Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the European Fund for economic, social and territorial cohesion, agriculture and rural, fisheries and maritime, prosperity and security for the period 2028-2034 and amending Regulation (EU) 2023/955 and Regulation (EU, Euratom) 2024/2509
Date: 2025-07-16
Institutions: Directorate-General for Regional and Urban Policy, European Commission
Subjects: European security, common fisheries policy, distribution of EU funding, economic and social cohesion, economic growth, economic policy, farming sector, fund (EU), maritime transport, rural development

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   EUROPEAN COMMISSION  Brussels, 16.7.2025  COM(2025) 565 final/2 2025/0240 (COD)  This document corrects COM(2025) 565 final of 16.7.2025 Concerns the EN version only The word "equality" has been added in Article 3 (1) (e) The text shall read as follows: Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the European Fund for economic, social and territorial cohesion, agriculture and rural, fisheries and maritime, prosperity and security for the period 2028-2034 and amending Regulation (EU) 2023/955 and Regulation (EU, Euratom) 2024/2509 {SWD(2025) 565 final}  
 
 
EXPLANATORY MEMORANDUM 

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CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

Over  the  past  years,  EU  funds  with  nationally  pre-allocated  envelopes  have  crucially 
supported  the  delivery  of  key  EU  objectives  and  EU  common  policies  –  from  economic, 
territorial  and  social  cohesion  to  ensuring  a  fair  standard  of  living  for  the  agricultural 
community, access to affordable food, support to the Common Fisheries Policy, or creating an 
Area  of  Freedom,  Security  and  Justice.  Currently,  there  are  several  funds  that  are 
predominantly pre-allocated to Member States. Yet, the profound challenges our Union faces 
call for a reflection on how to improve their design to best deliver on our joint priorities.  

While  regional  and  territorial  disparities  have  been  substantially  reduced,  including  by  EU 
cohesion policies, 29% of EU citizens still live in regions with a GDP per capita below 75% 
of the EU average and about 135 million people live in places which, in the last two decades, 
have  slowly  fallen  behind.  The  current  divergent  growth  trajectories  risk  widening  socio-
economic gaps between and within Member States, notably between rural and urban areas.  

At the same time, food security and nature protection sustain Europe’s quality of life with the 
Common Agricultural Policy (CAP) able to guarantee that 450 million Europeans have access 
to safe, high quality and diversified food products at affordable prices, while contributing to 
preserve vibrant  rural  areas and make significant  progress  towards sustainability. Yet,  long-
term risks for food security and the effects of climate change and environmental degradation 
put  the  agricultural  sector  under  increasing  pressure.  In  addition,  farmers,  fishers,  rural  and 
coastal  areas  are  increasingly  affected  by  unfair  global  competition,  higher  energy  prices,  a 
lack of younger farmers and fishers and difficulties in accessing capital. For example, despite 
the substantial support from the CAP, the agricultural income per worker remains volatile and 
significantly below the average wage in the EU economy (60% in 2023).  

War, insecurity, poverty and a lack of opportunities have strengthened migration flows, and 
the weaponisation of migration at the EU borders has illustrated new forms of threats. At the 
same  time,  the  global  political  and  economic  landscape  poses  challenges  of  unprecedented 
magnitude, with war still raging on the European continent and also in the neighbourhood.  

While these are only a few of the many challenges faced by our Union, they show the need to 
improve  the  design  of  EU  support  to  best  deliver  on  our  shared  priorities  and  common 
policies  and  ensure  that  the  EU  budget  continues  to  play  a  key  role  in  supporting  fair  and 
inclusive growth, sustainable economic convergence,  intergenerational fairness  and security. 
In this regard, the 2024-2029 Political Guidelines of the Commission call for a strengthened, 
modernised  cohesion  and  growth  policy,  aimed  at  reducing  economic,  social  and  territorial 
disparities, supporting employment and strengthening the competitiveness of the Union. The 
Mid-Term Review of Cohesion Policy already introduces flexibility and offers incentives to 
direct investments toward emerging challenges, while maintaining the key focus on reducing 
regional  disparities.  They  also  call  for  ensuring  the  fisheries  sector  to  remain  sustainable, 
competitive and resilient and with upholding a level playing field for the European fisheries 
chain. They pledge that European Oceans Pact will focus on boosting the blue economy and 
ensuring the good governance and sustainability of our oceans in all of their dimensions. They 
also  call for a Common Agriculture Policy that is more targeted and finds the right balance 
between  incentives,  investment  and  regulation  and  ensures  that  farmers  have  a  fair  and 
sufficient income. More broadly, they also pledge to support measures to reinforce Europe’s 
defence and security  and tackle migration, including  effective protection  of the EU external 

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borders, as well as preparedness or the fight against climate change. On different occasions, 
EU Heads of State have called for increasing the resilience of EU agriculture to preserve food 
security in the long term, the value of vibrant rural communities, and the essential role of the 
CAP  in  that  regard.  Moreover,  they  called  on  the  need  to  ensure  a  stable  and  predictable 
policy framework, including to accompany the farmers in tackling environmental and climate 
challenges.  

The Commission Communication of 19 February 2025 entitled ‘A Vision for Agriculture and 
Food’  6  sets  out  general  principles  for  the  CAP  post-2027.  Those  principles  include  a  CAP 
relying on objectives and targeted requirements, further responsibility and accountability for 
Member States on how they meet the CAP policy objectives, the essential role of the CAP in 
supporting  and  stabilising  farmers  income  and  attracting  a  future  generation  of  farmers,  a 
simpler  and  more  targeted  policy  with  a  clearer  balance  between  incentives  and  mandatory 
requirements, more flexibility for farmers and a shift from conditions to incentives.  

More broadly, this 2028-2034 multi-annual financial framework is an opportunity to design a 
more  policy-oriented,  simpler,  impactful  and  responsive  budget  to  help  Member  States  and 
their  regions  address  priorities  and  challenges  in  the  most  effective,  inclusive  and  efficient 
way,  drawing  on  all  the  lessons  learned  from  the  current  programmes.  The  Commission’s 
communication on ‘the road to the next MFF’ published on 11 February 2025 stressed in that 
respect  the  need  to  address  ‘the  complexities,  weaknesses  and  rigidities  that  are  currently 
present  and  maximise  the  impact  of  every  euro  it  spends’  while  guaranteeing  the  budget’s 
ability to respond to a changing reality.  

This proposal for a Regulation aims to respond to these various challenges by:   

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ensuring better coherence between EU priorities and national and regional actions;  

achieving  simplification  and  better  value  for  money  by  building  a  simpler  and 
more efficient delivery system; 

addressing  emerging  policy  priorities  by  facilitating  the  reallocation  resources  to 
respond to new needs and unforeseen crises, without putting at risk the fulfilment 
of long-term objectives.   

To  achieve  these  objectives,  this  initiative  provides  for  the  grouping  of  nationally  pre-
allocated envelopes under a Fund to: 

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Simplify  the  current  framework  –  moving  from  close  to  540  programmes  to  27 
National  and  Regional  Partnership  Plans  and  one  Interreg  Plan,  with  a  wide 
eligibility  scope  and  a  single  set  of  rules,  will  reduce  administrative  costs  at  all 
levels, while facilitating access to funding for EU businesses, including SMEs, local 
authorities  and  project  promoters  and  keeping  the  focus  on  reducing  regional 
disparities. For the agricultural  sector, this presents  an evolution  based on the most 
recent reform, which already and for the first time is based on strategic national plans 
and performance. Likewise, the new framework guarantees coherence by integrating 
the  CAP  interventions  from  the  current  two-funds  structure  under  one  single 
umbrella. Such alignment brings further flexibility and simplification. 

Provide a more integrated programming process, allowing a more differentiated 
and qualitative approach to deliver on EU priorities, tailored to each Member State’s 
national  and  regional  challenges,  moving  away  from  a  “one-size-fits-all”  approach. 
Integrated  programming  will  also  enable  stronger  synergies  between  policies,  for 
instance  to  empower  Member  States  to  address  the  challenges  faced  by  rural  and 
coastal  areas  in  a  more  comprehensive  manner,  as  well  as  with  other  EU  spending 

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programmes  (e.g.  the  European  Competitiveness  Fund  or  the  Connecting  Europe 
Facility). In doing so, the Fund will also ensure continued support to those who need 
it the most, including least developed regions and farmers most in need with a strong 
focus on generational renewal. 

Ensure  that  the  EU  budget  supports  success,  by  providing  Member  States  and 
regions  with  the  necessary  objectives  to  engage  in  an  ambitious  reform  agenda, 
which will benefit the EU as a whole, and by guiding spending where it matters and 
can bring the highest EU added-value – notably by encouraging Member States and 
regions  to  select  more  projects  with  a  high  EU  added-value  than  today,  including 
cross-border  and  multi-country  projects  (in  particular  IPCEIs).  Consistency  will  be 
ensured across the board, with better policy planning at all levels and a more efficient 
allocation of EU funds, where they can achieve the best results, as well as fostering 
stronger synergies between policies.  

Foster ownership at all levels, with a multi-level governance and a strong regional 
dimension,  based  on  shared  management  and  the  partnership  principle,  ensuring 
support is focused on the needs of each Member State and its regions and sectors, as 
well as continuity and predictability for managing authorities and beneficiaries;  

Enable  faster  and  better  value  for  money,  by  linking  the  provision  of  funds  to 
Member  States  to  the  progress  achieved  in  the  implementation  of  measures  rather 
than the reimbursement of eligible costs; 

Enshrine strong safeguards to ensure respect of the Rule of Law and the effective 
throughout 
application  of 
implementation.  

the  European  Charter  of  Fundamental  Rights 

Encourage  more  flexibility  and  adaptability,  with  the  progressive  allocation  of 
funds  throughout  the  programming  period,  an  easier  revision  of  the  plans,  and  a 
reserve at EU level (EU Facility) offering additional room to adjust to new priorities 
and crises. 

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An  EU  Facility  will  complement  implementation  at  national  and  regional  level.  The  EU 
Facility will support transnational and innovative projects, with a high EU added-value, which 
require  additional  coordination  efforts  at  EU  level.  It  will  also  provide  technical  support  to 
Member  States  to  effectively  implement  their  National  and  Regional  Partnership  Plans. 
Furthermore,  the  Facility  will  help  Member  States  in  swiftly  addressing urgent  and  specific 
needs as a response to a crisis situation such as a major national or regional natural disaster, 
and foster repair and recovery in view of increasing resilience following a crisis. It will also 
cater for uncertainty by providing the Union with additional room of manoeuvre to adjust to 
emerging priorities at Union level, which require a coordinated response.  

This proposal is accompanied by the proposals for sector-specific Regulations, which set out 
specific conditions  for the provision  of Union support in  policy areas  covered by the Plans. 
This Union support will be provided under the Fund, in accordance with the rules governing 
that Fund as proposed in this Regulation.  

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Consistency with existing policy provisions in the policy area 

The Fund will help better exploit synergies between the policies covered by the scope of this 
initiative  and  hence  support  their  delivery.  For  example,  by  bringing  cohesion  policy,  the 
Common Agricultural Policy and the Common Fisheries Policy under a single programming 
approach,  Member  States  will  have  a  wider  toolbox  to  address  the  challenges  faced  by 
farmers  and  communities  in  rural  and  coastal  areas  (e.g.  infrastructure  development;  for 

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services,  digitalisation,  access  to  water  and  energy  infrastructure;  skills  development, 
generational  renewal).  Likewise,  by  bringing  migration  with  cohesion  under  the  same 
programming  approach,  Member  States  and  regions  will  be  better  equipped  to  integrate 
migrants in the labour market while protecting their borders. 

A simplified framework for nationally pre-allocated envelopes will make it easier to capitalise 
on  synergies  with  other  EU  budget  programmes,  with  the  steering  mechanism  ensuring 
coherent  programming  without  overlaps.  Synergies  will  be  particularly  relevant  with  the 
European  Competitiveness  Fund  InvestEU  Instrument,  the  Connecting  Europe  Facility,  the 
Erasmus+  programme,  the  programme  for  the  Single  Market,  Customs,  and  cooperation 
between national authorities (SMP+), and the Global Europe Fund. 

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Consistency with other Union policies 

The Fund will support and therefore deliver increased consistency with other Union policies, 
such as: 

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the  Commission  Communication  on  implementation  and  simplification  ‘A  simpler 
and faster Europe’1, which launches a new drive to speed up, simplify and improve 
EU  policies  and  laws,  make  rules  clearer  and  easier  to  understand  and  faster  to 
implement. 

the Competitiveness Compass for the EU2, which calls for horizontal enablers such 
as  removing  barriers  to  the  single  market,  deepening  the  capital  markets  through 
implementing  reforms  underpinning  the  savings  and  investments  Union  as  well  as 
simplifying  the  regulatory  environment  through  a  refocused  EU  budget.  Having  a 
simplified framework for nationally pre-allocated envelopes will allow in that respect 
to  better  exploit  synergies  with  other  instruments  of  the  EU  budget,  including  the 
European Competitiveness Fund and Horizon Europe.  

the  Clean  Industrial  Deal3,  which  sets  out  a  joint  roadmap  for  competitiveness  and 
decarbonisation  and  identifies  the  post-2027  MFF  as  a  key  enabler  for  the  clean 
transition. As part of the Clean Industrial Deal, the Commission adopted the Action 
Plan for Affordable Energy4 which aims to lower energy costs for all, accelerate the 
deployment  of  renewable  energy,  increase  energy  efficiency  or  energy  crisis 
preparedness.  

The  Commission  Communication  of  5  March  2025  on  the  Union  of  Skills5,  which 
sets  out  the  necessary  actionable  steps  to  equip  people  with  the  right  skills  and 
achieve more competitive and inclusive Europe. 

The  “Vision  for  Agriculture  and  Food”6  of  19  February  2025,  which  puts  forward 
measures  to  ensure  long-term  competitiveness,  sustainability  and  resilience  of  the 
EU’s farming and food sector. 

Research  and  Innovation  policy  through  the  Ocean  Pact  Research  and  Innovation 
Strategy;  and  the  Water  Resilience  Research  &  Innovation  Strategy  in  a  synergetic 
way. 

COM(2025) 47 final. 
COM(2025) 30 final. 
COM(2025) 85 final. 
COM(2025) 79 final. 
COM(2025) 90 final. 
COM(2025) 75 final. 

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The White Paper for European Defence – Readiness 2030 of 19 March 2025 which 
provides for a new approach to defence and identifies investment needs. It outlines 
key lines of action on how to safeguard Europe’s security, including through massive 
investments  into  defence  and  building  up  the  readiness  of  the  European  defence 
industry.  

The Commission Communication of 5 March 2025 on Industrial Action Plan for the 
European  automotive  sector  which  sets  out  the necessary  steps  for  the  transition  to 
zero-emission, connected and increasingly automated vehicles. 

The  Commission  Communication  of  9  December  2020  on  Sustainable  and  Smart 
Mobility  Strategy  –  putting  European  transport  on  track  for  the  future  sets  out  the 
necessary steps for European transport system’s path towards achieving sustainable, 
smart and resilient mobility. 

The  Union  of  Equality  and  its  related  Strategies7  that  aim  at  combating 
discrimination based on sex, racial or ethnic origin, religion or belief, disability, age 
or  sexual  orientation.The  European  ocean  Pact  of  5  June  2025  which  sets  out  a 
comprehensive strategy to better protect the ocean, promote a thriving blue economy 
and support the well-being of people living in coastal areas. 

Communication  on  EU  Preparedness  Union  Strategy  to  prevent  and  react  to 
emerging threats and crises.  

The  Omnibus  packages  adopted  in  the  course  of  20257  aiming  for,  i.a., 
simplification, consistency with other pieces of legislation, and reducing the number 
of  data  points.  The  Net  Zero  Industry  Act  and  the  Critical  Raw  Materials  act,  also 
from the perspective of tight permitting deadlines. 

The  Commission  Communication  of  5  June  2025  on  a  European  Water  Resilience 
Strategy. 

The  Digital  Decade  Policy  Programme  2030  ,  established  by  Decision  (EU) 
2022/2481  of  the  European  Parliament  and  of  the  Council,  which  sets  the  Union’s 
digital transformation objectives targets for 2030 and provides for a monitoring and 
cooperation  mechanism  based  on  national  Digital  Decade  strategic  roadmaps;  the 
annual  communications  on  the  ‘State  of  the  Digital  Decade”,  which  evaluates  the 
Union’s  progress  towards  the  2030  digital  targets  and  provides  actionable 
recommendations for each Member State  

The Commission Communication on the AI Continent Action Plan.  

The Commission Communication of 19 March 2025 on the Savings and Investments 
Union8,  which  puts  forward  measures  to  create  better  investment  opportunities  for 
EU  citizens  and  financing  choices  for  EU  companies,  thereby  making  financial 
markets a horizontal enabler of the EU’s strategic objectives.  

This  initiative  will  also  ensure  consistency  with  the  European  Climate  Law,  as  required  by 
Article 6(4) of Regulation (EU) 2021/1119. 

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Omnibus 1 and 2 of 26 February 2025.  
COM(2025) 124 final. 

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2. 

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LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

EU action is justified by multiple legal bases reflecting the different policies supported by the 
Fund: 

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Article  174  TFEU  commits  the  EU  to  promote  economic,  social  and  territorial 
cohesion. 

Articles  176,  177  and  162  TFEU  establish  the  European  Regional  Development 
Fund, the Cohesion Fund and the European Social Fund respectively and define their 
respective objectives.  

Articles  38  and  42(3)  TFEU  empowers  the  Union  to  define  and  implement  a 
common  agriculture  policy  (CAP)  and  common  fisheries  policy  (CFP).  Article  39 
TFEU  sets  the  objectives  of  the  CAP,  which  include  the  increase  of  agricultural 
productivity,  a  fair  standard  of  living  for  the  agricultural  community,  stabilise 
markets, assure the availability of supplies and that these supplies reach consumers at 
reasonable  prices.  Article  42  TFEU  enables  the  Union  to  determine  the  extent  to 
which  Union  rules  on  competition  and  State  aid  apply  to  production  and  trade  in 
agricultural products listed in Annex I to TFEU. 

Article 175 TFEU lists the Structural Funds, which shall support the achievement of  
economic, social and territorial cohesion – the European Agricultural Guidance and 
Guarantee  Fund,  Guidance  Section;  European  Social  Fund;  European  Regional 
Development Fund. Article 177 TFEU provides that “the European Parliament and 
the Council […] shall define the tasks, priority objectives and the organisation of the 
Structural Funds, which may involve grouping the Funds.”  

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Subsidiarity (for non-exclusive competence)  

The  objectives  of  the  proposal  cannot  be  achieved  by  Member  States  acting  alone,  as  the 
challenges are of a cross-border nature, and not limited to single Member States or to a subset 
of Member States. 

Nationally pre-allocated  envelopes play a vital role in  delivering on EU priorities across all 
Member  States  and  regions.  For  instance,  cohesion  policy  promotes  integration  and 
cooperation  among  Member  States,  helping  reduce  regional  disparities  within  and  between 
Member  States.  The  Common  Agricultural  Policy  ensures  a  level  playing  field  among 
Member  States  and  farmers  in  the  single  market,  guaranteeing  food  security  throughout  the 
Union, enhancing the attractiveness of the sector also for young farmers and new entrants, and 
addressing  challenges  of  a  cross-border  and  global  nature.  The  conservation  of  marine 
resources, being an EU exclusive competence, puts a responsibility on the Union in terms of 
policy making and financing. In the field of home affairs, EU funding is necessary to ensure a 
common approach and fostering cooperation in the Area of Freedom Security and Justice.  

Funding  at  Union  level  is  also  necessary  to  support  EU  public  goods  that  are  insufficiently 
prioritised by Member States due, for instance, to market failures, but which bring high EU-
wide  benefits,  such  as  cross-border  projects  or  Important  Projects  of  Common  European 
Interest. 

Addressing these challenges through nationally pre-allocated envelopes would provide added-
value by creating ownership and ensuring that support takes into account the specific needs of 
each  Member  State  and  its  regions.  It  would  also  help  the  EU  achieve  its  policy  objectives 
more  efficiently  by  linking  EU  funding  to  reforms,  thereby  enhancing  the  EU’s  leverage  to 

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encourage and assist Member States in overcoming institutional and regulatory obstacles that 
hinder the fulfilment of  EU policy priorities. Reforms  can also  help  to  increase the positive 
impact of investments, hence increasing the value of each euro spent.  

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Proportionality 

In  accordance  with  the  principle  of  proportionality,  the  proposed  Regulation  does  not  go 
beyond what is necessary to achieve the objectives mentioned under section 1. The proposal 
specifically  aims  at  furthering  previous  simplification  efforts,  by  further  unifying  and 
consolidating rules, and ensuring a stronger focus on performance and flexibility to maximise 
the effectiveness and responsiveness of EU spending.  

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Choice of the instrument 

The  most  appropriate  vehicle  to  operationalize  the  proposed  framework  is  i.e.  a  regulation 
establishing  a  Fund  with  a  broad  eligibility  scope  and  setting  out  the  single  set  of  rules 
governing the National and Regional Partnership Plans to be prepared by each Member State 
for the post-2027 period.  

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RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

Stakeholder consultations 

The Commission actively engaged with stakeholders in the process of the initiative, notably 
through: 

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dedicated  events,  such  as  the  Citizens’  panel  on  the  new  European  budget,  the 
Annual Budget Conference, Tour d’Europe (a round of consultations carried out by 
the  Commissioner  for  the  Budget,  Anti-Fraud  and  Public  Administration  across 
Member States and regions), and; 

• 

a dedicated Open Public Consultation (from 12 February to 7 May 2025). 

Stakeholder  consultations  struck  a  similar  note  to  the  conclusion  of  the  impact  assessment, 
highlighting  as  key  features  for  the  future  funding  framework  the  need  for  simplification, 
greater  flexibility  and  the  importance  of  ensuring  support  for  all  regions  based  on  their 
specific  needs  rather  than  uniform  allocations.  Addressing  structural  disparities,  including 
persisting social, economic, regional and territorial disparities, remains a top concern, as well 
as  the  need  to  enhance  administrative  capacity.  Enhancing  multilevel  governance  and 
stakeholder participation also emerged as a clear priority.  

The  concerns  raised  by  stakeholders  are  addressed  in  the  various  simplification  measures 
included  in  the  Fund’s  regulation  as  well  as  by  the  various  rules  governing  the  design  and 
implementation of the Plans. 

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Collection and use of expertise 

The  preparation  of  the  impact  assessment  and  the  draft  regulation  by  the  Commission  was 
based on a review of the available litterature as documented in the impact assessment report, 
e.g.  based  on  EU  budget  programmes  evaluations  (mid-term  and  ex  post),  the  spending 
review  exercise,  reports  and  documents  from  other  EU  institutions  such  as  the  European 
Parliament and the European Court of Auditors. 

In  particular,  the  analysis  drew  from  the  reflections  of  the  high-level  expert  group  on  the 
future of cohesion policy, which was convened in 2024 and found that cohesion policy should 
operate in concert with other EU and national policies, as these are mutually dependent and 

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must work together to  reach their  collective goals.  It also  collected  evidence from  the  2024 
report of the Strategic Dialogue on the Future of EU Agriculture, which  called for a CAP that 
(1) provides socio-economic support targeted to the farmers who need it most; (2) promotes 
positive  environmental,  social  and  animal  welfare  outcomes  for  society;  and  (3)  invigorates 
enabling conditions for rural areas. It also called for a more proactive role of cohesion policy 
to support the attractiveness of rural areas and the CAP. Additional inputs on the future of the 
CAP  were collected through dedicated meetings organised in  the framework of existing  EU 
stakeholders’  platforms  and  ad  hoc  technical  workshops  bringing  together  EU  stakeholders 
and Member States. 

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Impact assessment 

The proposal was supported by an impact assessment, which examined options for the design 
of  the  plan,  focusing  on  the  delivery  model  –  how  payments  are  made  –  and  on  the 
management mode – how EU spending is implemented and overseen. Design features have an 
impact on the scope of the plans, which was examined in a second stage.  

The  impact  assessment  concluded  that  the  preferred  option  for  the  design  of  the  plans  is  a 
delivery model against pre-agreed objectives (Option B), under shared management (Option 
D). On the one hand, delivery against pre-agreed objectives ensures better coherence, value 
for  money  and  accountability  compared  to  a  cost-based  delivery  model,  since  the  specific 
results to be achieved are set out in advance. Providing financial support upon the fulfilment 
of  milestones  and  targets  further  provides  incentives  to  deliver  on  the  implementation  of 
agreed  measures.  Such  a  delivery  model  also  provides  a  simpler  framework  for  having 
reforms  at  Member  States  level  and  enables  to  further  enhance  coherence  between  EU  and 
national/regional/local activities. On the other hand, shared management will cater best for the 
multi-level  governance  and  strong  regional  dimension  of  the  plans.  It  would  also  ensure 
simplicity for Member States and regions which could build on the structures already put in 
place for the management of EU funds with nationally pre-allocated envelopes and hence lead 
to  lower  adjustment  costs  for  Member  States’  authorities  compared  to  direct  management 
(except for the Social Climate Fund).  

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As for the scope of the plans, the impact assessment showed that having a plan per Member 
State  would  ensure  more  coherent,  coordinated  programming  of  pre-allocated  envelopes, 
reflecting  the  different  needs  at  national  and  regional  level  while  ensuring  support  for  EU 
priorities identified in the steering mechanism. The impact assessment concluded that a bigger 
scope  of  the  plans  as  foreseen  in  Option  3b  would  bring  the  most  policy  coherence  to  the 
plans,  allowing  to  capitalise  on  the  synergies  that  exist  between  policies  and  removing 
existing overlaps. 

All options are expected to reduce the administrative costs for Member States and regions  – 
albeit to different extents.  Option 1 would reduce the number of programmes from more than 
400 to a plan for each Member State, while moving away from the two-step programming in 
cohesion  policy  to  single  programming  based  on  a  single  set  of  rules,  is  also  expected  to 
reduce  implementation  delays  –  without  prejudice  to  a  strong  multi-level  governance  and 
regional dimension. Option 2a would partially help better exploit the synergies with other EU 
policies such as cohesion but would reverse the strategic planning approach to the whole CAP 
that  was  introduced  with  the  CAP  Strategic  Plans  2023-2027.  It  is  expected  to  bring  some 
further  simplification  given  the  similarities  between  the  CAP  and  the  Common  Provisions 
Regulation, but with some adjustment costs for Member States’ authorities which would need 
to work under two different systems for the two CAP funds. The full integration of the CAP 
(Option 2b) would remedy this but the introduction of specific rules for the integration of area 
and  animal-based  interventions  on  which  farmers  directly  rely  for  their  livelihood  would 
nevertheless  remain  necessary  to  preserve  the  integrity  of  the  single  market  and  fair 
competition  between  farmers.  Overall,  Options  2b  and  3  were  found  to  bring  higher 
simplification gains and better policy synergies than Options 1 and 2a. 

Having  one  single  envelope  per  Member  State  would  ensure  the  efficient  and  flexible 
allocation  of  funding  across  policy  areas,  allowing  Member  States  to  address  new  priorities 
such  as  defence  capabilities  or  preparedness.  It  would  also  make  it  easier  to  reallocate 
resources to respond to unforeseen challenges or shifting policy needs without needing to re-
open the legislative framework. The impact assessment concluded that a bigger scope of the 
plans  as  foreseen  in  Option  3b  would  bring  the  most  flexibility  compared  to  the  other  two 
options.  

• 

Regulatory fitness and simplification 

While the proposed regulation does not correspond to a revision of existing legislation linked 
to  the  REFIT,  the  proposed  initiative  is  fully  in  line  with  the  REFIT  objectives  of 
simplification and reduction  of red tape.  Compared to  the status  quo (where  EU funds with 
nationally  pre-allocated  envelopes  are  governed  by  separate  fund-specific  regulations  and 
implemented through different programmes), this initiative would create one single rulebook 
through  one  single 
for 
programming document per Member State – the National and Regional Partnership Plans.  

implementation  of  nationally  pre-allocated  envelopes, 

the 

The  initiative  is  expected  to  result  in  a  significant  reduction  of  administrative  burden  and 
improved efficiency. Having one common set of rules is expect  – over the short to medium 
term  –  to  reduce  costs  for  national/regional/local  administrations  as  well  as  stakeholders.  
Bringing together different EU funds also provides the opportunity to increase synergies and 
flexibility in the use of EU resources, which is conducive to a better allocation of resources 
and a more efficient EU budget,  with  macroeconomic and society-wide benefits  in  the long 
term.  The  focus  on  EU  priorities,  while  taking  into  account  national  and  regional  needs,  is 
also expected to contribute to a more efficient use of EU resources.  

While  one-off  adjustment  costs  are  expected  for  national  and  regional  authorities  and 
beneficiaries  (including  businesses)  to  adjust  to  the  new  set-up,  recurrent  compliance  and 

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administrative  costs  are  expected  to  be  reduced  compared  to  the  status  quo  thanks  to  the 
simplification efforts. 

• 

Fundamental rights 

Alongside the Conditionality Regulation which will continue to apply to the whole of the EU 
budget, this Regulation includes strong safeguards to ensure that the funds are implemented in 
compliance with the Charter of Fundamental Rights of the European Union and the principles 
of  the  rule  of  law,  as  set  out  in  Article  2(a)  of  Regulation  (EU,  Euratom)  2020/2092.  The 
inclusion in the future Plans of reforms linked, inter alia, to recommendations from the Rule 
of Law Report is also expected to enhance the protection of fundamental rights and strengthen 
compliance with the Charter. 

4. 

BUDGETARY IMPLICATIONS 

The  Commission’s  proposal  for  a  multi-annual  financial  framework  sets  out  an  amount  of 
EUR 865 076 000 000 for the Fund for the period 2028-2034. 

The Fund also makes available to Member States for the implementation of their Plans a total 
amount of loan support of EUR 150 000 000 000. The Commission should be able to contract 
borrowings on the financial markets in accordance with the diversified funding strategy. 

Details  on  financial  and  staffing  needs  can  be  found  in  the  Legislative  Financial  Digital 
Statement (LFDS). 

5. 

• 

OTHER ELEMENTS 

Implementation plans and monitoring, evaluation and reporting arrangements 

This initiative will be monitored through the performance framework applicable for the 2028-
2034 multiannual  financial framework,  which is  set  out  in  the proposal  for a Regulation  xx 
[performance regulation]. The performance framework provides for an implementation report 
during the implementation phase of the programme, as well as a retrospective evaluation to be 
carried  out  in  accordance  with  Article  34(3)  of  Regulation  (EU,  Euratom)  2024/2509.  The 
evaluation  shall  be  conducted  in  accordance  with  the  Commission's  Better  Regulation 
Guidelines and will be based on indicators relevant to the objectives of the Fund. 

• 

Detailed explanation of the specific provisions of the proposal 

Title I – General provisions [Article 1 to 9] 

The Fund brings together the European Funds with nationally pre-allocated envelopes and is 
established for the period 2028 to 2034. Article 2 defines general objectives which should be 
pursued through specific objectives grouped around five pillars (Article 3). 

The  Commission  and  the  Member  States  should  implement  the  National  and  Regional 
Partnership Plans and the Interreg Plan under shared management while the Commission may 
resort to direct, shared or indirect management when implementing the EU Facility (Article 5) 
and  contributions  from  the  Global  Europe  Instrument  included  in  chapters  supporting 
outermost regions’ cooperation may be implemented in shared or in indirect management.  

Each  Member  State  should  organize  and  implement  a  comprehensive  partnership  for  the 
National and Regional Partnership Plan and each chapter, in line with the principle of multi-
level  governance  and  bottom-up  approach,  to  ensure  a  balanced  representation  of  various 
partners (Article 6).  

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Article  7  defines  the  horizontal  principles  applicable  to  the  Regulation,  including  the 
obligation  for  Member  States  to  comply,  in  the  implementation  of  the  Fund,  with  the 
principles of the rule of law and the Charter of Fundamental rights of the European Union as 
well as the principle of non-discrimination and gender equality in line with Regulation (EU) 
202X/XXXX  [Performance  Regulation].  They  should  also  foster  synergies  and  ensure 
effective coordination between the Fund and other Union programmes and instruments.   

This  Title  establishes  horizontal  conditions  regarding  compliance  with  the  rule  of  law  and 
Charter  of  Fundamental  Rights  of  the  European  Union  and  sets  out  the  terms  of  their 
application (Articles 8 and 9). 

Title II - Financial framework [Article 10 to 20] 

The  financial  envelope  of  the  Fund  is  EUR  [xx]  for  the  period  2028  to  2034,  out  of  which 
EUR [xx] should be allocated to the Plans, EUR [xx] to the EU Facility and EUR [xx] to the 
Interreg Plan (Article 10).  

The rules linked to the additional resources and the use of such to be made by a Member State 
to the provisioning of the budgetary guarantee, to the financing of the financial instrument or 
to any amounts of non-repayable support when combined with the budgetary guarantee or the 
financial instrument in a blending operation as are laid down in Article 11. 

The  Fund  may  support  technical  and  administrative  assistance  at  the  initiative  of  the 
Commission  for  the  implementation  of  the  Plan  and  the  Interreg  Plan  (Article  12).  At  the 
initiative  of  a  Member  State,  the  Fund  may  support  actions  necessary  for  the  effective 
implementation of the Fund (Article 13).  

The  distribution  of  the  funds  across  the  Member  States  within  the  Fund  will  be  made  in 
accordance  with  Annex  I.  Member  States  will  have  flexibility  through  the  implementation 
phase to be able to respond to crises and unforeseen circumstances (Article 14).  

Article 14 defines the rules on budgetary commitments. Articles 15 and 16 describe the cases 
where the Commission should decommit any amount in a Plan and the Interreg Plan and the 
procedural  steps  in  case  of  a  decommitment.  Member  States  should  be  able  to  receive  pre-
financing  subject  to  the  adoption  of  a  Council  implementing  decision  approving  a  Plan 
(Article 17).  

Upon  a  request  from  a  Member  State,  the  Commission  may  grant  the  Member  State 
concerned a loan for the implementation of its Plan (Article 18). Article 19 sets out the details 
of  the  loan  agreement  and  the  rules  for  the  Commission’s  empowerment  to  borrow  the 
necessary funds on the financial markets or from financial institutions.  

The  minimum  national  contribution  rate  to  the  estimated  costs  of  the  measures  of  the  Plan 
should be calculated based on Article 20.  

Title III – National and Regional Partnership Plans [Article 21 to 25] 

Each  Member  State  should  submit  to  the  Commission  a  National  and  Regional  Partnership 
Plan which should be prepared and implemented in cooperation with the partners (Article 21). 
The  Plan  should  include  the  elements  set  out  in  Article  22  and  Annex  V.  Upon  positive 
assessment,  the  Commission  should  make  a  proposal  for  a  Council  implementing  decision 
(Article 23). 

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During the implementation phase, the Member States may request a reasoned amendment of 
their  National  and  Regional  Partnership  Plan,  setting  out  the  expected  impact  on  the 
achievement of objectives (Article 24). The Member States should also submit amended plans 
as part of the mid-term review by 31 March 2031 (Article 25). 

Title IV - EU Facility [Article 26 to 34] 

The  Regulation  establishes  the  EU  Facility  to  increase  flexibility  and  cater  for  unforeseen 
crises. The Facility will cover Union actions and emerging challenges and priorities cushion 
(the  ‘budget  cushion’)  (Article  26).  The  EU  Facility  may  be  implemented  in  the  form  of 
budgetary  guarantees,  financial  instruments  and  blending  operations  (Article  27),  or  with 
participation of third countries (Article 28) or Support for activities in  or in relation to third 
countries  (Article  29)  and  other  entities  under  direct  and  indirect  management  (Article  30). 
Article 31 lays down the objectives and actions to be supported and the respective procedural 
steps for Union actions. Article 32 sets out rules on expenditure related to public intervention 
measure under the Unity Safety Net and Article 33 specifies cases where the amount allocated 
to the budget cushion should be used. The Member States may request to amend their Plans in 
case of crisis situations (Article 34).  

Title V – Common Agricultural Policy [Article 35 to 45]  

Article  35  lists  the  types  of  interventions  for  which  Union  support  is  granted  to  pursue  the 
objectives of the Common Agricultural  Policy. Specific requirements  for CAP  interventions 
are specified in Article 36 and the rules on monitoring of agricultural resources in Article 37. 
Article  38  sets  out  rules  on  crisis  payments  to  farmers  following  natural  disasters,  adverse 
climatic events and catastrophic events. Crop-specific payments for cotton are established in 
Article 39.  

Member  States  should  design  the  CAP  interventions  set  out  in  this  Regulation,  Regulation 
(EU) 202X/XXXX [CAP Regulation] and Regulation (EU) No 1308/2013 in accordance with 
Article 40 [WTO] and Annex XVII [WTO Annex] (Article 40). Article 41 outlines the rules 
on  the  implementation  of  the  Memorandum  of  Understanding  on  oilseeds  between  the 
European Economic Community and the United States of America.  

Articles 42-45 set out rules on support for the smaller Aegean islands, including the scope and 
common  requirements,  specific  supply  arrangements,  support  for  local  agricultural  products 
and related control and penalties.  

Title VI Outermost regions [Article 46 to 48] 

The Regulation provides that Member States concerned shall implement measures to address 
challenges  that  each  of  their  outermost  regions  is  facing,  fulfilling  the  objectives  set  out  in 
Article 46. The Regulation lays down rules regarding the specific supply arrangements for the 
agricultural  products  listed  in  Annex  I  TFEU  (Article  47)  and  support  for  local  agricultural 
products (Article 48). 

Title VII – Governance of the plan [Article 49 to 57] 

Member  States  should  identify  for  the  Plan  one  or  more  managing  authorities,  one  or  more 
paying  agencies  and  one  or  more  audit  authorities  (Article  49)  which  should  fulfil  key 
requirements  set  in  Annex  IV.  If  the  Member  State  identifies  more  than  one  managing 
authority it should set up a coordinating authority. The Regulation defines the functions of the 

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coordinating  authority  (Article  50),  of  the  managing  authority  (Article  51),  of  the  paying 
agency (Article 52), of the audit authority (Article 53). 

Member States should set up one or more monitoring committees for one or more chapters of 
the  Plan.  If  more  than  one  monitoring  committee  is  set  up,  the  Member  State  should  also 
establish  a  coordinating  committee  to  ensure  the  overview  and  monitoring  of  the 
implementation (Article 54). Article 55 defines the composition and Article 56 the functions 
of the monitoring committee.  Article 57 defines  the objectives  of the EU  and national  CAP 
Network. 

Title VIII - Management and financial rules [Article 58 to 70] 

The  Regulation  specifies  the  appropriate  measures  to  protect  the  financial  interest  of  the 
Union and compliance with the applicable law (Article 58). The Member States should submit 
to  the  Commission  by  15  February  of  each  year  following  2028  the  assurance  package 
(Article 59). The Regulation also outlines the responsibilities of the Commission (Article 60), 
defines the single audit approach (Article 61). Article 62 sets up the control system for farm 
stewardship and common fisheries policy. The Regulation sets out the responsibilities of the 
Commission and the Member States regarding the data collection and recording (Article  63) 
and transparency (Article 64).  

The  Regulation  lays  down  rules  on  payments,  including  submission  and  assessment  of 
payment  applications  (Article  65),  time  limits  and  interruption  of  the  payments’  deadline 
(Article  66),  suspension  of  payments  (Article  67),  financial  corrections  by  the  Commission 
(Article  68)  and  durability  and  reversal  (Article  69)  and  Integrated  Administration  and 
Control System (IACS) (Article 70).  

Title IX - Specific type of support [Article 71 to 79] 

The Regulation stipulates the rules for when the Member States wish to include in their Plans 
existing  or  newly  created  financial  instruments  implemented  directly  by,  or  under  the 
responsibility  of,  the  managing  authority  (Article  71).  It  also  stipulates  the  tasks  linked  to 
management verifications and audits of financial instruments (Article 72). Article 73 sets out 
the rules on management verifications and audits for ex-ante assessed entities as beneficiaries.  

Member States should support local cooperation initiatives (Article 74), including integrated 
territorial  and  urban  development  in  their  Plans  (Article  75),  community-led  local 
development (Article 76), support under LEADER (Article 77).  

Article 78 sets out rules on the use of simplified form of support towards the beneficiaries. 

Member  States  may  support  measures  where  the  underlying  operation(s)  consist(s)  of  the 
second  phase  of  an  operation  already  selected  and  started  under  Regulation  (EU)  No 
2021/1060 if the relevant conditions are met (Article 79).  

Title XII – Social Climate Fund and Modernisation Fund [Article 80 to 83] 

Given  the  significant  overlaps  in  terms  of  e.g.,  policy  objectives,  and  the  implementation 
timeline, the Social Climate Plans should be integrated as separate chapters of the Plans from 
2028  onwards.  Articles  80  and  81  set  out  the  procedural  rules,  accompanied  by  the 
amendments  of  Regulation  (EU)  2023/955.  To  enhance  synergies  and  consistency,  Member 
States benefitting from support under the Modernisation Fund will aim to ensure consistency 

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between  the  investments  financed  within  their  NRP  Plans  and  those  presented  to  the 
Investment  Committee  of  the  Modernisation  Fund  (Article  82).  Article  83  sets  out 
amendments to Regulation (EU) 2023/955. 

Title XIII – Institutional and final provisions [Article 84 to 90]. 

The  Regulation  contains  provisions  related  to  the  rules  applying  to  undertakings,  state  aid 
rules and potential derogation from these rules (Articles 84-85).  

The  Regulation  confers  the  power  on  the  Commission  to  adopt  delegated  acts  for  an 
indeterminate period from the entry into force of this Regulation (Articles 86 and 87).  

The rules on the committee procedure are established in Article 88. 

The provisions on shared management under the Financial Regulation are amended to adapt 
them to the delivery model of this Regulation (Article 89). 

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2025/0240 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

establishing the European Fund for economic, social and territorial cohesion, 
agriculture and rural, fisheries and maritime, prosperity and security for the period 
2028-2034 and amending Regulation (EU) 2023/955 and Regulation (EU, Euratom) 
2024/2509 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article  42,  Article  43(3),  Article  46,  point  (d),  Article  91(1),  point  (d),  Article  149,  Article 
153 (2), point (a), and Articles 164, 175, 177 and 178, Article 192(1), Article 194(2), Article 
209(1), Article 212(2), Article 322(1), point (a), and Article 349, thereof, 

Having regard to the 1979 Act of Accession, and in particular paragraph 6 of Protocol No 4 
on cotton attached thereto, 

Having regard to the proposal from the European Commission, 

Having regard to the opinion of the Court of Auditors, 

After transmission of the draft legislative act to the national parliaments, 

Having regard to the opinion of the European Economic and Social Committee, 

Having regard to the opinion of the Committee of the Regions, 

Acting in accordance with the ordinary legislative procedure, 

Whereas: 

(1) 

(2) 

Article 174 of the Treaty on the Functioning of the European Union (TFEU) provides 
that, in order to promote its overall harmonious development, the Union is to develop 
and pursue actions that lead to the strengthening of its economic, social and territorial 
cohesion.  It  further  lays  down  that  the  Union  shall,  in  particular,  aim  at  reducing 
disparities  between  the  levels  of  development  of  the  various  regions  and  the 
backwardness of the least favoured regions.   

