Council Regulation (EC) No 74/2009 of 19 January 2009 amending Regulation (EC) No 1698/2005 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD)
Date: 2009-01-19
Institutions: Council of the European Union
Subjects: aid for restructuring, aid to agriculture, economic instrument for the environment, eligibility criteria, fund (EU), rural development

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COUNCIL REGULATION (EC) No 74/2009

of 19 January 2009

amending Regulation (EC) No 1698/2005 on support for rural development by the European
Agricultural Fund for Rural Development (EAFRD)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Com-
munity, 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 (1),

consulting

After
Committee (2),

the

European

Economic

and

Social

After consulting the Committee of the Regions (3),

Whereas:

(1)

(2)

(3)

In the assessment of the implementation of the Common
Agricultural Policy (CAP)
climate
change, renewable energies, water management, biodiver-
sity and dairy restructuring were identified as crucial new
challenges for European agriculture.

reform of 2003,

In this context, the Commission presented a Communica-
tion to the European Parliament and Council entitled
‘Preparing for the “Health Check” of the CAP reform’ on
20 November 2007. That Communication and the subse-
quent discussions of its main elements by the European
Parliament,
the European Economic and
Social Committee and the Committee of the Regions, as
well as numerous contributions arising from public
consultation should be taken into account.

the Council,

The Community, as party to the Kyoto Protocol (4), has
been called upon to implement and/or further elaborate
policies and measures in accordance with their national
circumstances, such as the promotion of sustainable
forms of agriculture in the light of climate change consid-
erations. Furthermore, the Kyoto Protocol obliges parties
to formulate,
implement, publish and regularly update
national and, where appropriate, regional programmes
containing measures to mitigate climate change and
measures to facilitate adequate adaptation to climate
change. Such programmes would, inter alia, concern agri-
culture and forestry. The role of support for rural devel-
opment should be further strengthened in this context.
Strong scientific evidence underlines the need for urgent
action. The Community has also been called upon to

(1) Opinion of 19 November 2008 (not yet published in the Official

Journal).

(2) Opinion of 23 October 2008 (not yet published in the Official Journal).

Opinion delivered following non-compulsory consultation.

(3) Opinion of 8 October 2008 (not yet published in the Official Journal).

Opinion delivered following non-compulsory consultation.

(4) Adopted by Council Decision 2002/358/EC (OJ L 130, 15.5.2002,

p. 1).

Although

examine all possible ways of reducing greenhouse gas
emissions.
has
contributed more than other sectors to curbing green-
house gas emissions, in the future the agriculture sector
will be called upon to step up its emission reduction
efforts as part of the EU global climate change strategy.

agriculture

European

(4)

(5)

(6)

(7)

(8)

Following serious problems related to water scarcity and
droughts, the Council, in its Conclusions on ‘Water Scar-
city and Drought’ of 30 October 2007, considered that
water management issues, including water quality, should
be further addressed in the relevant CAP instruments. It
is essential for European agriculture to have sustainable
water management,
in order to improve efficiency as
regards the quantity of water used for agriculture and in
order to better protect the quality of water. In the context
of the climatic changes expected, drought-affected areas
are likely to increase in extent and frequency.

Furthermore, the Council has emphasised in its Conclu-
sions on ‘Halting the Loss of Biodiversity’ of 18 December
2006, that protecting biodiversity remains a major chal-
lenge, which is further increased by climate change and
water demand, and that, while important progress has
been made, the attainment of the Community's biodiver-
sity target
require additional efforts.
European agriculture has a key role to play in protecting
biodiversity.

for 2010 will

It is important that operations related to these Com-
munity priorities are further strengthened in the rural
development programmes approved in accordance with
Council Regulation (EC) No 1698/2005 (5).

Innovation can, in particular, contribute to the develop-
ment of new technologies, products and processes and
therefore underpin the efforts to tackle climate
will
renewable energies, water management and
change,
biodiversity. Specific support for innovation should be
provided with reference to these challenges, in order to
increase the effectiveness of the respective operations.

The expiry of
the milk quota regime in 2015 under
Council Regulation (EC) No 1234/2007 of 22 October
2007 establishing a common organisation of agricultural
markets and on specific provisions for certain agricultural

(5) OJ L 277, 21.10.2005, p. 1.

