REPORT FROM THE COMMISSION EIGHT ANNUAL REPORT ON THE IMPLEMENTATION OF THE EUROPEAN FISHERIES FUND (2014)
Date: 2015-12-17
Institutions: Directorate-General for Maritime Affairs and Fisheries, European Commission
Subjects: European fisheries fund, activity report, aquaculture, audit, common fisheries policy, fisheries structure, fishery management, fishing industry, management audit, sustainable development

EN 

   EN 

   EUROPEAN COMMISSION  Brussels, 17.12.2015  COM(2015) 662 final   REPORT FROM THE COMMISSION EIGHT ANNUAL REPORT ON THE IMPLEMENTATION OF THE EUROPEAN FISHERIES FUND (2014) {SWD(2015) 295 final}  
 
 
Table of Contents 

2 

 
 
1. 

INTRODUCTION  3 

2. 

OVERALL ASSESSMENT OF EFF IMPLEMENTATION 

3 

2.1. 

FINANCIAL IMPLEMENTATION OF THE EFF BY THE MEMBER STATES 

3 

2.2.  MAIN AREAS OF INTERVENTION FOR THE EFF 

4 

2.3. 

EVOLUTION PER PRIORITY AXIS 

5 

2.4. 

BUDGET IMPLEMENTATION BY THE COMMISSION 7 

2.5. 

USE OF TECHNICAL ASSISTANCE BY THE MEMBER STATES 

7 

2.6. 

USE OF TECHNICAL ASSISTANCE BY THE COMMISSION 

7 

2.7. 

COORDINATION  OF  THE EFF  WITH  THE STRUCTURAL FUNDS  AND  THE EUROPEAN 
AGRICULTURAL FUND FOR RURAL DEVELOPMENT (EAFRD) 

7 

2.8. 

IRREGULARITIES REPORTED BY MEMBER STATES 7 

3. 

ASSESSMENT OF EFF IMPLEMENTATION PER AXIS 

7 

3.1. 

AXIS 1. MEASURES FOR THE ADAPTATION OF THE COMMUNITY FISHING FLEET. 8 

3.1.1.  ECONOMIC PERFORMANCE OF EU FISHING FLEET IN 2013 (BASED ON 2015 ANNUAL 

ECONOMIC REPORT) 

8 

3.1.2.  PERMANENT CESSATION OF FISHING ACTIVITIES.  8 

3.1.3.  TEMPORARY CESSATION OF FISHING OPERATIONS 9 

3.1.4. 

INVESTMENTS ON BOARD FISHING VESSELS AND SELECTIVITY 

9 

3.1.5.  SMALL-SCALE COASTAL FISHING  9 

3.1.6.  SOCIO-ECONOMIC COMPENSATION FOR THE MANAGEMENT OF THE FISHING FLEET.

9 

3.2. 

AXIS  2.  AQUACULTURE,  INLAND  FISHING,  PROCESSING  AND  MARKETING  OF 
FISHERY AND AQUACULTURE PRODUCTS.  10 

3.2.1. 

INLAND FISHERIES  10 

3 

 
 
 
 
3.2.2.  AQUACULTURE 

10 

3.2.3.  PROCESSING 10 

3.3. 

AXIS 3. MEASURES OF COMMON INTEREST. 

11 

3.3.1.  FISHING PORTS, LANDING SITES AND SHELTERS  11 

3.3.2.  DEVELOPMENT OF NEW MARKETS AND PROMOTIONAL CAMPAIGNS 

11 

3.3.3.  PILOT OPERATIONS. 11 

3.4. 

AXIS 4. SUSTAINABLE DEVELOPMENT OF FISHERY AREAS. 12 

4. 

FIRST  SET  OF  OPERATIONAL  CONCLUSIONS  ON  THE  EFF  FOR  THE  PERIOD  2007-
2013  12 

4 

 
 
 
 
INTRODUCTION 

1. 
In  line with Article 68 of the European  Fisheries Fund (EFF) Regulation1, by 31 December 
each  year  the  Commission  must  forward  to  the  European  Parliament,  the  Council,  the 
European Economic and Social Committee and the Committee of the Regions a report on how 
the EFF is being implemented. The report is based on an examination and assessment by the 
Commission of the Member States’ annual reports and on any other available information. It 
also includes an analysis of the implementation of some key EFF measures. 

The  accompanying  Commission  staff  working  document  includes  a  summary  of  EFF 
implementation  in  each  Member  State  as  well  as  five  tables  with  detailed  information  on 
financial  execution2.  This  last  Commission  report  presents  an  overall  assessment  of  EFF 
implementation  by  the  Member  States  and  by  the  Commission  during  2014.  Data  on 
commitments  provided  by  Member  States  were  sufficient  for  a  more  extensive  analysis  up 
until  31  May  2015,  thus  providing  a  more  comprehensive  picture  of  the  current 
implementation of the EFF less than one year before the deadline for EFF implementation on 
the ground (31 December 2015). Since MS, pursuant to Delegated Regulation 2015/8953 do 
not  have  to  submit  in  2016  annual  reports  on  the  implementation  of  the  operational 
programme  during  2015,  the  Commission  will  not  present  an  annual  report  on  EFF 
implementation during that year. 