Article 175 TFEU requires that Member States coordinate their economic policies in 
such  a  way  as  to  attain  the  objectives  set  out  in Article  174  TFEU.   The  Union  also 
supports  the  achievement  of  those  objectives  by  the  action  it  takes  through  the 
Structural Funds, including the European Agricultural Guidance and Guarantee Fund, 
Guidance Section; the European Social Fund and the European Regional Development 
Fund. The Commission’s Communication on the road to the next multiannual financial 
framework1  emphasises  that  the  effectiveness  of  Union  funding  is  hampered  by 
fragmentation of the financial architecture coupled with complexity and rigidities that 
increases  risk  of  overlaps.  Financing  of  the  Union’s  policy  objectives  is  scattered 
across  overlapping  programmes,  each  with  its  own  set  of  rules.  These  elements 
generate  administrative  burden  for  recipients  and  Member  States  and  limit  the 
flexibility of the Union budget.    

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(3) 

(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

Article  38  and  43(2)  TFEU  provides  that  the  Union  shall  define  and  implement  a 
common agricultural policy (CAP) and  a  common fisheries policy  (CFP). Article 39 
TFEU  provides  for  the  objectives  of  the  Common  Agriculture  Policy  (CAP),  which 
include  the  increase  of  agricultural  productivity,  a  fair  standard  of  living  for  the 
agricultural community, to stabilise markets and assure the availability of supplies and 
that these supplies reach consumers at reasonable prices. Article 42 TFEU enables the 
Union to determine the extent to which Union competition and State aid rules should 
apply to production and trade in agricultural products listed in Annex I to the TFEU.  

Article  162  TFEU  highlights  the  objectives  to  be  pursued  to  improve  employment 
opportunities  for  workers  in  the  internal  market  and  to  contribute  to  raising  the 
standard of living.  

Article  152  TFEU  recognises  social  dialogue  as  a  key  component  of  the  European 
social model and a common objective of the Union and its Member States.   

Articles  9,  19  and  153  TFEU  provide  for  a  comprehensive  framework  on  social 
inclusion,  including  combatting  poverty  and  discrimination,  as  core  objective  of  the 
Union. This aims at ensuring that all citizens have the opportunities and resources to 
fully  participate  in  economic,  social,  and  cultural  life. This  includes  access  to  the 
labour market,  equal access to facilities, services, and benefits, promoting a standard 
of living and well-being in line with the EU values.  

The Union needs to achieve its objectives within a challenging economic,  social and 
demographic  context  including  persisting  regional  and  territorial  disparities,  the 
impacts  of  climate  change  and  challenges  related  to  food  security  and  nature 
protection,  insufficient  and  uneven  progress  on  the  Union’s  digital  transformation, 
undermining efforts to strengthen the Union’s digital sovereignty as well as significant 
economic  and  social  consequences.  That  is  coupled  with  a  challenging  geopolitical 
and  geoeconomic  context  that  has  an  impact  on  the  Union’s  defence,  security 
(including  economic  security)  and  migration  policies.  Effectively  addressing  these 
challenges requires a more focused, simple and impactful Union budget, to ensure the 
Union  added  value  and  clear  alignment  between  Union  financial  support  and  Union 
policy  priorities  across  all  policy  areas  and  management  modes  and  to  [continue 
efforts to] simplify rules on Union financial support. 

This Regulation should set out rules on the tasks, priority objectives, and organisation 
of the Fund. In order to further develop a coordinated and harmonised implementation 
of  Union  support  implemented  under  shared  management,  namely  the  European 
Regional  Development  Fund  (ERDF),  of  the  European  Social  Fund  (ESF),  and  the 
Cohesion  Fund,  measures  financed  under  shared  management  in  the  common 
agriculture and fisheries policies, and support under Title V of Part III of the TFEU, 
horizontal rules based on Article 322 TFEU should also be established. Sector specific 
regulations  may  set  out  specific  conditions  to  complement  this  Regulation.  Those 
conditions  should not  be in  contradiction  with  this  Regulation. In case of doubt,  this 
Regulation shall prevail. 

The  Union  budget,  implemented  together  with  the  Member  States,  should,  in 
particular,  provide  for  a  strengthened,  modernised  cohesion  and  inclusive  growth 
policy  contributing  to  reduce  regional  disparities  across  the  Union,  promoting  the 
sustainable  development  and  competitiveness  of  the  Union,  its  technological 
sovereignty,  its  digital  transformation,  and  its  security.  This  policy  should  be 
elaborated in partnership with national, regional and local authorities; and should step 
up on climate and water resilience and preparedness with an overarching objective for 

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(10) 

(11) 

Union action to prepare for growing climate risks. The Union budget should continue 
to  support  a  CAP  that  is  simpler  and  targeted  that  has  the  right  balance  between 
incentives,  investment  and  regulation  and  ensures  that  farmers  have  a  fair  and 
sufficient  income,  attractive  for  young  farmers.  The  Union  budget  should  ensure  the 
predictability necessary for a common policy that provides income support. 

It  is  in  this  context  key  to  continue  efforts  to  simplify  rules  and  improve  current 
delivery models to maximise the effectiveness and responsiveness of Union spending 
and  bring  about  simplification  to  Member  States,  regional  and  local  authorities  and 
beneficiaries.  The  funds  allocated  to  Member  States  should  therefore  incorporate  a 
stronger focus on results, simplification and maximising public investment with high 
Union  added  value,  including  using  public  procurement  strategically  to  promote  key 
policy  objectives,  and  leveraging  private  capital. Accordingly,  the  Union  should  set 
the  objectives  and 
interventions  while  greater  responsibility  and 
accountability for meeting those objectives should be borne by the Member States. As 
a consequence, there is a need to ensure greater subsidiarity and flexibility in order to 
take better account of the local and regional conditions and needs.  

types  of 

In accordance with Article 177 TFEU, the European Parliament and the Council are to 
by means of regulations, define tasks, priority, objectives and the organisation of the 
Structural  Funds,  which  may  involve  grouping  the  Funds.  To  develop  a  more 
coordinated,  harmonised  and  effective 
this 
Regulation should provide for the grouping of nationally pre-allocated funds under the 
European  Fund  for  Economic,  Territorial,  Social,  Rural  and  Maritime  Sustainable 
Prosperity  and  Security  (‘the  Fund’). The  Fund  should  be  implemented  through 
National  and  Regional  Partnership  Plans  (the  ‘NRP  Plans’)  and  the  Union  Facility 
(‘the Facility’), which aims at increasing flexibility and catering for unforeseen crises 
and  to  finance  interventions  complementing  and  reinforcing  the  Plans  that  require 
Union-level  steer  or  coordination,  as  well  as  evidence-based  policy  support  and 
additionality to mobilisation of private investment. 

implementation  of  Union  Funds, 

(12)  The  Eastern  border  regions  of  the  EU  face  the  dual  challenge  of  enhancing  security 
while  supporting  their  economies,  businesses  and  people  that  have  been  negatively 
impacted  as  a  direct  or  indirect  consequence  of  Russia’s  war  of  aggression  against 
Ukraine.  The  National  and  Regional  Partnership  Plans  will  provide  comprehensive 
and coherent support to the Member States and regions facing those challenges.  

(13)  With  the  aim  of  ensuring  a  more  efficient  use  of  Union  funding,  the  Fund  should 
address  the  outlined  challenges  in  a  holistic,  coordinated  and  consistent  manner, 
reflecting  the  different  national  and  regional  needs  of  each  Member  State  while 
ensuring  support  for  all relevant  Union  priorities  and  value  for  money.  Furthermore, 
the  Fund  should  contribute  to  a  streamlined  and  well-coordinated  framework  while 
relying on a strong multi-level governance and partnership. It should provide a basis to 
ensure a more efficient and flexible allocation of funding across different policy areas 
while  allowing  Member  States  to  address  new  policy  priorities  and  reallocate 
resources to respond to unforeseen challenges and crises.  

(14)  The support to Member States, regions and local communities in delivering on Union 
policy priorities and maximising efficiency maximisation of Union funding should be 
achieved, through the support for measures of high Union relevance linked to the most 
pressing  challenges  affecting  Europe.   Those  challenges  should  be  addressed  by 
pursuing five high level objectives: Europe’s sustainable prosperity across all regions; 
Europe’s defence capabilities and security; supporting people, strengthening Europe’s 

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societies and Europe’s social model; sustaining Europe’s quality of life; protecting and 
strengthening democracy, rule of law and upholding Union values. 

(15)  The Union’s sustainable prosperity should be supported by strengthening its industrial 
base and fostering the attractiveness of territories to support the right to stay, including 
via  strategies  for  the  integrated  development  of  urban,  rural  and  coastal  areas  and 
fostering  European  territorial  cooperation.  The  measures  should  focus  on  the 
completion of the trans-European transport and energy networks, which are key for a 
genuine Energy  Union,  and decarbonisation projects,  including  promoting renewable 
energy  generation,    energy  efficiency,  storage  and  developing  smart  energy  systems, 
domestic  transmission  and  distribution  grids,  while  enabling  regions,  sectors  and 
people to address the impacts of the transition towards the Union’s climate target. The 
trans-European transport networks have to be completed by 2030 for the core network 
and by 2040 for the extended core network to support the green and digital transition 
of  transport  and  mobility.  They  should  also  aim  to  promote  innovative  economic 
transformation, help achieve the 3% of GDP Research and Development target and the 
development  and  use  of  advanced  technologies  ,  the  uptake  of  advanced  digital 
solutions,  including  AI,  secure  and  trusted  ICT  connectivity,  while  bridging  the 
innovation  and  digital  divides.   The  measures  should  help 
the 
recommendations  issues  under  Article  6  of  the  Digital  Decade  Policy  Programme 
2030 and support digital transformation. They should also contribute to strengthening 
the resilience of the healthcare systems and long-term care services, support affordable 
housing. Measures should also support a competitive and sustainable tourism sector in 
the EU,  aiming  at  balanced tourism, managing  tourist  flows  and fostering Europe as 
the first tourist destination in the world. 

implement 

(16) 

In the area of the Union’s defence capabilities and security, measures should reinforce 
the Union’s defence industrial base and military mobility and strengthen the Unions’ 
preparedness,  threat  detection,  critical  energy  and  transport  infrastructure  protection 
and  resilience  and  crisis  response,  including  by  strengthening  cybersecurity.  This 
should  include  measures  to  develop  the  dual  use  TEN-T  infrastructure  in  order  to 
allow for largescale movements of troops and heavy equipment and material at short 
notice.  Measures  should  also  aim  to  ensure  high  level  of    security  in  the  Union, 
including  integration  measures  that  are  consistent  with  the  objectives  set  out  in 
Regulation  (EU)  [...]  concerning  Union  support  for  asylum  including  subsidiary 
protection,  temporary  protection,  migration  and  integration,  Regulation  (EU)  […] 
concerning  Union  support  for  European  [integrated]  border  management,  including 
functioning of the Schengen area and for European visa policy, and Regulation (EU) 
[…] Union support for internal security.     

(17)  Measures  supporting  people  and  strengthening  Union’s  societies  and  the  Union’s 
social model should contribute to the implementation of the European Pillar of Social 
Rights  and  achieving  its  headline  targets,  in  accordance  with  the  guidelines  for 
employment referred to in Article 148(4) TFEU,  by supporting projects in the policy 
areas  of  employment  and  labour  mobility,  skills  development,  education,  social 
inclusion  and  poverty  reduction,  and  therefore  strengthening  the  Union’s  resilience 
and  competitiveness.  They  should  aim  to  ensure  equal  opportunities,  equal  access  to 
the labour market, fair and quality working condition, social protection and inclusion, 
in  particular  focusing  on  enhancing  labour  supply,  ensuring  quality  and  inclusive 
education  and  training,  lifelong  learning  and  material  support  for  the  most  deprived, 
closing  existing  gaps,  including  gender  gaps.  The  measures  should  support 
in  children  and  young  people,  marginalised  and  disadvantaged 
investments 

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communities, third country nationals and should ensure equal access to services. They 
should  also  contribute  to  strengthening  the  resilience  of  the  healthcare  systems  and 
long-term care services, support social and affordable housing and focus on achieving 
a  socially  fair  transition  towards  climate  neutrality,  addressing  the  social  impacts  of 
the inclusion of greenhouse gas emissions from buildings and road transport within the 
scope of Directive 2003/87/EC of the European Parliament and of the Council. 

(18)  Sustainable  Union’s  quality  of  life  should  be  supported  by  ensuring  fairer  and 
sufficient income for farmers and their long-term competitiveness and contributing to 
long-term food security.   The general objectives  of the Fund should in respect to the 
CAP  be  defined  at  the  Union  level  and  implemented  by  the  Member  States  through 
their plans. The measures should also improve the attractiveness and living standards 
in  rural  areas  and  fair  working  conditions  and  foster  generational  renewal;  improve 
farmers’ preparedness and ability to cope with crises and risks, enhance the access to 
knowledge and innovation and accelerate the green and digital transition for a thriving 
agri-food  sector.  The  measures  should  support  sustainability,  competitiveness  and 
resilience  of  the  Union  fisheries  and  of  the  Union  aquaculture  sector,  boosting  the 
sustainable  and  competitive  blue  economy  in  coastal,  island  and  inland  areas, 
enhancing 
local 
communities  and  ensuring  strong  ocean  governance  in  all  dimensions,  with  safe, 
secure,  clean  and  sustainably  managed  ocean.  They  should  actively  enhance  climate 
action  by  promoting  greenhouse  gas  emissions  reduction,  supporting  mitigation 
efforts,  and  facilitating  adaptation  to  climate  change  impacts.  They  should  enhance 
climate  action,  ecosystem  services  provision,  supporting  efficient  water  management 
and  resilience,  strengthening  sustainable  development,  environmental  protection, 
enhancing  the  conservation  and  restauration  of  biodiversity  and  natural  resources, 
including  soil,  and  improving  animal  welfare.  To  recognise  the  positive  climate 
impacts of farmers and to facilitate their access to voluntary market-based incentives, 
the  Commission  and  the  Member  States  continue  to  work  on  developing  carbon 
removals methodology and estimating greenhouse gas emissions reductions achieved 
by the CAP. 

the  socio-economic  opportunities  and 

the  resilience  of 

the 

(19)  The  NRP  Plans  should  continue  to  support  the  development  of  innovative, 
stakeholder-driven  projects  that  contribute  to  the  EU’s  strategic  priorities,  thereby 
enhancing  the  EU’s  environmental  and  climate  resilience  and  leadership,  while 
preserving the Union’s natural resources and biodiversity that underpin our wellbeing 
and prosperity, building on the experience of the LIFE programme. 

(20) 

In  order  to  protect,  strengthen  democracy,  rule  of  law  and  uphold  Union  values, 
support  should  be  dedicated  to  sustaining  and  further  developing  open,  rights-based, 
democratic,  equal  and inclusive societies as  well as  to  strengthening justice systems, 
anti-corruption  frameworks,  media  pluralism  and  effective  checks  and  balances.  The 
measures  should  also  aim  to  contribute  to  better  governance  by  enhancing  the 
efficiency of public administration, including judicial authorities, and the institutional 
capacity  of  public  authorities  and  stakeholders  in  Member  States,  regions  and  local 
communities.  This  should  enhance  the  efficiency  and  effectiveness  of  supported 
measures.  To  ensure  that  the  social  dimension  of  Europe  as  set  out  in  the  European 
Pillar of Social Rights is duly put forward and that a sufficient amount of resources is 
targeting  those  most  in  need,  Member  States  should  allocate  resources  to  fostering 
social  inclusion.  Due  to  the  particular  need  to  support  children  in  poverty  Member 
States  should  also  programme  resources  to  address  the  measures  under   the  Child 
Guarantee. In light of persistently high levels of youth unemployment and inactivity in 

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a number of Member States and regions, in particular affecting young people who are 
neither in employment, nor in education or training, it is necessary that those Member 
States  continue  to  invest  sufficient  resources  towards  measures  to  promote  youth 
employment, including through the implementation of the Youth Guarantee. Member 
States should therefore allocate an appropriate amount of resources to this challenge. 
Member States seriously affected by youth unemployment should allocate resources of 
the ESF to support youth employability. 

(21)  The  further  development  of  market-based  funding  in  all  the  Member  States,  and  in 
particular  in  those  where  capital  markets  are  currently  less  developed,  will  make  an 
important  contribution  to the Union’s sustainable prosperity, and competitiveness.  In 
pursuing  these  goals,  the  Savings  and  Investments  Union  requires  a  bottom-up 
approach in a shared responsibility of Member States and EU institutions. While EU-
level measures are warranted  in  key  areas where  all  Member  States  should  move  in 
other measures will also 
lockstep 
require a coordinated approach 
States acting 
individually. 

rely more on Member 

shortcomings, 

but  will 

EU-wide 

address 

to 

(22)  Since the objectives of this Regulation cannot be sufficiently achieved by the Member 
States  but  can  rather  –  by  reason  of  the  extent  and  specificities  of  some  the 
aforementioned challenges – be better achieved at Union level, the Union may adopt 
measures in accordance with the principle of subsidiarity as set out in Article 5 of the 
Treaty on European Union (TEU). In accordance with the principle of proportionality 
as  set  out  in  that  Article,  this  Regulation  does  not  go  beyond  what  is  necessary  to 
achieve  those  objectives.   Regions  will  remain  at  the  centre  of  the  Fund  with  the 
partnership  principle  and  multi-level  governance  as  the  underlying  elements.  To 
ensure continuity, the Fund will build  as much as possible on existing pro structures 
with  regional  and  local  authorities,  social  partners,  and  other  relevant  stakeholders 
playing a key role in the design, management, implementation and monitoring of the 
supported measures under the Fund.  

(23)  As a complement to actions supported by Regulation (EU) […] [Global Europe], the 
Fund  may  support  actions  in  or  in  relation  to  third  countries.  Such  actions  should 
ensure  full  coherence  with  the  principles  and  general  objectives  of  Union  external 
policy,  with  the  Union’s  international  commitments,  and  the  rights  and  principles 
enshrined in the Union acquis. 

(24)  The principle of partnership is a key feature in the implementation of the NRP Plans, 
building  on  the  multi-level  governance  approach  and  ensuring  the  involvement  of 
regional,  local,  urban  and  other  public  authorities,  civil  society  organisations, 
economic  and  social  partners.  In  order  to  provide  continuity  in  the  organisation  of 
partnership, the European code of conduct on partnership for Partnership Agreements 
and  programmes  supported  by  the  European  Structural  and  Investment  Funds 
established  by  the  Commission  Delegated  Regulation  (EU)  No  240/20149    (the 
‘European code of conduct on partnership’) should continue to apply to the Plans. 

(25)  The  NRP  Plans  aim  to  ensure  high  value  for  money  by  making  payments  from  the 
Commission  to  Member  States  conditional  upon  the  achievement  of  outputs  and  the 
fulfilment  of  conditions  agreed,  irrespective  of  the  form  of  reimbursement  from 

9 

Commission  Delegated  Regulation  (EU)  No  240/2014  of  7  January  2014  on  the  European  code  of 
conduct on partnership in the framework of the European Structural and Investment Funds  (OJ L 74, 
14.3.2014, p. 1). 

EN 

20 

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Member  States  to  beneficiaries.  Linking  disbursements  with  agreed  and  pre-set 
milestones, targets and outputs covering the full lifespan of the supported measure will 
contribute to the regularity of payments to Member States. To facilitate this process, 
Member States should be able to submit payment applications up to six times a year. 
To  simplify  financing  and  reduce  administrative  burden  for  beneficiaries,  Member 
States  are  encouraged  to  use  the  same  form  of  reimbursement  applied  for  payments 
from the Commission to Member State or standard scales of unit costs, lump sums or 
flat rates.  

(26)  The  Fund  should  be  implemented  in  accordance  with  Regulation  (EU,  Euratom) 
202X/XXXX [Performance regulation] which establishes the rules for the expenditure 
tracking and the performance framework for the budget, including rules for ensuring a 
uniform application of the principles of ‘do no significant harm’ and gender equality 
referred to in Article 33(2), points (d) and (f) of Regulation (EU, Euratom) 2024/2509 
respectively,  rules  for  monitoring  and  reporting  on  the  performance  of  Union 
programmes and activities, rules for establishing a Union funding portal, rules for the 
evaluation of the programmes, as well as other horizontal provisions applicable to all 
Union programmes, such as  rules  on information, communication and visibility. The 
Fund  should  ensure  accessibility,  taking  into  account  the  Charter  of  Fundamental 
Rights of the European Union, including the United Nations Convention on the Rights 
of  Persons  with  Disabilities.  The  Fund  should  not  support  actions  that  contribute  to 
any  form  of  segregation,  discrimination  or  exclusion,  including  of  racialised 
communities  such  as  Roma,  and,  when  financing  infrastructure,  should  ensure  the 
accessibility for persons with disabilities. 

(27)  This  Regulation  should  include  strong  safeguards  to  ensure  that  the  Fund  is 
implemented in a way that ensures respect with the rights, freedoms and principles set 
out in the Charter of Fundamental Rights of the European Union and of the principles 
of the rule of law as set out in Article 2(a) of Regulation (EU, Euratom) 2020/2092 of 
the  European  Parliament  and  of  the  Council10.  Therefore,  as  part  of  the  validation 
process of their NRP Plans, Member States should provide assurance on the fulfilment 
of these two horizontal conditions, with an identification of potential deficiencies and 
remedial  actions  based,  in  particular,  on  the  country-specific  challenges  identified  in 
the context of the Rule of Law Report and European Semester, as well as infringement 
proceedings  and  judgments  of  the  Court  of  Justice  of  the  European  Union.  All 
Member  States  should  be  required  to  review  their  NRP  Plans  halfway  through 
implementation,  as  part  of  the  mid-term  review,  to  address  any  new  deficiencies 
identified, in particular, in the context of the latest Rule of Law Report. At any time 
during  the  implementation  and  following  exchanges  with  the  Member  State 
concerned, there should be a possibility to block part or all of the payments made to a 
Member State if one or more of the Rule of Law and Charter horizontal conditions is 
not fulfilled. With due regard to the principle of proportionality, the determination of 
the  non-fulfilment  and  identification  of  the  specific  measures  concerned  should  take 
into account the actual or potential impact of the non-fulfilment on the sound financial 
management of the Union budget or on the financial interests of the Unions as well as 
the nature, duration, gravity and scope of the breach.  

10 

Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 
2020  on  a  general  regime  of  conditionality  for  the  protection  of  the  Union  budget  (OJ  L  433I, 
22.12.2020, p. 1, ELI: http://data.europa.eu/eli/reg/2020/2092/oj) 

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(28)  The  global  amounts  to  be  allocated  per  Member  State  should  be  set  out  by  the 
Commission  in  accordance  with  the  allocation  methodology  laid  down  in  this 
Regulation  through  a  single  implementing  decision.  That  decision  should  as  a  rule 
cover the amounts under this Regulation and as set out in Article 4 of Regulation (EU) 
202X/XXXX  [asylum],  Article  4  of  Regulation  (EU)  202X/XXXX  [border 
management] and Article 4 of Regulation 202X/XXXX [internal security]. 

(29)  Each  Member  State  should  submit  to  the  Commission  a  NRP  Plan,  as  a  rule,  by  31 
January 2028 so that it can be given careful and timely consideration. To ensure fast 
implementation of the Fund, Member States should be able to submit a draft NRP Plan 
from  June  2027.  Member  States  should  design  and  implement  the  NRP  Plans  in 
partnership with local and regional authorities, economic, social and rural partners and 
civil  society  organisations  and  other  relevant  stakeholders  in  accordance  with  the 
national  legal  framework  and  the  rules  set  out  in  this  Regulation.  The  NRP  Plans 
should be designed in close cooperation with the Commission, prepared in accordance 
with  the  template  provided  and  made  publicly  available  following  their  adoption  by 
the Council on the basis of the Commission’s assessment and proposal for a Council 
implementing  decision.  In  line  with  current  arrangements,  Member  States  will  have 
the possibility to include regional and territorial chapters in their NRP Plan and should 
be  required  to  ensure  that  regional  managing  authorities  receive  regular  payments, 
based on the progress of their respective measures, and an amount at least equivalent 
to  their  Union  contribution  by  the  end  of  the  period,  subject  to  potential  corrections 
resulting  from  the  implementation  of  their  respective  chapter(s).  To  ensure  effective 
governance of the NRP Plan, Member States should set up monitoring committees for 
the chapters and a coordinating committee at the level of the NRP Plan.     

(30) 

In order to ensure the national ownership, Member States wishing to receive support 
should submit to the Commission NRP Plans that are duly reasoned and substantiated. 
The  NRP  Plans  should  detail  how  it  represents  a  comprehensive  contribution  to  all 
objectives  of  the  Fund,  taking  into  account  the  specific  national,  regional  and 
territorial  challenges  of  the  Member  State  concerned.  It  should  also  include  an 
explanation  of  how  it  contributes  to  effectively  addressing  the  relevant  country-
specific challenges identified, inter alia, in the context of the European Semester and 
other  relevant  documents  officially  adopted  by  the  Commission  related  to  the 
objectives  supported  by  the  Fund,  and  how  it  contributes  to  the  completion  of  the 
internal  market,  notably  by  including  reforms,  investments  and  other  interventions 
with  a  cross-border,  transnational  or  multi-country  dimension. To  strengthen  Union 
competitiveness in strategically important sectors while ensuring that the level playing 
field  is  not  compromised,  the  NRP  Plans  should  include  cross-border  and  multi-
country  projects,  in  particular  Important  Projects  of  Common  European  Interest 
(IPCEIs)  focusing  on  either  research,  development,  innovation  or  first  industrial 
deployment or on the construction of important infrastructure open for third party use, 
taking  into  account,  in  particular,  the  analyses  provided  in  the  latest  Annual  Single 
Market  and  Competitiveness  Report.  Member  States  should  concentrate  resources 
under their Plans on reducing economic social and territorial disparities, in particular 
in  less  developed  regions.  They  should  also  support  generational  renewal  and  social 
measures and thriving fisheries and aquaculture production.  

(31)  The  Plan  should  ensure  complementarity  and  synergies  between  different  measures 
supporting different policy areas and targeting different groups of beneficiaries. This is 
particularly  important  to  offer  a  comprehensive  policy  response  to  develop  thriving 
rural  and  coastal  areas  and  ensure  vibrant  agricultural  and  fisheries  sectors.  Member 

EN 

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States  are  in  particular  encouraged  to  promote  such  synergies  in  the  design  of  the 
measures  and  chapters  and  in  the  application  of  the  cofinancing  rates.  For  measures 
supporting basic services and infrastructure in rural and coastal areas as well as rural 
and  coastal  businesses,  Member  States  should  developed  an  integrated  planning  to 
ensure that rural and coastal communities have access to finance through appropriate 
mechanisms,  including  policy  actions  to  specific;  mechanisms  and  governance 
structures  to  coordinate  the  programming  and  implementation  of  EU,  national, 
regional  and  local  policies,  the  programming  of  locally  and  regionally  integrated 
funding  approaches,  taking  into  account  the  specific  context  and  capacities  of  the 
target beneficiaries, the creation of capacity building targeting both the administrations 
and  the  beneficiaries.  The  NRP  Plan  should  set  out  the  detailed  set  of  measures  and 
arrangements for its monitoring and implementation, including establishing NRP Plan 
authorities,  monitoring  and  coordinating  committee,  the  estimated  costs  of  those 
measures  and  the  national  contribution  and  measures  to  enhance  the  quality  of 
governance and reinforce the administrative capacity of public administrations. Close 
cooperation between the Commission, the Member States and their regions should be 
sought  and  achieved  throughout  the  process; policy  learning  and  experimentation 
should be encouraged. 

(32)  Financial support for a NRP Plan should be possible in the form of a loan, subject to 
the  conclusion  of  a  loan  agreement  with  the  Commission,  on  the  basis  of  a  duly 
substantiated  request  by  the  Member  State  concerned  presented  together  with  the 
submission  of  its  NRP  Plan.  The  request  for  loan  support  should  be  justified  by  the 
higher  financial  needs  linked  to  additional  reforms  and  investments  included  in  the 
NRP Plan and by a higher cost of the NRP Plan than the sum of the Union financial 
contribution and the national contribution.   

(33)  To  maximise  impact  and  national  ownership    of  Union  funding  while  upholding 
principles of equity and solidarity, the  national contribution to the estimated costs of 
the different measures of the NRP Plan should reflect the varying levels of economic 
development  of  regions  in  terms  of  per  capita  in  relation  to  the  EU-27  average. 
Compliance with this co-financing requirement should be assessed  ex ante as part of 
the  approval  procedure  of  the  Plan.  The  additionality  of  the  EU  contribution  will  be 
monitored by the Commission over the lifetime of the programme. 

(34)  This Regulation should lay down an indicative financial envelope for the Fund. For the 
purpose of this Regulation, current prices should be calculated by applying a fixed 2% 
deflator. 

(35) 

(36) 

In  order  to  foster  synergies  between  the  NRP  Plans  and  other  Union  instruments,  it 
should  be  possible  to  include  in  the  Plans  measures  implemented  through  financial 
contributions made by the Member State to the [ECF InvestEU Instrument] or to other 
Union  instruments  implementing  policies  aligned  to  the  objectives  of  the  NRP  Plan, 
including  contributions  necessary  to  support  the  implementation  through  those 
instruments, provided that such measures comply with this Regulation.  

In duly justified cases, such as crisis situations or other imperative grounds of public 
interest,  the  Commission  should  be  able  to  propose  to  the  Council  to  adopt  an 
implementing decision  approving  a NRP Plan  in time to  allow the necessary actions 
under this Regulation,  while identifying the deficiencies which need to  be addressed 
and the corresponding measures impacted by such deficiencies, for which no payments 
should be made until the situation has been remedied. 

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23 

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(37)  Member  States  should  have  the  possibility  to  make  a  reasoned  request  to  amend  the 
NRP Plan within the period of implementation of the Fund. The Commission should 
assess  the  compliance  of  the  amended  NRP  Plan  with  this  Regulation  in  a  manner 
proportionate  to  the  changes  proposed.  In  order  to  avoid  excessive  administrative 
burden,  it  should  be  possible  for  Member  States  to  make  minor  adjustments  to  or 
correct clerical errors in  the NRP Plans, by a simple notification of those changes to 
the Commission, provided that such amendments comply with the requirements of the 
NRP Plan.   

(38)  Each Member State should carry out a mid-term review of its NRP Plan. That review 
should  provide  a  fully-fledged  proposed  amendment  of  the  NRP  Plan  based  on  the 
progress  in  implementing  measures,  the  main  results  of  relevant  evaluations  and  a 
review  of  the  estimated  total  costs  of  the  measures  covered  by  the  NRP  Plan,  while 
also  providing  the  opportunity  to  take  into  account  new  challenges  as  well  as  the 
occurrence of any crisis. For the purposes of the mid-term review, the socioeconomic 
situation  of  the  Member  State  or  region  concerned,  including  any  major  negative 
financial,  economic  or  social  development  should  be  also  taken  into  account.  The 
amended  NRP  Plan  submitted  by  the  Member  State  following  the  mid-term  review 
should include a proposal for the programming of the flexibility amount with revised 
or new measures together with their estimated costs and corresponding milestones and 
targets.  

(39)  An  EU  Facility  should  be  set-up  to  complement  implementation  at  national  and 
regional level. The EU Facility should support projects of a transnational dimension, 
with a high Union added value, which require additional coordination efforts at Union 
level, as well as evidence-based policy support and which contribute to the objectives 
set  out  in  this  Regulation.  It  should  also  help  Member  States  in  swiftly  addressing 
urgent and specific needs as a response to a crisis situation, such as a major national or 
regional natural disaster, and foster repair and recovery in view of increasing resilience 
following  a  crisis.  It  should  also  cater  for  uncertainty  by  providing  the  Union  with 
additional room for manoeuvre to adjust to emerging priorities at Union level, which 
require a coordinated response. It should finally provide technical support to Member 
States to effectively implement the policies covered by this Regulation. In the context 
of  future  enlargements,  it  is  essential  to  ensure  that  the  Union’s  legislative  and 
budgetary  framework  can  also  effectively  accommodate  support  for  the  accession  of 
new Member States.  In doing  so, the Facility should  have the possibility to  resort to 
shared, direct or indirect management depending on the type of measure and the most 
effective course of action.   

(40) 

In case of crises as a result of natural disasters and to ensure availability of resources 
throughout the duration  of the Fund,  Union  support should be complementary to  the 
efforts of the Member States concerned and be used to cover a share of the measures 
implemented  to  deal  with  the  damage  caused  by  a  crisis.  To  finance  these 
interventions and simplify procedures, a part of the natural envelope of each Member 
State should constitute the flexibility amount (“crisis and mid-term review measures”). 
This will ensure sufficient financial resources for Member States to react to crises until 
the  end  of  the  implementation  of  the  NRP  Plans. The  estimation  of  the  type  and 
amount  of  support  to  be  provided  to  the  Member  State  concerned  should  follow  a 
multi-step  approach  whereby  the  Member  State  should  first  proceed  to  amending  its 
NRP Plan before requesting to programme a part of its unallocated flexibility amount 
and, where the flexibility amount requested and available is not sufficient to cover the 
needs, request additional support from the Union actions.  It should be possible for the 

EN 

24 

  EN 

 
Commission to use the budget cushion as a last resort option to provide support should 
other resources under the Facility prove insufficient to cover the needs. 

(41)  A Unity Safety Net should be established to stabilize agricultural markets in times of 
market  disturbances.  It  should  be  used  to  address  periods  and  threats  of  market 
imbalance,  including  those  caused  by  issues  related  to  animal  or  plant  health,  which 
impact the prices of agricultural products and the costs of inputs in the whole or part of 
the  internal  market.  In  order  to  safeguard  the  Union’s  strategic  autonomy  in  food 
supply and ensure food security, the funding allocated for market support through the 
Unity  Safety  Net  should  take  into  account  mounting  uncertainties  in  agricultural 
markets and increased indirect impact of animal health issues on market balance. The 
Union safety net does not aim to compensate for direct losses suffered by farmers due 
to natural disasters. In line with the goal of stabilising the Union agricultural markets, 
resources  dedicated  to  promotion  campaigns  about  Union  farm  products  should 
continue  in  order  to  open  up  new  market  opportunities  for  the  Union  agricultural 
sector  and  increase  the  visibility  and  market  share  of  its  products  both  within  the 
Union and internationally.   

(42)  With  a  view  to  ensuring  consistency,  the  budgetary  guarantee  and  financial 
instruments,  including  when  combined  with  non-repayable  support  in  blending 
operations under the EU Facility should be implemented in accordance with Title X of 
Regulation (EU, Euratom) 2024/2509 of the European Parliament and of the Council11 
and  the  [ECF  Regulation]  and  with  technical  arrangements,  terms  and  conditions 
established by the Commission for the purposes of its application. Support under the 
EU  Facility  in  the  form  of  a  budgetary  guarantee  or  financial  instruments,  including 
when  combined  with  non-repayable  support  in  a  blending  operation,  should  be 
provided  exclusively  through  the  [ECF  InvestEU  Instrument].  To  provide  broader 
access  to  implementing  partners  for  budgetary  guarantees  and  financial  instruments, 
the Commission should be able to conclude agreements in indirect management with 
all the categories of entities listed under Article 62(1), first subparagraph, point (c) of 
Regulation  (EU,  Euratom)  2024/2509.  To  ensure  sound  financial  management  and 
budgetary  discipline  and  to  limit  outstanding  payments,  the  provisioning  for  the 
budgetary guarantee implemented under the EU Facility should not be committed after 
the end of the last year of the multiannual financial framework (MFF) and should be 
constituted  by  the  end  of  the  third  year  after  the  end  of  the  MFF.  Budgetary 
commitments  for  that  provisioning  should  take  into  account  the  progress  in  granting 
the budgetary guarantee. The constitution of the provisioning should take into account 
the progress in the approval and signature of the financing and investment operations 
supporting the objectives of the EU Facility. 

(43)  For  a  more  impactful  and  efficient  policy,  the  new  CAP  is  simplified,  with  a 
streamlined  set  of  interventions,  and  builds  on  the  experience  of  the  previous 
programming period. It simplifies the tools, avoiding fragmentation and enhancing the 
strategic approach by Member States. By using the synergies with other policies in the 
NRP Plan, additional tools should be available for the CAP to effectively contribute to 
developing a resilient, innovative, and environmentally responsible agricultural sector 
across Europe.  

11 

Regulation (EU, Euratom) 2024/2509 of the European Parliament and of the Council of 23 September 
2024 on the financial rules applicable to the general budget of the Union (OJ L, 2024/2509, 26.9.2024, 
ELI: http://data.europa.eu/eli/reg/2024/2509/oj). 

EN 

25 

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(44) 

Income  support  for  farmers  should  continue  to  be  an  essential  policy  instrument  to 
guarantee a fair income to farmers. It  contributes to fostering a competitive, resilient 
and sustainable agricultural sector pursuing the benefits of high-quality production and 
resource-efficiency,  which  ensures  generational  renewal  and  thus  long-term  food 
security. CAP support should be focused on active farmers defined in compliance with 
WTO rules. With a view to further improve the performance of the CAP, area-based 
income  support  should  be  targeted  towards  farmers  who  exercise  agriculture  as  a 
principal activity. Income support should be targeted to farmers who need it most with 
a  particular  attention  to  the  farmers  in  areas  with  natural  constraints,  women,  young 
farmers  and  new  farmers.  At  the  same  time,  rural  economic  development,  ensuring 
infrastructure  improvements  and  digital  transformation  that  eliminate  regional 
disparities,  benefits  the  attractiveness  of  rural  areas,  social  inclusion  and  enhanced 
employment opportunities in rural areas. 

(45)  For  distinguishing  beneficiaries  in  the  context  of  the  CAP,  the  criteria  defining  the 
concept of principal activity should include the share of agricultural income within the 
total  income,  labour  inputs  on  the  farm,  company  object  and  inclusion  of  their 
agricultural  activities  in  national  or  regional  registers.  Member  States  should  be 
allowed  to  also  use  negative  lists  to  identify  those  applicants  who  do  not  meet  the 
definition of ‘farmer’. 

(46)  The  Common  Fisheries  Policy  and  the  Union’s maritime  policy  should contribute  to 
sustainable  fisheries  and  the  conservation  of  marine  biological  resources,  the 
generational  renewal  and  energy  transition  of  fisheries  sustainable  aquaculture 
activities,  and  processing  and  marketing  of  fishery  and  aquaculture  products, 
sustainable  blue  economy  in  coastal,  island  and  inland  areas,  marine  knowledge, 
skilling of blue economy related activities, the resilience of coastal communities and 
in  particular  of  small-scale  coastal  fishing,  the  strengthening  of  international  ocean 
governance and observation and enabling seas and ocean to be safe, secure, clean and 
sustainably managed 

(47)  The outermost regions face specific challenges linked to their remoteness, topography 
and  climate  as  referred  to  in  Article  349  TFEU  and  also  have  specific  assets,  in 
particular  to  develop  a  sustainable  blue  economy.  Therefore,  the  concerned  Member 
States should include measures to support each outermost region in their NRP plan to 
provide  for  their  specific  needs  and  challenges  such  as  food  security,  housing, 
transport,  water  and  waste  management,  energy,  education  and  skills,  migration, 
climate  change  resilience  and  adaptation,  environmental  protection,  access  to 
healthcare,  energy,  transport  and  digital  connectivity  and  economic  development, 
including a sustainable and diversified blue economy.  

(48)  The measures should include support for guaranteeing supply of products essential for 
human  consumption  or  for  processing  and  as  agricultural  inputs  by  mitigating  the 
additional  costs  incurred  due  to  their  extreme  remoteness  and/or  insularity,  without 
harming  local  production  and  the  growth  thereof.  The  measures  should  also  include 
support for securing the long-term future and development of agriculture, fisheries and 
aquaculture,  including  the  production,  processing,  marketing  and  sale  of  local  crops 
and  products,  and  the  diversification  of  food  production,  with  a  particular  focus  on 
food  security  and  self-sufficiency,  and  maintaining  and  strengthening 
their 
competitiveness.  In  addition,  the  measures  should  include  support,  including 
compensations,  for  specific  supply  arrangements  for  agriculture,  support  to  local 
agricultural  production  and  processing,  and  to  assist  local  fisheries  and  aquaculture 
production,  processing  and  marketing,  and  support  to  enhance  transport,  energy  and 

EN 

26 

  EN 

 
(49) 

digital  connectivity.  It  should  be  possible  for  Member  States  to  grant  additional 
financing for the implementation of that support. As State aid, such financing should 
be notified to the Commission, which may approve it under this Regulation as part of 
that support. 

In order to address the specific conditions of the Common Fisheries Policy referred to 
in Regulation (EU) No 1380/2013 and to contribute to compliance with the rules of the 
Common Fisheries Policy, specific provisions for the rules on interruption, suspension 
and  financial  corrections  should  be  laid  down.  Where  a  Member  State  has  failed  to 
comply  with  its  obligations  under  the  Common  Fisheries  Policy,  or  where  the 
Commission  has  evidence  that  suggests  such  lack  of  compliance,  the  Commission 
should,  as  a  precautionary  measure,  be  allowed  to  interrupt  payment  deadlines.  In 
addition  to  the  possibility  of  interruption  of  the  payment  deadline,  and  in  order  to 
avoid an evident risk of paying out ineligible expenditure, the Commission should be 
allowed to suspend payments and impose financial corrections in cases of serious non-
compliance with the rules of the Common Fisheries Policy by a Member State 

(50)  Horizontal financial rules adopted by the European Parliament and the Council based 
on  Article  322  TFEU  apply  to  this  Regulation.  Those  rules  are  laid  down  in 
Regulation  (EU,  Euratom)  2024/2509  and  determine  in  particular  the  procedure  for 
establishing  and  implementing  the  general  budget  of  the  Union.  Rules  adopted 
pursuant to Article 322 TFEU also include a general regime of conditionality for the 
protection of the Union’s budget in the case of breaches of the principles of the Rule 
of Law in the Member States established by Regulation (EU, Euratom) 2020/2092.  

(51)  Transparency,  information,  communication  and  visibility  activities  are  essential  in 
making Union action visible on the ground and ensuring the traceability of funds and 
should be based on true, accurate and updated information. To fulfil these goals, it is 
necessary to provide for appropriate arrangements for collection and reporting of data 
needed for multiple purposes only once. With a view to avoiding duplication of efforts 
and  reducing  the  administrative  burden  for  the  Member  States,  data  collected  and 
made  available  for  audit  and  control,  transparency,  performance  monitoring  and 
evaluation  should be streamlined and publication requirements should be established 
with the aim to ensure maximum transparency. 