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(9)

(10)

efforts

require specific

products (1) will
from dairy
farmers to adapt to changing conditions, particularly in
disadvantaged regions. It is therefore appropriate that this
particular situation should also be considered as a new
challenge which Member States should be able to address
with a view to ensuring a ‘soft landing’ of their dairy
sectors.

Given the importance of these priorities, Member States
should provide, in their rural development programmes,
for operations related to the new challenges, approved in
accordance with this Regulation.

in order

to establish a

Regulation (EC) No 1698/2005 provides that, with a
view to taking account of major changes in the Com-
munity priorities, the Community strategic guidelines for
rural development (programming period 2007 to 2013)
adopted by Council Decision 2006/144/EC (2) may be
subject to review. Therefore, Member States which receive
additional funds should revise the national strategy plans
following the review of the Community strategic guide-
lines,
the
programmes to be modified. This obligation should apply
only to those Member States which will receive, as of
2010, additional financial resources resulting from the
compulsory modulation under Council Regulation (EC)
No 73/2009 of 19 January 2009 establishing common
rules for direct support schemes under the common agri-
cultural policy and establishing certain support schemes
for
the amounts of
unused funds under the national ceilings for the single
that Regulation which they
payment
decide to transfer to the EAFRD.

farmers (3) and, as from 2011,

framework for

scheme under

(11)

It is necessary to fix a deadline for the introduction of
the operations related to the new challenges into rural
development programmes and for the submission of the
revised rural development programmes to the Commis-
sion, in order to allow a reasonable period of time for
Member States
rural development
programmes in the light of the revised Community stra-
tegic guidelines and national strategy plans.

to modify their

(12) Given that

the 2003 and 2005 Acts of Accession
provided that the farmers in the new Member States,
for Bulgaria and Romania, will receive direct
except
payments following a phasing-in mechanism and that the
rules for modulation apply to those farmers only as from
2012, the new Member States will not have to revise
their national strategy plans. The deadlines for the new
Member States to revise and submit their rural develop-
ment programmes should be adapted accordingly. Given
that, for the same reason, the rules for modulation do
not apply to Bulgaria and Romania before 2013, the obli-
gation to revise their national strategy plans and rural

(1) OJ L 299, 16.11.2007, p. 1.
(2) OJ L 55, 25.2.2006, p. 20.
(3) See page 16 in this Official Journal.

(13)

(14)

(15)

(16)

(17)

(18)

development programmes should not apply to these new
Member States.

In view of the new obligations, the requirements as to
the content of the rural development programmes should
be adapted. A non-exhaustive list of types of operation
and their potential effects should be established in order
to help Member States to identify the relevant operations
related to the new challenges in the context of the legal
framework for rural development.

In order to provide additional incentives to beneficiaries
for the uptake of operations related to the new priorities,
the possibility of establishing higher amounts and rates
of support for such operations should be provided for.

In order to reinforce cooperation for development of
new products, processes and technologies in the agri-
culture and food sector and in the forestry sector, more
flexibility as regards the composition of the project part-
ners should be provided.

for direct

For farmers affected by substantial reductions in the value
of
their direct payments granted in accordance with
Council Regulation (EC) No 1782/2003 of 29 September
2003 establishing common rules
support
the common agricultural policy and
schemes under
farmers (4),
establishing certain support
restructuring support should be granted as of budget
and
year 2011, which is
non-discriminatory. Such support should be provided via
the rural development programmes in order to assist the
farmers concerned in adapting to the changed conditions
by restructuring their economic activities inside and
outside agriculture.

transitional, degressive,

schemes

for

agri-environmental

In order to provide more flexibility for support which
effects, Member States
produces
should be able to put an end to agri-environmental
commitments and to make available equivalent support
under the first pillar, on the condition that the economic
interests and the legitimate expectations of the benefi-
ciary are respected and the global environmental benefit
is maintained.

Regulation (EC) No 1782/2003 established the principle
that farmers who do not comply with certain require-
ments in the areas of public, animal and plant health,
environment and animal welfare are subject to reductions
of or exclusion from direct support. Regulation (EC)
No 1698/2005 introduced the same principle in rural
development for certain measures. This ‘cross compliance’
system forms an integral part of Community support
under direct payments and rural development. However,
differences can be identified between the two fields of
the direct
application, since several of

the rules of

(4) OJ L 270, 21.10.2003, p. 1.