However, it will include the summary of the audits on management and control systems set up 
by the Member States and on EFF assistance required under letter d) of Article 68(3) of  the 
EFF  regulation   as  an  annex  to  the  ‘2016  summary  report  in  relation  to  the  ESI  funds 
programmes’ foreseen under Article 53 of the Common Provisions Regulation4.  

2. 

OVERALL ASSESSMENT OF EFF IMPLEMENTATION 

2.1. 

Financial implementation of the EFF by the Member States 

Certified interim payments sent by Member States in 2014 totalled EUR 567 million, which 
represents a 4% increase if compared with the same figure for 2013 (EUR 544 million). 

From 2007 to 31 May 2015, EFF commitments by the Member States amounted to EUR 3.91 
billion. This represents an increase of 14.5 % of EFF commitments over 31 May 2014 (EUR 
495 million in one year), when the level of commitments was still relatively low. By 31st May 
2015, 90.83% of the EFF had been committed5.  

1 

2 

3 

4 

5 

Art. 68 of Council Regulation (EC) No 1198/2006 of 27 July 2006 on the European Fisheries Fund, OJ 
L 120, 15.8.2006. 
Table I. Financial execution in convergence regions. 
Table II. Financial execution in non-convergence regions. 
Table III. Financial execution in convergence and non-convergence regions.  
Table IV. EFF programmed amounts by priority axis and by Member State. 
Table V. EFF certified expenditure by priority axis and by Member State. 
Commission  Delegated  Regulation  (EU)  2015/895  of  2.02.2015  supplementing  Regulation  (EU)  No 
508/2014  of  the  European  Parliament  and  of  the  Council  on  the  EMFF  as  regards  transitional 
provisions. OJ L 147/1 
Regulation  (EU)  No  1303/2013  laying  down  common  provisions  on  the  ERDF,  the  ESF,  the  CF,  the 
EAFRD  and  the  EMFF  and  laying  down  general  provisions  on  the  ERDF,  the  ESF,  the  CF  and  the 
EMFF and repealing Council Regulation (EC) No 1083/2006, OJ L 347, 20.12.2013. 
This figure corresponds to the initial allocation in 2007. When de-commitments are taken into account 
(EUR 256.9 million up until 31/12/2014), the rate of commitment increases to 96.3% of the modified 
EFF allocation. 

5 

 
 
                                                 
 
 
 
 
 
Both commitments and certified expenditure at the level of the Member States are still below 
the level expected before the end of EFF implementation. By 31 May 2015, over 9% of the 
EFF  allocation  (some  EUR  394  million)  had  not  been  committed  yet,  pointing  to  an  urgent 
need  to  accelerate  commitments,  which  as  in  the  case  of  certified  payments,  is  a  cause  of 
concern considering that the final date for eligibility of expenditure is 31 December 2015. 

The public national contribution up to 31 May 2015 was EUR 2.44 billion, which represents 
an increase of EUR 321.62 million over 31 May 2014 (+15.17 %).  

Over  the  same  period,  private  contributions  to  EFF-supported  measures  amounted  to  EUR 
2.92  billion,  which  represent  an  additional  EUR  375.36  million,  a  14.73%  increase  over  31 
May 2014. As already seen in previous reports, private contributions can mainly be found in 
processing (45.62 %), aquaculture (24.95 %) and investments on board (10.23 %). To these, it 
is necessary to add now investments in the development of fisheries areas (8.57%). These 4 
measures account for nearly 90% of private investments.  

From  1  January  2007  to  31  May  2015,  investments  in  the  fishery  and  aquaculture 
sector  amounted  in  total  to  EUR  9.27  billion:  42.14%  from  the  EFF,  26.33%  from 
national  public  contributions  and  31.52 %  from  private  funding.  These  percentages 
remained  basically  stable,  with  just  a  small  reduction  (-1.5%)  of  the  EFF  component 
during the whole period. 

In terms of the leverage effect, every euro of EFF support committed generates EUR 1.37 of 
committed national support (+2.2% compared to 31 May 2014), of which EUR 0.75 of private 
funding and EUR 0.62 of national public contribution. 

2.2.  Main areas of intervention for the EFF 

The table below compares the level of commitments for the five most used measures by the 
end of July 2012, May 2013, May 2014 and May 2015, respectively: 

Table 1 

31 July 2012 

31 May 2013 

31 May 2014 

31 May 2015 

Permanent cessation (19.61 %) 

Processing (17.41 %) 

Processing (16.65 %) 

Processing (17.53%) 

Aquaculture (12.98 %) 

Permanent cessation (17.25 %) 

Permanent cessation (15.44 %) 

Aquaculture (14.33%)  

Processing (12.79 %) 

Aquaculture (14.83 %) 

Aquaculture (14.43 %) 

Permanent cessation (13.98%) 

Fishing ports (10.89 %) 

Fishing ports (11.46 %) 

Fishing ports (11.61 %) 

Development of fisheries areas 
(11.47%) 

Temporary cessation (7.67 %) 

Temporary cessation (7.40 %) 

Development of fisheries areas 
(9.25 %) 

Fishing ports (11.15%) 

The concentration of EFF commitments on these five measures remains quite high (68.46 %); 
this figure is similar to the one for 2013 and slightly above the one for 2014. 