(52) 

In order to safeguard the financial interests and the budget of the Union, proportionate 
measures  should  be  established  and  implemented  at  the  level  of  Member  States  and 
the  Commission.  The  Commission  should  be  able  to  interrupt  payments  deadlines, 
suspend payments and apply financial corrections where the respective conditions are 
fulfilled.  The  Commission  should  respect  the  principle  of  proportionality  by  taking 
into  account  the  nature,  gravity  and  frequency  of  irregularities  and  their  financial 
implications  for  the  budget  of  the  Union.  In  accordance  with  Regulation  (EU, 
Euratom)  2024/2509,  Regulation  (EU,  Euratom)  No  883/2013  of  the  European 
Parliament  and  of  the  Council(6),  and  Council  Regulations  (EC,  Euratom)  No 
2988/95(7), (Euratom, EC) No 2185/96(8) and (EU) 2017/1939(9), the financial interests 
of the Union are to be protected through proportionate measures, including measures 
relating to the prevention, detection, correction and investigation of fraud, corruption 
and  conflicts  of  interests,  and,  where  appropriate,  the  imposition  of  administrative 
penalties.  In  particular,  in  accordance  with  Regulations  (Euratom,  EC)  No  2185/96 
and  (EU,  Euratom)  No  883/2013,  the  European  Anti-Fraud  Office  (OLAF)  has  the 
power  to  carry  out  administrative  investigations,  including  on-the-spot  checks  and 
inspections,  with  a  view  to  establishing  whether  there  has  been  fraud,  corruption  or 
any other illegal activity affecting the financial interests of the Union. In accordance 

EN 

27 

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with Regulation (EU) 2017/1939, the European Public Prosecutor’s Office (EPPO) is 
competent to investigate and prosecute fraud and other criminal offences affecting the 
financial  interests  of  the  Union  as  provided  for  in  Directive  (EU)  2017/1371  of  the 
European  Parliament  and  of  the  Council.  In  accordance  with  Regulation  (EU, 
Euratom) 2024/2509, any person or entity receiving Union funds is to fully cooperate 
in  the  protection  of  the  Union’s  financial  interests,  to  grant  the  necessary  rights  and 
access to the Commission, OLAF, the EPPO and the Court of Auditors (ECA) and to 
ensure  that  any  third  parties  involved  in  the  implementation  of  Union  funds  grant 
the  Commission 
equivalent  rights.  Member  States  should  swiftly  report 
irregularities detected, and any follow-up action they have taken with  regard to  such 
irregularities and with  regard to  any OLAF investigations. The competent  authorities 
of the Member States participating in the enhanced cooperation on the establishment 
of the EPPO pursuant to Regulation (EU) 2017/1939 should also report to the EPPO 
without  undue  delay  any  criminal  conduct  in  respect  of  which  it  could  exercise  its 
competence, in accordance with Regulation (EU) 2017/1939.  

to 

(53)  To reduce the administrative burden and costs on recipients of Union funding as well 
as to avoid duplication of audits and management verifications of the same measures, 
the  concrete  application  of  the  single  audit  principle  should  be  applied  for  the 
Fund. The  audit  authority  should  carry  out  audits  and  ensure  that  the  audit  opinion 
provided to the Commission is reliable. That audit opinion should provide assurance to 
the  Commission  that  the  Member  State’s  management  and  control  systems  function 
properly, and that the assertions made in the management declaration submitted by the 
coordinating body are correct.  

(54) 

In accordance with the principle and rules of shared management, Member States and 
the  Commission  should  be  responsible  for  the  management  and  control  of  the  Plans 
and  give  assurance  on  the  legal  and  regular  use  of  the  Union  funds.  Since  Member 
States have the primary responsibility for such management and control, they should 
ensure  that  operations  supported  by  the  Fund  comply  with  applicable  law,  including 
applicable public procurement and State aid rules..  

(55)  Procedures  for  the  selection  of  operations  applied  by  Member  States  can  be 
competitive or non-competitive provided that the criteria applied, and procedures used 
are  non-discriminatory,  inclusive,  accessible  when  appropriate  for  persons  with 
disabilities,  and transparent, taking into account the Charter of Fundamental Rights of 
the European Union, and that the operations selected maximise the contribution of the 
Union funding and are in line with the horizontal principles defined in this Regulation.   

(56)  With a view to ensuring the principle of sound financial management, Member States 
should  ensure  that  the  amount  of  the  estimated  total  costs  of  their  NRP  Plan  remain 
reasonable and plausible throughout its implementation and request an amendment of 
their NRP Plan where necessary. The Fund’s delivery model should aim at providing 
individual 
predictability  and  consistency  between  payment 
implementation  pace  of  each  measure  by  assigning  ex-ante  pay-out  values  to  each 
milestone and target. Furthermore, a review of the estimated total costs of the reforms 
and investments and other interventions covered by the NRP Plan should be conducted 
by the Member State as  part of the mid-term review with corresponding adjustments 
whenever justified. Additionally, when submitting its final annual  assurance package 
for  the  last  financial  year,  the  Member  State  should  confirm  that  the  total  payments 
from the Commission do not exceed the total amount paid by the Member State to the 
beneficiaries 
the  national 
contribution.  For the same reasons of sound financial management, the Commission 

into  account 

implementing 

levels  and 

the  Plan, 

taking 

the 

in 

EN 

28 

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(57) 

should be allowed to recover amounts previously paid for interim steps of a measure if 
the final milestone or target of the given measure is not fulfilled and to take action in 
case of a reversal of a milestone or a target occurring up to five years after the date of 
the corresponding Commission payment.  

In  order  to  significantly  simplify  procedures  and  reduce  administrative  burden  for 
recipients, Member States and the Commission while providing robust safeguards on 
the regular and effective use of Union funds, the NRP Plans should embed measures to 
facilitate  implementation,  both  in  their  design  and  implementation  as  and  in 
monitoring  provisions.  Such  elements  should  comprise,  for  instance,  providing 
technical assistance and support to Member States, limiting audit duplications through 
the application of the single audit approach and moving away from invoice checks to 
focus on actual results. The national audit authorities and the Commission should not 
be  expected,  in  that  respect,  to  verify  the  underlying  costs  of  the  operations  for  the 
purpose of their audit work. With a view to simplification, technical assistance should 
be provided throughout implementation via a flat-rate applicable to all payments. The 
Fund should also provide for sufficient flexibility, whether via streamlined procedures 
for  the  amendments  of  the  Plans  or  better  responsiveness  to  unpredicted  crises  via 
multiple  mechanisms  that  allow  for  mobilising  resources  for  such  events,  such  as 
revision of the Plan, the flexibility amount or access to the Facility. The Fund should 
also  allow  Member  States  to  decide  themselves  which  milestones  and  targets  should 
be  submitted  in  each  payment  application  on  the  basis  of  their  respective  pace  of 
implementation.  With  a  view  to  ensuring  regular  disbursements  and  the  timely 
delivery  of  Union  objectives  on  the  ground,  an  annual  decommitment  rule  should 
ensure  that  Member  States  submit  regular  payment  applications  for  sufficiently 
substantial amounts. 

(58)  The  Social  Climate  Fund  established  by  Regulation  (EU)  2023/955  of  the  European 
Parliament  and  of  the  Council  of  10  May  202312  pursues  similar  objectives  and 
support similar actions in a comparable implementation timeline. Therefore, the Social 
Climate  Plans  should  be  integrated  into  the  NRP  Plans  from  2028  onwards.  This 
should allow for a more efficient use of Union funds and support a more effective and 
coherent  delivery  of  the  objectives  of  the  fund.  This  would  avoid  running  similar 
systems and processes being run in parallel thereby bringing clear benefits in terms of 
improved policy planning, policy consistency and simplification efforts. It should also 
ensure the application of common rules, notably regarding respect for the rule of law 
and compliance with the Charter of Fundamental Rights of the European Union, while 
Member States’ current allocations under the Social Climate Fund would continue to 
apply.  Synergies  between  existing  and  future  investments  under  the  Modernisation 
Fund  and  the  measures  of  the  Plans  should  also  be  encouraged  through  coordinated 
programming  with  a  view  to  ensuring  better  complementarity  and  policy  coherence 
between the Union budget and the resources allocated to the Modernisation Fund. 

(59)  Articles  107,  108  and  109  TFEU  should  apply  to  the  support  under  this  Regulation. 
Nevertheless,  in  accordance  with  Article  42  TFEU,  in  view  of  the  specific 
characteristics of the agricultural sector, those provisions should not apply to  support 
falling  within    the  scope  of  Article  42  TFEU  that  are  carried  out  under  and  in 
conformity with this Regulation, Regulation (EU) 202X/XXXX [CAP Regulation] or 
Regulation  (EU)  No  1308/2012  as  well  as    additional  national  financing  for  those 

12 

Regulation (EU) 2023/955 of the European Parliament and of the Council of 10 May 2023 establishing 
a Social Climate Fund and amending Regulation (EU) 2021/1060 (OJ L 130, 16.5.2023, p. 1). 

EN 

29 

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interventions where the Union support falls within the scope of Article 42 TFEU. For 
the  fishery  and  aquaculture  products  listed  in  Annex  I  TFEU  to  which  Articles  107, 
108 and 109 thereof apply, the Commission may authorise, in accordance with Article 
108 TFEU, operating aid in the outermost regions referred to in Article 349 TFEU in 
respect  of  the  sectors  producing,  processing  and  marketing  fishery  and  aquaculture 
products, with a view to alleviating the specific constraints in those regions as a result 
of their isolation, insularity or remoteness. 

(60)  The provisions of Regulation (EU, Euratom) 2024/2509 on shared management should 
be adapted to the delivery model of this Regulation. For that purpose, it is necessary to 
enable  the  submission  of  information  related  to  the  implementation  progress  and  to 
adapt the content of the management declaration and audit opinion accordingly. 

(61) 

In order to supplement or amend certain non-essential elements of this Regulation, the 
power to adopt acts in accordance with Article 290 TFEU should be delegated to the 
Commission  in  respect  of  Articles  on  support  for  local  agricultural,  fisheries  and 
aquaculture  products,  reporting  on 
irregularities,  calculation  of  penalties  for 
stewardship, data collection and recording, IACS, as well as Annexes on fulfilment of 
milestones  and  targets,  progress  on  implementation,  Union  actions,    financial 
corrections,  EU  school  scheme,  CAP  interventions,  CAP  cooperation.  It  is  of 
particular importance that the Commission carry out appropriate consultations during 
its  preparatory  work,  including  at  expert  level,  and  that  those  consultations  be 
conducted  in  accordance  with  the  principles  laid  down  in  the  Interinstitutional 
Agreement  of  13  April  2016  on  Better  Law-Making13.  In  particular,  to  ensure  equal 
participation  in  the  preparation  of  delegated  acts,  the  European  Parliament  and  the 
Council receive all documents at  the same time as  Member States' experts,  and their 
experts systematically have access to meetings of Commission expert groups dealing 
with the preparation of delegated acts. 

(62) 

In order to ensure uniform conditions for the implementation of the NRP Plan for [the 
list  of  Union  actions,  farming  practices,  reduction  coefficients  for  oilseeds], 
implementing  powers  should  be  conferred  on  the  Commission.  Those  implementing 
powers should be exercised in accordance with  Regulation (EU) No 182/2011 of the 
European Parliament and of the Council14. 

(63)  The  advisory  procedure  should  be  used  for  the  adoption  of  the  Interreg  Plan.  The 
examination  procedure  should  be  used  for  the  adoption  of  the  implementing  acts 
related  to  fixing  the  indicative  reference  support  area  for  each  Member  State in 
relation to oilseeds, and to Integrated Administration and Control System. 

(64)  Since acts applicable to the 2021-2027 programming period should continue to apply 
to  programmes and operations supported by the  Funds covered under the 2021-2027 
programming  period  and  since  the  implementation  period  of  that  Regulation  is 
expected to extend over to the programming period covered by this Regulation and in 
order  to  ensure  continuity  of  implementation  of  certain  operations  approved  by  that 
Regulation,  phasing  provisions  should  be  established.  Each  individual  phase  of  a 
phased operation, which serves the same overall objective, should be implemented in 

13 
14 

OJ L 123, 12.5.2016, p. 1, ELI: http://data.europa.eu/eli/agree_interinstit/2016/512/oj 
Regulation  (EU)  No  182/2011  of  the  European  Parliament  and  of  the  Council  of  16  February  2011 
laying down the rules and general principles concerning mechanisms for control by Member States of 
implementing  powers  (OJ  L  55,  28.2.2011,  p.  13,  ELI: 
the  Commission’s  exercise  of 
http://data.europa.eu/eli/reg/2011/182/oj). 

EN 

30 

  EN 

 
 
accordance with the rules of the programming period under which it receives funding, 
while  the  managing  authority  may  proceed  with  selecting  the  second  phase  on  the 
basis of the selection procedure carried out under 2021-2027 programming period for 
the relevant operation, provided that it satisfies itself that the conditions set out in this 
Regulation for phased implementation are complied with. 

(65)  Taking into account the need to implement Union Funds covered by this Regulation in 
a  coordinated  and  harmonised  manner,  and  in  order  to  allow  for  its  prompt 
implementation, it should enter into force on the day following that of its publication 
in the Official Journal of the European Union, 

HAVE ADOPTED THIS REGULATION: 

TITLE I 
GENERAL PROVISIONS 

Article 1 
Subject matter 

1. 

This  Regulation  establishes  the  ‘European  Fund  for  Economic,  Territorial,  Social 
Cohesion,  Agriculture  and  Rural,  Fisheries  and  Maritime  Prosperity  and  Security’ 
Fund (the Fund). It lays down rules on: 

(a) 

tasks, priority objectives, organisation and grouping under the Fund of:  

(i) 

the Structural Funds and Cohesion Fund; 

(ii) 

instruments for the common agriculture policy (the CAP); 

(iii) 

instruments for the common fisheries policy; 

(iv) 

instruments  funded  from  the  auctioning  of  allowances  in  the  framework 
of  the  emission  trading  systems  set  up  under  Directive  2003/87/EC  to 
address  the  social  impacts  of  the  introduction  of  an  emission  trading 
system  for  buildings  and  road  transport  on  vulnerable  households, 
vulnerable micro-enterprises and vulnerable transport users; 

(v)  support to security and defence capabilities. 

(b) 

the  financial  rules  for  Union  support  to  be  implemented  by  means  of  the 
National and Regional Partnership Plans (the ‘NRP Plans’), the Interreg Plan as 
set out in the Regulation XX [Regional development, Chapter II on the Interreg 
Plan] (the ‘Interreg Plan’) and the EU Facility (the ‘Facility’); 

(c) 

the  financial  resources  for  the  period  from  1  January  2028  to  31  December 
2034. 

2. 

The  Regulations  listed  below  may  set  out  specific  conditions  to  complement  this 
Regulation which shall not be in contradiction with this Regulation:  

(a)  Regulation  XX 

[establishing 

for  Regional 
development  including  for  European  Territorial  Cooperation  (Interreg) 
and  Cohesion  Fund  as  part  of  the  Fund  set  out  in  Regulation  (EU) 
[…]   [NRP]  and  establishing  conditions  for  the  implementation  of  the 
Union support to regional development from 2028 to 2034] 

the  European  Fund 

(b)  Regulation  XX  [establishing  the  European  Social  Fund  as  part  of  the 
Fund set out in Regulation (EU) […]  [NRP] and establishing conditions 

EN 

31 

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for  the  implementation  of  the  Union  support  to  quality  employment, 
skills and social inclusion for the period from 2028 to 2034] 

(c)  Regulation  XX  [establishing  the  Common  Agriculture  Policy  as  part  of 
the  Fund  set  out  in  Regulation  (EU)  […]   [NRP]  and  establishing 
conditions  for  the  implementation  of  the  Union  support  to  support  the 
implementation of the Common Agricultural Policy (CAP) of the Union 
in  accordance  with  Title  III  of  Part  III  of  the  TFEU,  ensuring  a  fair 
standard of living for the agricultural community and the availability of 
food,  increasing  agricultural  productivity,  stabilising  markets,  and 
supporting long-term food security from 2028 to 2034] 

(d)  Regulation  XX  [establishing  Common  Fisheries  Policy  and  Union’s 
maritime  policy  as  part  of  the  Fund  set  out  in  Regulation  (EU) 
[…]   [NRP]  and  establishing  conditions  for  the  implementation  of 
………. from 2028 to 2034] 

(e)  Regulation  (EU)  […]  establishing  the  Union  support  for  asylum 

migration and integration for the period from 2028 to 2034 

(f)  Regulation  (EU)  […]  establishing  the  Union  support  for  European 
integrated  border  management  and  European  visa  policy  for  the  period 
from 2028 to 2034 

(g)  Regulation (EU) […] establishing the Union support for internal security  

for the period from 2028 to 2034 

(h)  Regulation (EU) 202X/XXXX amending Regulation (EU) No 1308/2013 
of  the  European  Parliament  and  of  the  Council15  as  regards  the  school 
fruit, vegetables and milk scheme (‘EU school scheme’), interventions in 
certain  sectors,  the  creation  of  a  protein  sector,  requirements  for  hemp, 
the  possibility  for  marketing  standards  for  cheese,  protein  crops  and 
meat, application of additional import duties and rules on the availability 
of supplies in time of emergencies and severe crisis, to the extent relevant 
to the support under this Regulation. 

In  case  of  doubt  about  the  application  between  this  Regulation  and  the  policy-
specific regulations referred to in the first subparagraph, this Regulation shall prevail. 

Article 2 
General objectives of the Fund 

With  the  overall  aim  of  promoting  economic,  social  and  territorial  cohesion,  the 
sustainable  development  and  competitiveness  of  the  Union,  its  security  and  its 
preparedness, the Fund shall support the following general objectives: 

(a) 

to reduce regional imbalances in the Union and the backwardness of the least 
favoured regions and promote  European territorial cooperation in accordance 
with Part Three, Title XVIII of the TFEU, including supporting projects in the 
area  of  environment  and  trans-European  networks  in  the  area  of  transport 

Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 
establishing  a  common  organisation  of  the  markets  in  agricultural  products  and  repealing  Council 
Regulations (EEC) No 922/72, (EEC) No 234/79, (EC) No 1037/2001 and (EC) No 1234/2007 (OJ L 
347, 20.12.2013, p. 671, ELI: http://data.europa.eu/eli/reg/2013/1308/oj). 

1. 

15 

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32 

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infrastructure  in  accordance  with  Article  177(2)  TFEU  (‘European  Regional 
Development Fund and Cohesion Fund’); 

to  support  quality  employment,  education  and  skills  and  social  inclusion  in 
accordance  with  Part  Three,  Title  XI  and  Title  XVIII  of  Part  Three  of  the 
TFEU  (‘European  Social  Fund’)  and  to  contribute  to  a  socially  fair  transition 
towards climate neutrality in  accordance with  Article 91(1), point (d), Article 
192(1) and Article 194(2) TFEU; 

to  support  the  implementation  of  the  CAP  of  the  Union  in  accordance  with 
Parth Three, Title III of the TFEU;   

to support the implementation of the common fisheries policy of the Union in 
accordance with Part Three, Title III of the TFEU;   

to protect and strengthen democracy in the Union and uphold Union values in 
accordance with Article 2 TEU. 

(b) 

(c) 

(d) 

(e) 

Article 3 
Specific objectives of the Fund 

1. 

The  general  objectives  referred  to  in  Article  2  shall  be  pursued  across  all  regions 
through the following specific objectives: 

(a) 

to support the Union’s sustainable prosperity across all regions by: 

(i) 

(ii) 

(iii) 

(iv) 

fostering  the  attractiveness  of  territories  to  support  the  right  to  stay 
including by supporting strategies for the integrated development of urban 
and 
territorial  services  and 
infrastructure; 

including  support 

rural  areas, 

for 

strengthening  the  Union’s  industrial  base,  resilient  supply  chains  and 
boosting  sustainable  and  competitive  manufacturing,  in  particular  in  the 
areas  of  net  zero  and  critical  raw  materials  technologies,  with  special 
attention  to  the  competitiveness  of small-  and medium-sized  enterprises,  
by  fully  integrating  environmental  and  climate  ambitions  to  accelerate  a 
clean industrial transition;  

supporting  a  just  transition  towards  the  Union’s  2030,  2040  and  2050 
targets  for  energy  and  climate,  in  particular  by  prioritising  support  for 
clean  energy  generation  and  infrastructure,  promoting  energy  efficiency 
and  decarbonisation,  storage  and  technology,  developing  smart  energy 
systems and domestic transmission and distribution grids also taking into 
account  the  Trans-European  Network  (TEN-E)  and  technology  and 
promoting  a  circular  economy,  ensuring  that  all  territories  and  everyone 
can contribute and benefit from the clean transition; 

supporting  the  digital  transformation  towards  the  Digital  Decade  targets  
and  objectives  set  out  in  the  Digital  Decade  Policy  Programme  2030, 
thereby  contributing  to  the  achievement  of  a  digitally  sovereign,  secure, 
and inclusive Union, and promoting the development and use of advanced 
technologies,  including  AI  secure  and  trusted  digital  infrastructure  and 
services, basic and advanced digital skills, digital public services, and ICT 
connectivity, while addressing the digital divide; 

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33 

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(v) 

(vi) 

supporting research, development and innovation, including the diffusion 
of innovation across all regions; 

supporting  measures,  including  reforms  to  further  the  Saving  and 
investments  Union  and  foster  the  development  of  market-based  funding 
options; 

(vii) 

supporting social and affordable housing;  

(viii) 

transport 

infrastructure  and  contributing 

enhancing  Union 
the 
completion  of  the  trans-European  network  for  transport,  in  particular  on 
the core and extended core network, while decarbonising  and improving 
connectivity,  security  and  accessibility  for  remote,  peripheral  and  less 
connected areas; support the green and digital transition of transport; 

to 

(ix) 

support for tourism, including sustainability; 

(x) 

supporting  efficient  water  management,  quality  and 
resilience, 
environmental  protection,  climate  adaptation,  climate  resilience  and 
enhancing  biodiversity,  soil  quality  and  natural  resources,  promoting 
circularity,  bioeconomy  and  wider  resource  efficiency,  strengthening 
pollution  prevention,  control  and  remediation,  preserving  and  restoring 
nature  and  enhancing  biodiversity  and  natural  resources,  as  well  as 
promoting the New European Bauhaus solutions in the built environment. 

(b) 

to support the Union’s defence capabilities and security across all regions by: 

(i) 

(ii) 

(iii) 

reinforcing  the  Union’s  defence  industrial  base  and  military  mobility,  in 
particular by developing dual-use TEN-T infrastructure; 

strengthening  the  Union’s  preparedness  to  crises  and  disasters  by 
mainstreaming the principle of ‘preparedness by design’; 

strengthening  the  Union’s  security  by  improving  threat  detection, 
prevention  and  response  threat  detection  capabilities,  including  by 
and 
transport 
strengthening 
cybersecurity; 

infrastructure 

critical 

energy 

and 

in a manner fully consistent with the objectives set out:  

• 

• 

• 

in Regulation (EU) […] establishing the Union support for asylum 
migration and integration for the period from 1 January 2028 to 31 
December 2034; 

in  Regulation  (EU)  […]  establishing  the  Union  support  for 
European integrated border management and European visa policy 
for the period from 1 January 2028 to 31 December 2034; 

in Regulation (EU) […] establishing the Union support for internal 
security for the period from 1 January 2028 to 31 December 2034. 

(c) 

to  strengthen  social  cohesion  by  supporting  people  and  strengthening  the 
Union’s societies and the Union’s social model by: 

(i) 

(ii) 

supporting  employment,  equal  access  to  the  labour  market,  fair  and 
quality working conditions and labour mobility; 

enhancing labour supply and improving education and lifelong acquisition 
of skills, in particular by promoting upskilling and reskilling; 

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(iii) 

(iv) 

(v) 

(vi) 

promoting equal opportunities for all, supporting strong social safety nets, 
fostering  social  inclusion  and  fighting  poverty  and  homelessness,  and 
supporting investment in social infrastructure; 

facilitating  access  to  services  and  associated  infrastructure,  including 
modernization, digitalization and strengthening the quality and resilience 
of healthcare systems, child and long-term care services; 

addressing  the  challenges  of  demographic  change  across  the  EU,  which 
include labour shortages and disparities between generations and regions; 

addressing  the  social  impacts  of  the  inclusion  of  greenhouse  gas 
emissions from buildings and road transport within the scope of Directive 
2003/87/EC. 

(d) 

to sustain the quality of life in the Union by: 

(i) 

supporting  fairer  and  sufficient  income  for  farmers  and  their  long-term 
competitiveness, including the farmers’ position in the value chain; 

(ii) 

contributing to long-term food security; 

(iii) 

(iv) 

(v) 

improving  the  attractiveness  and  living  standards,  including  access  to 
healthcare,  in  rural  areas  and  fair  working  conditions  and  fostering 
generational  renewal;  improving  farmers’  preparedness  and  ability  to 
cope  with  crises  and  risks;  enhancing  the  access  to  knowledge  and 
innovation and accelerating the digital and green transition for a thriving 
agri-food sector; 

ensuring  sustainability,  competitiveness  and  resilience  of  the  Union 
fisheries and aquaculture sector, boosting the sustainable and competitive 
blue  economy  in  coastal,  island  and  inland  areas,  enhancing  the  socio-
economic  opportunities  and  the  resilience  of  the  local  communities  and 
ensuring  strong  ocean  governance  in  all  dimensions,  with  safe,  secure, 
clean and sustainably managed ocean; 

enhancing  sustainable  agriculture  and  forestry  management  practices  to 
promote resilient climate action, provision of multiple ecosystem services, 
supporting  efficient  water  management,  quality  and  resilience,  the 
implementation  of  nature-based  solutions,  strengthening  sustainable 
development,  environmental  protection,  enhancing  the  conservation  and 
restoration  of  biodiversity,  soil  and  natural  resources,  and  improving 
animal welfare. 

(e) 

to protect  and strengthen  fundamental  rights,  democracy,  equality,  the rule of 
law and to uphold Union values by: 

(i) 

(ii) 

sustaining  and  further  developing  open,  rights-based,  democratic,  equal 
and  inclusive  societies,  including  by  building  civil  society  and  social 
partners’  capacities  to  uphold  Union  values,  citizenship  education  and 
youth participation; 

promoting  and  upholding  the  rule  of  law  through  strengthening  justice 
systems,  anti-corruption  frameworks,  media  pluralism, 
information 
integrity, media literacy,  and effective checks and balances; 

EN 

35 

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(iii) 

enhancing  the  efficiency  of  public  administration  and  the  institutional 
capacity  of  public  authorities  and  stakeholders  at  national,  regional  and 
local level; 

(iv) 

promoting  culture  as  a  catalyst  for  European  values  and  supporting  a 
vibrant and diverse cultural sector. 

Article 4 
Definitions 

For the purposes of this Regulation, the following definitions apply: 

(2) 

‘applicable  law’  means  Union  law  and  the  national  law  directly  relating  to  its 
application; 

(3) 

‘beneficiary’ means:  

(a) 

(b) 

a public or private law body, an entity  with  or without  legal  personality, or a 
natural  person  who  is  not  a  participant,  responsible  for  initiating  or  both 
initiating and implementing an operation under the NRP Plan and the Interreg 
Plan and to whom the document setting out the conditions for support has been 
provided;  

in  the  context  of  financial  instruments,  the  body  that  implements  the  holding 
fund or, where there is no holding fund structure, the body that implements the 
specific  fund  or,  where  the  managing  authority  manages  the  financial 
instrument, the managing authority; 

(c) 

 in the context of the CAP, a farmer who is: 

(i) 

(ii) 

a natural or legal person whose holding is situated in the Union and whose 
principal  activity  is  agricultural  activity  in  accordance  with  the  criteria 
defined by the Member States in line with this Regulation; or 

natural  person  or  small  legal  person,  whose  principal  activity  is  not 
agriculture, but who is engaged in at least a minimum level of agricultural 
activity, as defined by Member States. 

‘chapter  of  the  NRP  Plan’ means  a  part  of  the  NRP  Plan  focusing  on  a  specific 
challenge, sector, policy or geographic area,  

‘contractor’  means  an  entity  or  a  natural  person  with  whom  the  beneficiary  or  the 
recipient enters into a contract for the specific purpose of implementing one or more 
operations or a part thereof; 

‘recipient’ means an entity with or without legal personality, or a natural person, who 
is not a participant, receiving resources from the Union budget through a beneficiary; 

‘final recipient’ means an entity with or without legal personality or a natural person 
who is  not  a participant, receiving support under a financial instrument  and  who is 
understood  as  a  recipient  for  the  purposes  of  Article  38(1)  of  Regulation  (EU, 
Euratom) 2024/2509; 

‘participant’  means  a  natural  person  benefiting  directly  from  an  operation  without 
initiating or implementing the operation; 

(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

‘operation’ means:  

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36 

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(a) 

(b) 

(c) 

a project,  contract,  action or group of projects or group of actions  selected in 
the context of implementing a measure in the Plan;  

in the context of financial instruments, a contribution from the  NRP Plan and 
the Interreg Plan to a financial instrument and the subsequent financial support 
provided to final recipients by that financial instrument; 

in  the  context  of  the  CAP,  a  payment  granted  to  farmers  under  area-  and 
animal-based  CAP  income  support  interventions  referred  to  in  Article  35(1) 
[Types of intervention],  points (a) to (g), (o) and (p). 

‘measure’ means a reform, an investment or another intervention at national or sub-
national level supported under the NRP Plan or the Interreg Plan; 

‘milestone’   means  a qualitative achievement used to  measure progress  towards the 
achievement of a measure; 

‘target’  means  a  quantitative  achievement  used  to  measure  progress  towards  the 
achievement of a measure;  

‘pay-out  value’  means  the  amount  to  be  paid  by  the  Commission  to  the  Member 
State  for  the  progress  achieved  in  the  implementation  of  the  measures  of  the  Plan, 
taking into account the amounts set aside for reforms; 

‘Agricultural  Knowledge  and  Information  system’  or  ‘AKIS’  means  the  combined 
organisation  and  knowledge  flows  between  persons,  organisations  and  institutions 
who  use  and  produce  knowledge  and  innovations  for  agriculture  and  interrelated 
fields referred to in Article 20 of Regulation (EU) 202X/XXXX [CAP Regulation].  

‘organic  farming’  means  organic  production  system  certified  in  accordance  with 
Regulation (EU) 2018/848 of the European Parliament and of the Council16; 

‘holding’ means all the units used for agricultural activities and managed by a farmer 
and  situated  within  the  territory  of  the  same  Member  State,  within  the  territorial 
scope of the Treaties, as defined in Article 52 TEU in conjunction with Articles 349 
and 355 TFEU; 

‘the smaller Aegean islands’ means any islands in the Aegean Sea except the islands 
of Crete and Evia. 

the 
‘seals’  means  Seals  of  Excellence  and  Sovereignty  Seals  granted 
implementation of Union programmes in the 2021 to 2027 programming period and  
Seals  granted  under  Union  programmes  implemented  in  direct  management  in  the 
2028-2034 period such as the Competitiveness seal; 

in 

‘subcontractor' means a person or entity with whom the contractor has concluded a 
contract to perform part of a contract for the specific purpose of implementing one or 
more operations or a part thereof; 

‘crisis’ means crises as defined in Article 2, point (22) of Regulation (EU, Euratom) 
2024/2509;  

‘pillar  assessment’  means  the  assessment  referred  to  in  Articles  157(3)  and  (4)  of 
Regulation (EU, Euratom) 2024/2509;  

Regulation (EU) 2018/848 of the European Parliament and of the Council of 30 May 2018 on organic 
production and labelling of organic products and repealing Council Regulation (EC) No 834/2007 (OJ 
L 150 14.6.2018, p. 1). 

(10) 

(11) 

(12) 

(13) 

(14) 

(15) 

(16) 

(17) 

(18) 

(19) 

(20) 

(21) 

16 

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37 

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(22)  Member  States  shall  further  establish  in  their  NRP  Plans  the  definitions  of 
‘agricultural  activity’,  ‘agricultural  area’,  ‘eligible  hectare’,  and  ‘young  farmer’  in 
accordance  with  objective  and  non-discriminatory  criteria  and  the  principle  of 
proportionality. 

(a) 

‘agricultural activity’ shall be determined through one or both of the following 
activities: 

(i) 

production of agricultural products, which consists of all activities aimed 
at  obtaining  those  products;  where  agricultural  products  means  products 
listed in Annex I to the TFEU, with the exception of fishery products, as 
well as cotton and short rotation coppice; 

(ii)  maintenance of agricultural areas, which consists of the activities aiming 
at  keeping  the  land  in  a  state  suitable  for  grazing  or  cultivation;  where 
duly  justified  for  animal  welfare  or  environmental  reasons,  extensive 
grazing  of  an  agricultural  area  that  does  not  result  in  an  increase  of 
agricultural production for the farmers concerned may also be considered 
‘maintenance’.  

(b) 

‘agricultural  area’  shall  be  defined  in  such  a  way  as  to  comprise  only  land 
which  is  used  for  agricultural  activities,  including  when  it  forms  agroforestry 
systems. 

(c) 

‘eligible  hectare’  shall  be  defined  in  such  a  way  as  to  comprise  only  areas 
which are at the farmers’ disposal and which comprise: 

(i) 

(ii) 

agricultural areas on which an agricultural activity is performed under the 
farmer’s control  in  terms  of management, benefits  and financial risks. If 
non-agricultural  activities  are  also  performed  on  these  areas,  the 
agricultural activity shall be predominant. 

areas for which support is provided under Article 35(1) points (a) and (g) 
[degressive  income  support,  small  farmers]  of  this  Regulation,  or  under 
the  basic  income  support  for  sustainability  under  Title  III,  Chapter  II, 
Section  2,  Subsection  2,  [BISS  [all  incl.  entitlements],  small  farmers 
scheme], of Regulation (EU) 2021/2115, where agricultural activity is not 
performed  due  to  commitments  and  obligations  arising  from  Union  or 
national  interventions  or  other  programmes  which  contribute  to  the 
environmental and climate-related CAP specific objectives 

(iii)  Member  States  may  decide  to  include  in  the  notion  of  ‘eligible  hectare’ 
landscape features, not covered by the commitments and schemes referred 
to in point (ii), provided that these landscape features do not significantly 
hamper the performance of agricultural  activity and are not predominant 
on the agricultural parcel 

(d) 

 ‘young farmer’ shall be defined in such a way as to fulfil at least the following 
conditions: 

(i) 

(ii) 

an upper age limit set between 35 years and 40 years; 

being ‘head of the holding’. 

Where  a  farmer  is  deemed  to  fall  within  the  definition  of  ‘young  farmer’  at  the 
moment of first access to support, that status shall be maintained for the full duration 

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(23) 

(24) 

(25) 

of the period of eligibility established under the relevant support scheme, irrespective 
of the farmer subsequently exceeding the upper age limit.  

‘new farmer’ shall be determined in such a way as to refer to a farmer other than a 
young farmer and who is head of the holding for the first time. 

‘public  expenditure’  for  the  purposes  of  the  CAP,  means  any  contribution  to  the 
financing of operations the source of which is the budget of the national, regional and 
local  public  authorities,  the  budget  of  the  Union  made  available  to  the  Fund,  the 
budget  of  public  law  bodies  or  the  budget  of  associations  of  public  authorities  or 
public law bodies; 

‘support rate’ for the purposes of the CAP, means the rate of public expenditure to an 
operation;  in  the  context  of  financial  instruments  it  refers  to  the  gross  grant 
equivalent  of  the  support  as  defined  in  Article  2,  point  (20)  of  Commission 
Regulation (EU) No 702/2014; 

(26) 

‘small-scale coastal fishing’ means fishing activities carried out by: 

(a)  marine  and  inland  fishing  vessels  of  an  overall  length  of  less  than  12  metres 
and  not  using  towed  gear  as  defined  in  Article  2,  point  (1)  of  Council 
Regulation (EC) No 1967/2006 (28); or 

(b) 

fishers on foot, including shellfish gatherers; 

‘fisher’  means  any  natural  person  engaging  in  commercial  fishing  activities,  as 
recognised by the Member State concerned; 

‘fishing’  means  any  natural  person  engaging  in  commercial  fishing  activities,  as 
recognised by the Member State concerned; 

‘sustainable blue economy’ means all sectoral and cross-sectoral economic activities 
throughout  the  internal  market  relating  to  ocean,  seas,  coasts  and  inland  waters, 
covering  the  Union’s  insular  and  outermost  regions  and  landlocked  countries, 
including  emerging  sectors  and  non-market  goods  and  services,  aimed  at  ensuring 
environmental,  social  and  economic  sustainability  in  the  long  term  and  which  are 
consistent with the SDGs, and in particular SDG 14, and with Union environmental 
legislation; 

‘maritime  policy’  means  Union  policy  that  aims  to  foster  integrated  and  coherent 
decision  making  to  maximise  the  sustainable  development,  economic  growth  and 
social cohesion of the Union, particularly of the coastal and insular areas and of the 
outermost  regions,  and  of  the  sustainable  blue  economy  sectors,  through  coherent 
maritime-related policies and relevant international cooperation; 

‘maritime  security  and  surveillance’  means  activities  carried  out  in  order  to 
understand, prevent wherever applicable and manage in a comprehensive way all the 
events and actions related to the maritime domain which would impact the areas of 
maritime safety and security, law enforcement, defence, border control, protection of 
the marine environment, fisheries control, trade and economic interest of the Union; 

‘European marine observation and data network’ or ‘EMODnet’ means a partnership 
assembling  marine  data  and  metadata  in  order  to  make  those  fragmented  resources 
more  available  and  usable  by  public  and  private  users  by  offering  quality-assured, 
interoperable and harmonised marine data; 

(27) 

(28) 

(29) 

(30) 

(31) 

(32) 

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(33) 

(34) 

(35) 

(36) 

(37) 

(38) 

(39) 

(40) 

(41) 

‘maritime spatial  planning’ means  a process  by  which the  relevant Member State’s 
authorities  analyse  and  organise  human  activities  in  marine  areas  to  achieve 
ecological, economic and social objectives; 

‘ocean observation’ means the foundation of all marine knowledge. It forms the basis 
of  understanding  of  marine  ecosystems  and  factors  that  influence  them.  It  provides 
critical  data  for  weather  forecasting,  climate  change  mitigation  and  adaptation 
strategies,  extreme  events  monitoring,  civil  security  –  sea  condition,  floods-, 
maritime  shipping,  offshore  energy,  fisheries  and  aquaculture  and  increasingly 
security  and  defence.  It  creates  the  foundation  for  evidence-based  decision-making 
and it provides crucial information  on how human activities influence ocean health 
and what services the ocean provides to societies. 

‘irregularity’  means  any  breach  of  applicable  law,  which  has,  or  would  have,  the 
effect of prejudicing the budget of the Union by receiving unjustified reimbursement 
based on milestones, targets and outputs to that budget; 

‘holding fund’ means a funds set up under the responsibility of a managing authority 
under one or more chapters of the Plan; 

‘specific fund’ means a fund through which a managing authority or a holding fund 
provides financial products to final recipients; 

‘body  implementing  a  financial  instrument’  means  a  body,  governed  by  public  or 
private law, carrying out tasks of a holding fund or specific fund. 

‘less developed regions’ means regions whose GDP per capita is less than 75 % of 
the average GDP per capita of the EU-27 (‘less developed regions’); 

‘transition regions’ means regions whose GDP per capita is between 75 % and 100 % 
of the average GDP per capita of the EU-27 (‘transition regions’); 

‘more developed regions’ means regions whose  GDP per capita is  above 100 % of 
the average GDP per capita of the EU-27 (‘more developed regions’). 

The  classification  of  regions  under  one  of  the  three  categories  of  region  shall  be 
determined  on  the  basis  of  how  the  GDP per  capita of  each  region,  measured  in 
purchasing  power  standards  (PPS)  and  calculated  on  the  basis  of  Union  figures  for 
the  period  2021-2023,  relates  to  the  average  GDP per  capita of  the  EU-27  for  the 
same reference period. 

The Commission  shall adopt  a decision, by means of implementing act,  setting  out 
the list of regions fulfilling the criteria of one of the three categories of region set out 
in  points  38  to  40  and  of  Member  States  fulfilling  the  criteria  set  out  in  paragraph 
2(a) of Article 22. That list shall be valid from 1 January 2028 to 31 December 2034. 

Article 5 
Management of the Fund 

1. 

The Member States and the Commission shall implement the envelope financed from 
the  Union  budget  and  any  additional  resources  allocated  to  the  NRP  Plans  and  the 
Interreg  Plan  under  shared  management  in  accordance  with  Article  62(1),  first 
subparagraph point (b) of Regulation (EU, Euratom) 2024/2509, without prejudice to 
paragraph  2  of  this  Article  and  Article  6(3)  of  Regulation  XX  [Regional 
  [provisions  providing  for  the  use  of  indirect 
development,  Interreg  Plan] 
management in the case of certain Interreg cooperation types]. 

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2. 

3. 

1. 

2. 

3. 

4. 

5. 

The  Commission  shall  implement  Title  IV  on  the  Facility  under  direct,  shared  or 
indirect management in accordance with Article 62(1), first subparagraph, points (a), 
(b) and (c), of Regulation (EU, Euratom) 2024/2509. 

The technical assistance at the initiative of the Commission referred to in Article 10 
shall  be  implemented  under  direct  or  indirect  management,  in  accordance  with 
Article  62(1),  first  subparagraph,  points  (a)  and  (c),  of  Regulation  (EU,  Euratom) 
2024/2509. 

Article 6 
Partnership and multi-level governance 

For  the  NRP  Plan  and  each  chapter,  and  the  Interreg  Plan  chapter  as  referred  to  in 
Chapter  II  of  Regulation  XX  [Regional  development,  Interreg  Plan],  each  Member 
State shall organise and implement a comprehensive partnership in accordance with 
its institutional and legal framework and taking into account the specificities of the 
chapters  concerned.  That  partnership  shall  include  a  balanced  representation  of  the 
following partners:  

(a) 

(b) 

(c) 

regional,  local,  urban,  rural  and  other  public  authorities  or  associations 
representing such authorities;  

economic  and  social  partners, 
organisations;  

including 

farmers, 

fishers  and 

their 

relevant bodies representing civil society, such as environmental partners, non-
governmental  organisations,  youth  organisations,  and  bodies  responsible  for 
promoting  social  inclusion,  fundamental  rights,  rights  of  persons  with 
disabilities,  gender  equality  and  non-discrimination,  national  human  rights 
institutions and organisations;  

(d) 

research organisations and universities, where appropriate.  

The  partnership  established  in  accordance  with  paragraph  1  shall  operate  in 
accordance with the multi-level governance principle and a bottom-up approach. The 
Member State shall involve partners referred to in each subparagraph of paragraph 1 
in  the  preparation  of  the  Plan  and  throughout  the  preparation,  implementation  and 
evaluation  of chapters, including  through participation  in  monitoring committees in 
accordance with Article 55.      

The  organisation  and  implementation  of  the  partnership  shall  be  carried  out  in 
accordance  with  the  European  code  of  conduct  on  partnership  established  by 
Commission Delegated Regulation (EU) No 240/2014.  