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payments cross compliance system are not included in
the cross compliance for rural development. In order to
ensure consistency, it is necessary to align rural develop-
ment rules on cross compliance with those of direct
payments, in particular as regards liability in the case of
transfer of
land, minimum thresholds applicable to
reductions and exclusions, minor cases of non-compli-
ance, the specific criteria to be taken into account for the
detailed rules on reductions and exclusions to be laid
down and new dates of application for requirements
concerning animal welfare in new Member States.

way of modulation, this Regulation should apply as of
1 January 2009,
together with Regulation (EC)
No 73/2009. Given the nature of provisions of this Regu-
lation, such retroactive application should not infringe
the principle of
the beneficiaries
legal certainty of
concerned. However, and in view of that principle, the
amended provisions concerning the application of cross
compliance should apply from 1 January 2010.

(26)

Regulation (EC) No 1698/2005 should therefore be
amended accordingly,

(19)

In accordance with Regulation (EC) No 73/2009, finan-
cial resources resulting from the application of compul-
sory modulation under that Regulation together with, as
from 2011, the amounts of unused funds under the
national ceilings for the single payment scheme under
that Regulation which Member States decide to transfer
to the EAFRD are to be used for rural development
support. It is appropriate to ensure that an amount equal
to those financial resources should be used to support
operations related to the new challenges.

HAS ADOPTED THIS REGULATION:

Article 1

(20) Given the additional, specific and binding use of

the
amounts corresponding to those financial resources, the
established balance between objectives of support
for
rural development should not be affected.

Regulation (EC) No 1698/2005 is hereby amended as follows:

(1) In Article 11(3), point

(d)

shall be replaced by the

following:

(21) Given the importance of the new challenges at Com-
munity level and the urgency to respond to them, the
EAFRD contribution should be increased to facilitate the
implementation of the related operations.

the monitoring committee
The role and functions of
with regard to changes
rural development
in the
programmes should be modified in order to increase its
efficiency.

legal certainty and simplicity,

In the interest of
is
appropriate to clarify and harmonise the provisions
which provide for the non-application of Articles 87, 88
and 89 of the Treaty to payments made by Member
States pursuant
this
Regulation.

and in conformity with,

to,

it

In order to further facilitate the initial establishment of
their
young farmers and the structural adjustment of
the maximum
initial setting up,
holdings after
amount of support should be increased.

their

(22)

(23)

(24)

(25)

‘(d) a list of the rural development programmes imple-
menting the national
strategy plan, an indicative
EAFRD allocation for each programme, including the
amounts provided for in Article 12(2) of Regulation
(EC) No 1290/2005, and a separate indication of the
amounts provided for
this
Regulation.’;

in Article 69(5a) of

(2) The following Article shall be inserted in Chapter II:

‘Article 12a

Revision

from 2011,

1.
Each Member State receiving, as of 2010, the addi-
tional funds resulting from the application of the compul-
sory modulation under Articles 9(4) and 10(3) together
with, as
the amounts generated under
Article 136 of Council Regulation (EC) No 73/2009 of
19 January 2009 establishing common rules for direct
support schemes under the common agricultural policy
and establishing certain support schemes for farmers (*)
shall revise, in accordance with the procedure referred to
in Article 12(1) of this Regulation,
its national strategy
the Community strategic
plan following the review of
guidelines as referred to in Article 10 of this Regulation.

In order to provide the new framework for the imple-
mentation of revised national strategy plans and rural
development programmes in a timely manner, particu-
larly with regard to the amounts to be made available by

2.
The revised national strategy plan referred to in para-
graph 1 of this Article shall be sent to the Commission no
later than 30 June 2009.

(*) OJ L 30, 31.1.2009, p. 16.’;

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(3) The following Article shall be inserted:

(b) of paragraph 3 shall be 1 January 2013 to

point
31 December 2013.

‘Article 16a

Specific operations related to certain priorities

From 1 January 2010, Member States shall provide
1.
in their rural development programmes,
in accordance
with their specific needs, for types of operations having
the following priorities as described in the Community
strategic guidelines and specified further in the national
strategy plans:

(a) climate change,

(b) renewable energies,

(c) water management,

(d) biodiversity,

(e) measures accompanying restructuring of

the dairy

sector,

(f) innovation linked to the priorities mentioned in

points (a), (b), (c) and (d).

The types of operations to be linked to the priorities
referred to in the first subparagraph shall be aimed at
achieving effects such as the potential effects specified in
Annex II. An indicative list of such types of operations and
their potential effects is set out in that Annex.

