of 26 June 1997 concerning the objectives and detailed
rules for restructuring the Community fisheries sector for
the period from 1 January 1997 to 31 December 2001
with a view to achieving a balance on a sustainable basis
between resources and their exploitation (2) has been
extended and will expire on 31 December 2002.

(3) Appropriate provisions should be laid down for

the

period commencing on 1 January 2003.

(4) Consistency must be ensured between the policy for
restructuring the fisheries sector and other aspects of
the Common Fisheries Policy, in particular the objective
of achieving a stable and enduring balance between the
capacity of fishing fleets and the fishing opportunities
available to them in Community waters and outside
Community waters.

(5) Since this balance can only be achieved by capacity with-
to the fisheries
for Fisheries
the
on
fleet
fishing vessels and public aid for

drawal, Community financial support
through the Financial
sector
Guidance
be
scrapping of
renewal should no longer be permitted.

concentrated

Instrument

should

(FIFG)

(1) OJ L 337, 30.12.2001, p. 10. Regulation as last amended by Regu-

lation (EC) No 179/2002 (OJ L 31, 1.2.2002, p. 25).

to measures

(6) For the same reason, measures for the equipment and
should be restricted
fishing vessels
modernisation of
either
safety, navigation,
to improve
hygiene, product quality, product safety and working
conditions or to measures to increase the selectivity of
fishing gear,
reducing
by-catches and habitat impacts. These measures should
be eligible for FIFG support on condition that they do
not lead to an increase in fishing effort.

the purpose of

including for

(7) FIFG support for measures to assist small-scale coastal
such
fishing should be granted on condition that
measures do not
in
fragile coastal marine ecosystems, or that they help to
reduce the impact of towed gear on the flora and fauna
of the sea bed.

serve to increase fishing effort

(8) Transfers of Community fishing vessels to third countries,
including transfers made in the context of joint enter-
prises, do not
strengthening of
Community waters,
outside
sustainable
therefore public aid for such transfers should no longer
be permitted.

contribute

fisheries

to the

(9) Socio-economic measures aim to support the retraining of
fishermen to help them take up full time professional
activities outside marine fisheries. These measures may
also aim to support
fishermen
activities outside marine fisheries and thereby enable
them to continue fishing on a part-time basis, provided
that this contributes to a reduction of their fishing effort.

the diversification of

(10) Detailed rules should be introduced for the granting of
compensation and its limitation in time where a multi-
annual management plan is decided on by the Council or
emergency measures are decided on by the Commission
or by one or more Member States.

(11) Articles 87, 88 and 89 of the Treaty should apply to aid
granted by Member States to the fisheries and aquaculture
sector. However, in order to speed up the reimbursement
by the Commission of funds advanced by the Member
States, an exception to that principle should be introduced
for
input by Member States
towards measures co-financed by the Community and
provided for under the development plans defined in
Regulation (EC) No 1260/1999 of 21 June 1999 laying
down general provisions on the Structural Funds (3).

the obligatory financial

(2) OJ L 175, 3.7.1997, p. 27. Decision as amended by Decision

(3) OJ L 161, 26.6.1999, p. 1. Regulation as amended by Regulation

2002/70/EC (OJ L 31, 1.2.2002, p. 77).

(EC) No 1447/2001 (OJ L 198, 21.7.2001, p. 1).

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(12) For procedural

reasons, all measures entailing public
financing over and above the provisions concerning obli-
gatory financial contributions contained in Regulation
(EC) No 2792/1999 or in Regulation (EC) No [. . ./. . .]
for
establishing an emergency Community measure
scrapping fishing vessels should be treated as a whole
under Articles 87, 88 and 89 of the Treaty.

(13) Regulation (EC) No 2792/1999 should therefore be

amended accordingly,

HAS ADOPTED THIS REGULATION:

Article 1

Programming shall cover all the fields referred to in
Titles II, III and IV of this Regulation.’

(b) Paragraph 3 is replaced by the following:

‘3.
The development plans defined in Article 9(b) of
Regulation (EC) No 1260/1999 shall demonstrate that
public aid is necessary with regard to the objectives
the
pursued,
fishing vessels concerned could not be modernised,
and that
jeopardise
the planned measures will not
the sustainability of fisheries.

in particular that, without public aid,

The contents of the plans shall be as set out in Annex
I.’

Regulation (EC) No 2792/1999 is amended as follows:

(c) Paragraph 4 is deleted.

1. In Article 1, the following paragraph is added:

4. Articles 4 and 5 are deleted.

5. Title II is replaced by the following:

‘3. Measures adopted pursuant to paragraphs 1 and 2
shall not increase fishing effort.’