Regarding the partners referred to in paragraph 1, point (a), the Member State shall 
ensure  that  all  authorities  concerned  by  the  relevant  chapters  of  the  Plan  are 
appropriately  represented in  accordance with  the corresponding territorial level  and 
the geographical coverage of the chapter, as appropriate.  

Member  States  may  derogate  from  the  requirements  on  partnership  and  multi-level 
governance  for  the  purposes  of  the  Union  support  established  by  Regulation  (EU) 
202X/XX [border management] and Regulation (EU) 202X/XX [internal security] if 
duly reasoned and substantiated by the Member State in its Plan. For the purposes of 
the  Union  support  for  asylum,  migration  and  integration  established  by  Regulation 
(EU)  202X/XX  [migration,  asylum  and  integration],  partnerships  shall  include 
regional,  local,  urban  and  other  public  authorities  or  associations  representing  such 

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6. 

1. 

2. 

3. 

4. 

5. 

authorities, civil society organisations, such as refugee organisations and migrant-led 
organisations, as well as national human rights institutions and equality bodies, and, 
where appropriate, international organisations and economic and social partners. 

At  least  once  a  year,  the  Commission  shall  consult  organisations  which  represent 
partners at Union level on the implementation of the Plans.  

Article 7 
Horizontal principles 

Member States shall design the measures in the NRP Plan and Interreg Plan in a way 
that ensures respect of 

(a) 

(b) 

the principles of the rule of law as set out in Article 2, point (a), and Article 3 
of Regulation (EU, Euratom) 2020/2092; 

the  rights,  freedoms  and  principles  set  out  in  the  Charter  of  Fundamental 
Rights of the European Union. 

The Member States shall respect those rights, freedoms and principles throughout the 
preparation and implementation of their respective Plans. 

The Member States and the Commission shall take appropriate steps to prevent any 
discrimination based on gender, racial or ethnic origin, religion or belief, disability, 
age  or  sexual  orientation  during  the  preparation,  implementation,  monitoring, 
reporting  and  evaluation  of  the  Plans.  In  particular,  accessibility  for  persons  with 
the  preparation  and 
disabilities  shall  be 
implementation of the Plans. 

into  account 

throughout 

taken 

Payments under interventions referred to in Articles 35(1), points (a) to (f) and points 
(o)  and  (p),  to  the  extent  that  they  concern  support  for  local  agricultural  products 
shall be subject to compliance with “farm stewardship” as laid down in Article 3 of 
Regulation  (EU)  202X/XXXX  [CAP  Regulation].  Payments  subject  to  the  farm 
stewardship requirements referred to in Annex I, parts A and C, to Regulation (EU) 
202X/XXXX [CAP Regulation] shall be deemed to comply with the principle of “do 
no  significant  harm”  as  set  out  in  Article  33(2),  point  (d),  of  Regulation  (EU, 
Euratom) 2024/2509.  

Support from the Fund shall be additional to national public funding.  

The Commission and the Member States concerned shall, in a manner commensurate 
to  their  respective  responsibilities,  ensure  coordination,  consistency  and  synergies 
between  the  Fund  and  other  Union  programmes  and  instruments.  For  that  purpose, 
they shall ensure the following:  

(a) 

(b) 

complementarity  and  consistency  among  different  instruments  at  Union, 
national  and  regional  levels,  both  in  the  planning  phase  and  during 
implementation; 

close  cooperation  between  the  authorities  responsible  for  implementation  and 
control at  Union,  national  and regional levels  to  achieve the objectives  of the 
Fund and synergies between measures under different objectives of the Fund. 

Operations  may  receive  support  from  other  Union  programmes  and  instruments 
provided that  such support and  milestones and targets  resulting  in  payments do not 
cover the same costs. For the purposes of the first subparagraph, Member States and 
the Commission shall cooperate in designing and implementing operations which are 

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42 

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cumulatively  financed  under  the  Plan  and  another  Union  programme  in  view  of 
avoiding double funding.  

Article 8 
Respect of the rights, freedoms and principles set out in the Charter of Fundamental Rights 

1. 

2. 

3. 

4. 

5. 

6. 

Member  States  shall  put  in  place  and  maintain  effective  mechanisms  to  ensure 
compliance of the measures supported by their  Plans and their implementation with 
the relevant provisions of the Charter of Fundamental Rights of the European Union 
throughout the implementation of the Fund (‘Charter horizontal condition’).  

They  shall  provide  an  assessment  of  those  mechanisms,  in  accordance  with  Article 
22(2), point (q) [requirements for the NRP Plan] and inform the Commission of any 
modification impacting the fulfilment of the Charter horizontal condition. 

Where  the  Commission  considers  that  a  Member  State  does  not  fulfil  or  no  longer 
fulfils the Charter horizontal condition, as provided for in paragraph 1, it shall notify 
the Member State concerned of its assessment, based on information provided by the 
Member State concerned in its NRP Plan, in response to Commission observations, 
and  taking  into  account  relevant  information,  including    the  Rule  of  Law  and 
European Semester country-specific reports. 

The  Member  State  concerned  may  present  its  observations  and  eventual  remedial 
measures,  including  changes  to  the  NRP  Plan,  within  two  months  following  the 
notification of the assessment pursuant to paragraph 2. 

Where  the  Commission  concludes  that  the  Charter  horizontal  condition  is  not 
fulfilled,  it  shall  adopt  an  implementing  decision  determining  the  non-fulfilment  of 
the  Charter  horizontal  condition  and  identifying  the  specific  measures  of  the  NRP 
Plan  affected  by  the  non-fulfilment,  within  two  months  of  receiving  the  Member 
State’s observations referred to in paragraph 3.  

For  that  purpose,  the  following  aspects  of  the  non-fulfilment  of  the  Charter 
horizontal condition shall be taken into consideration: 

(a) 

the actual or potential impact on the sound financial management of the Union 
budget or on the financial interests of the Union; 

(b) 

the nature, duration, gravity and scope.  

The  Member  State  may  submit  payment  applications  for  the  specific  measures 
identified  in  the  decision  referred  to  in  paragraph  4,  but  the  Commission  shall  not 
make  the  corresponding  payments  until  the  Charter  horizontal  condition  has  been 
fulfilled. 

The  Member  State  concerned  shall  inform  the  Commission  as  soon  as  it  considers 
that the Charter horizontal condition has been fulfilled. The Commission shall assess 
that information within two months from receipt. Where the Commission considers 
that  the  Charter  horizontal  condition  has  been  fulfilled,  it  shall  repeal  the  decision 
referred to in paragraph 4. 

Where the Commission disagrees with the Member State regarding the fulfilment of 
the Charter horizontal condition, it shall inform the Member State thereof and set out 
its assessment. 

7. 

The Commission shall reduce proportionately the Union financial contribution of the 
Member  State  as  regards  the  specific  measures  concerned  or,  in  respect  of  loan 

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43 

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8. 

1. 

2. 

3. 

4. 

5. 

6. 

support,  take  any  measure  available  under  the  loan  agreement,  where  the  decision 
referred to in paragraph 4 has not been repealed within one year of its adoption. 

If the breach identified by the Commission could also constitute a breach of the rule 
of law horizontal condition, the procedure of Article 9 shall be activated by priority. 

Article 9 
Respect for the principles of the rule of law 

Member States shall ensure the respect of the principles of the rule of law as set out 
in  Article  2,  point  (a),  and  Article  3  of  Regulation  (EU,  Euratom)  2020/2092 
throughout implementation of the Fund (the ‘rule of law horizontal condition’). They 
shall  inform  the  Commission  of  any  modification  impacting  the  fulfilment  of  that 
condition.  

Where  the  Commission  considers  that  a  Member  State  does  not  fulfil  or  no  longer 
fulfils  the  rule  of  law  horizontal  condition,  it  shall  notify  the  Member  State 
concerned  of  its  assessment,  taking  into  account  relevant  information,  including 
information provided by the Member State concerned in its NRP Plan, in response to 
Commission  observations,  and  the  Rule  of  Law  and  European  Semester  country- 
reports. 

The  Member  State  concerned  may  present  its  observations  and  eventual  remedial 
measures,  including  changes  to  the  NRP  Plan,  within  two  months  following  the 
notification of the assessment pursuant to paragraph 3. 

Where  the  Commission  concludes  that  the  rule  of  law  horizontal  condition  is  not 
fulfilled, it shall propose to Council an implementing decision determining the non-
fulfilment  of  the  Rule  of  Law  horizontal  conditions  and  identifying  the  specific 
measures  of  the  NRP  Plan  affected  by  the  non-fulfilment,  within  two  months  of 
receiving the Member State’s observations referred to in paragraph 4. 

For  that  purpose,  the  following  aspects  of  the  non-fulfilment  of  the  Rule  of  Law 
horizontal condition shall be taken into consideration: 

(a) 

the actual or potential impact on the sound financial management of the Union 
budget or on the financial interests of the Union; 

(b) 

the nature, duration, gravity, and scope.  

The Council shall adopt the implementing decision within four weeks of the adoption 
of the Commission proposal 

The  Member  State  may  submit  payment  applications  for  the  specific  measures 
identified  in  the  decision  referred  to  in  paragraph  4,  but  the  Commission  shall  not 
make  the  corresponding  payments  until  the  Rule  of  Law  horizontal  condition  has 
been fulfilled. 

The  Member  State  shall  inform  the  Commission  as  soon  as  it  considers  that  the 
breach of the rule of law horizontal condition has been remedied. The Commission 
shall  assess  that  information  within  two  months  of  receipt.  If  the  Commission 
considers that the breach has been remedied in full, it shall propose to the Council to 
repeal the decision referred to in paragraph 4. If the Commission considers that the 
breach  has  been  remedied  in  part,  it  shall  propose  to  the  Council  to  amend  the 
decision  referred  to  in  paragraph  4  accordingly.  The  Council  shall  adopt  the 

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44 

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7. 

8. 

1. 

2. 

implementing  decision  within  four  weeks  of  the  adoption  of  the  Commission 
proposal. 

The Commission shall reduce proportionately the Union financial contribution of the 
Member State as regards the specific measures of the Plan concerned or, in respect of 
loan  support,  take  any  measure  available  under  the  loan  agreement,  where  the 
decision  referred  to  in  paragraph  4  has  not  been  repealed  [within  [one]  year  of  its 
adoption]. 

The Commission shall immediately inform the European Parliament of any decision 
proposed, adopted, amended or repealed pursuant to paragraphs 4 and 6. 

TITLE II 
FINANCIAL FRAMEWORK 

CHAPTER 1 
Common provisions 

Article 10 
Budget 

The  financial  envelope  for  the  implementation  of  the  Fund  for  the  period  from  1 
January 2028 to December 2034 shall be EUR 865 076 000 000 in current prices. 

The financial envelope shall be allocated as follows: 

(a)  EUR 782 879 000 000 shall be allocated to the NRP Plans referred to in Title 

III in accordance with Annex I [Allocation key], of which: 

(i)  At least EUR 217 798 000 000 for less developed regions by establishing 
minimum amounts per Member State based on the methodology set out in 
Annex II; 

(ii)  At  least  EUR  295 700 000 000  for  CAP  interventions  referred  to  in 
Article 35(1) [types of support], paragraph 1, points (a) to (k) and (r) and 
paragraph 10 and for interventions listed in article 35 paragraph 11; 

(iii)  At least EUR 34 215 510 000 as follows: EUR 11 975 428 500 as set out 
in  Article  4  of  Regulation  (EU)  202X/XXX  [establishing  the  Union 
support for asylum, migration and integration for the period from 2028 to 
2034],  EUR  15 396 750 000  as  set  out  in  Article  4  of  Regulation  (EU) 
202X/XXX  [Establishing  the  Union  support  for  the  Schengen  area,  for 
European  integrated  border  management  and  for  the  common  policy  on 
visas for the period from 2028 to 2034] and EUR 6 843 331 500 as set out 
in  Article  4  of  Regulation  (EU)  202X/XXX  [establishing  the  Union 
support  for  internal  security  for  the  period  from  2028-2034]  for  the 
objectives set out in Article 3 of those Regulations. 

(b)  EUR 71 933 000 000 shall be allocated to the Facility referred to in Title IV;  

(c)  EUR  10 264 000 000  shall  be  allocated  to  the  Interreg  Plan  referred  to  in 

Chapter II of Regulation XX [Regional development, Interreg Plan]; 

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3. 

4. 

5. 

6. 

1. 

2. 

3. 

(d)  Up to 0.5% of the financial envelope shall be allocated to technical assistance 
at  the  initiative  of  the  Commission,  as  referred  to  in  Article  12  [technical 
assistance].  

In  addition  to  the  allocation  set  out  in  the  second  paragraph,  point  (a),  the  Union 
financial  contribution  shall  include  EUR  50 100 000 000  from  the  amounts  for  the 
Social Climate Fund set out in Article 30d(4), fourth subparagraph, points (c) to (g) 
of Directive 2003/87/EC to be implemented under the Plans, in accordance with the 
distribution  set  out  in  Annex  II  to  Regulation  (EU)  2023/955.  This  amount  shall 
constitute  external  assigned  revenue  within  the  meaning  of  Article  21(5)  of 
Regulation (EU, Euratom) 2024/2509.  

An  amount  of  EUR  150 000 000 000  of  loan  support  shall  be  available  to  Member 
States for the implementation of their Plans. 

At least 14 % of the financial envelope referred to in paragraph 2 and of the amount 
referred to in paragraph 4 shall be dedicated to meeting the Union’s social objectives, 
calculated  by  using  the  coefficients  referred  to  in  Article  6(1)  of  Regulation  (EU) 
[Performance Regulation]. The amount set out in paragraph 2, point (a) letter (ii), as 
well  as  the  external  assigned  revenue  from  the  Social  Climate  Fund,  shall  be 
excluded from the basis for the calculation of this minimum allocation. 

The Commission shall adopt an implementing act to establish the maximum amount 
to  be allocated per Member State by applying the methodology  set  out  in Annex I, 
with regard to the objectives referred to in Article 2 and 3.  

Article 11 
Additional resources and use of resources 

Member States, Union institutions, bodies and agencies, third countries, international 
organisations,  international  financial  institutions,  or  other  third  parties,  may  make 
additional  contributions  to  the  Fund.  Additional  financial  contributions  shall 
constitute external assigned revenue within the meaning of Article 21(2), points (a), 
(d), or (e) or Article 21(5) of Regulation (EU, Euratom) 2024/2509. 

For  the  purpose  of  implementing  a  measure  under  their  NRP  Plan,  Member  States 
may  propose  to  include  in  their  NRP  Plan,  as  estimated  costs,  the  amounts  of 
financial  contributions  to  be  made  by  Member  States  to  Union  programmes  or 
instruments implementing policies aligned to the objectives of the NRP Plan for the 
purposes  of  implementing  the  measure  through  those  programmes  or  instruments. 
Such contributions may also be made to the provisioning of the budgetary guarantee, 
to  the  financing  of  the  financial  instrument  or  to  any  amounts  of  non-repayable 
support when combined with the budgetary guarantee or the financial instrument in a 
blending operation, under the [ECF InvestEU Instrument]. The measure shall comply 
with  the  requirements  of  this  Regulation.  Where  such  amounts  contribute  to  the 
provisioning  of  the  budgetary  guarantee  under  [ECF  InvestEU  Instrument],  they 
shall,  where  relevant,  be  complemented  by  a  back-to-back  guarantee  from  the 
Member State covering the non-provisioned contingent liability. 

Member  States  may  at  the  time  of  submission  of  their  initial  Plan,  or  with  any 
request for amendment, request to reallocate part of the amount set out in Article 4 of 
Regulation (EU) XX (MIGRATION), Article 4 of Regulation (EU) XX (BORDERS) 
and Article 4 of Regulation (EU) XX (SECURITY) to implement objectives set out 
in  another of those Regulations. The Commission shall only  object  to  a request  for 

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reallocation  where  such  reallocation  would  affect  the  amended  Plan’s  compliance 
with the requirements of Article 22 set out in this Regulation. 

Article 12 
Technical assistance at the initiative of the Commission 

At  the  initiative  of  the  Commission,  the  Fund  may  support  technical  and 
administrative  assistance  for  the  implementation  of  the  Plan  and  the  Interreg  Plan, 
such  as  preparatory,  monitoring,  control,  audit  and  evaluation  activities,  corporate 
information  technology  systems  and  platforms,  information  and  communication 
activities,  including  through  the  set-up  of  EU-wide  networks  of  Member  States’ 
authorities and other relevant stakeholders, corporate communication on the political 
priorities of the Union, and all other technical and administrative assistance or staff-
related expenses incurred by the Commission for the management of the Fund, and 
where appropriate with third countries.  

The Fund shall also support all other technical and administrative assistance required 
to  implement  and manage the Common Agricultural  Policy  and Common  Fisheries 
Policy,  including  fisheries  control  and  enforcement  measures,  market  controls, 
collection  or  purchase  of  data,  including  satellite  data,  geo-spatial  data  and 
meteorological  data,  monitoring  of  resources,  development  and  maintenance  of 
electronic  certification  of  organic  products  and  related  corporate  information 
technology  systems,  development,  registration  and  protection  of  the  indications, 
abbreviations and symbols referring to  the Union quality schemes and contributions 
under international agreements.  

The  actions  referred  to  in  paragraph  1  may  cover  previous  and  subsequent 
programming periods. 

The Commission shall adopt a financing decision when a contribution from this Fund 
is  envisaged  in  accordance  with  Article  110  of  Regulation  (EU,  Euratom) 
2024/2509.  

Depending  on  the  purpose,  the  actions  referred  to  in  this  Article  may  be  financed 
either as operational or administrative expenditure. 

In  accordance  with  Article  196(2),  second  subparagraph,  point  (a),  of  Regulation 
(EU, Euratom) 2024/2509, in duly justified cases specified in the financing decision 
and  for  a  limited  period,  technical  assistance  actions  at  the  initiative  of  the 
Commission  supported  under  this  Regulation  in  direct  management  and  the 
underlying costs may be considered to be eligible from 1 January 2028, even if these 
actions were implemented and incurred before the grant application was submitted. 

Article 13 
Technical assistance at the initiative of the Member State 

At  the  initiative  of  a  Member  State,  the  Fund  may  support  actions,  which  may 
concern  previous  and  subsequent  programming  periods,  necessary  for  the  effective 
implementation of the Fund, including to provide financing for carrying out, amongst 
other,  functions  such  as  preparation,  training,  management,  monitoring,  evaluation, 
information, visibility and communication. 

Technical  assistance  to  each  NRP  Plan  and  each  Interreg  Plan  chapter  shall  be 
established  as  a  flat  rate  of  up  to  3%  and  8%  respectively,  applied  to  the  amount 

1. 

2. 

3. 

4. 

5. 

6. 

1. 

2. 

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in  each  payment  application  pursuant 

included 
[payment 
applications]. The  flat  rate  shall  be  10%  for  the  Interreg  Plan  chapters  supporting 
outermost cooperation and cooperation on external borders. 

to  Article  65 

3. 

4. 

5. 

1. 

In the event of a reduction of the Union financial contribution, including due to de-
commitment or a financial correction, the Member State shall, at  the closure of the 
NRP Plan, return to the Union budget any resources paid for technical assistance in 
accordance  with  paragraph  1  which  exceed  the  percentage  of  the  Union  financial 
contribution set out in paragraph 2.  

The  Member  States  shall  ensure  that  the  amounts  paid  by  the  Commission  for  the 
NRP  Plans  are  distributed  in  a  balanced  and  proportionate  manner  across  all  the 
chapters of the Plan to promote all supported objectives.  

The  Member  States  may  request  support  to  prepare  reforms  included  in  their  NRP 
Plans.  

CHAPTER 2 
Support under the Plans 

Article 14 
Budgetary commitments 

The  budgetary  commitments  of  the  Union  of  the  financial  allocation  of  each  Plan 
shall be made by the Commission in  annual  instalments  in  accordance with Article 
112(2) of Regulation (EU, Euratom) 2024/2509 during the period between 1 January 
2028 and 31 December 2034 as follows (rounded):  

(a) 

15.8% in 2028; 

(b)  15.5% in 2029; 

(c) 

15.1% in 2030; 

(d)  14.8% in 2031; 

(e) 

(f) 

14.4% in 2032; 

12.8% in 2033; 

(g)  11.7% in 2034. 

2. 

A flexibility amount, corresponding to 25% of the Union financial contribution of a 
Member State as set out in Annex  I [allocation method], shall only be available for 
programming as follows: 

(a)  Up to one fifth may be requested by a Member State in accordance with Article 
34  (Amendment  of  the  plan  in  case  of  crisis  situations),  with  the  remaining 
amount to be programmed in accordance with Article 25 (mid-term review);  

(b) 

(c) 

three fifths may be requested by a Member State in accordance with Article 25 
[midterm review] of which a part may be requested before the mid-term review 
in duly justified and exceptional circumstances; 

one fifth may only be requested by the Member State as of 2031, in accordance 
with Article 34 (Amendment of the plan in case of crisis situations). As of 30 
June 2033, any unprogrammed amount shall be available for programming for 
any amendment of the Plan. 

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The part of the financial contribution allocated to interventions referred to in Article 
35(1)  points  (a)  to  (h),  (j),  (k)  and  (r)    [types  of  intervention]  shall  not  be  counted 
towards the flexibility amount. 

For the flexibility amount, the time limit set out in Article 15(1) shall only start when 
amounts are programmed in accordance with points (a), (b), and (c).  

This paragraph does not apply to the Union financial contribution of a Member State 
to the Interreg Plan.  

Article 15 
Decommitments 

The Commission shall decommit any amount in an NRP Plan and the Interreg Plan 
chapter  which  has  not  been  used  for  pre-financing,  in  accordance  with  Article  17 
[pre-financing]  or  for  which  a  payment  application  has  not  been  submitted  in 
accordance  with  Articles  65  [submission  and  assessment  of  payment  applications], 
by  31  October  of  the  calendar  year  following  the  year  of  the  budgetary 
commitments.  

The amount concerned by decommitment shall be reduced by the amounts equivalent 
to that part of the budgetary commitment for which: 

(a) 

(b) 

the  operations  are  suspended  by  a  legal  proceeding  or  by  an  administrative 
appeal having suspensory effect; or 

it  has  not  been  possible  to  make  a  payment  application  for  reasons  of  force 
majeure  seriously  affecting  implementation  of  all  or  part  of  the  NRP  Plan  or 
the Interreg Plan chapter. 

The  national  authorities  claiming  force  majeure  as  referred  to  in  the  first 
subparagraph,  point  (b),  shall  demonstrate  the  direct  consequences  of  the  force 
majeure  on  the  implementation  of  all  or  part  of  the  NRP  Plan  or  the  Interreg  Plan 
chapter. 

By 31 January, the Member State shall send to the Commission information on the 
exceptions  referred  to  in  paragraph  2,  first  subparagraph  points  (a)  and  (b)  for  the 
amount to be declared by 31 December of the preceding year. 

The appropriations corresponding to decommitments in accordance with Article 7(3) 
of  Regulation  (EU,  Euratom)  2020/2092  and  Articles  8  [Charter]  and  9  [RoL 
horizonal  condition]  of  this  Regulation  may  be  made  available  again  for  use  under 
other  Union  instruments  or  programmes  implemented  under  direct  or  indirect 
management,  in  particular  those  contributing  to  supporting  Europe’s  democracy, 
civil society, Union values or the fight against corruption. 

This  Article  shall  not  apply  to  amounts  made  available  as  externally  assigned 
revenue and paragraphs 1 to 3 shall not apply to interventions listed in Article 35(1), 
(a) to (g) [types of intervention]. 

1. 

2. 

3. 

4. 

5. 

Article 16 
Procedure for decommitment 

1. 

On  the  basis  of  the  information  it  has  received  as  of  31  January,  the  Commission 
shall inform the Member State of the amount of the decommitment. 

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2. 

3. 

4. 

5. 

6. 

1. 

2. 

The  Member  State  shall  have  two  months  from  the  Commission’s  information 
referred to in paragraph 1 to agree to the amount to be decommitted or to submit its 
observations. 

Where  the  decommitment  concerns  amounts  committed  under  the  NRP  Plan,  the 
Member  State  shall  submit  to  the  Commission  a  request  for  an  amendment  of  the 
NRP  Plan  by  30  June  reflecting,  the  reduced  amount  of  support.  The  amounts 
concerned by the decommitment and the corresponding reduction shall be distributed 
in the NRP Plan based on the progress achieved in implementing measures across the 
chapters of the NRP Plan. 

For  the  Interreg  Plan,  financial  commitments  shall  be  made  at  the  level  of  the 
chapter.  Where  the  decommitment  concerns  amounts  committed  under  an  Interreg 
chapter,  the  Member  State  hosting  the  managing  authority  shall  submit  to  the 
Commission a request for an amendment of the Interreg chapter by 30 June reflecting 
the reduced amount of support.  

In  the  absence  of  a  submission  referred  to  in  paragraphs  3  and  4,  the  Commission 
shall reduce the contribution from the Fund for the calendar year concerned, no later 
than 31 October in accordance with those paragraphs. 

Following  the  decommitment  procedure  set  in  this  Article,  the  Commission  shall 
make a proposal for a new Council implementing decision approving the NRP Plan 
in  accordance  with  Article  23  reflecting 
the 
decommitment. 

the  amounts  concerned  by 

Article 17 
Pre-financing 

Subject  to  the  adoption  by  the  Council  of  the  implementing  decision  referred  to  in 
Article  23  and  to  the  availability  of  funds,  the  Commission  shall  make  a  pre-
financing payment. The amount of pre-financing shall be 10% of the Union financial 
allocation  referred  to  in Article  14  [budgetary  commitments]  and  shall  be  paid  in 
tranches over three consecutive years, as follows: 4% in 2028, 3% in 2029, and 3% 
in  2030.  Where  the  implementing  decision  is  adopted  by  the  Council  after  31  July 
2028, only the tranches of 2029 and 2030 shall be paid.  

The  Commission  shall  pay  a  pre-financing  of  an  amount  of  12%  of  the  Union 
financial contribution from the Fund to each Interreg Plan chapter, as set out in the 
implementing  act  approving  the  Interreg  Plan  chapter  pursuant  to  Article  8  of 
Regulation  XX  [Regional  development,  Interreg  Plan],  subject  to  available  funds. 
That amount shall be paid in three equal tranches of 4% over three consecutive years. 

Where an Interreg Plan chapter receives support from the Global Europe Instrument, 
specific rules for pre-financing derogating from this paragraph may be established in 
the  implementing  act  referred  to  in  paragraph  1  of  Article  8  of  Regulation  XX 
[Regional  development,  Interreg  Plan]  [Approval  and  amendment  of  the  Interreg 
Plan] .  

3. 

The amounts paid as pre-financing shall be cleared from the Commission accounts at 
the  latest  upon  reception  of  the  annual  assurance  package  for  the  last  year  of 
implementation. 

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1. 

 The request for loan support by a Member State shall set out the following: 

Article 18 
Request for a loan support 

(a) 

(b) 

(c) 

(d) 

the amount of the requested loan support;  

the measures in accordance with Article 21 [Preparation and submission of the 
Plan] to be financed by the loan support; 

the financial needs linked to the measures referred to in point (b); 

an explanation why the estimated cost of the NRP Plan is higher than the total 
of  the  Union  financial  contribution,  taking  into  account  the  national 
contribution. 

The loan support shall not be higher than the difference between the total estimated 
costs  of  the  Plan,  as  revised  where  relevant,  and  the  total  of  the  Union  financial 
contribution and the national contribution. 

The Member States shall submit to the Commission the request for loan support by 
31 January 2028. 

The  Commission  shall  allocate  the  amounts  of  loan  support  referred  to  in  Article 
10(4)  to  the  Member  States  while  taking  into  account  the  principles  of  equal 
treatment, solidarity, proportionality and transparency.  The share of loans granted to 
the three Member States representing the largest share of the loans granted shall not 
exceed 60 per cent of the maximum amount referred to in Article 10(4). 

Where, following the allocation of loans referred to in paragraph 3, amounts remain 
available for loan support, the Commission may publish new calls for expressions of 
interest for loan support. In such a case, the procedure set out in paragraphs 1 to 5 of 
this Article and Article 19 shall apply mutatis mutandis. 

The  loan  shall  be  paid  subject  to  the  fulfilment  of  milestones  and  targets  in 
accordance with Article 65 [payment application]. 

The Commission shall assess the request for loan support in accordance with Article 
23 [Commission proposal and Council implementing decision].  

Article 19 
Loan agreement and borrowing and lending operations 

In order to finance support under the Plan in the form of loans, the Commission shall 
be empowered, on behalf of the Union, to borrow the necessary funds on the capital 
markets  or from  financial  institutions in  accordance with  Article 224 of Regulation 
(EU, Euratom) 2024/2509. 

Upon  adoption  of  the  Council  implementing  decision  referred  to  in  Article  23 
[Commission  proposal  and  Council  implementing  decision],  the  Commission  shall 
enter into a loan agreement with the Member State. In addition to the elements laid 
down in Article 223(4) of Regulation (EU, Euratom) 2024/2509, the loan agreement 
shall  lay  down  the  maximum  loan  amount,  the  availability  period,  the  maximum 
duration  of  each  disbursement  of  the  loan  and  the  detailed  terms  and  conditions  of 
the support. Such agreements may also contain the amount of the pre-financing and 
rules on clearing of pre-financing  

2. 

3. 

4. 

5. 

6. 

1. 

2. 

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Article 20 
National contribution to estimated costs 

1. 

The  minimum  national  contribution  rate  to  the  estimated  costs  of  a  measure  of  the 
Plan shall not be lower than: 

2. 

3. 

4. 

1. 

2. 

3. 

(a) 

15% for less developed regions; 

(b)  40% for transition regions; 

(c) 

60% for more developed regions. 

Where  for  a  given  measure,  it  is  not  possible  to  determine  the  proportion  of 
implementation  in  less  developed  regions,  the  national  contribution  rate  to  the 
estimated  costs  shall  not  be  lower  than  the  population  weighted  average  of  the 
applicable contribution rates of its regions laid down in paragraph 1. 

The national contribution rate at the level of each Interreg chapter shall be no lower 
than  20%.  The  rate  shall  be  decreased  by  [5]  percentage  points  for  chapters 
supporting outermost regions’ cooperation and cross-border cooperation on external 
borders. 

No national contribution shall be requested for interventions referred to in Article 35, 
points  (a),  (b),  (c)  and  (g).  No  additional  national  financing  shall  be  provided  for 
those interventions. Any contribution  rate derogating from  those of paragraph 1 set 
out for interventions referred to in Title V, including where no national contributions 
are requested, shall only apply to a total amount of interventions not exceeding the 
Member  State’s  share  of  the  amount  set  out  in  Article  10(2),  point  (a)(ii),  as  laid 
down in Annex I. 

TITLE III 
NATIONAL AND REGIONAL PARTNERSHIP PLANS 

CHAPTER 1 
Preparation and adoption of the Plan 

Article 21 
Preparation and submission of the Plan 

Each  Member  State  shall  prepare  and  submit  to  the  Commission  the  NRP  Plan 
setting  out  their  agenda  of  reforms,  investments  and  other  interventions.  Each  Plan 
shall  comprise  measures  which  form  a  comprehensive  and  coherent  package.  The 
Member  State  shall  make  the  Plan  submitted  to  the  Commission  publicly  available 
on the website referred to in Article 64 [Transparency].  

Each  Member  State  shall  prepare  and  implement  the  Plan  in  partnership  with 
partners as set out in Article 6 [Partnership], including regional and local authorities, 
and  in  accordance  with  their  institutional,  legal  and  financial  framework.  The  Plan 
shall include national, sectoral and, where relevant, regional and territorial chapters.  

Only measures whose implementation started from 1 January 2028 shall be eligible 
for  financing  provided  that  they  comply  with  the  requirements  set  out  in  this 
Regulation and Regulations listed in Article 1 paragraph 1.  

By  way  of  derogation  from  the  first  subparagraph,  expenditure  related  to  legal 
commitments  to  beneficiaries  incurred  under  the  interventions  financed  under 

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Regulation  (EU)  2021/2115  may  be  eligible  for  contribution,  provided  such 
expenditure is provided in the relevant NRP Plan in accordance with this Regulation 
and Regulation (EU) 202X/XXXX [CAP Regulation]. 

Article 22 
Requirements for the NRP Plan 

1. 

Each  NRP  Plan  shall  be  duly  reasoned  and  substantiated  and  shall  set  out  the 
elements referred to in paragraph 2 of this Article, in accordance with the template 
set out in Annex V.  

2. 

The NRP Plan shall: 

(a) 

support  the  general  objectives  laid  down  in  Article  2  and  contribute  in  a 
comprehensive and adequate manner to all the specific objectives laid down in 
Article  3,  taking  into  account  the  specific  challenges  of  the  Member  State 
concerned,  and  provide  an  intervention  strategy  demonstrating  how  those 
objectives will be addressed and financed by the Plan, what level of financing 
is needed to ensure achievement of the general  objectives, and how that level 
of financing is justified.  The NRP Plan of Member State with a per capita GNI 
of less than 90 % of the Union average shall in  particular demonstrate that  it 
contributes in an adequate manner to the specific objectives set out in Article 
3(a), points (vii) and (ix), and Article 3(d), point (v). 

(b) 

effectively address all or a significant subset of challenges identified: 

(i) 

(ii) 

(iii) 

in  the  context  of  the  European  Semester,  in  particular  in  the  relevant 
country-specific  recommendations  addressed  to  the  Member  State, 
including those related to the European Pillar of Social Rights; 

in  other  relevant  documents  officially  adopted  or  assessed  by  the 
Commission  related  to  the  objectives  laid  down  in  Article  3  [specific 
objectives],  including  CAP  national  recommendations  laid  down  in 
Article  2  of  Regulation  (EU)  202X/XXXX  [CAP  Regulation],  Digital 
Decade recommendations based on Article 6 of the Decision establishing 
the Digital Decade Policy Programme, and National Energy and  Climate 
Plans; 

in  relevant  documents  and  strategies  adopted  by  the  Council  or  the 
Commission  in  the field  of internal security, European integrated border 
management,  visa  policy  and  asylum  and  migration,  taking  into  account 
the  Schengen  IT  architecture,  the  Schengen  evaluation  mechanism  in 
accordance with Regulation (EU) 2022/922, vulnerability assessments in 
accordance  with  Regulation  (EU)  2019/1896  and  the  European  Union 
Agency  for  Asylum  monitoring  mechanism 
in  accordance  with 
Regulation (EU) 2021/2303. 

The Member State shall provide an explanation on how the challenges and country-
specific  recommendations  are  addressed  by  the  NRP  Plan  and  what  level  of 
financing is envisaged and how the NRP Plan will: 

(a) 

be  consistent,  in  particular,  with  the  national  medium-term  fiscal  structural 
plans  under  Regulation  (EU)  2024/1263,  national  restoration  plans  under 

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(b) 

(c) 

Regulation (EU) 2024/1991 of the European Parliament and of the Council17, 
National  Energy  and  Climate  Plans  under  Regulation  (EU)  2018/1999  of  the 
European Parliament and of the Council18; and national digital decade strategic 
roadmaps under Decision (EU) 2022/2481 of the European Parliament and of 
the Council19; 

contribute  to  the  completion  of  the  Single  Market,  notably  by  providing  for 
measures  with  a  cross-border,  transnational  or  multi-country  dimension, 
including by taking into account projects located on the core and the extended 
core  network  as  defined  in  Regulation  (EU)  2024/1679  of  the  European 
Parliament and of the Council20 by  taking into account  and enabling, through 
national  network  developments,  projects  of  common  interest  as  defined  in 
Regulation  (EU)  2022/869  of  the  European  Parliament  and  of  the  Council21, 
and by supporting  Important Projects of Common European Interest (IPCEIs) 
and  operations  that  have  been  awarded  a  Competitiveness  Seal,  and  by 
implementing measures underpinning the Savings and Investments Union;  

provide the list and description of measures grouped in chapters, including the 
general and specific objectives that each of them primarily pursues and the list 
of  envisaged  milestones  and  targets,  with  their  indicative  completion  date 
during the programming period, including the additional measures and related 
milestones  and  targets  in  case  the  Member  State  concerned  requests  loan 
support.  Measures  linked  to  the  CAP  shall  comply  with  the  requirements  set 
out in Title V [CAP] and Regulation (EU) 202X/XXXX [CAP Regulation] and 
Regulation  (EU)  202X/XXXX  [CMO]  and  those  linked  to  the  Common 
Fisheries Policy with the requirements set out in Article XX of Regulation XX 
[CFP].  The  indicators  proposed  for  the  targets  shall  be  based  on  the  output 
indicators  listed  in  Annex  I  to  Regulation  (EU)  202X/XXXX  [Performance 
Regulation] except where duly justified; 

(d) 

set  out  the  total  estimated  costs  of  the  measures  in  accordance  with  the 
template  set  out  in  Annex  V,  as  part  of  the  Plan  or  of  a  request  for  its 
amendment,  for  a  total  amount  at  least  equivalent  to  the  sum  of  the  Union 

17 

18 

19 

20 

21 

Regulation (EU) 2024/1991 of the European Parliament and of the Council of 24 June 2024 on nature 
restoration  and  amending  Regulation  (EU)  2022/869  (OJ  L,  2024/1991,  29.7.2024,  ELI: 
http://data.europa.eu/eli/reg/2024/1991/oj). 
Regulation (EU) 2018/1999 of the European Parliament and of the Council of 11 December 2018 on the 
Governance  of  the  Energy  Union  and  Climate  Action,  amending  Regulations  (EC)  No  663/2009  and 
(EC)  No  715/2009  of  the  European  Parliament  and  of  the  Council,  Directives  94/22/EC,  98/70/EC, 
2009/31/EC,  2009/73/EC,  2010/31/EU, 2012/27/EU  and  2013/30/EU of  the  European  Parliament  and 
of the Council, Council Directives 2009/119/EC and (EU) 2015/652 and repealing Regulation (EU) No 
525/2013  of  the  European  Parliament  and  of  the  Council  (OJ  L  328,  21.12.2018,  p.  1,  ELI: 
http://data.europa.eu/eli/reg/2018/1999/oj). 
Decision  (EU)  2022/2481  of  the  European  Parliament  and  of  the  Council  of  14  December  2022 
establishing  the  Digital  Decade  Policy  Programme  2030  (OJ  L  323,  19.12.2022,  p.  4,  ELI: 
http://data.europa.eu/eli/dec/2022/2481/oj). 
Regulation (EU) 2024/1679 of the European Parliament and of the Council of 13 June 2024 on Union 
guidelines  for  the  development  of  the  trans-European  transport  network,  amending  Regulations  (EU) 
2021/1153  and  (EU)  No  913/2010  and  repealing  Regulation  (EU)  No  1315/2013  (OJ  L,  2024/1679, 
28.6.2024, ELI: http://data.europa.eu/eli/reg/2024/1679/oj). 
Regulation  (EU)  2022/869  of  the  European  Parliament  and  of  the  Council  of  30  May  2022  on 
guidelines  for  trans-European  energy  infrastructure,  amending  Regulations  (EC)  No  715/2009,  (EU) 
2019/942 and (EU) 2019/943 and Directives 2009/73/EC and (EU) 2019/944, and repealing Regulation 
(EU) No 347/2013 (OJ L 152, 3.6.2022, p. 45, ELI: http://data.europa.eu/eli/reg/2022/869/oj). 

EN 

54 

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(e) 

financial contribution, any requested loans, and national contribution,  together 
with  information  on  existing  or  planned  Union  financing  where  relevant, 
backed  up  by  appropriate  justification  and  by  explanations  of  how  it  is 
plausible and reasonable and in line with the principle of cost efficiency, sound 
financial management and commensurate to the expected economic and social 
impact.  The  non-programmed  amount  set  aside  as  flexibility  amount  shall  be 
considered as part of the total estimated costs of the measures; 

set out clear  arrangements for the effective monitoring and implementation of 
the Plan by the Member State concerned, including the responsible authorities 
and  monitoring  committees  reflecting  the  objective  of  establishing  a  robust 
multi  governance  system  based  on  the  partnership  principle,  the  envisaged 
approach  to  communication  and  visibility,  an  identification  of  potential 
technical  support  needs,  as  well  as  clear  and  effective  arrangements  between 
the  national  and  regional  authorities 
terms  of  responsibilities  for 
programming, 
financial  management,  monitoring  and 
evaluation,  in  accordance  with  the  institutional  and  legal  framework  of  the 
Member State; 

implementation, 

in 

(f) 

reduce economic, social and territorial disparities in less developed, transition 
and more developed regions, in particular by:  

(i) 

(ii) 

(iii) 

(iv) 

allocating  resources  to  less  developed,  transition  and  more  developed 
regions,  in  accordance  with  their  specific  challenges,  to  be  reported  in 
Annex V based on methodology set out in Annex VII;  

concentrate resources on less developed regions by establishing minimum 
amounts per Member State based on methodology set out in Annex II; 

focusing  on  the  specific  needs  of  border  regions,  northern  sparsely 
populated  regions,  rural  and  urban  areas,  areas  affected  by  industrial 
transition, islands,  to  be reported in  Annex  V based on methodology  set 
out in Annex VII; 

strengthening the economic and social development of outermost regions; 
to  be  set  out  in  dedicated  measures  for  the  territories  concerned  in 
accordance with Article 46; 

(g) 

concentrate resources on: 

(i) 

supporting generational renewal in the agricultural sector, in accordance 
with Article 8 of Regulation XX [CAP, generational renewal], as well as 
in the fisheries and aquaculture sector;  

(ii) 

social measures in accordance with Annex VI [social allocations]. 

(iii) 

supporting fisheries, aquaculture and maritime activities, including small 
scale fishing, the implementation of the CFP as set out in Regulation EU 
XX [CFP] as well as the European Ocean Pact in accordance with Annex 
V [Plan’s template]. 

(h) 

effectively contribute to:  

(i) 

promoting the use of cooperation interventions as referred to in Article 74 
[cooperation  interventions],  including  integrated  territorial  investment  in 
cities,  urban,  rural  and  coastal  areas,  community-led  local  development, 

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55 

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(ii) 

(iii) 

or other territorial tools including just transition and smart specialisation 
strategies, as well as LEADER as referred to in Article 77 [LEADER]; 

improving  farm  resilience  and  management  of  risks  at  farm  level  and 
supporting  the  digital  and  data-driven  transition  of  agriculture  and  rural 
areas to enhance their competitiveness, sustainability and resilience; 

the  environmental  and  climate  priority  areas  set  out  in  Article  4  of 
Regulation  (EU) 202X/XXXX [CAP  - Environment and climate priority 
areas]. 