Permanent and temporary cessation continue their decline in relative terms (see table 3), the 
latter in  particular,  which with  5.83%  of the commitments has  been  overtaken by collective 
actions under Axis 3 (7.36% of the commitments) and is now the seventh most used measure. 
The  table  below  highlights  this  decrease;  the  commitment  rate  of  the  two  measures  put 
together is reduced by 30% in the period analysed. 

6 

 
 
 
 
Table 2 

Permanent & temporary cessation 

 (% total EFF commitments) 

31/7/2012 

31/5/2013 

31/5/2014 

31/5/2015 

28.28% 

24.65% 

22.2% 

19.81% 

2.3. 

Evolution per priority axis 

The  table  below  shows  the  evolution  of  the  relative  importance  of  total  commitments  per 
priority axis for the period from July 2012 to May 2015. 

The situation at 31 May 2015 follows the trend of the previous years, including the decrease 
of Axis 1, with the exception of Axis 4, which shows a significant gain in relative importance 
since 2012. 

Table 3 

Priority Axis6 

31 July 2012 

31 May 2013 

31 May 2014 

31 May 2015 

Axis 1 

Axis 2 

Axis 3 

Axis 4 

Axis 5 

33.05 % 

28.96 % 

27.59 % 

7.1 % 

3.29 % 

30.42 % 

32.64 % 

27.38 % 

7.2 % 

2.42 % 

27.77 % 

31.44 % 

28.46 % 

9.25 % 

3.07 % 

25.72% 

32.3% 

27.26% 

11.47% 

3.25% 

The  table  and  the  graph  below  show  the  relation  between  actual  commitments  and  planned 
expenditure in 2007 per priority axis for the period 2012-2015. 

Table 4 

Priority Axis 

31 July 2012 

31 May 2013 

31 May 2014 

31 May 2015  % Progress 
2015/2012 

Axis 1 

Axis 2 

Axis 3 

67.24 % 

74.36 % 

79.61 % 

85.24% 

+26.78% 

56.6 % 

57.8 % 

77.47 % 

86.77 % 

98.4% 

+73.85% 

67.31 % 

83.80 % 

93.85% 

+62.37% 

6 

Axis 1. Measures for the adaptation of the Community fishing fleet. 
Axis 2. Aquaculture, inland fishing, processing and marketing of fishery and aquaculture products.  
Axis 3. Measures of common interest. 
Axis 4. Sustainable development of fisheries areas. 

7 

 
 
 
 
 
                                                 
 
 
 
Axis 4 

Axis 5 

28 % 

44.60 % 

56.89 % 

80.9% 

+188.92% 

44.04 % 

44.60 % 

65.34 % 

83.86% 

+90.43% 

Total EFF 

56.31 % 

67.37 % 

79.33 % 

90.83% 

+61.3% 

100,00%

90,00%

80,00%

70,00%

60,00%

50,00%

40,00%

30,00%

20,00%

31 July 2012

31 May 2013

31 May 2014

31 May 2015

Axis 1

Axis 2

Axis 3

Axis 4

Axis 5

EFF

The  above  tables  and  graphs  show  that,  within  a  period  of  three  years,  there  has  been  a 
convergence  in  the  rate  of  commitments  among  the  different  axes;  rates  of  commitments 
diverged significantly earlier on in the programming period for different reasons such as the 
2008  fuel  crisis,  the  impact  of  the  economic  and  financial  crisis,  the  novelty  of  Axis  4, 
overcoming the mismatch between objectives of the intervention and the actual needs on the 
ground. 

The most notable evolution, as already seen in previous Commission reports is the decline of 
public  spending  on  Axis  1,  which  could  be  explained  by  two  factors:  first,  the  scrapping 
schemes  already  implemented  under  the  FIFG7  that  continued  in  the  first  years  of  EFF 
implementation have largely addressed overcapacity issues in some fleet segments. Improved 
profitability  for  a  number  of  fleets  over  the  last  few  years  have  made  the  sector  more 
confident  in  its  capacity  to  thrive  without  public  support. As  a  result, Axis  1  is  progressing 
quite slowly, and is now lagging behind the average.  

Axes 2 and 3 are the most advanced in terms of commitments, with Axis 2 being very close to 
100% and Axis 3 approaching 95%.  However, it is in Axis 4 (and Axis 5), where the progress 
is faster since 2012. By May 2015, Axis 4 was almost catching up with the rest of the axes: in 
less  than  three  years  the  distance  from  the  average  has  been  reduced  from  29  percentage 
points to 10, with a strong acceleration after May 2014 (+42%).  

7 

Regulation  (EC)  No  1263/1999,  on  the  Financial  Instrument  for  Fisheries  Guidance,  OJ  L  161, 
26.06.1999 

8 

 
 
 
 
 
 
 
                                                 
 
2.4. 