The revised rural development programmes related to the
operations referred to in this paragraph shall be submitted
to the Commission no later than 30 June 2009.

From 1 January 2010,

2.
types of operations
referred to in paragraph 1, the aid intensity rates fixed in
Annex I may be increased by 10 percentage points.

for

From 1 January 2010, each rural development

3.
programme shall also include:

Paragraphs 1, 3 and 4 shall not apply to Bulgaria

5.
and Romania.’;

(4) The following paragraph shall be added to Article 17:

‘3.
The amounts equal to those resulting from the appli-
cation of the compulsory modulation under Article 69(5a)
shall not be taken into account in the EAFRD total contri-
bution from which the minimum Community financial
contribution per axis is calculated as provided for in para-
graphs 1 and 2 of this Article.’;

(5) In Article 20(1), point

(d) shall be replaced by the

following:

‘(d) transitional measures concerning:

(i) supporting semi-subsistence agricultural holdings
undergoing restructuring (for Bulgaria, the Czech
Republic,
Lithuania,
Hungary, Malta, Poland, Romania, Slovenia and
Slovakia);

Estonia, Cyprus,

Latvia,

(ii) supporting the setting up of producer groups (for
the Czech Republic, Estonia, Cyprus,
Poland,
Lithuania, Hungary, Malta,

Bulgaria,
Latvia,
Romania, Slovenia and Slovakia);

(iii) supporting

agricultural

undergoing
restructuring, including diversification to activities
outside agriculture, due to a reform of a common
market organisation.’;

holdings

(6) The following sentence shall be added to Article 29(1):

‘The cooperation shall involve at least two actors of which
at least one is either a primary producer or belongs to the
processing industry.’;

(7) The following Article shall be inserted in Subsection 4

‘Conditions for transitional measures’:

(a) the list of types of operations and the information
referred to in Article 16(c) on the specific types of
operations referred to in paragraph 1 of this Article;

‘Article 35a

(b) a table setting out, for the period from 1 January 2010
to 31 December 2013, the total Community contribu-
tion for types of operations referred to in paragraph 1
of this Article.

4.
For new Member States, as defined in Article 2(g) of
Regulation (EC) No 73/2009, the starting dates referred to
in the introductory phrases of paragraphs 1 and 3 shall be
1 January 2013, the date for the submission of the revised
rural development programmes referred to in paragraph 1
shall be 30 June 2012 and the period referred to in

Holdings undergoing restructuring due to a reform of
a common market organisation

Support provided for in Article 20(d)(iii) for agri-
1.
cultural holdings which undergo restructuring,
including
diversification outside agricultural activities, due to a
reform of a common market organisation shall be granted
to farmers whose direct payments are reduced as of 2010
by more than 25 % compared to 2009 in accordance with
Regulation (EC) No 1782/2003 and who submit a busi-
ness plan.

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Progress in respect of the business plan referred to in

2.
paragraph 1 shall be assessed after twelve months.

3.
The support shall be paid in the form of a degressive
flat-rate aid and only in the years 2011, 2012 and 2013.
The support shall be limited to the maximum amount laid
down in Annex I and, in any event, shall not exceed 50 %
of the reduction of direct payments compared to 2009 in
accordance with Regulation (EC) No 1782/2003.’;

(8) The following subparagraph shall be added to Article 39(3):

‘Member States may put an end to such commitments,
without obligation for the beneficiary concerned to reim-
burse support already received, provided that:

(a) support under Regulation (EC) No 73/2009 is newly
made available in the framework of which rules are
applied which produce global
agri-environmental
effects equivalent to those of the agri-environmental
measure which is closed;

(b) such support is not financially less favourable for the

beneficiary concerned;

(c) the beneficiary concerned is informed of this possibi-

lity at the time he undertakes his commitments.’;

(9) The following Article shall be inserted in Subsection 4

‘Respect of Standards’:

‘Article 50a

Main requirements

A

receiving

payments

beneficiary

1.
under
Article 36(a)(i) to (v) and Article 36(b)(i), (iv) and (v) shall
respect, on the whole holding, the statutory management
requirements and the good agricultural and environmental
condition provided for in Articles 5 and 6 of, and in
Annexes II and III to, Regulation (EC) No 73/2009.

The obligation to comply with the statutory management
requirements and the good agricultural and environmental
condition referred to in the first subparagraph shall not
apply to non-agricultural activities on a holding and
non-agricultural areas for which no support in accordance
(iv) and (v) of this Regulation is
with Articles 36(b)(i),
claimed.