‘TITLE II

2. Article 2 is replaced by the following

‘Article 2

Means

The Financial Instrument for Fisheries Guidance, hereafter
referred to as the “FIFG” may, under the conditions laid
down in this Regulation, provide assistance for
the
measures defined in Titles II, III and IV within the fields
covered by the Common Fisheries Policy as defined in
Article 1 of Regulation (EC) No [. . ./. . .] [on the conser-
vation and sustainable exploitation of fisheries resources
under
to
Articles 16 and 23(4) of that Regulation.’

the Common Fisheries Policy], and subject

3. Article 3 is amended as follows:

MEASURES TO ADJUST FISHING EFFORT’

6. Article 6 is deleted.

7. Article 7 is amended as follows:

(a) Paragraph 1 is replaced by the following:

‘1. Member States shall take appropriate measures to
comply with the provisions of Chapter III of Regulation
(EC) No [. . ./. . .] [on the conservation and sustainable
exploitation of fisheries resources under the Common
Fisheries Policy].

Where necessary,
this shall be achieved either by
stopping fishing vessels' fishing activities permanently,
in accordance with the applicable provisions of Annex
III, or by restricting them or by a combination of both.’

(a) Paragraph 1 is replaced by the following:

(b) Paragraph 3 is replaced by the following:

‘1.
Programming, defined in Article 9(a) of Regu-
lation (EC) No 1260/1999, shall be in accordance
with the objectives of the Common Fisheries Policy
and in particular with the provisions of Chapter III
of Regulation (EC) No [. . .] [on the conservation and
sustainable exploitation of fisheries resources under the
Common Fisheries Policy]. To this end, programming
in
shall be revised as necessary and in particular
application of
limits decided under
Articles 5 and 6 of Regulation (EC) No [. . ./. . .] [on
the
exploitation of
fisheries
the Common Fisheries
Policy].

conservation and sustainable

resources under

fishing effort

The permanent

‘3.
fishing vessels'
fishing activities may be achieved by the scrapping of
the vessel.’

cessation of

(c) Paragraph 4 is deleted.

(d) In paragraph 5, points (b), (c) and (d) are deleted.

(e) Paragraphs 6 and 7 are deleted.

8. Article 8 is deleted.

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9. Article 9 is replaced by the following:

‘Article 9

Public aid for equipment or modernisation of fishing
vessels

Public aid for

the equipment of

1.
fishing vessels,
including for the use of more selective fishing techniques,
or for the modernisation of fishing vessels may be granted
provided that:

(a) the aid does not concern capacity in terms of tonnage

or of power;

(b) the aid does not serve to increase the effectiveness of

the fishing gear;

(c) the contents of the plans referred to in Article 3(3) are

as set out in Annex I;

(d) the conditions laid down in Annex III are complied

with.

The effect of granting public aid shall be accounted
implementation report referred to in

2.
for in the annual
Article 21.

3.
Expenditure eligible for public aid for the equipment
or modernisation of fishing vessels may not exceed the
amounts set out in Table 1 of Annex IV.’

10. Article 10 is replaced by the following:

— organisation of

the production, processing and
marketing chain (promotion and added value of
the products),

— professional requalification or training.’

12. Article 12 is amended as follows:

(a)

In paragraph 3, point (c) is replaced by the following:

‘(c) granting non-renewable individual compensatory
payments to fishermen who can show that they
have worked for at least five years as fishermen,
to help them:

an

eligible

(i) to retrain outside marine fisheries under an
individual or collective social plan, on the
to
of
basis
EUR 50 000 per
the
managing authority shall determine the indi-
vidual amount according to the scale of the
financial
retraining
commitment entered into by the beneficiary;

limited
cost
individual beneficiary;

project

and

the

(ii) to diversify their activities outside marine
fisheries under an individual or collective diver-
sification project, on the basis of an eligible
individual
cost
beneficiary;
shall
determine the individual amount according to
the scale of the diversification project and the
investment made by the beneficiary;’

limited to EUR 20 000 per
the managing

authority

‘Article 10

(b) In paragraph 4, point (d) is replaced by the following:

Common provisions on fishing fleets

‘(d)

Public aid for modernisation and equipment under this
Regulation shall be reimbursed pro rata temporis when the
fishing vessel concerned is deleted from the fishing vessel
register of the Community within five years of the modern-
isation works.’