(i) 

promote  partnership,  knowledge  exchange  and  as  relevant  distribution  of 
agricultural products by setting out:  

(i)  which  stakeholders  have  been  consulted,  how  these  were  selected,  how 
their  representativeness  and  prevention  of  conflict  of  interest  has  been 
ensured and how their input is reflected in the Plan in line with the code 
of  conduct  on  partnership22,  and  by  including  a  summary  of  the 
consultation  process  conducted  for  the  preparation  of  the  Plan  and  each 
chapter; 

(ii) 

an  Agricultural  Knowledge  and  Innovation  System 
its 
organisation  set-up  in  accordance  with  Article  20  of  Regulation  (EU) 
202X/XXXX [CAP Regulation – Agricultural knowledge and innovation 
systems and farm advisory services]; 

including 

(iii) 

the modalities for the EU school scheme in accordance with  Title I, Part 
II, Chapter IIa of Regulation (EU) No 1308/2013. 

(j) 

(k) 

(l) 

specify the way in which the NRP Plan and its implementation comply with the 
principle  set  out  in  Article  6(3),  including  a  description  of  the  protective 
practices  referred  to  in  Article  3(4)  of  Regulation  (EU)  202X/XXXX  [CAP 
Regulation],  their  territorial  scope,  farmers  and  other  beneficiaries  subject  to 
the  practice  and  a  summary  of  the  protective  practice,  and  complementarity 
between  the  elements  of  the  farm  stewardship  and  the  relevant  measures 
supported under the NRP Plan;  

explain  how  the  Member  State’s  system  and  arrangements  are  sufficient  to 
ensure a regular, effective and efficient use of Union resources, in compliance 
with  sound financial management and the protection of the financial interests 
of  the  Union,  based  on  the  key  requirements  laid  down  in  Annex  IV  [key 
requirements], together with measures to address potential deficiencies; 

specify the arrangements in place to ensure that in the event of interruption of 
payment  deadlines  or  suspension  of  Union  funding,  financial  corrections  or 
other  measures  to  ensure  the  protection  of  Union’s  financial  interests,  the 
Member States will comply with their obligations to continue the payments to 
beneficiaries, recipients, final recipients, contractors and participants; 

(m)  where  appropriate,  provide  a  security  self-assessment  based  on  common 
objective criteria identifying any security issues, and detailing how those issues 
will be addressed in order to comply with relevant applicable law. 

22 

Commission  Delegated  Regulation  (EU)  No  240/2014  of  7  January  2014  on  the  European  code  of 
conduct on partnership in the framework of the European Structural and Investment Funds (OJ L 74, 
14.3.2014, p. 1). 

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56 

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(n) 

(o) 

(p) 

(q) 

(r) 

justify  the  coherence  of  the  Plan  and  the  synergies  and  complementarities 
between measures supporting the objectives as referred to in Articles 2 and 3, 
with  a  description  of  how  the  needs  of  more  than  one  target  group  will  be 
addressed,  including  the  needs  of  rural  and  coastal  communities,  and  the 
arrangements in place to capitalise on such synergies ; 

 provide  a  self-assessment  of  the  compliance  with  the  Charter  horizontal 
condition referred to in Article 8 [Charter Article]; 

specify the way in which the Plan and its envisaged implementation ensure the 
respect  of the Rule of Law horizontal  condition  referred to  in  Article 9 [RoL 
horizontal  condition],  including  the  follow-up  given  to  the  country-specific 
recommendations issued in the framework of the latest Rule of Law Report and 
European Semester, together with measures to address those identified country-
specific challenges. 

ensure that the NRP Plan contributes to the Union’s social objectives. At least 
14%  of  the  total  Union  contribution  and  loans  shall  be  dedicated  to  meeting 
these objectives, calculated by using the coefficients referred to in Article 6(1) 
of  Regulation  (EU)  …/…  [Performance  Regulation].  The  amount  set  out  in 
Article  10(2),  point  (a)  (ii),  as  well  as  externally  assigned  revenue  from  the 
Social Climate Fund shall be excluded from the basis for the calculation of this 
minimum allocation. 

ensure that the NRP Plan contributes to the Union's climate and environmental 
objectives.  A  minimum  percentage  of  the  total  Union  allocation  of  the  NRP 
Plan  shall  be  dedicated  to  meeting  these  objectives,  corresponding  to  the 
specific  climate  and  environment  spending  target  referred  to  in  Annex  III  of 
Regulation (EU) …/… [Performance Regulation]. 

By  way  of  derogation  from  paragraph  1,  the  Commission  may  request  Member 
States to contribute a lower or higher minimum percentage of the total allocation of 
the plan for  climate and environmental objectives. The specific percentage shall be 
established by the Commission in the context of the approval of the NRP Plan. 

The  determination  of  the  percentage  shall  take  into  account  the  Commission's 
assessment  of  the  Member  State's  progress  and  projected  trajectory  towards 
achieving their targets under Regulation (EU) 2018/842 (Effort Sharing Regulation), 
as detailed in its most recent National Energy and Climate Plan assessment, and their 
targets  under  Regulation  (EU)  2024/1991  (Nature  Restoration  Regulation),  in 
accordance with the Nature Restoration Plans. 

The Commission is empowered to adopt delegated acts in accordance with Article 87 
[Exercise of the delegation] to amend the template set out in Annex V. 

Article 23 
Commission proposal and Council implementing decision 

The Commission shall assess the Plan or the amended Plan submitted by the Member 
State  and its  compliance with  this  Regulation  within  four  months  of its submission 
and  make  a  proposal  for  a  Council  implementing  decision.  When  carrying  out  the 
assessment,  the  Commission  shall  ensure  that  the  NRP  Plan  complies  with  all 
requirements laid down in this Regulation, in particular in Article 22.   

3. 

1. 

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2. 

The  Commission  may  make  observations  to  Member  States  and  request  additional 
information.  

3. 

4. 

5. 

6. 

7. 

In  duly  justified  cases,  the  Commission  may  request  the  inclusion  of  additional 
measures or the modification of measures proposed by the Member State. 

The Member State shall provide the requested additional information and, if needed, 
review  its  Plan,  taking  into  account  the  observations  and  requests  made  by  the 
Commission.  The  deadline  set  out  in  paragraph  1  shall  be  interrupted  from  the 
working  day  following  the  date  following  that  on  which  Commission  sends  its 
observations  or  a  request  for  revised  documents  to  the  Member  State  and  until  the 
Member State responds to the Commission. 

Where the Plan does not comply with the requirements referred to in paragraph 1, the 
Commission  shall  communicate  a  duly  justified  reasoning  to  the  Member  State 
concerned within the deadline set out in paragraph 1. 

Where  the  Commission  concludes  that  the  Plan  complies  with  the  requirements 
referred  to  in  paragraph  1,  the  Commission  proposal  for  a  Council  implementing 
decision shall lay down: 

(a) 

(b) 

the total Union contribution. 

the amount of the loan support where the Member State concerned makes such 
a  request;  and  the  related  amount  of  pre-financing,  as  well  as  the  availability 
period of the loan; 

(c) 

the list of measures covered by the Union contribution and loans contained in 
the NRP Plan; 

In duly justified cases, where the Commission concludes that one or more measures 
of the Plan do not comply with the requirements referred to in paragraph 1, and that a 
corresponding  request  made  in  accordance  with  paragraph  2,  second  subparagraph, 
has  not  been  satisfactorily  addressed  by  the  Member  States,  it  may  include  in  the 
Commission proposal referred to in paragraph 4 an identification of the deficiencies 
affecting those measures.  

The Council shall adopt the implementing decisions referred to in paragraph 1, as a 
rule, within four weeks of the adoption of the Commission proposal. 

Once the Council has adopted an implementing decision as referred to in paragraph 
6,  the  Commission  shall  adopt  a  financing  decision  within  the  meaning  of  Article 
110 of Regulation (EU, Euratom) 2024/2509, including the following: 

(a) 

the  milestones  and  targets  in  relation  to  the  implementation  of  measures 
contained  in  the  NRP  Plan,  and  for  each  of  them,  the  corresponding  pay-out 
value; 

(b) 

the  Union  contribution  per  year,  based  on  the  percentages  set  out  in  Article 
14(1) [commitments]; 

The  notification  of  that  Commission  decision  to  the  Member  State  concerned  shall 
constitute a legal commitment.   

Where Article 4(2), point (b), of the MFF Regulation applies, that financing decision 
may be amended in accordance with the outcome of the annual budgetary procedure. 

8. 

Payment applications for the specific measures affected by deficiencies identified in 
the  implementing  decisions  adopted  by  the  Council  may  be  submitted  by  the 

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Member  State  concerned,  but  the  Commission  shall  not  make  the  corresponding 
payments until the deficiencies have been remedied. 

CHAPTER 3  
Revision of the NRP Plan 

Article 24 
Amendment of the NRP Plan 

1. 

2. 

3. 

4. 

5. 

A  Member  State  may  submit  to  the  Commission  a  reasoned  request  for  an 
amendment  of  its  NRP  Plan,  together  with  the  amended  NRP  Plan,  setting  out  the 
expected impact of that amendment on the achievement of the objectives laid down 
in Articles 2 and 3. 

The  Commission  shall  assess  the  compliance  of  the  amended  NRP  Plan  with  this 
Regulation,  including  Article  23  [Commission  proposal  and  Council  implementing 
decision], and may make observations within three months of the submission of the 
amended NRP Plan. 

In  duly  justified  cases,  irrespective  of  whether  the  Member  State  submitted  a 
reasoned  request  for  an  amendment  of  its  NRP  Plan  pursuant  to  paragraph  1,  the 
Commission may also propose to the Member State to amend existing measures or to 
introduce new ones. 

The Member State shall review the amended  NRP Plan within one month from the 
date  of  submission  of  the  Commission’s  observations  referred  to  in  paragraph  2, 
taking into account the observations and the proposals by the Commission as referred 
to paragraphs 2 or 3. 

Where  the  Commission  has  not  submitted  observations  or  where  it  is  satisfied  that 
any observations made have been duly taken into account, and where the amendment 
of the NRP Plan would result in a modification of the total Union contribution, of the 
amount of loan support or the list of measures or in one or more measures of the Plan 
no longer complying with the requirements referred to in Article 23(1) [Commission 
proposal and Council implementing decision], the Commission shall make a proposal 
for a new Council implementing decision in accordance with Article 23 no later than 
four months after the submission of the amended NRP. The Council shall adopt the 
new  implementing  decision,  as  a  rule,  within  four  weeks  of  the  adoption  of  the 
Commission  proposal.  The  Commission  shall  then  amend  the  financing  decision 
referred  to  in  Article  23(7)  [Commission  proposal  and  Council  implementing 
decision] accordingly.  

Where the amendment of the NRP Plan would not result in a modification of the total 
Union  contribution,  of  the  amount  of  loan  support  or  the  list  of  measures,  the 
Commission shall proceed directly by amending the financing decision referred to in 
Article  23(7) 
implementing  decision] 
accordingly. 

[Commission  proposal  and  Council 

6. 

The adoption of the decisions referred to in paragraph 5 shall not be required: 

(a) 

for  corrections  of  a  purely  clerical  or  editorial  nature  or  in  the  case  of  minor 
adjustments to the NRP Plan, representing an increase or decrease of less than 
5 % of a target set out in the NRP Plan. Member States shall apply those rules 
only  once  per  target  and  shall  notify  the  Commission  of  such  adjustments. 

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7. 

8. 

9. 

Such  amendments  shall  comply  with  all  requirements  of  the  NRP  Plan, 
including the revision of costing information; 

(b) 

for amendments in accordance with Article 31(7). 

Member States shall ensure that the amount of the estimated total costs of their NRP 
Plan  remain  reasonable  and  plausible  throughout  its  implementation,  in  accordance 
with the principle of sound financial management, and request an amendment of their 
Plan where necessary in accordance with paragraph 1.    

The specific measures identified in the implementing decision referred to in Article 
9(4)  or  subject  to  a  decision  imposing  measures  for  the  protection  of  the  budget 
under Regulation (EU, Euratom) 2020/2092 shall not be amended until the decision 
has  been  repealed,  unless  the  amendment  is  intended  to  support  measures  that 
contribute to the fulfilment of the Rule of Law horizontal condition or to addressing 
the situation that led to the adoption of the aforementioned decisions. 

The specific measures identified in the implementing decision referred to in Article 
8(4) [Charter conditions] shall not be amended until the decision has been repealed, 
unless the amendment is intended to support measures that contribute to: 

(a) 

(b) 

the fulfilment of the Charter horizontal condition; 

addressing significant changes in the priorities of the Union, within the limit of 
30% of the amounts associated with the specific measures concerned. 

10. 

Member  States  shall  not  be  required  to  review  parts  of  the  NRP  Plan  that  are  not 
directly affected by the intended changes proposed by the Member State.  

Article 25 
Mid-term review 

1. 

The Member State shall review their  NRP  Plans, taking into account  the following 
elements: 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

the  challenges  identified  in  accordance  with  Article  22(2),  points  (a),  (b)  and 
(c) [Requirements of the Plan];   

the  socio-economic  situation  of  the  Member  State  or  region  concerned,  with 
special  emphasis  on  territorial  needs,  taking  into  account  any  major  negative 
financial, economic or social development;  

the main results of relevant interim assessment reports; 

the progress  towards the achievement of measures, taking into  account  major 
difficulties encountered in the implementation of the NRP Plan; 

Important  Projects  of  Common  European  Interest  (IPCEI)  and  projects  that 
have been awarded a Seal; 

occurrence of any crisis; 

the need to ensure continuous compliance of the Rule of Law and the Charter 
into 
horizontal  conditions 
consideration  in  particular  the  country-specific  challenges  identified  in  the 
context of the Rule of Law Report and the European Semester. 

implementation  of 

the  Plan, 

taking 

the 

in 

2. 

The Member State shall submit an amended NRP Plan presenting the outcome of the 
mid-term  review,  including  a  review  of  the  estimated  total  costs  of  the  measures 

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covered  by  the  Plan  and  a  proposal  for  additional  measures  to  be  supported  by  the 
flexibility amount referred to in Article 14(2) by 31 March 2031.  

3. 

The amended NRP Plan shall include the following: 

(a) 

(b) 

revised or new measures; 

the  updated  estimated  total  costs  of  the  Plan  and  the  flexibility  amount 
requested; 

(c) 

revised or new milestones and targets. 

4. 

The revised Plan shall be approved in accordance with Article 24 [on amendment].  

TITLE IV 
EU FACILITY 

1. 

2. 

3. 

Article 26 
General provision on the implementation of the EU Facility 

The  amount  referred  to  in  Article  10(2),  point  (b),  [Budget]  shall  be  allocated 
through the Facility.  

It shall be implemented under shared, direct or indirect management as set out in the 
financing decision adopted in accordance with Article 31(1). 

The Facility  may provide funding  in  any form in accordance  with  Regulation (EU, 
Euratom) 2024/2509. It may take the form of grants awarded directly to bodies under 
Article 70 of Regulation (EU, Euratom) 2024/2509. Grants implemented under direct 
management  shall  be  awarded  and  managed  in  accordance  with  Title  VIII  of  that 
Regulation.  The  Facility  may  also  provide  funding  in  the  form  of  budgetary 
guarantees and financial instruments, including when combined with grants or with 
other forms of non-repayable support in blending operations of financial instruments 
within blending operations. 

4. 

Funding from the Facility shall be used for its components, which are as follows: 

(a)  EUR 63 223 000 000 billion for Union actions, including the Unity Safety Net 
as  referred  to  in  paragraph  1,  point  (j)  of  Annex  XV  [Union  actions],  Union 
actions  as  referred  to  in  paragraph  1,  point  (l)  of  Annex  XV  (Union  actions 
supported  by  the  EU  Facility,  Home  affairs  actions),  support  LIFE  actions  as 
referred to in paragraph 1, point (n) of Annex XV [Union actions], Solidarity 
Actions  as referred to  in  paragraph 1, point (i) of Annex XV  [Union  actions] 
supported by the EU Facility; 

(b)  EUR  8 710 000 000  for  emerging  challenges  and  priorities  cushion  (the 

‘budget cushion’). 

5. 

6. 

The  Commission  shall  establish  the  overall  amount  to  be  made  available  for  the 
Facility under the annual appropriations of the Union budget.  

Union actions  as  referred to  in paragraph  1, point  (c) of Annex XV  [Union  actions 
supported  by  the  EU  Facility,  social  investment  and  skills  policy  window]  shall  be 
implemented  in  accordance  with  paragraphs  7,  8,  9  of  this  Article  and  Article  27 
[Implementation  in  the  form  of  budgetary  guarantees,  financial  instruments  and 
blending operations].  

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7. 

8. 

9. 

10. 

11. 

Articles 21 to 25 [ECF InvestEU Instrument], Article 14 [Governance and Advisory 
Boards],  Article  1  [Subject  matter],  Article  31  [Access  to  Union  funding],  26 
[Advisory  services]  and  Article  28  [Business  support]  of  Regulation  [ECF]  shall 
apply to the implementation of those Union actions. 

For the purposes of Union actions referred to in paragraph 1, point (c) of Annex XV, 
the  financial  envelope  of  the  Facility  shall  be  used  for  the  provisioning  of  the 
respective amount of the budgetary guarantee established by the [ECF Regulation].    

In  accordance  with  Article  214(2)  of  Regulation  (EU,  Euratom)  2024/2509,  the 
provisioning referred to in paragraph 7 shall be constituted until [2037] and shall take 
into  account  the  progress  in  the  approval  and  signature  of  the  financing  and 
investment operations supporting the objectives of the Facility. 

Member States, Union institutions, bodies and agencies, third countries, international 
organisations,  international  financial  institutions,  or  other  third  parties,  may  make 
additional financial or non-financial contributions available to the Facility. Financial 
contributions shall constitute external assigned revenue within the meaning of Article 
21(2), points (a), (d), or (e) or Article 21(5) of Regulation (EU, Euratom) 2024/2509.  

By way of derogation from Article 63 and Article 64 [data collection and recording 
and  transparency],  where  the  Facility  is  implemented  in  direct  or  indirect 
management, the rules set out in Article 36(6) and (10) and Article 38 of Regulation 
(EU, Euratom) 2024/2509 shall apply. 

The Facility may provide Union support to actions in or in relation to third countries, 
provided  that  the  action  contributes  to  the  objectives  set  out  in  Articles  2  and  3  of 
this  Regulation,  Article  3  of  Regulation  [asylum  and  migration],  Article  3  of 
Regulation  [borders and  visa], and Article  3  of Regulation  [internal  security]. Such 
actions  shall  serve  the  interests  of  internal  Union  policies  and  be  consistent  with 
activities undertaken within the Union. 

Article 27 
Implementation in the form of budgetary guarantees, financial instruments and blending 
operations 

1. 

2. 

3. 

4. 

The  budgetary  guarantee  and  financial  instruments,  including  when  combined  with 
grants or with other forms of non-repayable support in blending operations, under the 
Facility,  shall  be  implemented  in  accordance  with  Title  X  of  Regulation  (EU, 
Euratom) 2024/2509. 

By way of derogation from Article 211(5) of Regulation (EU, Euratom) 2024/2509, 
where financial instruments or budgetary guarantees are implemented under indirect 
management,  the  Commission  shall  conclude  agreements  with  entities  pursuant  to 
Article 62(1), first subparagraph, point (c) of that Regulation.  

Where the financing decision implementing the Facility provides for Union funding 
in the form of a budgetary guarantee, it shall use the budgetary guarantee established 
by Regulation XX [ECF Regulation] within its maximum amount.  

Without prejudice to Article 26(9), specific contributions to the budgetary guarantee 
established by the [ECF] or to financial instruments may be made by Member States, 
third countries and other third parties in accordance with Article 211(2) and  Article 
221(2) of Regulation (EU, Euratom) 2024/2509. Such contributions to the budgetary 
guarantee shall result in an additional amount of the budgetary guarantee.    

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5. 

1. 

Where such contributions are made in the form of cash, they shall constitute external 
assigned  revenue  within  the  meaning  of  Article  21(2)  points  (a),  (d)  and  (e)  and 
Article 21(5) of Regulation (EU, Euratom) 2024/2509.  

The Commission  shall grant  the budgetary guarantee or entrust the implementation 
of financial instruments and blending operations through the contribution agreements 
or guarantee agreements concluded under Regulation [ECF Regulation] with entities 
referred to in Article 62(1), first subparagraph, point (c) of Regulation (EU, Euratom) 
2024/2509 in line with the rules of the Regulation [ECF Regulation]. 

Notwithstanding  the  first  subparagraph,  the  Commission  may  conclude  separate 
contribution  agreements  or  guarantee  agreements  with  other  entities  than  those 
referred  to  in  that  subparagraph  in  line  with  the  rules  of  the  Regulation  [ECF 
Regulation]. 

Article 28 
Third countries associated  

The  Facility  may  be  opened  to  the  participation  of  the  following  third  countries 
through  full  or  partial  association,  in  accordance  with  the  objectives  laid  down  in 
Articles 2 and 3 and in accordance with the relevant international agreements or any 
decisions adopted under the framework of those agreements and applicable to:   

(a)  members  of  the  European  Free  Trade  Association  which  are  members  of  the 

European Economic Area, as well as European Micro-States;   

(b) 

acceding countries, candidate countries and potential candidate countries;   

(c)  European Neighbourhood Policy countries;   

(d)  other third countries.   

2. 

The Association Agreements for programme participation shall:   

(a) 

(b) 

ensure  a  fair  balance  as  regards  the  contributions  and  benefits  of  the  third 
country participating in the Union programmes;   

lay  down  the  conditions  of  participation  in  the  programmes,  including  the 
calculation of financial contributions, consisting of an operational contribution 
and a participation fee, to a programme and its general administrative costs;   

(c) 

not confer on the third country any decision-making power in the programme;   

(d)  guarantee the rights of the Union to ensure sound financial management and to 
protect its financial interests. The third country shall grant the necessary rights 
and  access  required  under  Regulation  (EU,  Euratom)  2024/2509  and 
Regulation  (EU,  Euratom)  No  883/2013,  and  guarantee  that  enforcement 
decisions imposing a pecuniary obligation on the basis of Article 299 TFEU, as 
well  as  judgements  and  orders  of  the  European  Court  of  Justice,  are  directly 
enforceable;   

(e)  where relevant,  ensure the protection of security and public order interests  of 

the Union.  

3. 

By  way  of  derogation  from  paragraph  1,  participation  of  third  countries  shall  be 
excluded  for  measures  contributing  to  the  specific  objectives  set  out  in  Article  3, 
points (d)(i), (ii) and (iii). 

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Article 29 
Support for activities in or in relation to third countries 

Union support may be provided for actions in or in relation to third countries, provided that 
those  actions  contribute  to  the  objectives  set  out  in  Article  3  [Specific  objectives].  Such 
actions  shall  serve  the  interests  of  internal  Union  policies  and  be  consistent  with  activities 
undertaken within the Union.  

1. 

2. 

3. 

4. 

1. 

2. 

Article 30 
Eligible entities under direct and indirect management 

In  award  procedures  for  grants,  prizes,  financial  instruments  and  blending  under 
direct and indirect management the following legal entities may be eligible to receive 
Union funding:  

(a) 

entities established in a Member State or an associated third country;  

(b) 

international organisations;  

(c) 

other entities established in non-associated third countries where the funding of 
such  entities  is  essential  for  implementing  the  action  and  contributes  to  the 
objectives set out in Articles 2 and 3.  

In  addition  to  Article  168(2)  and  (3)  of  Regulation  (EU,  Euratom)  2024/2509, 
associated  third  countries  referred  to  in  Article  28  of  this  Regulation  may,  where 
relevant,  participate  in  and  benefit  from  any  procurement  mechanisms  set  out  in 
Article 168(2) and (3) of Regulation (EU, Euratom) 2024/2509. Rules applicable to 
Member  States  shall  be  applied,  mutatis  mutandis,  to  participating  associated  third 
countries.  

Award  procedures  affecting  security  or  public  order,  in  particular  concerning 
strategic assets and interests of the Union or its Member States, shall be restricted in 
accordance with Article 136 of Regulation (EU, Euratom) 2024/2509. 

The  work  programme  referred  to  in  Article  110  of  Regulation  (EU,  Euratom) 
2024/2509 or the documents related to the award procedure may further specify the 
eligibility  criteria  set  out  in  this  Regulation  or  set  additional  eligibility  criteria  for 
specific  actions.  In  particular,  in  award  procedures,  the  eligibility  of  high-risk 
suppliers shall be restricted in line with EU law, for security reasons. 

Article 31 
Union actions 

The Commission shall, by means of implementing acts, adopt a financing decision as 
referred  to  in  Article  110  of  Regulation  (EU,  Euratom)  2024/2509  identifying 
objectives  and  actions  to  be  supported  and  specifying  the  amounts  for  the  Union 
actions  set  out  in  Annex  XV  to  this  Regulation  [Union  actions].  That  financing 
decision may be annual or multiannual. The identification of objectives and actions 
shall  be  based  on  fair  and  transparent  criteria  and  shall  ensure  a  balanced 
distribution.  

For the purposes of Union actions referred to in paragraph 1, point (j) of Annex XV 
to  this  Regulation  [Union  actions,  Unity  Safety  Net]  and  subject  to  budgetary 
availabilities, the financing decision referred to in paragraph 1 shall be amended, as 
appropriate to support the adoption of the delegated or implementing acts pursuant to 
Regulation (EU) No 1308/2013. Those Union actions shall be considered as output-

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based  interventions  and  shall  be  implemented  under  shared  management  in 
accordance with the provisions established under this Regulation. 

3. 

The financing decision referred to in paragraph 1 shall take into account the share of 
the amounts that the Commission is to make available to the Member States: 

4. 

5. 

6. 

7. 

(a) 

(b) 

in  accordance  with  Articles  7  of  Regulation  XX  [Borders  Regulation]  which 
shall  constitute  internal  assigned  revenue  in  accordance  with  Article  21(3)  of 
Regulation (EU, Euratom) 2025/2509 and 

in  accordance  with  Article  8  of  Regulation  XX  [Borders  Regulation]  and 
Article  9  of  Regulation  XX  [Migration  Regulation]  which  shall  constitute 
external assigned revenue in accordance with Article 21(5) of Regulation (EU, 
Euratom) 2025/2509. 

The  amounts  referred  to  in  the  first  subparagraph  shall  be  made  available  in 
accordance with paragraph 7 of this Article. 

Where  the  Union  action  is  implemented  in  direct  management,  members  of  the 
evaluation  committee  referred  to  in  Article  153  of  Regulation  (EU,  Euratom) 
2024/2509 may be external experts.  

Contributions  to a mutual  insurance mechanism may cover the risk associated with 
the recovery of funds due by recipients and shall be considered a sufficient guarantee 
under Regulation (EU, Euratom) 2024/2509.  

Where  the  Union  action  is  implemented  in  shared  management,  the  Member  State 
shall receive Union support for the implementation  of that action, in  addition  to its 
financial contribution under Article 10 [Budget].  

The funding for Union actions shall not be used for other measures in the Member 
State’s  NRP  Plan,  except  in  duly  justified  circumstances  and  as  approved  by  the 
Commission  through  the  amendment  of  the  Member  State’s  NRP  Plan,  including 
where  resources  are  reprogrammed  under  the  Plan  in  accordance  with  Article  34  [ 
amendment of the Plan in crisis situations]. 

The second subparagraph shall apply also where  resources are reprogrammed under 
the Plan in accordance with Article 34 [amendment of the Plan in crisis situations]. 

Where the Union action is implemented in accordance with paragraph 6, taking into 
account the type of Union action and the preference of the Member State concerned, 
the  Commission  may  allocate  funding  from  the  EU  Facility  to  a  Member  State  in 
accordance with the financing decision referred to in paragraph 1. Following such an 
allocation,  the  Member  State  concerned  shall  propose  additional  measures  to  be 
added  to  the  NRP  Plan.  This  procedure  shall  not  be  used  for  the  Union  actions 
referred to in paragraph 1, point (i) of Annex XV and actions concerning more than 
one  Member  State  of  Annex  XV  [Union  actions]  and,  by  way  of  derogation  from 
Article  13(3)  [Technical  assistance  at  the  initiative  of  Member  States],  shall  not 
increase the Union support for technical  assistance.  If the Commission accepts  part 
of  or  all  of  the  proposed  additional  measures,  it  shall  notify  the  Member  State 
accordingly.  This  notification  shall  constitute  a  legal  commitment,  complementing 
the legal commitment referred to in Article 23(7). The Member State shall include all 
accepted additional measures in its Plan, for information, at the occasion of the next 
amendment requiring decisions in accordance with Article 24(5).  

8. 

Where  a  NRP  Plan  is  amended  in  order  to  provide  a  response  to  Union  actions  as 
referred to in paragraph 1, point (i) of Annex XV (Union actions, natural disasters), 

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9. 

10. 

11. 

the measures  requested  by  the Member State and related to  such amendments  shall 
be eligible from the date when the crisis occurred and shall be programmed for the 
objective  “Supporting  measures  for  addressing  crisis  via  reconstruction,  repair  and 
enhancing resilience“. That objective shall be additional to those laid down in Article 
2 and 3 (objectives of the Plan) and shall only be used for measures programmed as a 
response to crisis situations, including where resources are reprogrammed under the 
NRP Plan in accordance with Article 34 [amendment of the Plan in crisis situations].  

In  addition  to  Article  12(4)  of  Regulation  (EU,  Euratom)  2024/2509,  commitment 
and payment appropriations for  Union actions  referred to  in  paragraph 1, points (i) 
and (j) of Annex XV [Union  actions,  Unity  Safety  Net]  not  used by the end of the 
financial year for which they were entered shall be automatically carried over.  

Commitment  appropriations  carried  over  in  accordance  with  the  first  subparagraph 
may  be  used  until  2034.  Commitment  and  payment  appropriations  carried  over  in 
accordance with the first subparagraph  shall be used first  in the following financial 
year. 

On 1 September of each year, at least one quarter of the annual amount provided for 
in  the  budget  for  Union  actions  referred  to  in  paragraph  1,  point  (i)  of  Annex  XV 
shall remain available in order to cover needs arising by the end of that year.   

In  addition  to  the  eligible  costs  criteria  set  out  in  Article  189  of  Regulation  (EU, 
Euratom) 2024/2509, the costs incurred by the Member States for implementing the 
veterinary and phytosanitary emergency measures under specific objective set out in 
point (g) of Annex XV [Union actions] to this Regulation shall: (a) be eligible prior 
to the date of submission of the grant application in accordance with Article 196(2), 
second  subparagraph,  point  (b)  of  Regulation  (EU,  Euratom)  2024/2509;  (b)  be 
eligible  from  the  date  of  the  suspected  occurrence  of  an  animal  disease  or  the 
presence  of  a  plant  pest,  provided  that  that  occurrence  or  presence  is  subsequently 
confirmed.  The  submission  of  the  grant  application  shall  be  preceded  by  the 
notification to the Commission of the occurrence of the animal disease in accordance 
with Article 19 or 20 and rules adopted on the basis of Article 23 of Regulation (EU) 
2016/429, or the presence of the Union quarantine pest in accordance with Article 9, 
10  or  11  of  Regulation  (EU)  2016/2031  of  the  European  Parliament  and  of  the 
Council.  By  way  of  derogation  from  Article  111(2)  of  Regulation  (EU,  Euratom) 
2024/2509,  the  Commission  shall  make  the  budgetary  commitment  for  the  grant 
awarded for such emergency measures after the  payment applications submitted by 
Member States have been assessed. 

Article 32 
Expenditure related to public intervention measures under the Unity Safety Net 

1. 

2. 

For  the  purposes  of  the  Unity  Safety  Net  established  as  a  Union  action  under  the 
Facility, where a sum per unit is not determined in respect of a public intervention, 
the measure concerned shall be financed on the basis of uniform standard amounts, 
in  particular  as  regards  funds  originating  in  the  Member  States  used  for  buying  in 
products, for material operations arising from storage and, where appropriate, for the 
processing of the products eligible for public intervention referred to in Article 11 of 
Regulation (EU) No 1308/2013. 

The  Commission  shall  adopt  implementing  acts  fixing  the  amounts  referred  to  in 
paragraph  1.  Those  implementing  acts  shall  be  adopted  in  accordance  with  the 
advisory procedure referred to in Article 229(4) of Regulation (EU) No 1308/2013. 

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1. 

2. 

3. 

1. 

Article 33 
Emerging challenges and priorities cushion 

The  amount  referred  to  in  Article  26(4),  point  (b),  [budget  cushion]  shall  be  used 
where most needed and duly justified, in particular:  

(a) 

to  ensure  an  appropriate  response  of  the  Union  in  the  event  of  unforeseen 
circumstances;  

(b) 

to promote new Union-led initiatives or priorities.  

The Commission shall, by means of implementing acts, adopt financing decisions as 
referred  to  in  Article  110  of  Regulation  (EU,  Euratom)  2024/2509  identifying 
objectives  and  actions  to  be  supported  and  specifying  the  amounts  for  the  budget 
cushion set out in Article 26(4), point (b), of this Regulation [General provision on 
the implementation of the EU Facility].  

In  addition  to  Article  12(4)  of  Regulation  (EU,  Euratom)  2024/2509,  commitment 
and payment appropriations not used by the end of the financial year for which they 
were entered shall be automatically carried over.  

Commitment  appropriations  carried  over  in  accordance  with  the  first  subparagraph 
may be used until the end of 2033. Commitment and payment appropriations carried 
over  in  accordance  with  the  first  subparagraph  shall  be  used  first  in  the  following 
financial year.  

Article 34 
Amendment of the NRP Plan in case of crisis situations 

Member States may request to amend the NRP Plans in accordance with Article 24 
[Amendment of the plan] to provide support to measures of a similar nature to those 
referred  to  in  paragraph  1  point  (i)  of  Annex  XV  [natural  disasters],  as  well  as  to 
provide  crisis  payments  to  farmers  that  are  affected  by  natural  disasters  and 
supporting investments in the restoration of agricultural potential, provided that they 
were recognised as such by a competent public authority of the Member State.  

A Member State may only provide crisis payments to farmers if:  

(a) 

its  competent  authority  formally  recognised  that  a  natural  disaster,  adverse 
climatic  event  or  catastrophic  event,  as  defined  by  the  Member  State,  has 
occurred;  

(b)  measures  were  adopted  in  accordance  with  Regulation  (EU)  2016/2031  to 

eradicate or contain a plant disease or pest;  

(c)  measures  were  adopted  to  prevent or  eradicate  animal  diseases  listed  in  the 

Annex to Commission Implementing Regulation (EU) 2018/1882; or  

(d)  measures  were  adopted  regarding  an  emerging  disease  in  accordance  with 

Article 6(3) and Article 259 of Regulation (EU) 2016/429.  

2. 

Where  the  request  for amendment  exceeds  1 %  of the  Union financial contribution 
under the Plan, the Member State may, in addition, request to programme up to 2.5% 
of  the  amount  of  the  Union  financial  contribution  from  their  unprogrammed 
flexibility  amount  within  the  limits  set  out  in  Article  12  [Budgetary  commitments] 
for measures referred to in paragraph 1 of this Article. 

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3. 

4. 

5. 

6. 

7. 

8. 

9. 

Where  the  amount  requested  and  available  under  paragraph  2  is  not  sufficient  to 
cover  the  needs,  Member  States  may  request  additional  support  from  the  Union 
actions as referred to in Article 26 [General provision on the implementation of the 
EU Facility], subject to the availability of funding.  

Where the  amount available under paragraph 3 is  not  sufficient  to  cover the needs, 
Member States may receive additional support from the ‘budget cushion’ as referred 
to  in  Article  26(4),  point  (b)  [General  provision  on  the  implementation  of  the  EU 
Facility], subject to availability of funding. 

The Member States shall submit a request setting out the reasons and describing the 
damages, repair and recovery needs for the amendment of the NRP Plan referred to 
in  paragraph 1 and where  applicable, paragraphs 2 and 3, within four months  from 
the  date  when  the  crisis  was  recognised  as  such  by  a  competent  authority.  The 
amendment shall include the following elements: 

(a) 

description  of  measures  addressing  damages  deriving  from  the  crisis  and 
fostering  repair  and  recovery  from  the  crisis,  with  their  estimated  costs  and 
corresponding milestones and targets; 

(b)  where applicable, the amounts requested from the flexibility amount and from 
the  Facility,  up  to  the  amount  of  the  total  estimated  costs  of  the  related 
measures, taking into account reprogrammed amounts. 

By  way  of  derogation  from  Article  24  [Amendment  of  the  plan],  the  Commission 
shall  do  its  utmost  to  approve  any  amendment  to  the  NRP Plan  within  15  working 
days of its submission by a Member State. 

The Commission shall pay up to 80 % of the allocation of the measures referred to in 
paragraph 5, as set out in the decision approving the plan amendment referred to in 
paragraph 6, subject to the availability of funding, as exceptional pre-financing. Such 
payment  shall  be  additional  to  the  pre-financing  for  the  NRP  Plan  provided  for  in 
Article 17 [Pre-financing] and shall be cleared on a yearly basis. 

Member States may decide to use the procedure set out in this Article for the support 
provided under paragraph 1, point,s (l) of Annex XV (Union actions supported by the 
EU Facility, Home Affairs actions). 

Paragraphs  3  and  4  shall  not  apply  to  the  provision  of  crisis  payments  to  farmers 
affected by natural disasters. 

TITLE V 
COMMON AGRICULTURAL POLICY 

CHAPTER I  

Article 35 
Types of intervention 

1. 

In  line  with  the  interventions  listed  in  Article  XX  [types  of  support]  of  Regulation 
(EU) 202X/XXXX [CAP Regulation], the following CAP interventions are set out: 

(a) 

degressive area-based income support;   

(b) 

coupled income support   

(c) 

crop specific payment for cotton  

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(d)  payment for natural and other area specific constraints;   

(e) 

(f) 

(g) 

(h) 

(i) 

(j) 

support for disadvantages resulting from certain mandatory requirements;   

agri-environmental and climate actions;   

support for small farmers; 

support for risk management tools;   

support for investments for farmers and forest holders;   

support for the setting-up of young farmers, new farmers, rural businesses and 
start-ups and development of small farmers;  

(k) 

support for farm relief services; 

(l)  LEADER;  

(m)  Support for knowledge sharing and innovation in agriculture, forestry and rural 

areas; 

(n)  Territorial and local cooperation initiatives;  

(o) 

(p) 

interventions in outermost regions referred to in Article 46 

interventions in smaller Aegean islands referred to in Article 42 

(q)  EU  school  scheme  referred  to  in  Title  I,  Part  II,  Chapter  IIa,  of  Regulation 

(EU) No 1308/2013; 

(r)  Support for interventions in certain sectors referred to in Title X of Regulation 

(EU) No 1308/2013. 

The  interventions  referred  to  in  paragraph  1,  points  (a),  (b),  (c)  and  (g)  shall  not 
apply to outermost regions referred to in Title IV.  

Interventions  referred  to  in  paragraph  1,  points  (a)  to  (k)  and  (r)  shall  be  income 
support interventions to be financed from the Fund in accordance with Article 10(2), 
point (a) (ii) [Budget].  

The  planned  average  aid  per  hectare  for  degressive  area-based  income  support 
referred in the first subparagraph  shall not be less than EUR 130 and not more than 
EUR 240 for each Member State. For cotton, the aids are defined in Article 38.  

Subject  to  compliance  with  Article  20(4)  [national  contribution  to  the  estimated 
costs],  the  minimum  national  contribution  to  the  interventions  referred  to  in 
paragraph 1 points (d) to (k) shall be no less than 30% of the total estimated costs of 
each intervention.   

The maximum support rate applicable to the interventions referred to in paragraph 1 
point  (1)  [investments  for  farmers]  shall  be  75%  of  the  total  eligible  costs  of  each 
intervention.  However,  the  maximum  support  rate  applicable  to  the  interventions 
referred  to  in  paragraph  1,  point  (i),  targeting  young  farmers  shall  be  85  %  of  the 
eligible public expenditure.  

The  financial  allocation  to  coupled  income  support  interventions  as  referred  to  in 
paragraph  1,  point  (b)  shall  be  limited  to  a  maximum  of  20%  of  the  Union 
contribution set out by the Member State in the NRP Plan for CAP  income support 
interventions referred to  in paragraph 1, points (a), (c), (f) and (g). This percentage 
may  be  increased  by  a  maximum  of  5  percentage  points,  provided  that  the  amount 
corresponding to the percentage exceeding 20% is allocated to protein crops, farmers 

2. 

3. 

4. 

5. 

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combining  the  production  of  crops  and  livestock  or  agricultural  areas  at  a  risk  of 
abandonment  of  agricultural  production  in  particular  in  the  Eastern  border  regions, 
defined in the Plans. For the purposes of this Article, Eastern border regions means 
Union NUTS2 regions bordering the Russian Federation, Belarus or the Ukraine, by 
land or sea, not covering the entire territory of the Member State concerned.   

6. 

The minimum national contribution to the total eligible public expenditure of the EU 
school  scheme  interventions  referred  to  in  Title,  Part  II,  Chapter  IIa  of  Regulation 
(EU)  No  1308/2013  shall  be  30%  of  the  total  eligible  public  expenditure  of  each 
intervention. 

Member  States  may,  in  addition  to  Union  financial  assistance  and  the  national 
contribution  to  the  costs  of  the  interventions  referred  to  in  the  first  subparagraph, 
grant additional national financing. 

The  amount  of  Union  financial  assistance  set  out  the  NRP  Plan  for  the  awareness-
raising interventions referred to in Article 29 of Regulation (EU) No 1308/2013 shall 
not  exceed  15  %  of  the  total  amount  of  the  Union  financial  assistance  and  the 
national contribution set out in the NRP Plan for the EU school scheme interventions 
referred to in the first subparagraph. 

The amount of Union financial assistance set out in the NRP Plan for the supply and 
distribution  of  products  containing  free  sugars  or  having  a  fat  content  above  4  % 
shall not exceed 10 % of the total amount of the Union financial assistance and the 
national contribution set out in the NRP Plan for the interventions referred to in the 
first subparagraph. 

The  EU  school  scheme  shall  be  without  prejudice  to  any  separate  national  school 
schemes which are compatible with Union legislation. Union funding may be used to 
extend the scope or effectiveness of any existing national school schemes or school 
distribution  schemes  providing 
in  educational 
establishments  but  shall  not  replace  funding  for  those  existing  national  schemes, 
except for free distribution of meals to children in educational establishments. 

fruit,  vegetables  and  milk 

Subject  to  compliance  with  Article  20(4)  [national  contribution  to  the  estimated 
costs],  the  minimum  national  contribution  to  the  eligible  public  expenditure  of  the 
interventions  in  certain  sectors  referred  to  in  Title  I,  Part  II,  Chapter  IIa,  of 
Regulation  (EU) No 1308/2013  shall be 30 % of the eligible public expenditure of 
each intervention. 

The  maximum  support  rate  applicable  to  those  interventions  shall  be  75  %  of  the 
total eligible costs of each intervention. 

By way of derogation from the first and second subparagraph, the minimum national 
contribution  to  the  eligible  public  expenditure  of  interventions  in  the  apiculture 
sector implemented by beneficiaries other than producer organisations, associations 
of producer organisations or identified producer groups shall be at least equal to the 
Union financial assistance granted for these interventions. 

7. 

8. 