Budget implementation by the Commission 

In  accordance  with  the  financial  programming,  the  last  annual  commitments  for  the  period 
2007-2013 were made in the EU budget in 2013. 

In  2014,  13.9 %  (EUR 567.25  million)  of  the  total  envelope  was  paid  as  interim  payments; 
83.8 %  for  convergence  (EUR  475.49  million)  and  16.2 %  for  non-convergence  regions 
(EUR 91.76 million).  Detailed information is provided in Annex 1 and in the accompanying 
staff working document. 

2.5. 

Use of technical assistance by the Member States 

In  2014, 23 Member States  committed amounts under the technical assistance  budget  (Axis 
5). The larger amounts were committed by Croatia (100 % of the EFF funds allocated to Axis 
5),  Poland  (8.2 %),  Sweden  (6.5 %),  Denmark  (6 %),  Belgium  (5.8 %)  and  Romania  (7 %). 
Actions  financed  included  strengthening  administrative  capacity,  IT  development,  publicity 
and information, as well as supporting the management and implementation of the operational 
programmes. The above graph shows the significant increase starting in May 2013 with a rate 
of commitments of 45% reaching 84% two years later. 

Use of technical assistance by the Commission 

2.6. 
The  European  Maritime  and  Fisheries  Fund  (EMFF)8  entered  into  force  on  1  January  2014 
replacing the EFF. Therefore, in 2014 the Commission did not commit new actions under the 
EFF technical assistance.   

2.7. 

Coordination  of  the  EFF  with  the  Structural  Funds  and  the  European 
Agricultural Fund for Rural Development (EAFRD)9 

The operational programmes (OPs) show that from the outset Member States have been aware 
of the need to  ensure consistency and coordination in  implementation  between the EFF and 
the Structural Funds, as well as the EAFRD. Member States’ annual implementation reports 
do not explicitly refer to fundamental problems of coordination. 

2.8. 

Irregularities reported by Member States 

In  relation  to  the  EFF,  Member  States  detected  and  reported  102  irregularities  in  2014, 
involving EUR 8.7 million (representing 1.5% of the certified expenditure). Of these, 11 were 
reported as fraudulent by five Member States, involving an amount EUR 2.1 million10. 

3. 

ASSESSMENT OF EFF IMPLEMENTATION PER AXIS 

As of 31 May 2015, EFF support was committed to a total of 134,689 operations. The table 
below  summarises  the evolution  of  the  number  of  operations  during  the  period  July  2012  –
May 2015. It shows that even though the figures increase at a two-digit pace, the annual rate 
of increase has been decreasing since 2012. 

8 

9 

10 

Regulation  (EU)  No  508/2014  on  the  European  Maritime  and  Fisheries  Fund  (EMFF),  OJ  L  149/1, 
15.05.2014 
Council Regulation (EC) No 1698/2005 on support for rural development by the European Agricultural 
Fund for Rural Development (EAFRD), OJ L 277, 21.10.2005. 
For  a  complete  overview  of  the  reported  irregularities  in  relation  to  EFF,  see  the  Commission  Staff 
Working  Document  SWD(2015)  156  final  (pages  44-47),  Statistical  evaluation  of  irregularities 
reported for 2014 accompanying the Report from the Commission to the European Parliament and the 
Council on the Protection of the European Union’s Financial Interests – Fight against Fraud – Annual 
Report 2014, COM (2015) 386 final. 

9 

 
 
                                                 
Table 5 

EFF operations 

Operations 

July 2012 = 100 

Δ% year/year 

31 July 2012 

31 May 2013 

31 May 2014 

31 May 2015 

84,489 

104,848 

121,073 

136,489 

100 

124 

143 

161.5 

+24% 

+15.5% 

+12.7% 

The  average  total  cost  per  operation  is  EUR  67  941,  of  which  EUR  46  525  is  total  public 
support and EUR 28 635 is the EFF contribution. The private contribution amounts to EUR 
21 416, slightly over 30% of the total eligible costs. These amounts represent a small increase 
(+1.5%) over 2014.  

3.1. 

Axis 1. Measures for the adaptation of the community fishing fleet. 

3.1.1.  Economic performance of EU fishing fleet in 2013 (based on 2015 Annual Economic 

Report11) 

Data for 2013, on which the annual economic report  (AER) for 2015 is based, show that in 
2013  the  EU  fishing  fleet  was  generally  profitable,  generating  EUR  6.8  billion  in  revenue, 
EUR 3.4 billion in gross value-added, EUR 506 million in net profit and 7.8% in net profit 
margin. This positive trend is also reflected in the positive expectations by the industry with 
growing investments in recent years (mainly new fishing vessels and investments on board). 
However,  this  overall  positive  trend  does  not  apply  to  all  EU  fleets  as  three  national  fleets, 
those of Belgium, Finland and Portugal, accumulated losses in 2013.  