2.
The competent national authority shall provide the
beneficiary, inter alia by the use of electronic means, with
the list of statutory management requirements and the
good agricultural and environmental condition to be
respected.’;

submitted the payment claim under Article 36(a)(i) to (v)
and Article 36(b)(i),
in the calendar year
(iv) and (v)
concerned, the total amount of these payments granted or
to be granted to that beneficiary related to the calendar
year concerned shall be reduced or excluded in accordance
with detailed rules referred to in paragraph 4.

The reduction or exclusion referred to in the first sub-
paragraph shall also apply where the minimum require-
ments for
fertiliser and plant protection product use
referred to in Article 39(3) are not complied with at any
time of the calendar year concerned and the non-compli-
ance in question is the result of an act or omission directly
attributable to the beneficiary who submitted the payment
claim under Article 36(a)(iv).

The first and second subparagraphs shall also apply where
the non-compliance in question is the result of an act or
omission directly attributable to the person to whom or
from whom the land was transferred.

For the purpose of this paragraph, “transfer” shall mean
any type of transaction whereby the land ceases to be at
the disposal of the transferor.

By way of derogation from the third subparagraph, where
the person to whom the act or omission is directly attribu-
table has submitted a payment claim in the calendar year
concerned, the reduction or exclusion shall be applied to
the total amounts of payments granted or to be granted to
that person.’;

(11) Article 51(2) shall be replaced by the following:

‘2.
The reduction or exclusion of payments referred to
in paragraph 1 of this Article shall not apply to standards
for which a period of grace has been granted in accordance
with Article 26(1) during the period of grace.

Notwithstanding paragraph 1 and in accordance with the
conditions laid down in the detailed rules referred to in
paragraph 4, Member States may decide not to apply a
reduction or exclusion amounting to EUR 100 or less per
beneficiary and per calendar year.

the competent authority shall

Where a Member State decides to make use of the option
provided for in the second subparagraph, in the following
take the actions
year
the
required to ensure that
finding of non-compliance concerned. The finding and the
obligation to take remedial action shall be notified to the
beneficiary.’;

the beneficiary remedies

(10) Article 51(1) shall be replaced by the following:

(12) Article 51(3) shall be amended as follows:

‘1. Where the statutory management requirements or
good agricultural and environmental condition are not
complied with at any time in a given calendar year (herein-
after referred to as “the calendar year concerned”), and the
non-compliance in question is the result of an act or omis-
beneficiary who
sion

attributable

directly

the

to

(a) in the second subparagraph, point

the date
‘1 January 2011’ shall be replaced by ‘1 January 2013’;

(c),

(b) in the third subparagraph, point (c), the date ‘1 January

2014’ shall be replaced by ‘1 January 2016’;

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(13) Article 51(4) shall be replaced by the following:

Detailed rules for the reductions and exclusions shall
‘4.
be laid down in accordance with the procedure referred to
in Article 90(2). In this context account shall be taken of
the
and repetition of
non-compliance found as well as of the following criteria:

extent, permanence

severity,

(a) In the case of negligence, the percentage of reduction
in the case of repeated

shall not exceed 5 % and,
non-compliance, 15 %.

In duly justified cases, Member States may decide that
no reduction shall be applied where, given its severity,
extent and permanence, a case of non-compliance is to
be considered as minor. However, cases of non-compli-
ance which constitute a direct risk to public or animal
health shall not be considered as minor.

Unless the beneficiary has taken immediate remedial
action putting an end to the non-compliance found,
the competent authority shall take the actions required
that may, where appropriate, be limited to an adminis-
trative control, to ensure that the beneficiary remedies
the finding of non-compliance concerned. The finding
of minor non-compliance and the obligation to take
remedial action shall be notified to the beneficiary.

(b) In case of intentional non-compliance, the percentage
of reduction shall not in principle be less than 20 %
and may go as far as total exclusion from one or
several aid schemes and apply for one or more
calendar years.

(c) In any case, the total amount of reductions and exclu-
sions for one calendar year shall not be more than the
total amount referred to in Article 51(1).’;

(14) The following paragraphs shall be inserted in Article 69:

An amount equal to the amounts resulting from
‘5a.
the application of
the compulsory modulation under
Article 9(4) and Article 10(3) together with, as from 2011,
the amounts generated under Article 136 of Regulation
(EC) No 73/2009 shall be exclusively spent by Member
States in the period from 1 January 2010 to 31 December
the current rural
2015 as Community support under
the types
development programmes for operations of
referred to in Article 16a of this Regulation.