By way of derogation from the second subparagraph, Member States may decide to 
increase the maximum support rate to up to 95 % of the total eligible costs of each 
intervention  for 
to  generational  renewal,  research  and 
innovation,  risk  management  or  environment  and  climate,  and  for  producer 
organisations implementing operational programmes for the first time. 

interventions 

linked 

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By way of derogation from the second subparagraph, Member States may also decide 
to  compensate  producers  for  loss  of  revenue  due  to  the  implementation  of  the 
interventions referred to in Article 31, point (n), of Regulation (EU) No 1308/2013, 
by covering up to 100 % of the relevant loss for a maximum period of three years. 

By  way  of  derogation  from  second  subparagraph,  Member  States  may  decide  to 
increase the maximum support rate for interventions concerning market withdrawals 
for free distribution to 100 % for market withdrawals which do not exceed 5 % of the 
volume  of  the  production  marketed  by  a  producer  organisation.  The  volume  of  the 
production shall be calculated as the average of the overall volumes of products for 
which  the  producer  organisation  is  recognised  and  which  are  marketed  by  the 
producer  organisation  during  the  three  previous  years.  Member  States  shall  ensure 
that  the  compensation  granted  for  market  withdrawals  does  not  exceed  the  market 
price of the withdrawn products. 

9. 

Subject  to  compliance  with  Article  20(4),  the  Union  financial  assistance  to  be 
granted to recognised producer organisations, associations of producer organisations 
or identified producer groups implementing interventions in  certain  sectors referred 
to in Article 31 of Regulation (EU) No 1308/2013 shall be limited to: 

(a) 

4.1%  of  the  value  of  the  marketed  production  of  each  producer 
organisation; 

(b)  4.5% of the value of marketed production of each association of producer 

organisations; 

(c) 

5%  of  the  value  of  marketed  production  of  each  transnational  producer 
organisation or transnational association of producer organisations. 

Those  limits  may  be  increased  by  0,5  percentage  points,  where  the  operational 
programme  comprises  one  or  more  interventions  linked  to  generational  renewal, 
research and innovation, risk management or environment and climate, provided the 
amount in excess of the relevant percentage set out in the first subparagraph, points 
(a), (b) or (c), is used solely to finance expenditure related to the implementation of 
these interventions. 

Member States shall establish in their NRP Plans rules relating to the calculation of 
the  support  for  distillation  of  by-products  of  wine,  ensuring  a  fair  compensation  to 
both distillers and wine producers. 

If Member States establish in their NRP Plans that the entities referred to in Article 
32(3) of Regulation (EU) No 1308/2013 may be beneficiaries of the interventions in 
certain sectors referred to in Article 31 of that Regulation, Member States shall also 
provide  support  for  the  setting-up  of  producer  organisations  in  accordance  with 
Article74 [cooperation] in addition to the support provided for the implementation of 
the intervention. 

The  Union  financial  assistance  and  national  contribution  to  each  intervention  in 
certain  sectors  referred  to  in  Article  31  of  Regulation  (EU)  No  1308/2013  shall 
together not exceed 100 % of actual costs of the intervention. 

10. 

Support for the interventions referred to in paragraph 1 may only be provided under 
the conditions laid down in this Title. Any amount relative to claim year 2027 set out 
in  Annex  V  of  Regulation  (EU)  2021/2115  as  well  as  claims  related  to  types  of 
interventions referred to in Article 42 of Regulation (EU) 2021/215, claims related to 

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Regulations  (EU)  228/2013  and  229/2013  shall  be  counted  as  part  of  -budgetary 
commitments- for the financial year 2028 as laid down in Article 14(1), point(a). 

By  derogation  from  Article  23(7)  of  this  Regulation,  the  financing  decision  within 
the  meaning  of  Article  110  of  the  Regulation  (EU,  Euratom)  2024/2509  may  be 
adopted for the amount referred to in the first sub-paragraph and the amount may be 
committed and paid before the adoption of the implementing decision referred to in 
Article 23(6) of this regulation. 

11. 

Interventions of the Common Fisheries Policy include 

(a) 

(b) 

(c) 

(d) 

support for sustainable fisheries and the restoration and conservation of aquatic 
biological  resources,  energy  transition  of  fisheries  and  aquaculture  as  well  as 
actions improving safety; 

support  for  the  innovation  for  more  selective  fishing  activities  and  for  the  
conservation,  protection  and 
restoration  of  aquatic  biodiversity  and 
ecosystems; 

support for the Common Market Organisation (CMO); 

support  to  fishers  or  aquaculture  producers  for  the  compensation  to  operators 
of  the  fishery  and  aquaculture  sector  for  their  income  foregone  or  additional 
costs and  compensation to recognised producer organisations and associations 
of  producer  organisations  which  store  fishery  products  listed  in  Annex  II  to 
Regulation  (EU)  No  1379/2013,  provided  that  those  products  are  stored  in 
accordance with Articles 30 and 31 of that Regulation. 

12. 

When  determining  amounts  to  be  paid  out  for  support  provided  for  CAP 
interventions as referred to in Article 35 paragraph 1, points (a) to [h] and [j], [k] and 
[r], and paragraph 11, payout values shall be computed without setting aside amounts 
for reforms. 

Article 36 
Specific requirements for CAP interventions 

1. 

Member States shall provide for each intervention in their Plans: 

(a) 

the type of intervention on which it is based, the territorial scope and the type 
of area targeted by the intervention;  

(b)  where  applicable,  sectors  targeted  by  the  intervention  or  group  of  farmers  or 
other  beneficiaries  targeted  under  the  intervention,  CAP  environment  and 
climate  priority  area,  in  accordance  with  Article  4  of  Regulation  (EU) 
202X/XXXX [CAP Regulation];  

(c)  An explanation of the relevant criteria of Annex 2 to the WTO Agreement on 
Agriculture as referred to in Article 40 [WTO domestic support] and in Annex 
XVII [WTO annex]; 

(d)  A  description  of  the  design  of  the  intervention,  including  the  eligibility 
conditions,  and  for  agri-environmental  and  climate  actions  referred  to  in 
Article 10 of Regulation XX [CAP];  

(e) 

a  description  of  farming  practices  covered  by  the  intervention  based  on  the 
Joint  Research  Centre  classification  of  farming  practices  in  accordance  with 
paragraph 5 of Article 3 of Regulation (EU) 202X/XXXX [CAP Regulation]. 

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(f) 

in  relation  to  the interventions  in  certain  sectors  referred to  in  Part II, Title I, 
Chapter  IIa  of  Regulation  (EU)  No  1308/2013,  justification  for  targeting  the 
selected sectors and complementarity with other CAP interventions, and where 
relevant, with other measures set out in the Plan;   

Member States shall determine the amount of support for transition actions  referred 
to  in  Article  10(1),  point  (b),  of  Regulation  (EU)  202X/XXXX  [CAP  Regulation] 
based on cost estimates set out in the transition plans. The support shall be limited to 
[EUR 200 000] per farmer per programming period of the Plan.   

Where  public  support  granted  under  Article  13  of  Regulation  (EU)  202X/XXXX 
[CAP Regulation] for an investment operation does not exceed EUR 100 000 and is 
not  subject  to  rules  on  public  procurement,  that  support  shall  take  the  form  of 
standard scales of unit costs, lump sums or flat rates.  

2. 

3. 

Article 37 
Monitoring of agricultural resources 

The Fund may support actions taken by the Commission through remote-sensing applications 
used for the monitoring of agricultural resources, which shall aim to give the Commission the 
means to:  

(a) 

(b) 

(c) 

(d) 

manage Union agricultural markets in a global context;  

ensure agri-economic and agri-environmental-climate monitoring of agricultural land 
use and agricultural land use change, including agro-forestry, and monitoring of the 
condition of soil, crops, water, biodiversity, agricultural landscapes and agricultural 
land  so  as  to  enable  estimates  to  be  made,  in  particular  as  regards  yields  and 
agricultural  production  and  agricultural 
impacts  associated  with  exceptional 
circumstances, and to enable the assessment of the resilience of agricultural systems 
and  progress  towards  the  achievement  of  the  relevant  United  Nations  Sustainable 
Development Goals;  

share the access to the estimates referred to in point (b) in an international context, 
such  as  the  initiatives  coordinated  by  United  Nations  organisations,  including  the 
constitution  of  greenhouse  gas  inventories  under  the  United  Nations  Framework 
Convention on Climate Change, or other international agencies;  

contribute to specific measures increasing the transparency of world markets, taking 
account of Union objectives and commitments;  

(e) 

ensure technological follow-up of the agri-meteorological system.  

Article 38 
Crisis payments to farmers following natural disasters, adverse climatic events and 
catastrophic events 

1. 

2. 

Member States may provide crisis  payments  to  farmers that  are affected  by natural 
disasters, adverse climatic events or catastrophic events. Those payments shall aim at 
ensuring continuity of the agricultural activity of those farmers and shall be subject 
to  the  conditions  set  out  in  this  Article  and  as  further  specified  by  the  Member 
States.     

Support under this Article shall be subject to the formal recognition by the competent 
authority  of  the  Member  State  that  a  natural  disaster,  adverse  climatic  event  or 
catastrophic  event,  as  defined  by  the  Member  State,  has  occurred  and  that  these 

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events,  or  measures  adopted  in  accordance  with  Regulation  (EU)  2016/2031  to 
eradicate  or  contain  a  plant  disease  or  pest,  or  measures  adopted  to  prevent   or 
eradicate  animal  diseases  listed  in  the  Annex  to  Commission  Implementing 
Regulation  (EU)  2018/1882  or  measures  adopted  regarding  an  emerging  disease  in 
accordance  with  Article  6(3)  and  Article  259  of  Regulation  (EU)  2016/429  have 
directly caused a damage resulting in the destruction of at least 30 % of the average 
annual  production  of  the  farmer  in  the  preceding  three-year  period  or  a  three-year 
average  based  on  the  preceding  five-year  period,  excluding  the  highest  and  the 
lowest entry.       

The  losses  shall  be  calculated  either  at  holding  level,  at  the  level  of  the  holding’s 
activity in the sector concerned or in relation to the specific area concerned.    

Member States shall establish the applicable support rates for compensating the loss 
of  production.  Those  rates  shall  be  higher  for  farmers  who  also  implement 
interventions,  or  other  preventive  actions  at  farm  level,  to  reduce  the  level  of 
production and income risks for which support is granted. Indexes may be used for 
calculating the loss of production.     

When  granting  support  under  this  Article,  Member  States  shall  ensure  that 
overcompensation as a result of the combination of this support with other national 
or Union support instruments or private insurance schemes is avoided.   

Article 39 
Crop-specific payment for cotton  

Bulgaria, Greece, Spain  and Portugal shall grant a crop-specific payment for cotton 
to farmers producing cotton falling within CN code 5201 00. Those Member States 
shall  establish  specific  requirements  to  guarantee  a  minimum  level  of  production 
efficiency and product quality.    

The Member States referred to in paragraph 1 shall ensure that the supported cotton 
production does not put excessive strain on natural resources such as water and soil. 
To  that  end,  or  for  other  environmental  or  socio-economic  reasons,  those  Member 
States may grant the aid only for specific cotton varieties, in specific regions, or for 
specific  types  of  farming,  or  may  establish  requirements  related  to  agronomic 
practices.    

The crop-specific payment for cotton shall be granted per hectare of eligible area of 
cotton.   

The following national base areas are established:    

3. 

4. 

5. 

1. 

2. 

3. 

4. 

(a)  Bulgaria: 3 342 ha;    

(b)  Greece: 250 000 ha;    

(c)  Spain: 48 000 ha;    

(d)  Portugal: 360 ha.    

5. 

The following fixed yields in the reference period are established:    

(a)  Bulgaria: 1.2 tonne/ha;   

(b)  Greece: 3.2 tonne/ha;    

(c)  Spain: 3.5 tonne/ha;    

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6. 

7. 

8. 

9. 

10. 

11. 

1. 

2. 

(d)  Portugal: 2.2 tonne/ha.    

The  amount  of  the  crop-specific  payment  per  hectare  of  eligible  area  shall  be 
calculated  by  multiplying  the  yields  laid  down  in  paragraph  2  with  the  following 
reference amounts:    

(a)  Bulgaria: EUR 636.13 

(b)  Greece: EUR 229.37;   

(c)  Spain: EUR 354.73;    

(d)  Portugal: EUR 223.32.   

If the eligible area of cotton in a given Member State in a given year does not exceed 
the  base  area  laid  down  in  paragraph  1,  then  the  amount  per  hectare  referred  to  in 
paragraph  3  may  be  increased  either  by  a  coefficient  obtained  by  dividing  the 
national  base  area  by  the  actual  eligible  area,  or  increased  by  25%,  whichever  is 
smaller.     

If  the  eligible  area  exceeds  the  base  area,  the  amount  per  hectare  shall  be  reduced 
proportionately to the overrun of the base area.    

For the purposes of this Article, an ‘approved interbranch organisation’ means a legal 
entity made up of and founded by farmers producing cotton and at least one ginner. 
Such  organisations  shall  ensure  efficient  and  durable  action  with  the  goal  to 
concentrate supply and to adapt production to market requirements.     

The  Member  State  where  the  ginners  are  established  shall  approve  interbranch 
organisations that satisfy the criteria laid down in paragraph 1.    

In the case of farmers who are members of an approved interbranch organisation, the 
crop-specific  payment  for  cotton  for  hectares  that  are  eligible  within  the  national 
base area laid down in paragraph 4 shall be increased by an amount of EUR 2. For 
this purpose, Member States may establish specific requirements for the members of 
such interbranch organisations.   

CHAPTER II 
International Obligations 

Article 40 
WTO domestic support 

Member States shall design the CAP income support interventions on the basis of the 
types  of  intervention  listed  in  Annex  XVII  [WTO  Annex]  to  this  Regulation, 
including  the  definitions  and  conditions  laid  down  in  Article  4,  in  such  a  way  that 
they qualify under the criteria of Annex 2 to the WTO Agreement on Agriculture.  

The support referred to in Article 35 paragraph 1 points (a), (d), (g), (o) and (p)  shall 
qualify under the criteria of the paragraphs of Annex 2 to  the WTO Agreement on 
Agriculture  indicated  in  Annex  XVII  [WTO  Annex]  to  this  Regulation  for  those 
interventions.  For  other  interventions,  the  paragraphs  of  Annex  2  to  the  WTO 
Agreement on Agriculture indicated in Annex XVII to this Regulation [WTO Annex] 
are indicative and those interventions may instead comply with a different paragraph 
of Annex 2 to the WTO Agreement on Agriculture if that is specified and explained 
in the NRP Plan.  

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1. 

2. 

3. 

4. 

5. 

6. 

Article 41 
Implementation of the Memorandum of Understanding on oilseeds 

Where Member States provide for area-based interventions relevant for the Annex to 
the  Memorandum  of  Understanding  between  the  European  Economic  Community 
and the United States of America on oilseeds under GATT, the total of the support 
area  based  upon  the  planned  outputs  included  in  the  Plans  of  the  Member  States 
concerned shall not exceed the maximum support area for the whole Union. 

Each Member State that intends to grant the support referred to in paragraph 1 of this 
Article shall indicate the corresponding planned outputs in hectares in the NRP Plan. 

If  all  planned  outputs  proposed  by  Member  States  in  their  NRP  Plans  exceed  the 
maximum support area for the whole Union referred to in paragraph 1 of this Article, 
the  Commission  shall  adopt  implementing  acts  fixing  the  indicative  reference 
support area for each Member State calculated on the basis of each Member State’s 
share  of  the  average  cultivation  area  in  the  Union  during  the  previous  five  years 
starting  with  the  year  preceding  the  submission  of  the  Plan  proposal.  Those 
implementing  acts  shall  be  adopted  in  accordance  with  the  examination  procedure 
referred to in Article 88 [committee procedure].  

The  Commission  shall  inform  each  of  those  Member  State  of  the  reduction 
coefficient. The Member States shall adjust the proposed planned outputs in the NRP 
Plans in accordance with the reduction coefficients.   

If a Member State intends to increase the planned outputs referred to in paragraph 1 
set out in the NRP Plan approved by the Commission, it shall notify the Commission 
by means of a request to amend the NRP Plan.  

Where  necessary  to  avoid  that  the  maximum  support  area  for  the  whole  Union 
referred  to  in  paragraph  1  is  exceeded,  the  Commission  shall  set  reduction 
coefficients  or  revise  existing  reduction  coefficients  for  all  Member  States  that 
exceeded their reference support area in their NRP Plans.  

The Commission shall set or revise the reduction coefficients referred to in the first 
subparagraph by means of an implementing decision.  

7. 

Member  States  shall  exclude  the  cultivation  of  confectionery  sunflower  seed  from 
any area-based intervention referred to in paragraph 1. 

CHAPTER III 
Support for the smaller Aegean islands  

 Article 42 
Scope and common requirements 

1. 

2. 

3. 

This Chapter lays down specific types of intervention for agriculture to mitigate the 
difficulties  caused  by  the  insularity,  small  size  and  distance  from  markets  of  the 
smaller Aegean islands.   

For the purposes of this Regulation ‘the smaller Aegean islands’ means any islands 
in the Aegean Sea except the islands of Crete and Evia.  

In addition to contributing to the specific objectives set out in Article 3, point (d), the 
interventions referred to paragraph 1 shall contribute to the following objectives:  

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(a) 

(b) 

guaranteed  supply  to  the  smaller  Aegean  islands  of  products  essential  for 
human consumption or for processing and as agricultural inputs by mitigating 
the  additional  costs  incurred  due  to  their  extreme  remoteness  or  insularity, 
without harming local production and the growth thereof;  

securing the long-term future and development of agricultural activities in the 
smaller Aegean islands, including the production, processing and sale of local 
crops  and  products,  with  a  particular  focus  on  food  security  and  self-
sufficiency, and maintaining and strengthening their competitiveness.   

Greece  may  implement  in  smaller  Aegean  islands  the  interventions  referred  to  in 
Article 35(1), except for those referred to in point (o) [outermost regions] of the first 
paragraph of that Article [Types of intervention].  

Farm  stewardship  referred  to  in  Article  3  of  Regulation  (EU)  …/…  [CAP 
Regulation]  shall  apply  to  beneficiaries  receiving  support  for  local  agricultural 
products referred to in Article 44 [Support for local agricultural products].   

However, beneficiary of support for local agricultural products referred to in Article 
44  [Support  for  local  agricultural  products]  receiving  an  annual  payment  that  does 
not exceed EUR 3 000 shall be exempt from farm stewardship requirements referred 
to in Annex XI, parts A and C, of Regulation (EU) 202X/XXXX [CAP Regulation] 
…/….  

Article 43 
Specific supply arrangements 

Specific supply arrangements shall be established for the agricultural products listed 
in Annex I to the TFEU which are essential in the smaller Aegean islands for human 
consumption, for the manufacture of other products or as agricultural inputs.   

Greece  shall  establish  in  its  Plan,  at  the  geographical  level  which  it  deems  most 
appropriate,  a  maximum  volume  of  each  agricultural  product,  from  among  the 
products listed in Annex I to the TFEU, to quantify the annual supply requirements 
for the smaller Aegean islands.   

The maximum volume of agricultural  products  referred to  in  the first  subparagraph 
shall  comprise  also  the  volumes  of  those  products  required  by  undertakings 
packaging and processing products intended for the local market, for consignment to 
the rest of the Union or for export to third countries as part of regional trade or within 
the context of traditional trade flows. The maximum volume of the products referred 
to in the first subparagraph shall be established taking into account in particular the 
quantities  of those products  established in  the supply  forecast  balance sheets  in  the 
previous programming period.   

Support shall be granted to supply the smaller Aegean islands with Union products to 
ensure  special  supply  requirements  established  in  accordance  with  paragraph  2  in 
terms  of  price  and  quality,  while  maintaining  the  Union’s  share  in  the  supplies  of 
those products.  

No support shall be granted for the supply of products which have already benefited 
from the specific supply arrangements in another smaller Aegean islands.  

Only  products  of  sound,  fair  and  marketable  quality  shall  benefit  from  the  specific 
supply arrangements.  

4. 

5. 

6. 

1. 

2. 

3. 

4. 

5. 

6. 

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7. 

1. 

2. 

3. 

4. 

5. 

1. 

2. 

3. 

4. 

5. 

In  implementing  the  specific  supply  arrangements,  Greece  shall  take  account  in 
particular of the need to ensure that existing local production is not destabilised nor 
obstructed in its development and of the requirement laid down in paragraph 5.   

Article 44 
Support for local agricultural products 

Greece shall grant support for production, processing, marketing and transport of raw 
and processed agricultural products in the smaller Aegean islands.   

Greece  shall  design  the  interventions  so  as  to  ensure  the  continuity  and  the 
development of local agricultural production in the smaller Aegean islands.  

Greece shall provide for a fair distribution of payments. Greece may cap the amount 
of  the  support  to  be  granted  to  a  beneficiary  in  a  given  calendar  year  or  use 
degressive payments.  

Greece may grant support for marketing of products outside of the region in which 
they are produced. That support shall not exceed 10% of the value of the production 
marketed, delivered to a destination zone in a given calendar year.   

When  a  Plan  is  amended  in  accordance  with  Article  24  [amendments  to  Plans], 
beneficiaries affected by the exceptional natural disaster or the severe meteorological 
event  may  continue  to  benefit  from  support  in  the  form  of  measures  to  support 
production, processing or sale provided for in paragraph 1 irrespective of their level 
of activity throughout the restoration period, but subject to a formal commitment to 
restore their agricultural production capacity.  

Article 45 
Controls and penalties 

For the specific supply arrangements, Greece shall conduct verifications by means of 
administrative, physical and on-the-spot checks.  

The  administrative  checks  carried  out  on  the  import,  entry,  export  and  dispatch  of 
agricultural  products  shall  be  exhaustive  and  shall  involve  cross-checks  with  the 
supporting  documents.  The  physical  checks  carried  out  in  smaller  Aegean  islands 
concerned  on  the  import  or  entry  of  agricultural  products  shall  involve  a 
representative sample amounting to at least 5 % of the licences and certificates. 

In  the  case  of  measures  to  support  the  local  production,  Greece  shall  conduct 
verifications by means of administrative and on-the-spot checks.  

Administrative checks shall be exhaustive and shall include cross checks with, inter 
alia, data from the integrated administration and control. 

Aid  applicants  for  specific  supply  arrangements  and  support  the  local  production 
shall  be  selected  to  undergo  on-the-spot  checks  by  the  competent  authority  on  the 
basis of a risk analysis and the representativeness of the aid applications submitted, 
the  competent  authorities  shall  perform  on-the-spot  checks  by  sampling,  for  each 
action, at least 5 % of aid applications. The sample shall also represent at least 5 % of 
the amounts covered by the aid for each action. 

In all appropriate cases, Greece shall make use of the Integrated Administration and 
Control System provided for in Article 70. 

Every  on-the-spot  check  shall  be  the  subject  of  an  inspection  report  relating  the 
details of the checks carried out. 

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TITLE VI 
OUTERMOST REGIONS  

Article 46 
Outermost regions  

1. 

Member States concerned shall prepare, as part of their Plan, measures to address the 
Union’s  outermost  regions’  permanent  and  structural  constraints  which  severely 
restrain their development, as recognised in Article 349 TFEU. The measures may be 
implemented  in  a  dedicated  chapter.  The  measures  shall  address  the  following 
objectives: 

(a)  Providing  for  their  specific  needs  and  challenges,  such  as  food  security, 
transport,  water  and  waste  management,  energy, 
housing,  sustainable 
employment  and 
for  young  people, 
decarbonisation,  circularity,  education  and  skills,  social  inclusion,  migration, 
climate  change  resilience  and  adaptation,  environmental  protection,  blue 
economy,  access  to  healthcare,  energy,  sustainable  transport  and  digital 
connectivity  and  economic  development, 
including  a  sustainable  and 
diversified blue economy; 

labour  mobility, 

in  particular 

(b)  guaranteeing  supply  of  products  essential  for  human  consumption  or  for 
processing and as agricultural inputs by mitigating the additional costs incurred 
due  to  their  extreme  remoteness  and/or  insularity,  without  harming  local 
production and the growth thereof; 

(c) 

securing  the  long-term  future  and  development  of  agricultural  fisheries, 
aquaculture, including the production, processing, marketing and sale of local 
crops and products, and the diversification of food production, with a particular 
focus on food security and self-sufficiency, and maintaining and strengthening 
their competitiveness. 

2. 

In  addition,  the  chapters  shall  also  include  other  interventions  [supported  from 
resources set out in Article 10 – Budget], including compensation, related to:  

(a) 

(b) 

specific supply arrangements referred to in Article 47 

specific support to  assist local agricultural production and processing referred 
to in Article 48 

(c)  Promoting a level-playing field  for fishery and aquaculture products  from  the 

outermost regions 

(d) 

(e) 

(f) 

 specific  support  to  assist  local  fisheries  and  aquaculture  production  and 
processing and marketing referred to in Article 48 

 specific  support  to  the  economic,  social  and  territorial  development  in 
particular,  to  enhance  decarbonised  transport,  clean  energy  and  digital 
connectivity  with  a  view  to  offsetting  the  additional  costs  linked  to  their 
remoteness  and  to  provide  for  a  level-playing  field  with  continental  Europe, 
fostering their security and resilience; 

specific  support  to  enhance  access  to  employment  and  labour  mobility, 
education,  skills  and  social  inclusion  with  a  view  to  offsetting  the  additional 
costs  linked  to  their  remoteness  and  to  provide  for  a  level-playing  field  with 
continental Europe, fostering their security and resilience. 

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(g) 

the  structural  support  to  the  fishery  and  aquaculture  sector,  compensation  for 
additional  costs  to  the  fishery  sector  and  aquaculture  sector,  including  the 
methodology  for  its  calculation  and  any  other  investment  in  the  sustainable 
blue economy necessary to achieve a sustainable coastal development. 

Article 47 
Specific supply arrangements 

Specific supply arrangements may be established for the products listed in Annex I to 
the TFEU which are essential in the outermost regions for human consumption, for 
the manufacture of other products or as agricultural inputs.   

The  Member  State  concerned  shall  establish,  at  the  geographical  level  which  it 
deems most appropriate, a maximum volume of each product listed in Annex I to the 
TFEU, to quantify the annual supply requirements for each outermost region. 

The maximum volume of products shall comprise also the volumes of those products 
required  by  undertakings  packaging  and  processing  products  intended  for  the  local 
market,  for  consignment to  the rest  of the Union or for export to  third countries as 
part of regional trade or within the context of traditional trade flows. The maximum 
volume  of  the  products  shall  be  established  taking  into  account  in  particular  the 
quantities  of those products  established in  the supply  forecast  balance sheets  in  the 
previous programming period. 

A separate forecast supply balance may be established to cover the requirements of 
undertakings  packaging  and  processing  products  intended  for  the  local  market,  for 
consignment  to  the  rest  of  the  Union  or  for  export  to  third  countries  as  part  of 
regional trade or within the context of traditional trade flows.  

No  customs  duties  shall  apply  to  direct  imports  from  third  countries  into  the 
outermost regions of products covered by the specific supply arrangements that fall 
within  the  maximum  volume  established  in  the  NRP  Plans  in  accordance  with 
paragraph 2. 

Products which have entered the Union’s customs territory under inward processing 
or  customs  warehousing  arrangements  shall  be  considered  for  the  purposes  of  this 
Article to be direct imports from third countries.  

Support  shall  be  granted  to  supply  the  outermost  regions  with  Union  products  to 
ensure  special  supply  requirements  established  in  accordance  with  paragraph  2  in 
terms  of  price  and  quality,  while  maintaining  the  Union’s  share  in  the  supplies  of 
those products.  

No support shall be granted for the supply of products which have already benefited 
from the specific supply arrangements in another outermost region.  

Only  products  of  sound,  fair  and  marketable  quality  shall  benefit  from  the  specific 
supply arrangements. Products from third countries shall provide an equivalent level 
of  guarantees  to  those  produced  under  the  Union’s  veterinary  and  plant  health 
standards. 

In implementing the specific supply arrangements, Member States shall take account 
in  particular  of  the  need  to  ensure  that  existing  local  production  is  not  destabilised 
nor obstructed in its development and of the requirement laid down in paragraph 6.  

1. 

2. 

3. 

4. 

5. 

6. 

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7. 

1. 

Member States shall conduct verifications by means of administrative, physical and 
on-the-spot  checks.  The  administrative  checks  carried  out  on  the  import,  entry, 
export  and  dispatch  of  products  shall  be  exhaustive  and  shall  involve  cross-checks 
with  the  supporting  documents.  The  physical  checks  carried  out  in  the  outermost 
region  concerned  on  the  import  or  entry  of  products  shall  involve  a  representative 
sample amounting to at least 5 % of the licences and certificates. 

Article 48 
Support for local agricultural, fisheries and aquaculture products 

Each Member State concerned shall determine, in line with the criteria laid down in 
accordance  with  paragraph 7of  this  Article,  for  each  outermost  region,  the  list  of 
agricultural,  fishery  and  aquaculture  products  and  the  quantity  of  those  products 
eligible for compensation of the additional costs incurred by operators. 

2. 

The list referred to in paragraph 1 shall comprise at least the following elements:  

(a) 

(b) 

(c) 

a description of the interventions envisaged;   

a  list  of  the  aid  constituting  income  support  interventions  in  accordance  with 
Article 35(1);  

the aid amount established for each intervention and the provisional amount for 
each action in order to achieve one or more objectives for the programme.  

The interventions may consist  of support for production,  processing, marketing and 
transport of raw and processed agricultural, fisheries and aquaculture products in the 
outermost regions. 

When  establishing  the  lists  and  the  quantities  referred  to  in  paragraph 1, 
Member States shall take into account all relevant factors, in particular the additional 
costs incurred by operators in the outermost regions, and the need to ensure that the 
compensation  is  compatible  and  consistent  with  the  rules  of  the  Common 
Agricultural Policy and the Common Fisheries Policy.   

Member States shall provide for a fair distribution of payments. Member States may 
cap the amount of the support to be granted to a beneficiary in a given calendar year 
or use degressive payments. 

3. 

4. 

5. 

The compensation shall not be granted for fishery and aquaculture products: 

(a) 

caught by third country vessels, with the exception of fishing vessels which fly 
the flag of Venezuela and operate in Union waters, in accordance with Council 
Decision (EU) 2015/1565 (37); 

(b) 

caught by Union fishing vessels that are not registered in a port of one of the 
outermost regions; 

(c) 

imported from third countries. 

6. 

7. 

Paragraph  5,  point  (b),  shall  not  apply  if  the  existing  capacity  of  the  processing 
industry  in  the  outermost  region  concerned  exceeds  the  quantity  of  raw  material 
supplied. 

The Commission is empowered to adopt delegated acts, in accordance with Articles 
86  and  87,  to  supplement  this  Regulation  by  laying  down  the  criteria  for  the 
calculation  of  the  additional  costs  resulting  from  the  special  characteristics  of  the 
regions concerned. 

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TITLE VII 
GOVERNANCE OF THE PLAN 

CHAPTER 1 
Plan authorities and their functions 

Article 49 
Plan authorities 

1. 

2. 

3. 

4. 

5. 

6. 

7. 

8. 

For  the  purposes  of  Article  63(3)  of  Regulation  (EU,  Euratom)  2024/2509,  each 
Member State shall identify one or more managing authorities, one or more paying 
agencies  and  one  or  more  audit  authorities  for  the  Plan.  The  authorities  identified 
shall fulfil the relevant key requirements set out in Annex IV to this Regulation. All 
authorities  identified  for  the  purposes  of  this  Article  shall  have  the  possibility  for 
exchanges with the Commission. 

Where  a  Member  State  entrusts  the  implementation  of  the  Plan  to  authorities  in 
charge  of  implementing  cohesion  policy,  the  CAP  or  European  Maritime  Fisheries 
and  Aquaculture  Fund  in  the  2021-2027  programming  period  and  based  on  all 
available audit results the Commission did not question the effective functioning of 
these  authorities,  these  authorities  shall  be  deemed  to  comply  with  the  key 
requirements.   

Where a Member State identifies more than one managing authority, it shall set up a 
coordinating  authority.  A  managing  authority  may  be  entrusted  with  carrying  out 
certain  functions  of 
the 
the  coordinating  authority.  Arrangements  between 
coordinating authority and the managing authority shall be recorded in writing.  

The  managing  authority  may  identify  one  or  more  intermediate  bodies  to  carry  out 
certain  tasks  under  their  responsibility.  Arrangements  between  the  managing 
authorities and intermediate bodies shall be recorded in writing. The tasks delegated 
to intermediate bodies shall not be entrusted further to other bodies. 

The  audit  authority  shall  be  a  public  authority,  functionally  independent  from  the 
auditees. Audit work may be carried out by a public or private body other than the 
audit  authority  under  the  responsibility  of  that  authority.   Where  the  Member  State 
identifies more than one audit authority, it shall set up coordination arrangements for 
the  preparation  of  the  annual  audit  opinion  and  summary  of  audits  referred  to  in 
Article 53 [functions of the audit authority]. 

Member States shall ensure that the principle of separation of functions between and 
within the authorities identified for the Plan is respected.  

Member  States  shall  accredit  paying  agencies  responsible  for  the  management  and 
control of the measures referred to in Article 35(1) and the Union actions referred to 
in  Annex  XV,  paragraph  1,  points  (h)  and  (j),  of  this  Regulation  [Uion  actions], 
implemented under shared management and may entrust their functions, as referred 
to  in  Article  52  [functions  of  the  paying  agency],  to  the  managing  authority  or  to 
another body. 

The managing and the audit authorities may be responsible for one or more chapters 
of  the  Plan.  They  shall  be  provided  with  appropriate  resources  to  carry  out  their 
tasks.  

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9. 

10. 

When  carrying  out  their  functions,  the  plan  authorities  may  use  a  single  integrated 
and interoperable information and monitoring system, including a single data-mining 
and risk-scoring tool, as referred to in Article 36(2), point (d) of the Regulation (EU, 
Euratom)  2024/2509,  to  access  and  analyse  the  relevant  data,  with  a  view  to  a 
generalised application by Member States. 

Annual review meetings shall be organised once a year between the Commission and 
each  Member  State  to  examine  the  performance  of  the  Plan  or  its  chapters.  The 
relevant  authorities  and  the  coordinating  authority  shall  participate  in  the  review 
meetings.  The  outcome  of  the  review  meeting  shall  be  recorded  in  writing.  The 
Member State shall follow up issues raised during the review meeting which affect 
the  implementation  of  the  plan  or  one  or  more  chapters  and  shall  inform  the 
Commission within three months of the measures taken. 

Article 50 
Functions of the coordinating authority   

The coordinating authority shall be responsible for:  

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

(h) 

(i) 

(j) 

monitoring  the  implementation  of  the  Plan  while  ensuring  sound  governance 
practices and the maintenance of adequate administrative capacity by the authorities 
responsible for the Plan;  

ensuring coherence in the implementation of the various chapters of the Plan;  

submitting payment applications for the plan to the Commission in accordance with 
Article 65;  

providing  forecasts  of  the  amount  for  payment  applications  to  be  submitted  for  the 
current and subsequent calendar year by 31 January and 30 July in accordance with 
the template set in Annex X [on payment forecast];  

providing  the  management  declaration  referred  to  Article  59(1),  point  (c)  [Annual 
assurance  package]  in  accordance  with  the  template  set  out  in  Annex  XII 
[management declaration] signed by the managing authority or the paying agency;    

coordinating and submitting to the Commission all the documents requested as part 
of the annual assurance package referred to in Article 59 [annual package];  

ensuring  financial  flows  to  managing  authorities,  guaranteeing  that  with  each 
payment made by the Commission, such authorities receive the amounts due to them, 
in  accordance  with  the  progress  made  in  the  implementation  of  the  measures 
included  in  their  respective  chapters  and  taking  into  account  potential  financial 
corrections resulting from the implementation of their chapters and that they receive 
by the end of the period an amount at least equivalent to their Union contribution; 

ensuring  a  framework  to  strengthen  the  administrative  capacity  of  authorities, 
stakeholders, partners, and beneficiaries at  national  and local  levels,  and promoting 
policy learning and experimentation; 

supporting  the  work  of  a  coordinating  committee  by  providing  the  necessary 
information and ensuring the follow-up of the decisions and recommendations of the 
coordinating monitoring committee;  

communicating to Union citizens the role objectives and results of the NRP Plan in 
accordance with Article 18 of Regulation [Performance regulation] through a single 

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website portal  providing access  to  all chapters of the  NRP Plan  pursuant  to  Article 
64(1).    

Article 51 
Functions of the managing authority 

1. 

The managing authority shall be responsible for managing the Plan or a part of the 
Plan with a view to delivering its objectives. It shall have the following functions:  

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

selecting  operations  with  a  view  to  maximising  the  contribution  of  the  Plan 
towards the achievement of the objectives of the Fund, defined at the level of 
its chapters and measures by establishing and applying criteria and procedures 
which are non-discriminatory and transparent;   

carrying  out  management  verifications  to  ensure  the  fulfilment  of  the 
milestones  and  targets  set  out  in  the  Plan  and  the  effective  use  of  funds  in 
compliance  with  applicable  law;  for  the  purposes  of  drawing  up  the 
management declaration, the managing authority  is not expected to verify the 
underlying costs of the operations;  

applying  effective  and  proportionate  measures  and  procedures,  taking  into 
account  the  risks  identified,  to  prevent,  detect,  and  correct  irregularities, 
including  fraud,  corruption,  conflict  of  interests,  and  double-funding  and 
ensure  compliance  of  the  underlying  operations  with  applicable  law,  in 
accordance  with  the  relevant  key  requirements  set  out  in  Annex  IV  [key 
requirements];  

supporting  the  work  of  the  monitoring  committee  by  providing  the  necessary 
information in a timely manner and ensuring the follow-up of the decisions and 
recommendations of the monitoring committee;  

if relevant, supervising intermediate bodies, while ensuring sound governance 
practices and the maintenance of adequate administrative capacity;  

strengthening  the  administrative  capacity  of  intermediate  bodies  (if  relevant), 
and beneficiaries, and promoting policy learning and experimentation; 

ensuring  that  a  beneficiary  receives  the  amount  due  in  relation  to  the 
implementation of a measure in full and no later than [80] days from the date 
of  submission  of  the  payment  claim  by  the  beneficiary;  and  for  interventions 
referred  to  in  Article  35,  points  (a)  to  (g),  (o),  (p),  and  (r)  [types  of 
interventions], ensuring that the payment to beneficiaries takes place not  later 
than 30 June of the year following the year of the submission of the payment 
claim.  The  deadline  may  be  interrupted  if  information  submitted  by  the 
beneficiary  does  not  allow  the  managing  authority  to  establish  whether  the 
amount is due;  

(h) 

recording  and  storing  electronically  the  data  necessary  for  monitoring, 
evaluation, financial management, verifications and audits in accordance with 
Article 58 [Responsibilities of the MS] and Annex IV [key requirements], and 
ensure the security, integrity and confidentiality of data and the authentication 
of users;  

(i) 

ensuring  that  each  beneficiary  is  provided  with  a  document  setting  out  the 
conditions for support; financing plan, limits of execution and where applicable 
the method to apply the conditions for payment;  

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(j) 

(k) 

(l) 

ensuring that beneficiaries comply with their obligation to ensure the visibility 
of  the  Union  support,  in  accordance  with  Article  18  of  Regulation  (EU, 
Euratom) XX [Performance regulation] 

signing  the  management  declaration  referred  to  in  point  (a)  paragraph  1  of 
Article 59(1), point (c) (1, point (a) [Annual assurance package] in accordance 
with the template set out in Annex XII [management declaration]; 

submitting information on the implementation progress of the measures in the 
Plan as required by Article 58 [Responsibilities of Member States] and Annex 
IX [Reporting on progress in implementation of measures]. 

Management verifications referred to paragraph 1, point (b) shall be risk-based and 
proportionate to the risks identified ex ante and in writing.  

Management  verifications  shall  include  administrative  verifications  in  respect  of 
payment  claims  made  by  beneficiaries  and  on-the-spot  verifications  of  operations. 
Those  verifications  shall  be  carried  out  before  submission  of  the  annual  assurance 
package in accordance with Article 59.  

Article 52 
Functions of the paying agency   

The paying agency shall have an administrative organisation and a system of internal 
control  that  complies  with  internationally  recognised  standards  of  internal  control 
and that provides sufficient guarantees that payments are legal, regular and properly 
accounted for.  

Each Member State shall, taking into account its institutional provisions, restrict the 
number of its accredited paying agencies to a single paying agency at national level 
or, where applicable, one per region. 

In relation to the measures referred to in Article 35 [CAP type of interventions], the 
paying  agency  shall  perform  the  tasks  of  the  managing  authority  listed  in  Article 
51(1)  [managing authority], points (b), (c), (f), (g), (h), (i), (j) and (k)  and (2) and 
(3) of that Article. 

The paying agency may delegate the performance of its tasks, with the exception of 
making payments. 

The  paying  agency  shall  provide  the  coordinating  authority  with  the  necessary 
information for the purpose of Article 50, points (c), (e) and (f) of Regulation [CA]. 

The  person  in  charge  of  the  paying  agency  shall  draw  up  and  provide  to  the 
coordinating authority the management declaration referred to in Article 59(1), point 
(c), of this Regulation [Submission of the annual assurance package]. 

Each Member State shall continuously monitor the compliance of the paying agency 
with  the  requirements  laid  down  in  paragraph  1  and  be  in  charge  of  issuing, 
reviewing and withdrawing their accreditation.  

Where the Member State has determined that an accredited paying agency no longer 
respects one or more of the requirements laid down in paragraph 1 in a manner that 
affects  the  fulfilment  of  its  tasks,  the  Member  State  shall  put  the  paying  agency’s 
accreditation under probation without delay. It shall draw up a plan including actions 
and  deadlines  to  remedy  the  deficiencies  found  within  a  period  to  be  determined 
according  to  the  severity  of  the  problem.  That  period  which  shall  not  exceed  12 

2. 

3. 

1. 

2. 

3. 

4. 

5. 

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months  from  the  date  on  which  the  accreditation  is  put  under  probation.  In  duly 
justified cases, the Commission may, upon request of the Member State concerned, 
grant an extension of that period. 

Article 53 
Functions of the audit authority 

1. 

The audit authority shall be responsible for carrying  out  audits on  the fulfilment of 
milestones  and  targets,  and  system  audits  in  order  to  provide  assurance  to  the 
Commission  regarding  the  effective  functioning  of  the  management  and  control 
systems, including whether the management and control systems ensure the legality 
and regularity of the underlying transactions and the effective and timely protection 
of  the  financial  interests  of  the  Union.  The  audits  shall  provide  assurance  on  the 
effective use of funds in compliance with the applicable law. 

2. 

The audit authority shall draw up:  

(a) 

an  annual  audit  opinion  for  the  purposes  of  Article  63(7)  of  Regulation  (EU, 
Euratom) 2024/2509 in accordance with the template set out in Annex XIII of 
this Regulation which shall establish whether 

(i) 

(ii) 

data  entered  in  the  payment  applications  submitted  for  the  reference 
period  as  referred  to  Article  59(1),  point  (a),  [assurance  package]  are 
complete, accurate and reliable; 

the  management  and  control  systems  function  properly  and  ensure  the 
effective and timely protection of the financial interests of the Union and 
the legality and regularity of the underlying transactions;   

(iii) 

the use of funds is compliant with the applicable law; 

(iv)  whether  the  audit  work  puts  in  doubt  the  assertions  made  in  the 

management declaration. 