This  overall  improvement  in  fleet  economic  performance  can  largely  be  explained  by  the 
positive evolution of the first sale prices of some important fish species, the shift to more fuel 
efficient  fishing  gear  and  engine  replacement  (with  EFF  support  in  some  cases),  the 
consolidation of the fleet, as well as changes in fishing and marketing behaviour. Decreasing 
fuel  prices  and  a reduction  of  fuel  consumption  of  some  10%  from  2008  to  2013  have  also 
contributed to reinforcing the economic performance of most EU fleets This reduction in fuel 
consumption which started at a time of high fuel prices still continues in spite of lower fuel 
prices.  

Data  in  the  AER  show  significant  differences  among  regions  (most  notably  with  the 
Mediterranean)  and  among  fleet  segments.  The  performance  of  the  Small  Scale  Coastal 
Fisheries (SSCF) tended to deteriorate while industrial fleets improved significantly over the 
period 2008-2013. 

3.1.2.  Permanent cessation of fishing activities. 

By  31  May  2015,  the  EFF  had  contributed  to  4 267  permanent  cessation  operations  (+4 % 
over  31  May  2014),  at  a  total  public  cost  of  EUR  935.81  million,  including  EUR  546.34 
million from the EFF. 

Costs per operation do not change significantly compared to previous years. The total cost per 
operation  amounts  to  EUR  219  313,  of  which  EUR  128 038  is  EFF  funding  (the  fifth  most 
expensive in terms of committed EFF funding). 

11 

Data collected by the Member States under the Data Collection Framework have a two year lag. 

10 

 
 
 
 
 
                                                 
The  figure  above  includes  a  small  number  of  reassignment  operations  (48).  The  costs  per 
reassignment (EUR 383 131, including EUR 237 249 from the EFF) are 73% higher than the 
ones for scrapping. 

3.1.3.  Temporary cessation of fishing operations 

As  in  previous  years,  temporary  cessation  remains  the  most  used  measured  in  terms  of 
number of operations (63 152 operations 46.27% of the total number). However, in relative 
terms the importance of support to temporary cessation decreased by 10% between May 2014 
and May 2015. 

The  average  costs  per  operation  under  this  measure  remains  the  lowest  in  the  EFF  (EUR 
6 109 total costs, EUR 3 608 EFF costs), and is still decreasing since July 2012.  

3.1.4. 

Investments on board fishing vessels and selectivity 

Investments  in  selectivity  and  on  board  fishing  vessels  remain  the  second  most  used  set  of 
EFF  measures  (13  019  operations);  however,  their  relative  importance  has  decreased  since 
May 2013 (from 10.8% to 9.54%).  

The total investment amounted to EUR 509.6 million of which the total public share was EUR 
210.53 million. The EFF contribution to the public share was EUR 121.93 million (3.12% of 
total EFF commitments up from 2.86 % in the previous year). 

The cost per  operation was EUR 39 143 of which the public  contribution was EUR 16 171 
(EUR  9  366  from  the  EFF).  The  private  contribution  per  operation  was  quite  large:  EUR 
23 000. 

The  numbers  above  include  1  509  engine  replacements  and  954  gear  replacements.  Engine 
replacement represents just above 1% of the total number of operations but only 0.31% of the 
total EFF commitments. Total costs per operation are EUR 32 753 of which EUR 8 057 are 
supported by the EFF and EUR 5 890 by national public contributions. 

Twelve  Member  States  have  used  the  measure.  France  (516),  Spain  (348),  Portugal  (220), 
Italy (111), Greece (102) and the UK (92) account for 99%.of the total number of operations. 
However,  taking  into  account  the  size  of  the  fleets  the  3  most  intensive  users  are  Belgium 
(engines replaced equivalent to 24.39% of the fleet), France (7.3%) and Cyprus (4.9%). 

Regarding gear replacement, total costs per operation are lower: EUR 21 495, of which EUR 
4 873 are supported by the EFF and a further EUR 4 600 by national public contributions. A 
total  of  13  Member  States  have  used  this  measure,  with  Cyprus  (429),  Spain  (139),  Greece 
(118), Italy (88) and the UK accounting for 80% of the total number of operations. 

3.1.5. 

Small-scale coastal fishing 

Operations in favour of small-scale coastal fishing remains few, representing only 4.21% of 
the total number of operations, but just 0.97% of the total EFF commitments. The total costs 
per  operation  are  EUR  11  808,  of  which  the  public  contribution  was  EUR  9  586.  The  EFF 
part, EUR 6 620, is the second lowest after temporary cessation. The private contribution was 
EUR 2 222. 

3.1.6. 

Socio-economic compensation for the management of the fishing fleet.  

The number of operations under this measure is very similar to the previous one: 4.17% of the 
total  number  of  operations,  and  only  1.82%  of  the  EFF  commitments.  The  total  cost  per 

11 

 
 
operations  amounts  to  EUR  36  991,  of  which  EUR  20  961  was  covered  by  public 
contributions  (EUR  12  499  from  the  EFF).  The  private  contribution,  EUR  16  000,  is  much 
higher than in the case of small-scale coastal fishing.  

All in all, the number and costs of operations under Axis 1 also confirms its relative decline 
over the years.  

3.2. 

Axis  2.  Aquaculture,  inland  fishing,  processing  and  marketing  of  fishery  and 
aquaculture products. 

3.2.1. 