11. Article 11 is amended as follows:

(a) Paragraph 1 is replaced by the following:

that the compensation referred to in paragraph
3(c)(i) for reconversion is refunded on a pro rata
temporis basis where the beneficiaries return to
their work as fishermen within a period of less
than five years after being paid the compensation
and that
the compensation for diversification
referred to in paragraph 3(c)(ii) contributes to a
reduction of the fishing effort developed by the
fishing vessels on which the beneficiaries are
active;’

For

the purposes of

“small-scale
fishing” means fishing carried on by fishing
less than 12 metres

‘1.
coastal
vessels of an overall
and not using towed gear.’

this article,

length of

(b) Paragraph 4 is replaced by the following:

For the purposes of paragraph 3, the following
considered integrated

inter alia, may be

‘4.
projects,
collective projects:

— safety equipment on board and improvement of

sanitary and working conditions,

— technological

innovations (more selective fishing
techniques) that do not increase the fishing effort,

(c) Paragraph (6) is deleted.

13. Article 16 is amended as follows:

(a) Paragraph 1 is amended as follows:

(i) Point (a) is replaced by the following:

‘(a)

in the event of unforeseeable circumstances,
particularly those caused by biological factors;
the granting of compensation may last for no
more than three consecutive months or six
months over the entire period from 2000 to
2006. The managing authority shall furnish the
Commission with scientific proof of
these
circumstances in advance;’

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(ii) Point (c) is replaced by the following:

‘(c) where a multiannual management plan is
adopted by the Council or where emergency
measures are decided by the Commission or
by one or more Member States; the granting
of compensation by a Member State may last
for no more than one year.’

(b) Paragraph 3 is replaced by the following:

The financial contribution from the FIFG to the
‘3.
measures
referred to in paragraphs 1 and 2 per
Member State for the entire period from 2000 to
the following
2006 may not exceed the higher of
two thresholds: EUR 1 million or 4 % of
the
Community financial assistance allocated to the sector
in the Member State concerned.

in the case of a multiannual management
However,
plan adopted by the Council or of
emergency
measures decided by the Commission, these thresholds
can be exceeded on condition that the measure includes
a decommissioning scheme with the aim of with-
the
drawing, within two years of
measure, a number of fishing vessels with a fishing
effort at least equal to the effort of the fishing vessels
suspended from fishing activity as a consequence of the
plan or emergency measure.

the adoption of

for

To obtain Commission approval
financial
contribution from the FIFG, a Member State must
notify the Commission of the measure and provide it
with a detailed calculation of premiums. The measure
the Commission's
shall enter
approval has been delivered to the Member State.

into force only after

a

The managing authority shall determine the amount of
compensation as provided for in paragraphs l and 2 to
be paid in individual cases taking account of relevant
parameters such as the real losses suffered, the scale of
the conversion effort,
technical
adjustment effort.’

recovery plan or

(c) Paragraph 4 is replaced by the following:

‘4.
Recurrent seasonal suspension of fishing activity
shall not be eligible for compensation under paragraphs
1, 2 and 3.’

14. Article 18 is replaced by the following:

‘Article 18

Detailed rules for the implementation of this article may be
adopted in accordance with Article 23, paragraph 2.’

15. Article 19 is replaced by the following:

‘Article 19

Obligatory financial contributions and State aid

1. Without prejudice to paragraph 2, Articles 87, 88
and 89 of
the Treaty shall apply to aid granted by
Member States to the fisheries and aquaculture sector.

2.
Articles 87, 88 and 89 of the Treaty shall not apply
to obligatory financial contributions by Member States to
measures co-financed by the Community and provided for
under the development plans referred to in Article 3(3) of
this Regulation and defined in Article 9(b) of Regulation
(EC) No 1260/1999 or under Article [. . .] of Regulation
(EC) No [. . ./. . .] establishing a Community measure for
scrapping fishing vessels.

for

public

3. Measures which
financing
provide
exceeding the provisions of this Regulation or of Regu-
lation (EC) No [. . .] establishing a Community measure
for
obligatory
vessels
financial contributions, as referred to in paragraph 2 of
this Article, shall be treated as a whole on the basis of
paragraph 1 of this article.’

concerning

scrapping

fishing

16. Article 22 is replaced by the following:

‘Article 22

Committee procedure

The measures necessary for the implementation of this
Regulation relating to matters referred to in Articles 4, 5,
6, 8, 10, 15, 18 and 21 shall be adopted in accordance
with the management procedure referred to in Article
23(2).’

17. Article 23 is amended as follows:

(a) In paragraph 1, point (a) is replaced by the following:

‘(a)

for the purpose of the implementation of Articles
8, 15, 18 and 21 by the Committee on structures
for fisheries and aquaculture established by Article
51 of Regulation (EEC) No 1260/1999; and’

Compliance with the conditions governing assistance

Article 2

The management authority shall ensure that the special
conditions governing assistance listed in Annex III are
complied with.