For new Member States, as defined in Article 2(g) of Regu-
lation (EC) No 73/2009, the period referred to in the first
subparagraph shall
from 1 January 2013 to
31 December 2015.

be

If, at

the closure of

the programme,

5b.
the actual
amount of Community contribution spent on the opera-
tions referred to in paragraph 5a of this Article is lower
this
than the amount referred to in paragraph 5a of
Article, the difference shall be reimbursed by the Member
State to the general budget of the European Communities
up to the amount by which the total allocations available
for operations other than those referred to in Article 16a
have been exceeded.

Amounts referred to in paragraph 5a of this Article
the purpose of

5c.
shall not be taken into account
Article 25 of Regulation (EC) No 1290/2005.’;

for

(15) The following subparagraph shall be added to Article 70(4):

‘Notwithstanding the ceilings set out in paragraph 3, the
EAFRD contribution may be increased to 90 % for conver-
gence and to 75 % for non-convergence regions for the
operations of the types referred to in Article 16a of this
Regulation, up to the amount resulting from the applica-
tion of the compulsory modulation under Article 9(4) and
the
Article 10(3)
amounts generated under Article 136 of Regulation (EC)
No 73/2009’;

together with,

from 2011,

as

(16) In Article 78, point (f) shall be replaced by the following:

‘(f) shall consider and approve any substantial proposal for

changes in rural development programmes.’;

(17) In Article 88(1), the second subparagraph shall be replaced

by the following:

‘However, and without prejudice to Article 89 of
this
Regulation, Articles 87, 88 and 89 of the Treaty shall not
apply to payments made by Member States pursuant to,
and in conformity with, this Regulation within the scope
of Article 36 of the Treaty.’;

(18) The word ‘Annex’ shall be replaced by ‘Annex I’ in the title
of the Annex and in the following Articles: 22(2), 23(6),
24(2), 26(2), 27(3), 28(2), 31(2), 32(2), 33, 34(3), 35(2),
37(3), 38(2), 39(4), 40(3), 43(4), 44(4), 45(3), 46, 47(2),
88(2), 88(4), 88(6);

(19) The Annex shall be amended as follows:

(a) the amount in EUR for the setting up support under
Article 22(2), indicated in the third column of the first
row, shall be replaced by the following:

‘70 000’;

The first two subparagraphs shall not apply to Bulgaria
and Romania.

(b) the following row shall be inserted after the eleventh
for producer groups

row concerning the support
under Article 35(2):

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‘35a(3)

Maximum amount of support
for restructuring
due to a reform of a common market organisation

4 500

3 000

1 500

Per holding

in 2011

in 2012

in 2013’;

(c) the endnote ‘*’ shall be replaced by the following:

‘(*) The setting up support may be given in the form
of a single premium up to a maximum of
EUR 40 000, or in the form of an interest rate
subsidy, the capitalised value of which may not
exceed EUR 40 000. For both forms of support
combined,
exceed
the maximum may
EUR 70 000.’;

not

(d) the endnote ‘****’ shall be replaced by the following:

specific circumstances to be justified in the rural
development programmes.’;

(20) A new Annex, the text of which is set out in the Annex to

this Regulation, shall be added.

Article 2

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

‘(****) These amounts may be increased for the types
of operations referred to in Article 16a and in
taking account of
cases
other

exceptional

It shall apply from 1 January 2009, with the exception of
points (10), (11) and (13) of Article 1, which shall apply from
1 January 2010.

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

Done at Brussels, 19 January 2009.

For the Council

The President

P. GANDALOVIČ

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ANNEX

‘ANNEX II

Indicative list with types of operations and potential effects related to priorities referred to in Article 16a

Priority: Climate change adaptation and mitigation

Types of operations

Articles and measures

Potential effects

Improve efficiency of nitrogen fertiliser use
(e.g. reduced use, equipment, precision agri-
culture), improvement of manure storage

Article 26: modernisation of
agricultural holdings

Reduction of methane (CH4) and
nitrous oxide (N2O) emissions

Article 39:
payments

agri-environment

Improvement of energy efficiency (e.g. use of
construction materials which reduce heat loss)