Inland fisheries 

Inland  fishing  operations  remain  few  in  numbers  and  very  small  in  terms  of  total  costs. 
However,  the  number  of  operations  increased  by  41%  between  31  May  2014  and  31  May 
2015. As of 31 May 2015, there were 1 327 operations (0.97 % of the total). They account for 
0.44 % of total EFF commitments, the second smallest commitment item. They are also the 
fourth  cheapest  in  terms  of  EFF  commitments  per  operation,  accounting  for  EUR  12 892, 
which  is  less  than  half  the  average  EFF  cost  per  operation.  The  total  costs  per  operation  is 
EUR 33 089, which remains the third smallest. The public national contribution is EUR 9 390 
and the private contribution per operation is EUR 10 800. 

3.2.2.  Aquaculture 

As mentioned above, aquaculture measures are the second largest areas of investment for the 
EFF. The number of operations is relatively small (8 358 operations, 6.12 % of the total), but 
they  consume  14.33%  of  EFF  commitments.  The  total  cost  per  operation  is  EUR  186  042 
(+4% compared with May 2014), of which EUR 87 261 corresponds to private contributions 
+8.3%), EUR 31 783 to national public resources (+5.7%) and EUR 66 998 to the EFF (-2%). 
Total  commitments  amount  to  EUR  1  554.9  million,  of  which  EUR  559.97  million  is  EFF 
funding, EUR 265.6 million is national public contribution and EUR 729.3 million is private 
funding. 

Some  60%  of  the  operations  correspond  to  modernisation  and  extension  of  existing  farms, 
19%  to  aqua-environmental  measures  and  17.6%  to  new  production  capacity.  The latter  are 
the  ones  with  the  higher  EFF  uptake  (EUR  155  727),  closely  followed  by  hatcheries  (EUR 
130 802) and animal health measures (EUR 106 628). The rest of measures are below EUR 60 
000 in terms of EFF contribution. 

One  euro  of  EFF  support  generates  EUR  1.78  of  national  resources,  of  which  EUR  1.31 
private and EUR 0.47 public. 

3.2.3.  Processing 

Processing measures remain the largest expenditure item in terms of EFF commitments. The 
relative  importance  of  processing  operations  has  been  increasing  since  end  of  July  2012 
(+37%). While the 5 016 operations only represent 3.68% of the total number, they represent 
17.53% of the EFF commitments. 

The total cost of operations amount to EUR 2.39 billion of which EUR 1.33 billion are private 
resources and EUR 1.06 billion are public resources, of which EUR 685 million correspond to 
the EFF and the rest to public national contributions. 

The  total  costs  per  operation  amount  to  EUR  476  314  (twice  as  much  as  a  permanent 
cessation operation). The private contribution is EUR 265 822 and the public contribution is 
EUR 210 492, of which EUR 136 605 are EFF resources (the third largest). 

12 

 
 
Some  75%  of  the  operations  correspond  to  construction  of  new  processing  facilities  or 
modernisation  or  extension  of  existing  ones;  20%  to  the  modernisation  of  marketing 
establishments  and  the  rest  to  construction  of  marketing  establishments.  The  EFF  costs  per 
operations  exceed  EUR  160  000  regarding  processing  facilities,  EUR  155  000  for 
construction of marketing establishments and EUR 49 500 for the modernisation of marketing 
establishments. 

One euro of EFF resources generates EUR 2.49 of national contributions, of which EUR 1.95 
are private resources and the rest are public. 

3.3. 

Axis 3. Measures of common interest. 

3.3.1.  Fishing ports, landing sites and shelters 

By  31  May  2015,  the  EFF  was  contributing  to  1 702  infrastructure  projects  (1.25 %  of  the 
total).Total investments amount to EUR 815.3 million (+17% over May 2014), with a public 
contribution of EUR 745 million (+16.5%), of which EUR 435.96 million EFF (+10%). 

Infrastructure  projects  remain  the  most  consuming  in  terms  of  total  investment  per  project 
(EUR  479  043),  in  terms  of  EFF  funding  (EUR  256  141,  -6.5%))  and  in  terms  of  national 
public contribution (EUR 181 600, +8.4%).  

3.3.2.  Development of new markets and promotional campaigns 

By 31 May 2015, while the number of financed operations in this field was relatively small 
(2 363, 1.73 % of the total), they consumed 3.63% of total EFF commitments. 

Total  costs  amounted  to  EUR  245.2  million,  of  which  EUR  228.14  million  were  public 
contributions (EUR 141.73 million EFF) and only EUR 17 million private contributions. 

The total cost per operation is EUR 103 758 (+4.2% compared to May 2014), of which EUR 
59  979  correspond  to  the  EFF  (+2.5%),  EUR  36  570  to  national  public  resources  (+10.5%) 
and EUR 7 210 (-9.8%) to private contributions.  

3.3.3.  Pilot operations.  

Pilot  operations  include  the  experimental  use  of  more  selective  fishing  techniques  aimed  at 
acquiring and disseminating new technical knowledge and carried out by any competent body 
designated for that purpose by the MS in partnership with a scientific or technical body. 