(b) 

a  summary  of  the  audits  carried  out  as  referred  to  in  Article  59(1),  point  (b), 
[Assurance  package]  including  an  analysis  of  the  nature  and  extent  of  the 
weaknesses identified and any corrective action taken or planned;  

Audit  work  shall  be  carried  out  in  accordance  with  internationally  accepted  audit 
standards.  

The audit authority shall prepare an audit strategy based on a risk assessment, taking 
into account the management and control system description provided for as required 
in  Article  22(2),  point  (m),  covering  system  audits,  and  audits  regarding  the 
milestones and targets, and the effective use of funds in compliance with applicable 
law.  All  newly  identified  managing  authorities  shall  be  subject  to  a  system  audit 
before the submission of the first payment application.  

The  audit  authority  is  not  expected  to  verify  the  underlying  costs  of  the  operations 
for the purpose of its audit work.  

3. 

4. 

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1. 

2. 

3. 

4. 

5. 

6. 

1. 

CHAPTER II 
Monitoring arrangements 

Article 54 
Monitoring committee and coordinating committee 

Each Member State shall set up one or more monitoring committees for the chapters 
of the NRP Plan, as appropriate in function of the chapter concerned. All chapters of 
the Plan shall be covered. The same monitoring committee may cover more than one 
chapter.   

Where the Member State sets up more than one monitoring committee, it shall also 
set up a coordinating committee which shall ensure the overview and the monitoring 
of the implementation of the plan, after consulting the relevant authorities managing 
each of the  NRP  Plan’s  chapters,  within  three months of the date of notification to 
the  Member  State  concerned  of  the  decision  approving  the  NRP  Plan.  The 
coordinating  committee  shall  approve  all  elements  listed  under  Article  56(1)  [ 
functions of the monitoring committee]  

The rules laid down in Articles 55 and 56 shall apply to the coordinating committee 
and to the monitoring committee.   

Each monitoring  committee and the coordinating committee shall adopt  its  rules of 
procedure,  including  provisions  regarding  the  prevention  of  any  conflict  of  interest 
and the application of the principle of transparency.   

The  monitoring  committee  shall  meet  at  least  once  a  year  and  shall  review  the 
implementation of the chapter or chapters  of the NRP Plan under its responsibility, 
including all issues that affect the progress towards achieving their objectives.   

The  rules  of  procedure  of  the  monitoring  committee  and  the  data  and  information 
shared with the monitoring committee shall be published on the website referred to in 
Article 64.  

Article 55 
Composition of the monitoring committee 

Each Member State shall determine in a public procedure and based on objective and 
transparent  criteria,  the  composition  and  the  size  of  the  monitoring  committee, 
ensuring  a  balanced  representation  of  the  relevant  Member  State  authorities  and 
intermediate  bodies  and  of  representatives  of  the  partners  referred  to  in  Article  6 
[partnership].  The  number  of  such  partners  shall  be  equal  or  superior  to  members 
belonging to authorities or intermediate bodies.   

The composition of the monitoring committee shall take into account the chapter or 
the  chapters  of  the  Plan  the  monitoring  committee  is  responsible  for.  The 
composition  and  size  of  the  monitoring  committee  shall  enable  the  committee  to 
carry out its work efficiently and effectively.   

Each member of the monitoring committee shall have a vote.   

The Member State shall publish and annually update the list of the members of the 
monitoring committee on the website referred to in Article 64.   

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2. 

Representatives  of  the  Commission  shall  participate  in  the  work  of  the  monitoring 
committee in an advisory capacity.   

Article 56 
Functions of the monitoring committee 

1. 

The monitoring committee shall examine:   

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

the progress in implementation of the measures included in the chapter of the 
Plan;   

any issues that affect the performance of the chapter and the measures taken to 
address those issues;  

the fulfilment of the Rule of Law and Charter horizontal conditions laid down 
in  Articles  8  and  9  [Rule  of  law  and  charter  horizontal  conditions]  and  their 
application throughout the programming period; 

the progress made in carrying out evaluations, syntheses of evaluations and any 
follow-up given to findings;   

the implementation  of  information,  communication and visibility actions with 
regards  to  reforms  and  investments  and  other  interventions  included  in  the 
chapter;   

the progress in administrative capacity building for public institutions, partners 
and beneficiaries, where relevant;  

the effective functioning of the partnership as regards the chapter or chapters of 
the Plan under its responsibility.   

2. 

The monitoring committee shall approve for the chapter(s) under its responsibility:   

(a) 

(b) 

any  proposal  for  the  amendment  of  the  chapter  or  chapters  of  the  NRP  Plan 
under its responsibility, except for amendments pursuant to Article 34 [Union 
actions, EU Facility]. 

the  methodology,  criteria  and  procedures  for  the  selection  of  operations, 
including  any  changes  thereto.  The  criteria  applied  and  procedures  used  shall 
be  non-discriminatory,  inclusive  and  transparent,  ensuring  accessibility  to 
persons  with  disabilities,  ensuring  gender  equality,  and  take  account  of  the 
Charter of Fundamental Rights of the European Union; 

(c) 

the evaluation roadmap and any amendment thereto; 

(d) 

the communication strategy; 

(e) 

territorial development strategies.   

3. 

4. 

The  coordinating  committee  shall  examine  and  approve  the  same  elements  as  the 
ones  mentioned  in  the  preceding  paragraph  but  at  the  level  of  the  Plan.  In  case  of 
divergent  opinions,  the  opinion  of  the  monitoring  committee  responsible  for  the 
chapter shall prevail.  

In  case  of  delays  or  challenges  in  the  implementation  of  different  chapters  of  the 
Plan,  the  coordinating  committee  can  issue  recommendations  to  the  authorities 
managing the chapters of the Plan on improving the effectiveness of these chapters in 
achieving their objectives, including any corrective actions that shall be taken by the 
authorities.  

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Article 57 
European and national CAP Network 

1. 

2. 

Each  Member State  shall,  at  the  latest 12  months  after  the  approval  by  the 
Commission of the Plan, establish and support a national network for CAP (‘national 
CAP  network’)  for  the  networking  of  organisations  and  administrations,  advisors, 
researchers  and  other  innovation  actors,  and  other  actors  in  the  field  of  agriculture 
and  rural  development  at  national  level.  The  national  CAP  networks  shall  build  on 
the existing networking experience and practices in the Member States. 

The  Commission  shall  establish  a  European  network  for  the  Common  Agricultural 
Policy  (‘European  CAP  network’)  to  link  national  networks,  organisations,  and 
administrations in the field of agriculture and rural development at Union level. 

3. 

The objectives of the national and European CAP networks shall be to:  

(a) 

involve  stakeholders 
interventions of the NRP Plan;  

in 

the  design  and 

implementation  of 

the  CAP 

(b) 

support Member State administrations in implementing the CAP interventions;  

(c) 

improve the quality of the NRP Plans and in particular their measures related to 
agriculture and disseminate results;  

(d) 

foster innovation, peer-to-peer learning, and knowledge-sharing;  

(e) 

(f) 

enhance monitoring and evaluation capacities;  

disseminate information on the CAP and funding opportunities;  

(g) 

contribute to further development of the CAP. 

4. 

 To achieve the objectives referred to in paragraph 6, the networks shall:  

(a) 

collect, analyse, and disseminate information on good practices concerning the 
CAP as well as analysis on developments in agriculture and rural areas;  

(b)  build capacity for Member States’ administrations and other actors involved in 
the  implementation,  monitoring  and  evaluation  of  the  NRP  Plans  concerning 
the CAP;  

(c) 

(d) 

facilitate  exchanges,  peer-to-peer  learning,  and  networking,  including  where 
relevant exchanges with networks in third countries;  

support  the  networking  of  funded  cooperation  projects,  such  as  local  action 
groups under Article 77 [LEADER], EIP-AGRI operational groups referred to 
in Article 19 of Regulation (EU) 202X/XXXX [CAP Regulation] and promote 
links to other Union-funded strategies. 

5. 

The  European  CAP  network  and  the  national  CAP  networks  shall  collaborate  and 
carry out joint activities in the achievement of the objectives referred to in paragraph 
3. The European CAP network shall use a distinctive visual identity.  

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TITLE X 
MANAGEMENT AND FINANCIAL RULES 

CHAPTER I 
General management rules 

Article 58 
Responsibilities of Member States 

1. 

The Member States shall take appropriate measures to protect the financial interests 
of the Union and to ensure that the use of funds in the implementation of the  Plans 
complies with the applicable law, including applicable public procurement and State 
aid  rules.  They  shall  in  particular  ensure  the  prevention,  detection,  correction  and 
reporting of irregularities, including fraud, corruption and conflicts of interest.   

2. 

For the purposes of paragraph 1, the Member States shall:   

(a) 

(b) 

establish  effective  and  efficient  management  and  control  systems  for  their 
Plans in accordance with the key requirements set out in Annex IV and ensure 
their  proper  functioning  in  accordance  with  the  principle  of  sound  financial 
management;  

ensure and regularly check that the support provided has been properly used to 
achieve  the  established  milestones  and  targets  or  outputs  and  take  all  the 
appropriate actions to ensure that the use of funds in the implementation of the 
Plans complies with applicable law;  

(c) 

take appropriate measures to prevent, detect and correct irregularities including 
fraud, corruption, conflicts of interest, including the use of data mining tools; 

(d) 

apply corrective measures where the applicable law is not respected;  

(e) 

(f) 

(g) 

ensure  the  avoidance  of  double  funding  from  the  Union  budget,  and  take 
immediate measure to correct any situation of double funding by cancelling the 
most recent funds decided to the concerned operation;  

ensure  compliance  with  the  obligations  set  out  in  Article  130  of  Regulation 
(EU, Euratom) 2024/2509; 

ensure  the  reporting  of  all  cases  of  suspected  fraud,  corruption  and 
irregularities, including conflict of interest, double funding and other breaches 
of  the  applicable  law  in  the  Commission’s  Irregularity  Management  System 
(IMS); the Commission shall summarise and publish that information annually 
and shall communicate it to the European Parliament; 

(h) 

ensure  that  the  Commission,  OLAF,  the  Court  of  Auditors  and,  in  respect  of 
those  Member  States  participating  in  enhanced  cooperation  pursuant  to 
Regulation (EU) 2017/1939, the EPPO:   

(i) 

can  exercise  their  respective  competences  as  provided  for  in  Article 
129(1) of the Regulation (EU, Euratom) 2024/2509 including by requiring 
expressly the recipients of Union funds to provide or ensure the necessary 
rights and access;   

(ii) 

receive access to the data referred to in Article 63 [on data collection and 
publication] within the exercise of their respective competences.    

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(i) 

have systems and procedures in place to ensure that all supporting documents 
necessary for the audit trail related to a measure supported by the Fund are kept 
at the appropriate level for a ten year period from 31 December of the year in 
which  the  last  payment  by  the  Commission  to  the  Member  State  is 
made;  where a redress procedure has been initiated, an appeal has been lodged 
or where court proceedings have begun, the supporting documents shall be kept 
until those procedures or any subsequent recovery procedures are terminated; 

(j)  make  arrangements  to  ensure  the  effective  examination  of  complaints 
concerning the use of the Fund, in accordance with their institutional and legal 
frameworks,  and  upon  request  by  the  Commission,  examine  complaints 
submitted  to  the  Commission  falling  within  the  scope  of  the  NRP  Plan  and 
inform the Commission of the results of these examinations;  

(k) 

(l) 

ensure that all exchanges of information between beneficiaries of funding and 
the  NRP  Plan authorities, as well as with  the Commission,  are carried out  by 
means of electronic data exchange systems which includes, among others, use 
of  automatic  and  interactive  forms  and  calculations,  ensures  record-keeping 
and  data  storage  in  the  system  enabling  both  administrative  verifications  of 
payment  claims  submitted  by  beneficiaries  and  audits  as  well  as  allows  for 
automatic synchronisation and transmission of data between beneficiaries' and 
Member States' systems; 

ensure  that  all  official  exchanges  of  information  with  the  Commission  are 
carried  out  by  means  of  an  electronic  data  exchange  system  referred  to  in 
Annex XVI [SFC2028: electronic data exchange system between the Member 
States  and  the  Commission].  Member  States  are  not  expected  to  verify  the 
underlying  costs  of  the  operations  and  the  measures  when  assessing  the 
fulfilment of milestones and targets. 

Member  States  shall  inform  the  Commission  by  15  February  of  each  year  on  the 
progress  in  achieving  the  objectives  established  in  the  Plans,  quantifying  the 
fulfilment  of  each  target  and  milestone,  and  progress  achieved  for  output-based 
interventions  supported  by  the  Plans.  This  information  shall  be  provided  in 
accordance  with  the  template  set  out  in  Annex  IX  [Reporting  on  progress  in 
implementation  of  measures].  If  no  quantification  on  progress  of  milestones  and 
targets is available in the progress reporting systems, the Member state shall provide 
an estimation of progress achieved, in accordance with the template set out in Annex 
IX  [Reporting  on  progress  in  implementation  of  measures].  The  information  made 
available shall cover progress until the end of year N and shall be submitted as part 
of the annual assurance package referred to in Article 57(1), point (a). 

The Commission is empowered to adopt delegated acts in accordance with Article 86 
[delegated  acts]  supplementing  paragraph  2,  point  (g)  of  this  Article,  with  rules  on 
the criteria for determining the cases of suspected fraud, corruption and irregularity 
to be reported and on the data to be provided in that context. 

Article 59 
Submission of the annual assurance package 

For  the  purpose  of  Article  63  of  Regulation  (EU,  Euratom)  2024/2509,  Member 
States shall submit to the Commission by 15 February of each year following 2028 
the following documents (‘the annual assurance package’):   

3. 

4. 

1. 

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(a) 

(b) 

(c) 

reporting on the implementation progress of the measures in the Plan set out in 
Article  58(4)  [Responsibilities  of  Member  States],  in  accordance  with  the 
template  set  out  in  Annex  IX  [Reporting  on  progress  in  implementation  of 
measures],  referencing  the  payment  applications  submitted  in  the  previous 
financial year;  

the summary of the audits referred to in Article 53(2)(b) [functions of the audit 
authority]; 

a  management  declaration,  in  accordance  with  the  template  set  out  in  Annex 
XII, indicating that: 

(i) 

the  information  submitted  with  the  payment  application(s)  is  complete, 
accurate and reliable;  

(ii) 

the funds were properly used;  

(iii) 

the  management  and  control  systems  put  in  place  function  properly  and 
give the necessary assurance that the funds were managed in accordance 
with all applicable laws, including on the prevention, detection, reporting 
and correction of conflicts of interests, corruption, double funding, fraud 
and  other  irregularities,  and in  line  with  the  principle  of  sound  financial 
management;  

(iv) 

the information referred to in point (a) provides a true and fair view of the 
implementation progress; 

(d) 

the  annual  audit  opinion  referred  to  in  Article  53(2)  [functions  of  the  audit 
authority] in accordance with the template set out in Annex XII;  

The  Commission  shall  take  into  account  the  information  provided  in  the  annual 
assurance  package  in  order  to  decide  whether  any  of  the  measures  specified  in 
Articles 66, 67 and 68 [interruptions][suspension of payments][financial corrections] 
are necessary. 

When submitting the final  annual assurance package for the last financial year, the 
Member  State  shall  confirm  that  the  total  payments  from  the  Commission  do  not 
exceed  the  total  amount  paid  by  the  Member  State  to  the  beneficiaries  in 
implementing the Plan, taking into account the national contribution.  

Article 60 
Responsibilities of the Commission 

The Commission  shall obtain reasonable  assurance that Member States  have put  in 
place management and control systems that comply with the requirements laid down 
in this Regulation and that these systems function effectively and efficiently during 
the implementation of the Plans.   

The  Commission  shall  draw  up,  for  the  purposes  of  its  own  audit  work,  an  audit 
strategy  and  an  audit  plan  which  shall  be  based  on  a  risk-assessment  and  the 
principle of proportionality.   

The Commission and the audit authority shall coordinate their audit work.  

the  purpose  of  audits, 

For 
their  authorised 
representatives shall, in accordance with Article 58(2), point (h) [responsibilities of 
MS],  have access  to  all necessary records, documents and metadata, irrespective of 
the medium in which they are stored, relating to the plan implementation, including 

the  Commission  officials  or 

2. 

3. 

1. 

2. 

3. 

4. 

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operations  supported  by  the  Fund  or  to  management  and  control  systems  and  shall 
receive  copies  in  the  specific  format  requested.  The  Commission  officials  or  their 
authorised  representatives  may  request  supplementary  information  and  perform  on-
the-spot audits.  

The Commission shall carry out audits during the implementation of the Fund and up 
to three years following the date of the final payment.   

The Commission is not expected to verify the underlying costs of the operations for 
the purpose of its audit work. 

Article 61 
Single audit approach 

When  carrying  out  audits,  the  Commission  and  the  audit  authorities  shall  take  due 
account of the principles of single audit and proportionality in relation to the level of 
risk to the budget of the Union.  

The Commission and audit authorities shall first use all the information and records 
referred to in Article 58(2), point (h) (Responsibilities of Member States), including 
results  of  management  verifications,  and  may  request  and  obtain  additional 
documents and audit evidence from the plan authorities and beneficiaries concerned 
where, based on their professional judgement, this is required to support robust audit 
conclusions.   

For Plans for which the Commission concludes that the opinion of the audit authority 
is reliable, and the Member State concerned participates in the enhanced cooperation 
on the establishment of the EPPO, the Commission’s own audits shall be limited to 
auditing the work of the audit authority.   

The  Commission  and  the  audit  authority  may  decide  not  to  audit  milestones  and 
targets in any year where they have already been subject to an audit by the European 
Court of Auditors. 

Notwithstanding paragraph 3, any milestone and target may be subject to more than 
one audit, if the audit authority concludes, based on its professional judgement, that 
it is not possible to draw up a valid audit opinion.   

5. 

6. 

1. 

2. 

3. 

4. 

5. 

6. 

Paragraph 2 shall not apply where:   

(a) 

(b) 

(c) 

there is a specific risk or suspicion of fraud, corruption or conflicts of interest 
or another serious non-compliance with  the responsibilities of Member States 
referred to in Article 58 [Responsibilities of Member States];   

there  is  a  need  to  re-perform  the  work  of  the  audit  authority  for  obtaining 
assurance as to its effective functioning following the risk assessment exercise 
performed by the Commission;   

there  is  evidence  that  the  functioning  of  the  audit  authority  does  not  comply 
with  the  key  requirements  laid  down  in  Article  53  [functions  of  the  audit 
authority] and Annex IV [A&C requirements]. 

7. 

The Commission and the audit authorities shall meet on a regular basis and, unless 
otherwise  agreed,  at  least  once  a  year  to  examine  the  audit  strategy,  the  annual 
control report and the audit opinion, to coordinate their audit plans and methods, and 
to exchange views on issues relating to the improvement of management and control 
systems. 

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1. 

2. 

3. 

4. 

Article 62 
Control system for farm stewardship and common fisheries policy 

Member States shall as part of the controls referred to in Article 58 [Responsibilities 
of  Member  States]  verify  the  compliance  of  beneficiaries  with  the  requirements  of 
the farm stewardship referred to in Article 3 of Regulation (EU) 202X/XXXX [CAP 
Regulation]  and  with  Article  XX  paragraph  XX  of  Regulation  (EU)  202X/XXXX 
[CFP Regulation].  

Where  the  area  eligible  for  the  support  referred  to  in  the  first  subparagraph,  as 
declared  in  the  geo-spatial  application  referred  to  in  Article  70  [IACS],  does  not 
exceed 10 hectares, the beneficiaries shall be exempted from controls  and penalties 
under this Article.   

Where a beneficiary has been selected for an on-the-spot check on an aid application 
or  on  a  payment  claim,  Member  States  shall,  to  the  extent  possible  and  taking 
account of the associated risks, not select that beneficiary for a subsequent check and 
control  sample  for that  year,  except  when the  circumstances require  more than one 
on-the-spot check in order to ensure the effective protection of the financial interests 
of the Union. This provision shall not reduce the level of checks. 

Member States shall make use of their control and enforcement systems in the areas 
of  climate  and  environment,  public  health,  plant  health  and  animal  welfare,  social 
and employment legislation, applicable labour standards, fisheries and aquaculture to 
ensure that beneficiaries of the support comply with the requirements set out in the 
first paragraph. 

The  managing  authority  or  paying  agency  shall  be  notified  where  relevant  at  least 
once a year of cases of non-compliance where enforceable decisions in that respect 
have been made under the applicable control and enforcement systems referred to in 
paragraph  2.  That  notification  shall  include  an  assessment  and  grading  of  the 
severity,  extent,  permanence  or  reoccurrence  and  intentionality  of  the  non-
compliance concerned.  

The  administrative  penalties  referred  to  in  paragraph  5  shall  only  apply  to    non-
compliance with the requirements of the farm stewardship referred to in Article 3 of 
Regulation XX [CAP, farm stewardship] where that non-compliance is the result of 
an act or omission directly attributable to the beneficiary concerned, and where one 
or both of the following conditions are met:  

(a) 

(b) 

the non-compliance is related to the agricultural activity of the beneficiary, as 
defined  by  Member  States  in  their  NRP  Plans  in  accordance  with  Article  4, 
point (21), point (a) [framework definition of agricultural activity];  

the  non-compliance  concerns  the  holding  as  defined  in  Article  4(15) 
[definitions  -  holding]  or  other  areas  managed  by  the  beneficiary  situated 
within the territory of the same Member State. 

However,  if  the  non-compliance  concerns  forest  areas,  the  penalties  referred  to  in  
paragraph 5 shall not be applied where no support is claimed for the area concerned. 

5. 

Member  States  shall  set  up  a  system  of  administrative  penalties  applying  to 
beneficiaries  referred  to  in  paragraph  4  who  do  not  comply,  at  any  time  in  the 
calendar year concerned, with the requirements of the farm stewardship. 

The  penalties  shall  consist  of  the  reduction  or  exclusion  of  the  total  amount  of  the 
payments under measures listed in Article 35(1), points (a) to (f), and (o) and (p) to 

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the  extent  they  concern  support  for  local  agricultural  products,  of  Regulation  (EU) 
202X/XXXX  [CAP  Regulation]    granted  or  to  be  granted  to  the  beneficiary 
concerned  in  respect  of  aid  applications  that  the  beneficiary  has  submitted  or  will 
submit in the course of the calendar year of the finding of the non-compliance. The 
penalties shall be calculated on the basis of the payments granted or to be granted in 
the  calendar  year  in  which  the  non-compliance  occurred.  However,  where  it  is  not 
possible  to  determine  the  calendar  year  in  which  the  non-compliance  occurred,  the 
reductions or exclusions shall be calculated on the basis of the payments granted or 
to be granted in the calendar year of the finding of the non-compliance.  

For the calculation of those penalties, account shall be taken of the severity, extent, 
permanence or reoccurrence and intentionality of the non-compliance determined, in 
line with  the assessment referred to  in  paragraph 3. A penalty imposed pursuant  to 
the national legislation implementing the legal acts listed in Annex I, parts A and B, 
to  Regulation  XX  [CAP]  for  the  same  act  or  omission  of  a  farmer  or  other 
beneficiary shall be taken into account  in  the calculation of penalties  referred to in 
the first subparagraph.   

The expenditure which  has been reduced  as a result of  the application of a penalty 
shall be considered legal and regular. The reduction shall, as a general rule, be 3 % of 
the  total  amount  of  the  payments.  In  the  case  of  intentional  non-compliance,  the 
reduction shall be at least 15 % of the amount of those payments. 

Member States shall provide that no administrative penalty shall be imposed if: 

(a)  The non-compliance is due to force majeure or exceptional circumstances; 

(b)  The non-compliance is due to an order from a public authority. 

In  case  of  a  non-compliance  with  Article  XX  of  Regulation  (EU)  XX  [Common 
Fisheries  Policy],  the  support  paid  to  the  beneficiary  shall  be  recovered  and  an 
application  for  support  submitted  by  a  beneficiary  shall  be  inadmissible  for  a 
specified period of time laid down pursuant  to  paragraph  8 of this Article, if it has 
been determined through a final decision by the competent authority concerned that 
the beneficiary has committed fraud. 

Where  a  case  as  listed  in  Article  XX  of  Regulation  (EU)  XX  [Common  Fisheries 
Policy] occurs between in the period of application and the five years after the final 
payment, the support paid  to  the beneficiary shall  be recovered. The recovery shall 
be  proportionate  to  the  nature,  gravity,  duration  and  repetition  of  the  serious 
infringements  or  offences  by  the  beneficiary  concerned  and  the  importance  of 
support to the economic activity of that beneficiary. 

In order to ensure a level playing field among Member States and the effectiveness, 
proportionality  and dissuasive effect  of the penalties referred to  in  paragraph 5 and 
recoveries  and  inadmissibility  referred  to  Article  XX  of  Regulation  EU  XX 
[Common  Fisheries  Policy],  and  in  paragraph  6  and  7  of  this  Article,  the 
Commission  is  empowered  to  adopt  delegated  acts  in  accordance  with  Article  86 
supplementing this Regulation with 

(a) 

(b) 

detailed rules on the application and calculation of the penalties; 

the  identification  of  the  threshold  triggering,  and  the  period  of  time  of,  the 
inadmissibility as well as the arrangements for recovering the support granted, 
including thresholds triggering it.  

6. 

7. 

8. 

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Article 63 
Data collection and recording 

1. 

For the purposes of audit and controls, transparency and performance monitoring and 
evaluation,  Member  States  shall  collect,  record  and  store  electronically  the 
information referred to in points (a) to (g), while ensuring the security, integrity and 
confidentiality  of  data  and  the  authentication  of  users  and  allowing  automated  data 
exchange with the electronic system identified by the Commission:  

(a) 

on the beneficiary:   

(i)  whether the beneficiary is a public or private law body, or an entity with 
or  without  legal  personality,  or  a  natural  person  or  a  group  of  natural 
persons;   

(ii) 

(iii) 

(iv) 

(v) 

(vi) 

(vii) 

the entity’s full legal name, address, and their VAT identification number 
or tax identification number where available or another unique identifier 
established at country level;   

if  natural  person,  first  and  last  name,  date  of  birth,  locality  and  national 
identification number; 

information on all beneficial owners of the beneficiary, if any, as defined 
in  Article  4(6)  of  Directive  (EU)  2015/849  of  the  European  Parliament 
and  of  the  Council23,  namely  first  name(s)  and  last  name(s),  date(s)  of 
birth  and  VAT  registration  number(s)  or  tax  identification  number(s) 
where available or another unique identifier at country level;   

the amount of Union contribution committed in the document setting out 
the conditions for support; 

 indication  of  the  associated  measure  under  the  Plan  with  the  measure’s 
sequence number and operation’s identifier; 

in relation to financial instruments, information whether the beneficiary is 
the  body  that  implements  a  holding  fund  or,  where  there  is  no  holding 
fund  structure,  the  body  that  implements  a  specific  fund,  or,  where  the 
managing authority implements financial instrument directly, information 
on the managing authority.  

(viii) 

In relation to CAP interventions referred to in Article 35(1),  

• 

• 

gender, whether the beneficiary is a farmer, a forest holder, a young 
farmer, a newly-set-up business; for sectoral interventions, the type 
of producer organisation; 

geolocation  of  the  holding,  whether  it  is  located  in  an  area  with 
natural  or  specific  constraints  as  referred  to  in  Article  8  of 
Regulation  (EU)  202/XXXX  [CAP  Regulation][Payment  for 
natural  or  other  area-specific  constraints],  in  a  nitrate  vulnerable 

23 

Directive  (EU)  2015/849  of  the  European  Parliament  and  of  the  Council  of  20  May  2015  on  the 
prevention  of  the  use  of  the  financial  system  for  the  purposes  of  money  laundering  or  terrorist 
financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and 
repealing  Directive  2005/60/EC  of  the  European  Parliament  and  of  the  Council  and  Commission 
Directive 2006/70/EC (OJ L 141, 5.6.2015, p. 73, ELI: http://data.europa.eu/eli/dir/2015/849/oj). 

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zone24,  in  Natura  2000  area  as  referred  to  in  Article  9  of  that 
Regulation  [Support  for  disadvantages  resulting  from  certain 
mandatory requirements];   

• 

the type of farming25, whether the holding is farmed organically26, 
the total number of hectares of arable land, of permanent grassland 
area,  with  permanent  crops,  on  which  no  agricultural  activity  is 
performed  but  which  are  eligible,  the  total  number  of  hectares 
subject to stewardship, out of which protected practices; 

(b)  on the recipient and the final recipient:  

(i)  whether the recipient or the final recipient is a natural or legal person and 
in case of a legal person, whether it is a public or a private law body;   

(ii) 

(iii) 

(iv) 

(v) 

in  the  case  of  a  legal  person,  the  recipient’s  or  the  final  recipient’s  full 
legal  name  and  their  VAT  identification  number  or  tax  identification 
number where available or another unique identifier established at country 
level,  and  in  the  case  of  a  natural  person,  the  first  and  last  name  of  the 
recipient,  the  date  of  birth  and  the  tax  identification  number  where 
available or another unique identifier;   

instruments  concerning 

the 
for  financial 
Common  Agricultural  Policy  implemented  under  shared  management, 
gender,  whether  the  final  recipient  is  a  farmer,  a  forest  holder,  a  young 
farmer,  a  newly-set-up  business,  and  the  number  of  contracts  signed 
between the final recipient and the bank; 

interventions  supporting 

the  locality  of  the  recipient  or  the  final  recipient,  namely  the  address  of 
the recipient when the recipient or the final recipient is a legal person; the 
region  on  NUTS  2  level  when  the  recipient  or  the  final  recipient  is  a 
natural  person  and  is  domiciled  in  the  Union  or  the  country  when  the 
recipient or the final recipient is a natural person and is not domiciled in 
the Union;    

information on all beneficial owners of the recipient or the final recipient, 
if any, as defined in Article 3(6) of Directive (EU) 2015/849, namely first 
name(s) and last name(s), date(s) of birth and VAT registration number(s) 
or  tax  identification  number(s)  where  available  or  another  unique 
identifier at country level;    

(vi) 

the  amount  of  Union  contribution  committed,  the  indication  of  the 
associated measure under the Plan and the operation’s identifier. 

(c) 

on the contractor:  

24 

25 

26 

As designed under Council Directive 91/676/EEC of 12 December 1991 concerning the protection of 
waters against pollution caused by nitrates from agricultural sources (OJ L 375, 31.12.1991, p. 1,  ELI: 
http://data.europa.eu/eli/dir/1991/676/oj). 
As defined in the Union typology for holdings referred to in Article 5b of Council Regulation (EC) No 
1217/2009  of  30  November  2009  setting  up  a  network  for  the  collection  of  accountancy  data  on  the 
incomes  and  business  operation  of  agricultural  holdings  in  the  European  Community  (OJ  L  328, 
15.12.2009, p. 27, ELI: http://data.europa.eu/eli/reg/2009/1217/oj). 
As laid down in Regulation (EU) 2018/848 of the European Parliament and of the Council of 30 May 
2018 on organic production and labelling of organic products and repealing Council Regulation (EC) 
No 834/2007 (OJ L 150, 14.6.2018, p. 1, ELI: http://data.europa.eu/eli/reg/2018/848/oj). 

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(i) 

(ii) 

(iii) 

(iv) 

the name and VAT registration or tax identification number; 

information on all beneficial owners of the contractor, if any, as defined 
in Article 3(6) of Directive (EU) 2015/849, namely first name(s) and last 
name(s),  date(s)  of  birth  and  VAT  registration  number(s)  or  tax 
identification  number(s)  where  available  or  another  unique  identifier  at 
country level;  

information  on  all  contracts,  namely  name,  date,  reference,  contract 
amount and any relevant identifier or identification number;  

indication  of  the  associated  measure  under  the  Plan  with  the  measure’s 
sequence number and operation’s identifier. 

(d)  on the subcontractor:  

(i) 

(ii) 

(iii) 

the name, VAT registration or tax identification number; 

information  on  the  sub-contract,  namely  name,  date,  reference,  contract 
amount and any relevant identifier or identification number;  

indication of the associated measure and operation under the Plan with the 
measure's sequence number and operation’s identifier. 

(e) 

on the operation:  

(i) 

(ii) 

(iii) 

(iv) 

(v) 

name and unique identifier and geolocation of the operation or, for mobile 
operations,  operations  implemented  in  the  cloud  or  operations  covering 
several locations, the location of the beneficiary;    

short description and objectives of the operation, with the exception of the 
CAP  interventions  referred  to  in  Article  35(1),  points  (a)  to  (g),  (o)  and 
(p); 

unique  identifier  of  the  call(s)  of  proposals  and  tenders  under  which  the 
operation  was  selected  and  the  related  information  in  accordance  with 
Article 12(4) of Regulation (EU) [Performance Regulation]; 

date  of  submission  of  the  application  for  funding  and  date  of  the 
document setting out the condition for support;   

amount of Union contribution as set  out in  the document setting  out  the 
conditions for support;   

(vi) 

amount paid out to the beneficiary for the operation;  

(vii) 

(viii) 

(ix) 

(x) 

co-financing  rate  applicable  to  the  associated  Chapter  of  the  Plan  and, 
where applicable, additional national financing; 

start  date  and  end  date  of  the  operation  as  indicated  in  the  document 
setting out the conditions for support;   

actual  date  when  the  operation  is  physically  completed  or  fully 
implemented;  

currency  of  the  operation  as  set  out  in  the  document  setting  out  the 
condition for support;   

(xi) 

unique identifier of the Plan under which the operation is supported;   

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(xii) 

(xiii) 

(xiv) 

(xv) 

(xvi) 

information  on  whether  the  operation  is  with  the  participation  of  a  third 
country or takes place in a third country; if so, identification of that third 
country;   

sequence number of the measure, milestone and target, intervention field 
and  performance  indicators  pursuant  to  Article  14  of  Regulation 
[Performance  Regulation]  to  which  the  operation  contributes  and  the 
progress in achievements and for each indicator;  

for  CAP  interventions  referred  to  in  Article  35(1):  the  eligible  area,  the 
farming practices covered where applicable, whether this farming practice 
is  newly  implemented,  the  agricultural  sector,  group  of  farmers  or  area 
targeted,  the  type  of  area  supported  the  area  or  number  of  animals  or 
capital insured, the category of investments, the type of training;    

information  on  whether  the  financial  instrument  is  combined  with 
programme  support  in  the  form  of  grants  within  the  meaning  of  Article 
71;   

information on whether the financial instrument operation is implemented 
across consecutive programming periods concerned below: the 2021-2027 
programming period and post- the 2027-2034 programming period; 

(xvii)  where  the  financial  instrument  is  organised  through  a  holding  fund, 
information  about  the  body  implementing  a  specific  fund  under  the 
holding fund  

(xviii) 

in  relation  to  financial  instrument  operations,  the  amount  of  private  and 
public  resources  mobilised  in  addition  to  the  Funds,  by  product:  loans; 
guarantees;  equity  of  quasi-equity;  grants  within  a  financial  instrument 
operation.    

(f) 

on  Community-Led  Local  Development,  in  relation  to  each  Local  Action 
Group (LAG): 

(i) 

number of members by category, number of members in decision making 
by category and gender, inclusion of young people in decision-making;  

(ii)  Number  of  actions  implemented  by  type  of  beneficiary  and  by  area, 
number  of  actions  with  innovation;  amount  of  Union  contribution 
committed  and  paid  to  actions  for  capacity  building  and  preparatory 
actions,  and  for  the  management,  monitoring  and  evaluation  of  the 
strategy and its animation; 

(iii) 

Support  of  LAG  provided  for  regional  development,  employment  and 
social  policy,  or  for  the  development    of  coastal  and  aquaculture 
communities; 

(g)  on each EIP-AGRI operational group: 

(i) 

title  of  the  project;  project  coordinator  and  partner(s):  type  of  partner, 
name,  address,  email  and  telephone;  start  and  end  date,  objectives  and 
nature  of  the  project;  key  thematic  areas  addressed;  territorial  scope, 
geographical  location;  ‘practice  abstract(s)’  with  main  findings  of  the 
project; project contribution to CAP specific objectives; final report. 

(ii) 

if  applicable,  funding  source(s)  additional  to  Union  contribution  and 
cofinancing. 

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2. 

3. 

4. 

5. 

1. 

2. 

Member States shall make available to the Commission the information referred to in 
paragraph 1 two times per year via automatic data exchange arrangements. 

In relation to the data referred to in paragraph 1 related to the CAP interventions , the 
Member States shall make available to the Commission annually at the latest by 31 
October of the year N the information  concerning area  and animal-based payments 
made  in  claim  year  N-1,  sectoral  interventions  implemented  in  calendar  year  N-1, 
and any other interventions as appropriate. 

Member States shall set up their systems for collection of data in a digital-ready and 
interoperable way based on the principle that data is collected only once and re-used. 
Member States shall ensure that beneficiaries, recipients, final recipients, contractors 
and sub-contractors are to the extent possible not confronted with duplication of data 
requests, have access to  all relevant data related to them and can easily reuse these 
data  to  complete  and  submit  applications.  Whenever  possible,  Member  States  shall 
re-use existing registers and databases. 

The Commission is empowered to adopt delegated acts in accordance with Article 86 
[Exercise of the delegation] to amend the data categories set out in paragraph  

Article 64 
Transparency 

The Member State shall, within  six months of the adoption of the Council decision 
referred to in Article 23 [Commission proposal and Council implementing decision], 
ensure  that  a  website  is  operational  where  information  on  support  under  this 
Regulation  is  available,  covering  the  Plan’s  objectives,  activities,  available  funding 
opportunities and achievements. 

The Member State shall ensure the publication of the information  set out in Article 
63(1) [Data collection and recording] on the website referred to in paragraph 1 of this 
Article,  subject  to  the  protection  of  personal  data  and  the  exceptions  listed  in 
paragraph  5  of  this  Article.  The  information  shall  be  updated  at  least  every  six 
months. 

By  way  of  derogation  from  the  first  subparagraph,  as  regards  CAP  interventions 
referred to in Article 35(1), Member States shall ensure by 31 May of the year N+1 
the  publication  of  the  information  referred  to  in  Article  63(3)  [Data  collection  and 
recording],  with  the  exception  of  the  data  referred  to  in  points  (a)(iv),  (a)(ix)  and 
(e)(xiv) of paragraph 1 of that Article.  

The Member State shall also ensure the publication on that website of the elements 
referred to in Article 12(4) of Regulation (EU) [Performance Regulation] in relation 
to  calls  for  proposals  and  tenders  under  the  Fund,  as  well  as  a  timetable  of  the 
planned  calls  for  proposals  under  the  Fund,  with  those  elements,  that  is  updated  at 
least two times a year. 

The information shall be in the official language or languages of the Member State 
and/or in either English, French or German, and shall remain available on the website 
for  two  years  from  the  date  of  its  initial  publication.  The  data  published  on  the 
website referred to in paragraph 1 shall be in a digital-ready, open, interoperable and 
machine-readable  format,  which  allows  data  to  be  sorted,  searched,  extracted, 
compared and reused. 

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3. 

4. 

5. 

1. 

2. 

3. 

4. 

5. 

6. 

The Member State shall, before publication takes place in accordance with paragraph 
2,  inform  the  beneficiaries  and  request  them  to  inform  recipients,  final  recipients, 
contractors and subcontractors that the data will be made public. 

The Commission shall publish the data as referred to in paragraph 2 of this Article on 
the centralised website referred to in Article 12 [Single Gateway] of the Regulation 
[Performance Regulation]. 

For the purposes of the first subparagraph, the Commission shall publish the share of 
the Union contribution in the amounts referred to in Article 63 [Data collection and 
recording]. The Union contribution shall be established by multiplying the amounts 
referred  to  in  Article  63  [Data  collection  and  recording]  to  the  co-financing  rate 
applicable to the associated Chapter of the Plan. Amounts in currency other than euro 
shall be converted to euro by using the monthly accounting exchange rate referred to 
in Article 19(3) of Regulation (EU, Euratom) 2024/2509. 

Information  shall  not  be  published  where  Union  law  or  national  law  excludes  such 
publication for reasons of security, public order, criminal investigations, or where the 
information  falls  under  points  a)  to  d)  of  Article  38(3)  of  the  Regulation  (EU, 
Euratom) 2024/2509. 

Information  on  name  and  surname  of  farmers  shall  not  be  published  if  the  amount 
received by them in one year is equal to or less than EUR 2500.  

CHAPTER II 
RULES ON PAYMENTS 

Article 65 
Submission and assessment of payment applications 

Payments  by  the  Commission  shall  be  made  in  accordance  with  the  budget 
appropriations and subject to the available funding.   

The  Member  States  shall  submit  to  the  Commission  a  payment  application  in 
accordance  with  the  template  set  out  in  Annex  XI  [template  for  payment 
application]. The amounts included in a payment application shall correspond to the 
amounts  justified  by  the  fulfilment  of  milestones  and  targets  or  corresponding 
outputs  for  other  interventions,  in  accordance  with  the  decision  approving  the  Plan 
and based on the evidence collected and verified by the Member State. 

In assessing the fulfilment of milestones and targets, the Member State shall evaluate 
each milestone and target in its entirety, taking into account its wording, underlying 
purpose,  and  context,  pursuant  to  Annex  VIII  [Assessment  guidelines  on  the 
satisfactory fulfilment of milestones and targets under the Fund]. 

Payment applications shall be submitted by the Member States to the Commission in 
accordance  with  the  template  set  out  in  Annex  XI  up  to  six  times  a  year  by  31 
October.    

Payment applications shall not be admissible if the latest assurance package due has 
not been submitted yet in accordance with Article 59 [annual assurance package] and 
until such time that it is submitted.   

Subject to available funding, the Commission shall make the payment within 60 days 
of the date on which it receives a payment application. Amounts may be paid in one 
or more instalments.  

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7. 

8. 

1. 

2. 

3. 

4. 

1. 

The cumulative total  amount  of pre-financing  and payments made shall  not  exceed 
95 % of the contribution from the Funds to the Plan. When this ceiling is reached, the 
coordinating  authority  shall  continue  transmitting  to  the  Commission  payment 
applications.  Without  prejudice  to  the  provisions  of  Articles  66,  67  and  68,  the 
Commission shall pay the final balance no later than  10 months after the receipt of 
the documents for the last year of implementation.   

The Commission is empowered to adopt a delegated act in accordance with Article 
86 to amend Annexes VIII and IX [on the payment application and the fulfilment of 
milestones and targets].  

Article 66 
Time limits and interruption of the payment deadline 

Where  a  time  limit  is  set  for  the  Commission  to  take  any  action  towards  Member 
States,  that  time  limit  shall  start  when  all  information  in  accordance  with  the 
requirements laid down in this Regulation has been submitted by the Member State.   