Article 26: modernisation of
agricultural holdings

Reduction of carbon dioxide (CO2)
emissions by saving energy

Article 28: adding value to
agricultural
forestry
products

and

Article 29:
cooperation for
new products, processes and
technologies

Preventive mechanisms against adverse effects
of climate-related extreme events (e.g. setting up
of hail nets)

Article 26: modernisation of
agricultural holdings

Reduction of negative effects from
extreme weather events on agri-
cultural production potential

Soil management practices (e.g. tillage methods,
catch crops, diversified crop rotations)

Article 39:
payments

agri-environment

Reduction of nitrous oxide (N2O),
carbon sequestration,

adaptation to the effects of climate
change on soil

Land use change (e.g. conversion of arable land
to pastures, permanent set-aside)

Article 39:
payments

agri-environment

Reduction of nitrous oxide (N2O),
carbon sequestration

Article
investments

41:

non-productive

Extensification of
stocking density) and grassland management

livestock (e.g. reduction of

Article 39:
payments

agri-environment

Reduction of methane (CH4) and
nitrous oxide (N2O)

Afforestation,
systems

establishment of

agro-forestry

Reduction of nitrous oxide (N2O),
carbon sequestration

Articles 43 and 45: first affor-
and
estation of
non-agricultural land

agricultural

first establishment
agro-forestry systems on

Article 44:
of
agricultural land

Flood prevention and management measures
(e.g. projects related to coastal and interior
flood protection)

20:

restoring

Article
agri-
cultural production potential
damaged by natural disaster
and
appropriate
introducing
prevention actions

Reduction of the negative effects of
extreme weather events related to
agricultural
climate
production potential

change

on

L 30/108

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Official Journal of the European Union

31.1.2009

Priority: Climate change adaptation and mitigation

Types of operations

Articles and measures

Potential effects

Training and use of farm advisory services in
relation to climate change

Article 21: vocational training
and information actions

Article 24: use of advisory
services

Article 58: training and infor-
mation

Provision of training and advice to
farmers to reduce greenhouse gases
and to adapt to climate change

Prevention actions against
climate-related natural disasters

forest

fires

and

Article 48:
potential
prevention actions

restoring forestry
introducing
and

Carbon sequestration in forests and
avoidance of carbon dioxide (CO2)
emissions,
reduction of negative
effects of climate change on forests

Conversion to more resistant forest stand types Article 47: forest-environment

Article
investments

49:

non-productive

Priority: Renewable energies

Reduction of negative
climate change on forests

effects of

Types of operations

Articles and measures

Potential effects

Biogas production using organic waste (on farm
and local production)

Article 26: modernisation of
agricultural holdings

Substitution of fossil fuels, reduction
of methane (CH4)

Article 53: diversification into
non-agricultural activities

Perennial energy crops (short rotation coppice
and herbaceous grasses)

Article 26: modernisation of
agricultural holdings

fuels, carbon
fossil
Substitution of
sequestration, reduction of nitrous
oxide (N2O)

Processing of agricultural/forest biomass
renewable energy

for

Article 26: modernisation of
agricultural holdings

Substitution of fossil fuels

Article 28: adding value to
agricultural
forestry
products

and

cooperation for
Article 29:
development of new products,
processes and technologies in
the agriculture and food sector
and in the forestry sector

Article 53: diversification into
non-agricultural activities

Article 54: support for business
creation and development

Article 53: diversification into
non-agricultural activities

Article 54: support for business
creation and development

Article 56: basic services for
the economy and rural popula-
tion

30:

Article
infrastructure
related to the development and
adaptation of agriculture and
forestry

Substitution of fossil fuels

Installations/infrastructure for renewable energy
using biomass and other
renewable energy
sources (solar and wind power, geothermal)

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L 30/109

Priority: Renewable energies

Types of operations

Articles and measures

Potential effects

Information and dissemination of knowledge
related to renewable energies

Article 21: vocational training
and information actions

Article 58: training and infor-
mation

Priority: Water management

Raising awareness and knowledge
and thus, indirectly, the efficiency of
other operations related to renew-
able energies

Types of operations

Articles and measures

Potential effects

Water saving technologies (e.g. efficient irriga-
tion systems)

Article 26: modernisation of
agricultural holdings

Water storage (including water overflow areas)