Figures  as  of  31  May  2015  remain  modest,  716  operations,  representing  just  0.52%  of  the 
total  number,  which  is  nevertheless  a  significant  increase  over  31  May  2014  (+20.5%)  and 
consume 2.64% of EFF resources and 3.87% of national public resources. 

Total costs amount to EUR 234.6 million of which EUR 197.6 million are public costs (EUR 
103.2 million from the EFF). 

The total costs per operation are EUR 327 691, of which EUR 275 976 are public (EUR 144 
164 from the EFF, the second largest item) and EUR 51 716 are private. 

One euro of EFF resources generates EUR 1.27 of national resources, of which only 25% are 
private resources. This is among the lowest leverage effect and highlights therefore the need 
of public funding to promote innovation. 

13 

 
 
 
 
3.4. 

Axis 4. Sustainable development of fishery areas.  

From  May  2014  to  May  2015,  Axis  4  implementation  maintained  the  rapid  progress  of 
previous  years.  The  21  Member  States  implementing  Axis  4  selected  their  FLAGs  and  by 
May 2015 the number of groups had reached 312. 

FLAGs and project promoters, as well as managing authorities and intermediate bodies, were 
all  actively  preparing,  selecting,  approving  and  paying  projects.  The  related  figures  show  a 
steady  rise  in  project  approval:  whilst  at  the  end  of  2012  there  were  only  2 756  projects 
selected on the ground, this figure jumped to 6 353 projects in one year. This trend continued 
and by 31 May 2015, 11 299 projects had been approved (+28.4%), which represent 8.28% of 
the total number of projects and consume 11.47% of the EFF total commitments. 

Total costs in Axis 4 amount to EUR 912.1 million, of which EUR 661.7 million are public 
contributions. The EFF contributed with EUR 448.34 million to the public part. 

Total cost per project amount to EUR 80 728, of which EUR 22 165 is private contributions 
and EUR 58 562 is public contribution (EUR 39 680 from the EFF). 

One euro of EFF resources generates EUR 1.03  of national resources, (55% private and the 
rest public national). 

4. 

FIRST  SET  OF  OPERATIONAL  CONCLUSIONS  ON  THE  EFF  FOR  THE  PERIOD  2007-
2013 

  The  2014  Annual  Implementation  Report  confirms  the  following  trends  highlighted  in 

previous reports: 
  The  gradual  decrease  over  the  last  years  in  EFF  support  to  measures  under  Axis  1 
(permanent  and  temporary  cessation  in  particular)  is  more  prominent  in  2014-2015. 
This  decrease  can  be  explained  by  the  following  factors:  scrapping  schemes 
implemented  in  the  past  partly  addressed  overcapacity  in  some  fleet  segments;  the 
improved profitability of some fleets makes the sector more confident in its future.  
  Axis 2: aquaculture measures are the second largest areas of investment for the EFF 

after processing.  

  Axis 3 is still making progress, though at a relatively slower pace. 
  Axis 4 is rapidly progressing and now represents 11.47% of total EFF commitments  

  Comparing the situation at the end of May of 2015 and 2014, it is possible to observe that 
for  many  measures  (particularly  aquaculture,  processing,  pilot  projects  and  marketing 
measures) the average national public contribution per operation increases more rapidly 
than the EFF contribution. In addition given the relative decrease in state aid schemes, it 
could  be  argued  that  national  support  is  being  directed  towards  co-financing  EFF 
measures rather than granting state aid.   

  There is some evidence of an increase of the private contribution per operation.  In part, 
this  can  be  explained  by  a  decrease  in  the  aid  intensity  of  EFF  supported  operations, 
particularly  in  profitable  sectors  of  activity  (most  notably  aquaculture  and  processing), 
which could be consistent with the fiscal consolidation over recent years.   

  Both  commitments  and  certified  expenditure  at  the  level  of  the  Member  States  have 
improved but are still below the level expected before the end of EFF implementation. By 
31  May  2015,  over  9%  of  the  EFF  allocation  (some  EUR  394  million)  had  not  been 
committed yet, pointing to an urgent need to accelerate payments, in order to ensure full 

14 

 
 
 
 
 
use of all funds available within the deadline (31 December 2015). 

15 

 
 
FINANCIAL  EXECUTION  OF  THE  EFF  BY  THE  COMMISSION  IN  CONVERGENCE 
AND NON-CONVERGENCE REGIONS 

Country 

Belgium 

Bulgaria 

Decided 
a 

Committed 
b 

Paid 
c 

% 
(b) / (a) 

% 
(c) / (a) 