It shall also satisfy itself as to the technical capacity of
beneficiaries and the financial viability of firms as well as
their respecting all rules of the Common Fisheries Policy
before granting aid. If during the grant period it is found
that the beneficiary does not comply with rules of the
Common Fisheries Policy, the grant shall be reimbursed.

Annexes I to IV are amended in accordance with the Annex to
this Regulation.

Article 3

This Regulation shall enter into force on 1 January 2003.

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

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ANNEX

1. Annex I is amended as follows:

(a) point 1(c) is replaced by the following:

‘(c) requirements of the sector.’

(b) point 2(d)(i) is replaced by the following:

‘(i) indicators concerning the development of

the fleet

in relation to the objectives of

the multiannual

management plans;’

2. Annex II is deleted.

3. Annex III is amended as follows:

(a) The title of point 1 is replaced by the following:

‘1.

Implementation of measures to adjust fishing efforts (Title II)’

(b) Point 1.0 is replaced by the following:

‘1.0 Age of vessels

For the purpose of this Regulation, the age of a vessel is a whole number defined as the difference between
the year of the managing authority's decision to grant a premium or aid and the year of entry into service as
defined in Regulation (EEC) No 2930/86 of 22 September 1986 defining characteristics for fishing
vessels (1).’

(c) Point 1.1(b)(iv) is deleted.

(d) Points 1.1(c) and (d) are deleted.

(e) Points 1.2 and 1.3 are deleted.

(f) The title of point 1.4 is replaced by the following:

‘1.4. Fishing vessels modernisation (Article 9)’

(g) Point 1.4(b)(i) is deleted.

(h) Point 1.4(b)(ii) is replaced by the following:

‘(ii) improvement of the quality and safety of products caught and preserved on board, the use of more selective
fishing techniques and of better preserving techniques and the implementation of legal and regulatory
provisions regarding health, and/or’.

(i) The following point 1.5 is added:

‘1.5. Socio-economic measures (Article 12)

Measures to support the training of fishermen or the diversification of their activities outside marine fisheries
must contribute to a reduction of the fishing effort developed by the beneficiaries even if they continue
fishing on a part-time basis.’

(j) Point 2.5(b) is deleted.

(1) OJ L 274, 25.9.1986 p. 1. Regulation as amended by Regulation (EC) No 3259/1994 of 22 December 1994 (OJ L 339, 29.12.1994,

p. 11).

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4. In Annex IV, the text preceding Table 3 in point 2 is replaced by the following:

‘2. Rates of financial participation

(a) For all the operations referred to in titles II, III and IV, the limits on Community financial participation (A),
total State financial participation (national, regional and other) by the Member State concerned (B) and,
where applicable, financial participation by private beneficiaries (C) shall be as follows, expressed as a
percentage of eligible costs.

Group 1:

Permanent withdrawal premiums (Article 7), small-scale coastal fishing (Article 11), socio-economic measures
(Article 12), protection and development of aquatic resources (Article 13(1)(a)), fishing port facilities with no
financial participation by private beneficiaries (Article 13(1)(c)), measures to find and promote new market
outlets with no financial participation by private beneficiaries (Article 14), operations by members of the
trade with no financial participation by private beneficiaries (Article 15), temporary cessation premiums and
innovative measures and technical assistance including pilot
other financial compensation (Article 16),
projects carried out by public bodies (Article 17).

Group 2:

Modernisation of fishing vessels (Article 9).

Group 3:

Aquaculture (Article 13(1)(b)), fishing port facilities with financial participation by private beneficiaries
(Article 13(1)(c)), processing and marketing (Article 13(1)(d)), inland fishing (Article 13(1)(e)), measures to
find and promote new market outlets with financial participation by private beneficiaries (Article 14),
operations by members of the trade with financial participation by private beneficiaries (Article 15(2)).

Group 4:

Pilot projects other than those carried out by public bodies (Article 17).

(b) With respect to operations concerning the protection and development of aquatic resources (Article 13(1)(a)),
fishing port facilities (Article 13(1)(c)), measures to find and promote new market outlets (Article 14) and
operations by members of the trade (Article 15), the managing authority shall determine whether they fall
under group l or group 3, in particular on the basis of the following considerations:

— collective versus individual interests,

— collective versus individual beneficiary (producers' organisations, organisations representing the trade),

— public access to the results of the operation versus private ownership and control,

— financial participation by collective bodies, research institutions.’