Article 30: infrastructure

Improvement of the capacity to use
water more
to
improve the capacity to store water

efficiently

and

Water
(e.g. adapted cropping patterns)

production

saving

techniques

Article 28: adding value to
agricultural
forestry
products

and

Article 39:
payments

agri-environment

Wetland restoration

Conversion of agricultural land into swamps

Article
investments

41:

Article 39:
payments

non-productive

agri-environment

Article
payments

38: Natura

2000

Conservation of high-value water
bodies, protection and improvement
of water quality

Conversion of agricultural
agro-forestry systems

land into forest/

Articles 43 and 45: first affor-
estation of
land
agricultural
and non-agricultural land

Protection and
water quality

improvement

of

Installations for waste water treatment on farms
and in processing and marketing

Article 26: modernisation of
agricultural holdings

Improvement of the capacity to use
water more efficiently

Article 28: adding value to
agricultural
land and forestry
products

Development of semi-natural water bodies

Creation of natural banks

Meandering rivers

Article 39:
payments

agri-environment

Article 57: conservation and
upgrading of the rural heritage

Conservation of high-value water
bodies, protection and improvement
of water quality

Soil management practices (e.g. catch crops,
organic farming, conversion of arable land into
permanent pasture)

Article 39:
payments

agri-environment

Contributing to the reduction of
losses of different compounds
to
water, including phosphorus

Information and dissemination of knowledge
related to water management

Article 21: vocational training
and information actions

Article 58: training and infor-
mation

Raising awareness and knowledge
and thus, indirectly, the efficiency of
operations related to water manage-
ment

L 30/110

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Priority: Biodiversity

Types of operations

Articles and measures

Potential effects

No application of fertilizer and pesticides on
high nature value agricultural land

Article 39:
payments

agri-environment

Extensive forms of livestock management

Integrated and organic production

Conservation of species-rich vegeta-
tion types, protection and mainte-
nance of grasslands

Perennial field and riparian boundary strips and
biobeds

Articles
and
Natura 2000 payments

38

46:

up
Setting
Natura 2000

of management

plans

for

Article 39:
payments

agri-environment

Construction/management of biotopes/habitats
within and outside Natura 2000 sites

Article
investments

41:

non-productive

Land use change (extensive grassland manage-
ment, conversion of arable land to permanent
pasture, long-term set-aside)

Management of high nature value perennials

Setting up and preservation of meadow
orchards

Article 47:
payments

forest-environment

Article 57: conservation and
upgrading of the rural heritage

of

improvement

Protection of birds and other wildlife
and
biotope
network, reducing entry of harmful
in bordering habitats,
substances
conservation of protected fauna and
flora

Conservation of genetic diversity

Article 39:
payments

agri-environment

Conservation of genetic diversity

Information and dissemination of knowledge
related to biodiversity

Article 21: vocational training
and information actions

Article 58: training and infor-
mation

Raising awareness and knowledge
and thus, indirectly, the efficiency of
operations related to biodiversity

Priority: Measures accompanying restructuring of the dairy sector

Types of operations

Articles and measures

Potential effects

Investment support related to dairy production Article 26: modernisation of

agricultural holdings

Improvement of the competitiveness
of the dairy sector

Improvements
related to dairy

in processing and marketing

Article 28: adding value to
agricultural
forestry
products

and

Improvement of the competitiveness
of the dairy sector

Innovation related to the dairy sector

Article 29:
cooperation for
development of new products,
processes and technologies

Improvement of the competitiveness
of the dairy sector

premia

Grassland
livestock
and
production, organic production related to dairy
production, permanent pasture premia in less
favoured areas, grazing premia

extensive

Article 39:
payments

agri-environment

Enhancement of the positive envir-
onmental effects of the dairy sector

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Priority: Innovative approaches relevant to the priorities under Article 16a(1)(a), (b), (c) and (d)

Innovative operations to address climate change
mitigation and adaptation measures

Article 29:
cooperation for
development of new products,
processes and technologies

Reduction of GHG emissions and
adaptation of agriculture to climate
change

Innovative operations to support the develop-
ment of renewable energies

Innovative
management

operations

to

enhance water

Innovative operations to support the conserva-
tion of biodiversity

Article 29:
cooperation for
development of new products,
processes and technologies

Article 29:
cooperation for
development of new products,
processes and technologies

Article 29:
cooperation for
development of new products,
processes and technologies

Substitution of fossil fuel and reduc-
tion of GHG

Improvement of the capacity to use
water more
to
improve water quality

efficiently

and

Halting the loss of biodiversity’