Period 2007-2013 

 26 261 648 

 26 261 648 

 19 168 499.99 

100% 

72.99% 

Financial year: 2014 

   0 

   0 

 3 312 272.66 

Period 2007-2013 

 62 783 169 

 62 783 169 

 40 409 056.31 

100% 

64.36% 

Financial year: 2014 

   0 

   0 

 9 986 093.35 

Period 2007-2013 

 27 106 675 

 27 106 675 

 19 509 468.35 

100% 

71.97% 

Czech Republic 

Financial year: 2014 

   0 

   0 

   0.00 

Denmark 

Germany 

Estonia 

Ireland 

Greece 

Spain 

France 

Croatia 

Italy 

Cyprus 

Latvia 

Period 2007-2013 

 133 675 169 

 133 675 169 

 83 947 337.37 

100% 

62.80% 

Financial year: 2014 

   0 

   0 

  703 841.35 

Period 2007-2013 

 132 253 458 

 132 253 458 

 93 631 371.14 

100% 

70.80% 

Financial year: 2014 

   0 

   0 

 11 800 128.31 

Period 2007-2013 

 84 568 039 

 84 568 039 

 69 771 197.49 

100% 

82.50% 

Financial year: 2014 

   0 

   0 

 15 434 669.72 

Period 2007-2013 

 42 266 603 

 42 266 603 

 33 467 120.83 

100% 

79.18% 

Financial year: 2014 

   0 

   0 

   0.00 

Period 2007-2013 

 202 554 357 

 202 554 357 

 152 710 751.91 

100% 

75.39% 

Financial year: 2014 

   0 

   0 

 7 010 048.52 

Period 2007-2013 

1 055 250 968 

1 055 250 968 

 849 911 777.01 

100% 

80.54% 

Financial year: 2014 

   0 

   0 

 183 145 255.98 

Period 2007-2013 

 207 096 020 

 207 096 020 

 155 655 960.43 

100% 

75.16% 

Financial year: 2014 

   0 

   0 

 24 039 286.49 

Period 2007-2013 

 8 700 000 

 8 700 000 

 2 175 000.00 

100% 

25.00% 

Financial year: 2014 

   0 

   0 

   0.00 

Period 2007-2013 

 387 646 899 

 387 646 899 

 288 717 023.71 

100% 

74.48% 

Financial year: 2014 

   0 

   0 

 47 721 421.32 

Period 2007-2013 

 19 724 418 

 19 724 418 

 18 541 677.89 

100% 

94.00% 

Financial year: 2014 

   0 

   0 

 2 995 629.13 

Period 2007-2013 

 125 015 563 

 125 015 563 

 118 634 206.03 

100% 

94.90% 

Financial year: 2014 

   0 

   0 

 16 211 375.11 

Period 2007-2013 

 54 713 408 

 54 713 408 

 45 722 592.94 

100% 

83.57% 

Lithuania 

Luxembourg 

Financial year: 2014 

Period 2007-2013 

Financial year: 2014 

   0 

   0 

   0 

   0 

   0 

   0 

 5 928 308.26 

   0.00 

0,00% 

0.00% 

   0.00 

Hungary 

Period 2007-2013 

 34 743 470 

 34 743 470 

 28 805 751.06 

100% 

82.91% 

16 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Malta 

Netherlands 

Austria 

Poland 

Portugal 

Romania 

Slovenia 

Slovakia 

Finland 

Sweden 

United Kingdom 

Total 

Financial year: 2014 

   0 

   0 

 3 149 813.47 

Period 2007-2013 

 8 372 329 

 8 372 329 

 6 254 113.69 

100% 

74.70% 

Financial year: 2014 

   0 

   0 

 1 760 768.20 

Period 2007-2013 

 43 282 778 

 43 282 778 

 27 186 099.98 

100% 

62.81% 

Financial year: 2014 

   0 

   0 

   0.00 

Period 2007-2013 

 5 249 497 

 5 249 497 

 4 996 352.10 

100% 

95.18% 

Financial year: 2014 

   0 

   0 

  274 079.34 

Period 2007-2013 

 734 092 574 

 734 092 574 

 522 607 848.80 

100% 

71.19% 

Financial year: 2014 

   0 

   0 

 132 430 235.90 

Period 2007-2013 

 225 864 267 

 225 864 267 

 175 162 077.61 

100% 

77.55% 

Financial year: 2014 

   0 

   0 

 29 046 260.61 

Period 2007-2013 

 178 273 115 

 178 273 115 

 112 008 165.34 

100% 

62.83% 

Financial year: 2014 

   0 

   0 

 24 331 634.79 

Period 2007-2013 

 21 640 283 

 21 640 283 

 18 617 242.85 

100% 

86.03% 

Financial year: 2014 

   0 

   0 

 5 135 416.12 

Period 2007-2013 

 12 868 797 

 12 868 797 

 9 637 369.63 

100% 

74.89% 

Financial year: 2014 

   0 

   0 

 1 333 295.86 

Period 2007-2013 

 38 491 347 

 38 491 347 

 31 131 452.69 

100% 

80.88% 

Financial year: 2014 

   0 

   0 

 3 702 853.12 

Period 2007-2013 

 54 638 257 

 54 638 257 

 40 709 427.72 

100% 

74.51% 

Financial year: 2014 

   0 

   0 

 5 542 368.16 

Period 2007-2013 

 129 620 927 

 129 620 927 

 94 591 015.74 

100% 

72.98% 

Financial year: 2014 

   0 

   0 

 32 251 658.18 

Period 2007-2013 

4 056 754 035 

4 056 754 035 

3 063 679 958.61 

100% 

75.52% 

Financial year: 2014 

   0 

   0 

 567 246 713.95 

17