That  time  limit  shall  be  suspended  from  the  date  following  that  on  which  the 
Commission sends its observations or a request for revised documents to the Member 
State  and  until  the  Member  State  responds  to  those  observations  or  provides  those 
documents.  

Taking  into  account  the  information  at  its  disposal  and  the  principle  of 
proportionality, the Commission may interrupt the payment deadline for a maximum 
period of six months or, in respect of loan support, take any measure available under 
the loan agreement, where any of the following conditions is met:   

(a) 

(b) 

that information suggests a serious non-compliance of a Member State with the 
obligations  laid  down  in  Article  58  [responsibilities  of  Member  States],  for 
which corrective measures have not been taken;   

the Commission intends to carry out verifications in particular to determine if 
one or more milestone or target or output included in a payment application has 
not been fulfilled or achieved; 

(c) 

a  milestone  or  a  target,  for  which  a  payment  has  been  disbursed,  may  have 
been reversed pursuant to Article 69 [reversals].   

The  Commission  shall  inform  the  Member  State  concerned  of  the  reasons  for  the 
interruption in writing and, where relevant, shall request it to remedy the situation. 

Article 67 
Suspension of payments 

The  Commission  may  suspend  all  or  part  of  the  payments,  or,  in  respect  of  loan 
support,  take  any  measure  available  under  the  loan  agreement,  taking  into  account 
the principle of proportionality, in any of the following cases:  

(a) 

(b) 

the  Member  State  has  failed  to  take  the  corrective  measures  to  remedy  the 
situation giving rise to an interruption under Article 66(3) [interruption], point 
(a);  

there is a serious non-compliance with the obligations laid down in Article 58 
[Responsibilities  of  Member  States],  for  which  corrective  measures  have  not 
been taken;     

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(c) 

(d) 

one or more milestone or target or output included in a payment application has 
not  been  fulfilled  or  a  milestone  or  a  target,  for  which  a  payment  has  been 
disbursed, has been reversed pursuant to Article 69 [reversals];  

there  is  a  reasoned  opinion  by  the  Commission  in  respect  of  an  infringement 
procedure  under  Article  258  TFEU  on  a  matter  that  puts  at  risk  the  effective 
implementation of the measures. 

(e) 

the Council has decided that a Member State: 

(i) 

(ii) 

(iii) 

has  not  taken  effective  action  to  correct  its  excessive  deficit,  unless  the 
Council  has  adopted  a  recommendation  under  Article  25  of  Regulation 
(EU)  2024/1263  of  the  European  Parliament  and  of  the  Council  in  the 
event of a severe economic downturn in the euro zone or the Union as a 
whole; 

has not taken corrective action to correct its excessive imbalances, unless 
the Council has adopted amendments to its recommendation under Article 
9(4) of Regulation (EU) No 1176/2011 of the European Parliament and of 
the Council; 

has  decided  that  a  Member  State  does  not  comply  with  the  policy 
requirements  contained  in  the  macroeconomic  adjustment  programme 
referred to in Article 7 of Regulation (EU) No 472/2013 of the European 
Parliament  and  of  the  Council  for  reasons  within  the  control  of  the 
Member State concerned. 

(f) 

the Commission has concluded that a Member State does not comply with the 
adjustment  programme  and  Memorandum  of  Understanding  referred  to  in 
Articles 3 and 3a of Council Regulation (EC) No 332/2002. 

Before taking a decision on a suspension, the Commission shall inform the Member 
State of its conclusions and give the Member State the opportunity to present, within 
two months, its observations on the Commission’s assessment. The deadline may be 
extended  if  mutually  agreed.  The  Commission  shall  take  into  account  all  relevant 
information and observations provided by the Member State before taking a decision 
on the suspension.  

The  Commission  shall  lift  the  suspension  when  the  Member  State  has  taken 
corrective  measures  remedying  the  elements  referred  to  in  paragraph  1. Such 
measures may include the amendment of the Plan inserting additional conditions for 
payment.  

Article 68 
Financial corrections by the Commission 

The  Commission  shall  apply  financial  corrections  to  reduce  proportionately  the 
Union financial contribution and, where applicable, recover from the Member States 
any amount due to the Union budget, or, in respect of loan support, take any measure 
available  under  the  loan  agreement,  where  it  determines  that  one  of  the  following 
situations exists:  

(a) 

the Member State concerned has not taken the necessary measures referred to 
in  Article  67(2)  [Suspension  of  payments]  and  where  payments  have  been 
suspended for at least six months;  

2. 

3. 

1. 

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(b) 

(c) 

(d) 

there  is  fraud,  corruption  or  conflicts  of  interests  affecting  the  financial 
interests of the Union,  which was not  detected  and reported and  corrected by 
the Member State;  

there is a serious non-compliance with the obligations laid down in Article 58 
[Responsibilities  of  Member  States],  for  which  corrective  measures  were  not 
taken by the Member State;  

amounts  were  paid  out  for  an  unfulfilled  milestone  or  target  or  unachieved 
output,  which  was  not  detected  and  reported  by  the  Member  State  and 
corrective  measures  have  not  been  taken  by  the  end  of  the  Plan;  where  a 
Member  State  reports  such  findings  to  the  Commission,  the  suspension 
procedure set out in Article 67(1), point (c), (Suspension of payments) applies; 

(e) 

a milestone or target, for which a payment has been disbursed, has been found 
to  be  reversed  after  the  last  payment  made  under  the  Plan  and  corrective 
measures were not taken by the end of the Plan.  

When  deciding  on  the  amount  of  the  financial  correction,  the  Commission  shall 
respect  the  principle  of  proportionality  and  shall  take  into  account  the  seriousness, 
frequency and financial implications of the deficiencies listed in paragraph 1. It shall 
as  much  as  possible  correspond  to  the  actual  financial  loss  or  risk  for  the  Union 
budget.  Where  the  actual  level  of  undue  payments,  and  the  amount  of  financial 
damage  suffered  by  the  Union,  cannot  be  determined  by  the  Commission  with 
reasonable  effort,  the  Commission  may  determine  the  amount  by  applying 
extrapolated  or  flat-rate  corrections  in  accordance  with  Annex  XIV  [Determination 
of the level of flat-rate financial corrections].   

In case of an unfulfilled milestone or target, which was not detected and reported by 
the Member State, as referred to in paragraph 2, point (d), the value of the correction 
applied  by  the  Commission  shall  be  determined  in  proportion  to  the  part  which  is 
unfulfilled.  

Where a final milestone or target of a given measure was not fulfilled, the value of 
the  correction  applied  by  the  Commission  shall  be  determined  in  proportion  to  the 
implementation of the measure, taking into account the previous payments made.  

Before taking a decision on a financial correction, the Commission shall inform the 
Member  State  of  its  conclusions  and  give  the  Member  State  the  opportunity  to 
present,  within  two  months,  its  observations  on  the  Commission’s  assessment.  The 
deadline  may  be  extended  if  mutually  agreed.  The  Commission  shall  take  into 
account  all  relevant  information  and  observations  provided  by  the  Member  State 
before taking a decision on the application of the financial correction.  

Without  prejudice to  paragraph 1, the Commission  shall reduce proportionately the 
support  and  recover  any  amount  due  to  the  Union  budget  in  all  cases  affecting  the 
financial  interests  of  the  Union  or  the  achievement  of  milestones  and  targets  that 
have not been corrected by the Member State or serious non-compliance  with  the 
key requirements mentioned in Annex IV [key requirements], or with the obligations 
laid down in Article 58 [Responsibilities of Member States] that was not corrected by 
the  Member  State    by  the  submission  of  assurance  package  in  the  final  accounting 
year.   

2. 

3. 

4. 

5. 

Where  following  the  amendment  of  a  plan,  a  measure  for  which  amounts  were 
disbursed  for  completed  milestones  or  targets,  is  removed,  amounts  previously 

EN 

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disbursed shall be recovered without reducing  the  Union  financial contribution and 
reprogrammed towards other measures.  

Article 69 
Durability and Reversals 

1. 

2. 

3. 

The Member State shall ensure that the fulfilment of any of the relevant milestones 
and targets remains ensured for at least five years after the date of the Commission 
payment corresponding to the achievement of the milestone or target. 

Where  the  Commission  considers  that  the  requirements  laid  down  in  paragraph  1 
have not been respected, or where the Member State informs about the reversal in the 
assurance  package,  the  Commission  shall  follow  the  procedures  referred  to  in 
Articles 66, 67, 68 [interruption, suspension of payments, correction].  

Paragraphs 1 and 2 shall not apply to investments under the specific objectives laid 
down in Article 3, point (c), which are not investments in infrastructure unless they 
are  subject  to  an  obligation  of  maintenance  of  investment  under  State  aid  rules  or 
where such obligation of maintenance is set out in the Plan. 

4. 

Operations supporting relocation shall not be eligible.  

Article 70 
Integrated Administration and Control System (IACS) 

1. 

2. 

Each Member State shall set up and operate an integrated administration and control 
system  (the ‘integrated system’).  It  shall apply  to the interventions listed in  Article 
35(1), points (a) to (g).  

To the extent necessary, the integrated system shall also be used for the management 
of [farm stewardship] referred to in Article XX of Regulation XX [CAP], and in all 
appropriate  cases to  the  measures  referred to  in  Title VI  [provisions on support for 
outermost regions]. 

3. 

The integrated system shall comprise the following elements:  

(a) 

(b) 

an agriculture monitoring system (AMS). The AMS is  a procedure of regular 
and  systematic  observation,  tracking  and  assessment  of  agricultural  activities 
and practices by technological means, including Copernicus Sentinels satellite 
data;  

a geo-spatial and animal-based application system (GSA). The GSA is a digital 
application  tool  for  the  beneficiary  to  declare  agricultural  activities  and 
practices of the holding;  

(c) 

a land parcel identification system (LPIS);  

(d) 

a system for the identification and registration of animals;  

(e) 

(f) 

a  system  for  the  identification  of  beneficiaries  of  the  interventions  listed  in 
paragraphs 1 and 2;  

a  control  and  penalty  system.  Member  States  shall  annually  carry  out 
administrative  checks  on  the  aid  application  and  payment  claims  to  verify 
legality  and  regularity.  Those  checks  shall  be  supplemented  by  on-the-spot 
checks, which may be executed remotely with the use of technology. However, 
Member  States  may  choose  not  to  carry  out  on  the  spot  checks  where  the 

EN 

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eligibility  conditions  of  measures  are  monitored  under  the  agriculture 
monitoring system referred to in point (a) of this Article.  

4. 

Member  States  shall  annually  assess  the  quality  of  the  elements  of  the  integrated 
system  referred  to  in  paragraph  3,  points  (a),  (b)  and  (c),  in  accordance  with  the 
methodology set up at Union level.  

Where the assessment reveals deficiencies in the elements of the integrated system, 
Member  States  shall  adopt  appropriate  remedial  actions  or,  failing  that,  shall  be 
requested  by  the  Commission  to  set  up  a  roadmap  detailing  the  timeline  for 
implementing the outstanding remedial actions.  

An assessment report and, where appropriate, the remedial actions and the timetable 
for  their  implementation  shall  be  submitted  to  the  Commission  by  15  February 
following the calendar year concerned.  

The  Commission  shall  supply  the  satellite  data,  required  for  the  agriculture 
monitoring  system,  free  of  charge  to  the  authorities  competent  for  the  agriculture 
monitoring  system  or  to  suppliers  of  services  authorised  by  those  authorities  to 
represent  them.  For  the  purpose  of  the  quality  assessment  of  the  integrated  system 
referred  to  in  paragraph  4,  the  Commission  shall  provide  them,  free  of  charge,  the 
necessary Very High Resolution  imagery. The Commission  shall remain the owner 
of the satellite data and imagery.   

to 

the  responsibilities  of 

Without  prejudice 
the 
implementation  and  application  of  the  integrated  system  Member  States  shall 
establish  the  European  land  monitoring  system.  It  shall  provide  information  to 
farmers  to  support  sustainable  management  of  their  holdings.  Furthermore,  it  shall 
provide  data  for  CAP  policy  development  and  monitoring,  and  promote  sharing  of 
farm sustainability data. 

the  Member  States  for 

The European land monitoring system shall comprise at least the data related to the 
elements  of the integrated system  referred to  in  paragraph 3 and, where applicable,  
data  shared  by  farmers  with  public  authorities  in  accordance  with  Article  10  of 
Regulation  (EU) 202X/XXXX [CAP  Regulation].  The Member States  may provide 
additional  services  to  enhance  the  European  land  monitoring  system  with  other 
sources of information to the benefit of the farmers. 

Where necessary to ensure that the integrated system provided for in this Chapter is 
implemented in an efficient, coherent and non-discriminatory way which protects the 
financial  interests  of  the  Union,  the  Commission  is  empowered  to  adopt  delegated 
acts in accordance with Article 87, supplementing this Regulation with:  

(a) 

rules  on  the  methodology  set  up  at  Union  level  for  the  annual  quality 
assessment  of  the  elements  of  the  integrated  system,  referred  to  in  paragraph 
(3), points (a), (b) and (c); 

5. 

6. 

7. 

8. 

(b) 

rules on the LPIS, referred to in paragraph 3, point (c). 

9. 

The Commission may adopt implementing acts laying down rules on:  

(a) 

the form and content of, and arrangements for transmitting or making available 
to the Commission of:  

(i) 

(ii) 

the assessment report referred to in paragraph (4); 

the remedial actions provided by Member States; 

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(b)  basic features of, and rules on:  

(i)  AMS; 

(ii)  GSA; 

(iii) 

(iv) 

LPIS 

the European land monitoring system. 

10. 

Those  implementing  acts  shall  be  adopted  in  accordance  with  the  examination 
in  Article  87(3)  [committee  procedure,  examination 
procedure  referred 
procedure].  

to 

TITLE XI 
SPECIFIC TYPE OF SUPPORT 

Article 71 
Financial instruments 

11. 

12. 

13. 

Member  States  may  include  in  their  Plans  support  to  existing  or  newly  created 
financial  instruments  implemented  directly  by,  or  under  the  responsibility  of,  the 
managing authority.   

The  use  of  financial  instruments  and  their  possible  combination  with  grant  support 
shall be justified with regard to the corresponding market needs and their capacity to 
de-risk  and  leverage  private  capital.  The  estimated  costs  of  a  financial  instrument 
shall be established in accordance with paragraph 11.  

Member  States  shall  select  bodies  implementing  financial  instruments.  Where  a 
financial  instrument  is  implemented  by  a  holding  fund,  the  body  implementing  the 
holding  fund  shall  select  bodies  implementing  specific  funds  through  transparent 
procedures.  

14. 

Management fees shall be performance based.  

Where  bodies  implementing  a  holding  fund  are  selected  through  a  direct  award  of 
contract the amount of management fees shall be subject to a ceiling of up to 7% of 
the  financial  contribution  of  the  Plan  for  equity  or  quasi-equity  products  and  up  to 
5% for any other financial products.  

Where  bodies  implementing  a  specific  fund  are  selected  through  a  direct  award  of 
contract the amount of management fees shall be subject to a ceiling of up to 15% of 
the  financial  contribution  of  the  Plan  for  equity  or  quasi-equity  products  and  up  to 
7% of the financial contribution of the Plan for any other financial products.  

15. 

Member States may directly award a contract  for the implementation  of a financial 
instrument to the following beneficiaries: 

(a) 

the EIB group 

(b) 

international financial institutions in which a Member State is shareholder 

(c) 

a publicly-owned bank or institution, established as a legal entity carrying out 
financial  activities  on  a  professional  basis,  which  fulfils  all  of  the  following 
conditions: 

(i) 

there is no direct private capital participation, with the exception of non-
controlling  and  non-blocking  forms  of  private  capital  participation 
required  by  national  legislative  provisions,  in  conformity  with  the 

EN 

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Treaties, which do not exert a decisive influence on the relevant bank or 
institution, and with the exception of forms of private capital participation 
which  confer  no  influence  on  decisions  regarding  the  day-to-day 
management of the financial instrument supported by the Funds; 

it operates under a public policy mandate given by the relevant authority 
of a Member State at national  or regional level,  which includes carrying 
out,  as  all  or  part  of  its  activities,  economic  development  activities 
contributing to the objectives of the Funds; 

it  carries  out,  as  all  or  part  of  its  activities,  economic  development 
activities  contributing  to  the  objectives  of  the  Funds  in  regions,  policy 
areas  or  sectors  for  which  access  to  funding  from  market  sources  is  not 
generally available or sufficient; 

it operates without primarily focusing on maximising profits, but ensures 
a long-term financial sustainability for its activities; 

it  ensures  that  the  direct  award  of  a  contract  referred  to  in  paragraph  4 
does not provide any direct or indirect benefit for commercial activities by 
way of appropriate measures in accordance with applicable law; 

(ii) 

(iii) 

(iv) 

(v) 

(vi) 

it is subject to the supervision of an independent authority in accordance 
with applicable law, 

(d)  other bodies fulfilling the conditions laid down in the  Article 12 of Directive 

2014/24/EU of the European Parliament and of the Council27 apply.  

Financial instruments may be combined with the support in the form of grants in  a 
single  financial  instrument  operation  in  a  single  funding  agreement,  where  both 
distinct  forms  of  support  shall  be  provided  by the  body  implementing the  financial 
instrument. In such a case, the rules applicable to financial instruments shall apply to 
that single financial instrument operation. The support in the form of grants shall be 
directly  linked  and  necessary  for  the  financial  instrument  and  shall  not  exceed  the 
value of the investments supported by the financial product. Separate records shall be 
kept for each type of support. 

Final milestones and targets in measures implemented as financial instruments shall 
require the support to have been provided to final recipients.  

For  activities  falling  within  the  scope  of  Article  42  TFEU,  the  total  amount  of 
support  for  working  capital  provided  to  a  final  recipient  shall  not  exceed  a  gross 
grant  equivalent  of  EUR  300  000  over  any  period  of  three  fiscal  years.  The  same 
ceiling  shall  apply  for  the  maximum  amount  of  aid  provided  through  financial 
instruments to a given project by young farmer, including for setting-up. 

Grants  shall  not  be  used  to  reimburse  support  received  from  financial  instruments. 
Financial instruments shall not be used to pre-finance grants.  

Support from the Funds paid to financial instruments shall be placed in accounts in 
financial institutions  domiciled within Member States and shall be managed in  line 
with active treasury management and the principles of sound financial management. 

Directive  2014/24/EU of  the European  Parliament  and of  the  Council of 26  February  2014 on public 
(OJ  L  94,  28.3.2014,  p.  65,  ELI: 
procurement  and 
http://data.europa.eu/eli/dir/2014/24/oj). 

repealing  Directive  2004/18/EC 

16. 

17. 

18. 

19. 

20. 

27 

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Interest  and  other  gains  attributable  to  support  from  the  Fund  paid  to  financial 
instruments  shall  be  used  for  the  same  objective,  as  the  initial  support  from  the 
Funds,  including  for  the  payments  of  management  fees  incurred  by  the  bodies 
implementing  the  financial  instrument  either  within  the  same  financial  instrument; 
or,  following  the  winding  up  of  the  financial  instrument,  in  other  financial 
instruments or other forms of support for further investments in final recipients, until 
the end of the eligibility period. Any interest and other gains not used in accordance 
with the previous sentence shall be deducted from the overall support.  

21. 

The estimated costs of a financial instrument shall be established on the basis of the 
targeted  volume  of  the  proposed  financial  products  and  the  corresponding 
management  fees.  The  following  categories  may  also  be  included  as  part  of  the 
estimated costs of financial instruments:  

(a) 

(b) 

(c) 

payments  to  final  recipients,  in  the  case  of  loans,  equity  and  quasi-equity 
investments;  

resources  set  aside  for  guarantee  contracts,  whether  outstanding  or  having 
already come to maturity, in order to honour possible guarantee calls for losses, 
calculated  on  the  basis  of  a  multiplier  ratio  established  for  the  respective 
underlying disbursed new loans or equity investments in final recipients;  

payments to, or for the benefit of, final recipients where financial instruments 
are  combined  in  a  single  financial  instrument  operation  in  accordance  with 
paragraph 5 of this article.  

(d)  management  fees 
instrument.  

incurred  by 

the  bodies 

implementing 

the  financial 

(e)  Arrangement fees, or any part thereof, charged to final recipients, shall not be 

included in the estimated costs. 

Resources paid back, before the end of the eligibility period, to financial instruments 
from  investments  in  final  recipients  or  from  the  release  of  resources  set  aside  for 
guarantee contracts, including capital repayments and any type of generated income 
that is attributable to the support from the Fund, shall be re-used in the same or other 
financial instruments for further investments in final recipients to cover the losses in 
the  nominal  amount  of  the  Fund  contribution  to  the  financial  instrument  resulting 
from  negative  interest,  if  such  losses  occur  despite  active  treasury  management,  or 
for any management fees associated to such further investments, taking into account 
the principle of sound financial management. 

Member States shall adopt the necessary measures to ensure that during a period of 
eight years after the end of the eligibility period the resources returned are re-used in 
accordance  with  the  objectives  of  the  Plan,  either  within  the  same  or  in  other 
financial instruments or in other forms of support. 

22. 

Article 72 
Management verifications and audits of financial instruments 

1. 

The  managing  authority  shall  carry  out  on-the-spot  management  verifications  in 
accordance with Article 51 [functions of the managing authority] only at the level of 
bodies implementing the financial instrument.  The managing  authority may rely  on 
verifications  carried  out  by  external  bodies  and  may  not  carry  out  on-the-spot 
management verifications, provided that it has sufficient evidence of the competence 

EN 

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of  these  external  bodies.  In  the  context  of  guarantee  funds,  the  managing  authority 
may  carry  out  on-the-spot  management  verifications  at  the  level  of  the  bodies 
providing  support  to  final  recipients  if  the  evidence  of  functioning  of  the 
management and controls is not available at the level of the body implementing the 
financial instrument or of the managing authority. 

The audit authority shall carry out audits in accordance with Article 53 [functions of 
the audit authority], as appropriate, at the level of bodies implementing the financial 
instrument.  The  audit  results  of  external  auditors  of  bodies  implementing  the 
financial  instrument  may  be  taken  into  account  by  the  audit  authority  for  the 
purposes of the overall assurance and on this basis, the audit authority may decide to 
limit its own audit work. In the context of guarantee funds, the bodies responsible for 
the audit may conduct audits of the bodies providing support to final recipients if the 
evidence of support are not available at the level of the body implementing financial 
instrument or of the managing authority. 

Managing  authorities  and  audit  authorities  may  rely  on  the  results  of  the  Pillar 
Assessment conducted in accordance with Article 157 of Regulation (EU, Euratom) 
2024/2059. 

The managing authority shall not carry out on-the-spot management verifications at 
the  level  of  the  EIB  group,  other  international  financial  institutions  in  which  a 
Member State is a shareholder.   

The EIB group, other international financial institutions in which a Member State is a 
shareholder  shall  provide  control  reports  supporting  the  payment  claims  to  the 
managing authority. 

The  EIB,  other  international  financial  institutions  in  which  a  Member  State  is  a 
shareholder  shall  provide  to  the  Commission  and  to  the  audit  authority  an  annual 
audit report drawn up by their external auditors by the end of each calendar year. The 
report shall constitute the basis for the audit authority’s work.   

System audits shall not be performed at the level of individual financial instrument 
operations. 

The  audit  trail  shall  be  available  at  the  level  of  the  bodies  implementing  financial 
instruments or at the level of the bodies providing support to  final recipients in the 
context of guarantee funds. 

Article 73 
Management verifications and audits for ex-ante assessed entities as beneficiaries 

This Article applies where a beneficiary is an entity referred to in Article 62(1), first 
subparagraph,  point  (c)  of  Regulation  (EU,  Euratom)  2024/2059,  whose  systems, 
rules  and  procedures  have  been  positively  assessed  ex-ante  by  the  Commission 
pursuant to Article 157(4) and (7) of that Regulation. 

Managing  authorities  and  audit  authorities  may  rely  on  the  results  of  the  ex-ante 
pillar assessment  carried out  by the Commission in  accordance with  Article  157 of 
Regulation  (EU,  Euratom)  2024/2059,  taking  into  account  supervisory  measures 
referred to in the third paragraph of that Article.   

For  the  purposes  of  the  annual  assurance  package  referred  to  in  Article  58,  the 
managing authority shall require the ex-ante assessed entities to provide documents 
on the implementation of the Union support, that may be equivalent to those referred 

2. 

3. 

4. 

5. 

6. 

7. 

8. 

1. 

2. 

3. 

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to  in  Article  158(1)  of  Regulation  (EU,  Euratom)  2024/2059,  including  a 
management  declaration  confirming  that  the  conditions  for  the  use  of  the  Union 
support have been met.   

The  managing  authority  may  rely  on  verifications  carried  out  by  external  bodies  at 
the level of an ex-ante assessed entity and, subject to paragraphs 4 and 5, may decide 
not  to  carry  out  on-the-spot  management  verifications  at  the  level  of  that  entity, 
provided that it has sufficient evidence of the competence of those external bodies.   

The managing authority shall carry out on-the-spot management verifications at the 
level of an ex-ante assessed entity where:  

(a) 

(b) 

that  managing  authority  identifies  a  specific  risk  of  irregularity,  including  a 
suspicion  of  fraud,  corruption  or  conflicts  of  interest  with  respect  to  an 
operation initiated or implemented by an ex-ante assessed entity;  

that  managing  authority  identifies  a  specific  risk  that  the  Union  support 
provided  has  not  been  properly  used  or  that  the  use  of  the  funding  in  the 
implementation of the plans does not comply with applicable law.  

Audits and controls carried out at the level of an ex-ante assessed entity may be taken 
into account by the audit authority for the purposes of the overall assurance and, on 
this basis, the audit authority may decide to limit its own audit work.   

Where  the  audit  authority  identifies  a  specific  risk  of  irregularity,  including  a 
suspicion  of  fraud,  corruption  or  conflicts  of  interest  with  respect  to  an  operation 
initiated or implemented by an ex-ante assessed entity, it may carry out audits. 

4. 

5. 

6. 

7. 

Article 74 
Territorial and local cooperation initiatives 

1. 

Member States may establish, and provide support for cooperation in the following 
areas:  

(a) 

(b) 

integrated territorial and urban development 

community-led local development, including LEADER, and other citizens-led 
initiatives; 

(c) 

smart-village strategies,  

(d)  projects of the EIP-AGRI operational groups referred to in Article 19(2) [EIP] 

of Regulation XX [CAP]; 

(e) 

quality  schemes  recognised  by  the  Union  or  by  the  Member  States,  and  their 
use by farmers;  

(f) 

support producer groups, producer organisations or interbranch organisations;  

(g)  promote and support intergenerational cooperation, including farm succession; 

(h) 

support other forms of cooperation contributing to the specific objectives. 

2. 

3. 

That cooperation referred to in paragraph 1 shall involve at least two actors and shall 
contribute to achieving one or more of the specific objectives laid down in Article 3 
[specific objectives]. 

Member  States  shall  limit  the  support  for  setting-up  of  producer  groups,  producer 
organisations  or  interbranch  organisations  to  10  %  of  the  turnover  of  the  group  or 
organisation  with  a  maximum  of  EUR  100  000  per  year;  that  support  shall  be 

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degressive and limited to the first five years following recognition or the start of joint 
activities  intended  to  lead  to  recognition  as  determined  by  Member  States  in  the 
Agriculture chapter of their Plans.  

Article 75 
Integrated territorial and urban development` 

1. 

Support  for  territorial  development  shall  be  based  on  integrated  territorial 
development strategies, including via community-led local development, focused on 
urban  areas,  rural  areas,  islands,  coastal  areas,  or  any  appropriate  territorial  area  as 
well  as  smart  specialisation  or  territorial  just  transition  strategies,  or  strategies  for 
decarbonisation developed with the support of Union instruments in the 2021 to 2027 
period,  taking  account,  where  relevant,  of  a  functional  area  and  place-based 
approach. Corresponding milestones and targets shall be established in the Plan. 

2. 

Integrated territorial development and urban development strategies shall: 

(a) 

contribute to achieving the objectives laid down in Articles 2 and 3 [Objectives 
of the Plan]; 

(b) 

set out the geographical area and population covered by the strategy;  

(c) 

provide an analysis of the development needs and a description of an integrated 
approach to address the identified development needs;  

(d) 

set out key objectives with measurable targets;  

(e) 

set  out  the  involvement  of  partners  in  the  preparation  and  implementation  of 
the strategy. 

3. 

Strategies  implemented  pursuant  to  this  Article  shall  be  selected  by  managing 
authority(ies) in view of providing support, including for its preparation. They shall 
be implemented under the responsibility of the relevant territorial or urban authorities 
or bodies, who shall select or be involved in the selection of operations. 

Article 76 
Community-led local development 

1. 

Community-led local development shall: 

(a) 

focus on subregional areas, rural and coastal areas; 

(b)  be  designed  and 

local  action  groups  composed  of 
representatives  of  public  and  private  local  stakeholders,  in  which  no  single 
interest group controls the decision-making; 

implemented  by 

(c) 

be  carried  out  through  strategies  in  accordance  with  Article  75  [Integrated 
territorial  and  urban  development],  supportive  of  innovative  features  in  the 
local context, networking and cooperation with other territorial actors 

2. 

Support from the Fund for community-led local development shall cover:  

(a) 

capacity building and preparatory actions supporting the design of the strategy; 

(b)  preparation  and  implementation  of  the  operations  selected  under  the  strategy, 

including cooperation activities; 

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(c) 

the management, monitoring and evaluation of the strategy and its animation, 
stakeholders  and 
including 
communication of the strategy and the Union.  

facilitation  of  exchanges  between 

the 

3. 

When preparing and implementing community-led local development, the following 
tasks shall be carried out exclusively by the local action groups:  

(a) 

preparing the local development strategy; 

(b)  building the capacity of local actors to develop and implement operations;  

(c) 

drawing  up  a  non-discriminatory  and  transparent  selection  procedure  and 
criteria,  which  avoids  conflicts  of  interest  and  ensures  that  no  single  interest 
group controls selection decisions. 

(d) 

selecting operations; 

(e)  monitoring progress towards the achievement of objectives and evaluating the 

implementation of the strategy;  

(f) 

communicating of the local development strategy and the role of Union in its 
support. 

4. 

The  local  action  group  may  be  a  beneficiary  and  may  implement  operations  in 
accordance  with  the  strategy,  provided  that  the  local  action  group  ensures  that  the 
principle of separation of functions is respected. 

Article 77 
Support under LEADER  

1. 

Support  provided  through  LEADER  referred  to  in  Article  18  of  Regulation  (EU) 
202X/XXXX [CAP Regulation] shall comply with the following requirements:   

(a) 

(b) 

(c) 

the use of simplified cost options shall be mandatory for the costs of operation 
of the LEADER local action groups;   

support  for  projects  carried  out  in  accordance  with  the  LEADER  local 
development  strategies  not  exceeding  EUR  20  000  shall  be  provided  in  the 
form of lump sums and may be differentiated in accordance with objective and 
non-discriminatory criteria;   

support to  rural  business start-ups for non-agricultural  activities in  rural  areas 
may be provided in the form of lump sums up to maximum EUR 100 000 and 
may  be  differentiated  in  accordance  with  objective  and  non-discriminatory 
criteria;   

(d) 

the use of simplified cost options shall be encouraged for projects implemented 
under the LEADER local development strategies.  

2. 

The support provided under this Article may cover the costs of the preparation of the 
local development strategies or the costs of operations implemented or a combination 
of  both.  Member  States  shall  ensure  that  the  costs  of  operations  comply  with  the 
requirements  laid  down  for  the  relevant  types  of  interventions  laid  down  in  this 
Regulation.  

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1. 

3. 

1. 

Article 78 
Use of simplified form of support towards the beneficiaries 

Unless  provided  otherwise  in  this  Regulation,  where  the  total  estimated  cost  of  an 
operation  does  not  exceed  EUR  400 000,  the  public  support  provided  to  the 
beneficiary by the Member State shall take the form of financing not linked to cost 
or, a unit costs, lump sums or, flat rate, except for operations for which the support 
constitutes state aid. 

For  operations  supported  under  interventions  referred  to  in  Article  34(1)  [Types  of 
interventions], the requirements of the first  sub-paragraph  shall apply  only to  those 
operations of which the total cost does not exceed EUR 100 000. 

Article 79 
Conditions for measures which include operations with phased implementation 

Member  States  may  support  measures  where  the  underlying  operation(s)  consist  of 
the  second  phase  of  an  operation  already  selected  for  support  and  started  under 
Regulation (EU) No 2021/1060, provided that all the following conditions are met:  

(a) 

the  operation,  as  selected  for  support  under  Regulation  (EU)  2021/1060,  has 
two phases identifiable from a financial point of view with separate audit trails;  

(b) 

the total cost of the operation referred to in point (a) exceeds EUR 5 000 000;  

(c) 

(d) 

(e) 

the  costing  for  the  measure  exclusively  takes  into  account  costs  for  which 
expenditure  has  not  been  included  in  a  payment  application  in  relation  to  the 
first phase;   

the second phase of the operation complies with applicable law and is eligible 
for support under this Regulation;  

the  Member  State  establishes  milestones  and  targets  for  the  second  and  final 
phase of the operation.   

2. 

This  Regulation  shall  apply  to  the  measure  for  which  the  second  phase  of  the 
operation is included. 

TITLE XII 
SOCIAL CLIMATE FUND AND MODERNISATION FUND 

Article 80 
Social Climate Plan chapter 

1. 

2. 

3. 

4. 

The  Plan  submitted  to  the  Commission  in  accordance  with  Article  21  (preparation 
and submission of the Plan) shall include the measures and investments contained in 
the  Social  Climate  Plan  submitted  by  the  Member  State  under  Regulation  (EU) 
2023/955  in a separate Social Climate Plan chapter. 

Eligible  measures  and  investments  included  in  the  Social  Climate  Plans  shall 
continue to be eligible under the Plan, subject to Article 7 [horizontal principles].  

The rules laid down in this Regulation shall apply to the Social Climate Plan chapter. 

By  derogation  from  paragraph  3,  a  Member  State  may  choose  to  continue 
implementing its Social Climate Plan chapter under the rules laid down in Regulation 
(EU)  2023/955.  In  case  of  doubt  about  the  application  between  Regulation  (EU) 

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5. 

6. 

2023/955  and  this  Regulation,  Regulation  (EU)  2023/955  shall  prevail,  without 
prejudice to  Articles 6, 8 and 9 of this Regulation. 

The national contribution set out in Article 15 of Regulation 2023/955 shall continue 
to apply to the Social Climate Plan chapter.  

Member  States  may,  when  preparing  or  amending  their  National  and  Regional 
Partnership Plans, programme all or part of their available resources under the Social 
Climate Fund to other measures contributing to the objectives laid down in Article 3, 
point  (c)(vi),  including  through  measures  set  out  in  Article  8  of  Regulation  (EU) 
2023/955, within their Social Climate Plan chapter. 

Article 81 
Transfer of resources  

Member States may request in their initial Plan to transfer amounts from their 2026 and 2027 
allocations  under  the  Social  Climate  Fund.  Such  amounts  shall  be  programmed  within  their 
Social  Climate  Plan  chapters.  These  amounts  shall  constitute  external  assigned  revenue  in 
accordance with Article 21(5) of Regulation (EU, Euratom) 2024/2509 and contribute to the 
objectives laid down in Article 3, point (c)(iv), including through measures set out in Article 8 
of Regulation (EU) 2023/955.  

Article 82 
Synergies with the Modernisation Fund 

1. 

2. 

3. 

Investments  supported  within  the  framework  of  the  Modernisation  Fund  shall  be 
designed and implemented with the aim of ensuring consistency and synergies with 
the measures of the NRP Plan. 

When preparing their NRP Plans, Member States benefitting from the Modernisation 
Fund shall describe the investments they plan to submit to the investment committee 
set out in paragraph 5 of Article 10d of Directive 2003/97/EC over the next 3 years 
and provide an explanation of the synergies with the measures of the NRP Plan. 

Member  States  shall  provide  an  explanation  of  how  the  investments  it  plans  to 
finance  under  the  Modernisation  fund  have  been  designed  taking  into  account  the 
policy  the  expected  synergies  between  existing  and  future  Modernisation  Fund 
investments and the reforms and investments of the NRP Plan.  

Article 83 
Amendments to Regulation (EU) 2023/955 

Regulation (EU) 2023/955 is amended as follows:  

(1) 

Article 10 is replaced by the following: 

‘Article 10 
Resources of the Fund 

1.  A maximum amount of EUR 65 000 0000 for the period from 1 January 2026 
to 31 December 2032 in current prices shall be made available, in accordance 
with  Articles  10a(8b),  30d(3)  and  30d(4)  of  Directive  2003/87/EC,  for 
implementation  of  the  Social  Climate  Plans.  That  amount  shall  constitute 
external assigned revenue for the purposes of Article 21(5) of Regulation (EU, 

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Euratom) 2018/1046,  without prejudice to  Article 30d(4), sixth subparagraph, 
of Directive 2003/87/EC. 

The annual amounts, within the limit of the maximum amount laid down in the 
first subparagraph of this paragraph, shall not exceed the amounts referred to in 
Article 30d(4), fourth subparagraph, of Directive 2003/87/EC.  

Amounts  for  the  years  2028  to  2032  shall  be  made  available  for  the 
implementation  of  the  investments  and  measures  of  the  Social  Climate  Plan 
under the National Regional Partnership Plans in accordance with Article 27a 
of this Regulation  and  Article  20  of Regulation  XXX [NRPP Regulation]  for 
the period from 2028 to [2032]. 

Where the emission trading system established in accordance with Chapter IVa 
of Directive 2003/87/EC is postponed until 2028 pursuant to Article 30k of that 
Directive, the maximum amount to be made available shall be EUR 54 600 000 
000 and the annual amounts allocated shall not exceed the respective amounts 
referred to in the Article 30d(4), fifth subparagraph, of Directive 2003/87/EC. 

By  way  of  derogation  from  Article  22(2)  of  Regulation  (EU,  Euratom) 
2018/1046 and without prejudice to Article 19 of this Regulation, commitment 
appropriations covering the relevant annual amount, referred to in paragraph 1 
of this Article shall be made available  automatically at  the beginning of each 
financial  year,  starting  from  1  January  2026,  up  to  the  relevant  applicable 
annual  amounts  referred  to  in  the  second  and  fourth  subparagraphs  of 
paragraph 1. 

The amounts referred to in paragraph 1 may also cover expenses pertaining to 
preparatory,  monitoring,  control,  audit  and  evaluation  activities  which  are 
required for the management of the Fund and the achievement of its objectives, 
in  particular  studies,  meetings  of  experts,  consultation  of  stakeholders, 
information  and  communication  actions,  including  inclusive  outreach  actions, 
and corporate communication of the political priorities of the Union, insofar as 
they  are  related  to  the  objectives  of  this  Regulation,  expenses  linked  to  IT 
networks focusing on information processing and exchange, corporate IT tools, 
and all other technical  and administrative assistance expenses incurred by the 
Commission  for  the  management  of  the  Fund.  Expenses  may  also  cover  the 
costs  of  other  supporting  activities  such  as  quality  control  and  monitoring  of 
projects  on  the  ground  and  the  costs  of  peer  counselling  and  experts  for  the 
assessment and implementation of the eligible actions.  

2. 

3. 

(2) 

The following Article 27a is inserted 

‘Article 27a 
Social Climate Plans and National and Regional Partnership Plans 

1.  Member States shall include in National and Regional Partnership Plans to be 
submitted  in  accordance  with  Article  21  of  Regulation  XXX  [NRPP 
Regulation]  the  investments  and  measures  of  Social  Climate  Plans  prepared 
and adopted in accordance with this Regulation in a separate chapter, as set out 
in Article 80 of Regulation xx  [NRPP Regulation].  

2. 

The  rules  of  Regulation  XXX  [NRPP  Regulation]  shall  apply  to  the  Social 
Climate Plan chapter. 

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3. 

By  derogation  from  paragraph  3,  a  Member  State  may  choose  to  continue 
implementing  its  Social  Climate  Plan  chapter  under  the  rules  of  this 
Regulation.  In  case  of  doubt  about  the  application  between  Regulation  XXX 
[NRPP Regulation] and this Regulation, this Regulation shall prevail, with the 
exception of Articles 6, 8, and 9 of Regulation XXX [NRPP Regulation]. 

4.  Without  prejudice to  outstanding  payment requests  submitted by the Member 
State to the Commission under Article 20 of this Regulation, upon adoption of 
the implementing decision referred to in Article 23 [Commission proposal and 
the  National  and  Regional 
Council 
Partnership Plan, the Commission shall amend or terminate the agreement set 
out  in  Article  19  of  this  Regulation,  in  case  such  an  agreement  has  been 
concluded with Member States.’ 

implementing  decision]  approving 

TITLE XI 
INSTITUTIONAL AND FINAL PROVISIONS 

CHAPTER 1 
Competition rules for the agricultural, fisheries and aquaculture 
sectors 

Article 84 
Rules applying to undertakings 

Where support is granted through CAP interventions referred to in Article 35(1) of Regulation 
(EU) 202X/XXXX [CAP Regulation]  to forms of cooperation between undertakings, it may 
be  granted  only  to  such  forms  of  cooperation  which  comply  with  the  competition  rules 
provided for in Regulation (EU) No 1308/2013.  

Article 85 
State aid 

1. 

2. 

3. 

Save as otherwise provided for in this Article, Articles 107, 108 and 109 TFEU shall 
apply  to  support  under  this  Regulation(EU)  202X/XXXX  [CAP  Regulation]  and 
Regulation (EU) No 1308/2013 in relation to types of interventions laid down in Part 
II,  Title  I,  Chapter  IIa  of  that  Regulation  or  to  aid  granted  by  Member  States  to 
undertakings in the Union fishery and aquaculture sector; 

 Articles 107, 108 and 109 TFEU shall not apply to support paid by Member States 
pursuant to and in accordance with this Regulation and to the national contribution to 
eligible  costs  provided  by  Member  States  for  the  CAP  interventions  referred  to  in 
Article  35(1),  points  (d)  to  (f)  and  (h)  to  (r)  or  to  the  additional  national  financing 
provided for CAP interventions referred to in Article 35(1), points (d) to (f) and (h) 
to  (r),  falling  within  the  scope  of  Article  42  TFEU  or  to  aid  granted  by  Member 
States to undertakings in the Union fishery and aquaculture sector, falling within the 
scope of Article 42 TFEU. 

Support  provided  by  Member  States  referred  to  in  paragraph  1  in  relation  to 
operations  falling  within  the  scope  of  Article  42  TFEU  that  is  intended  to  provide 
additional financing for interventions referred to in Article 35(1), points (d), (e), (f) 
and  (h)  to  (r),  of  this  Regulation  for  which  Union  support  is  granted  at  any  time 
during  the  Plan  period  may  only  be  made  if  it  complies  with  this  Regulation, 

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4. 

5. 

6. 

Regulation  (EU)  …[CAP  Regulation]  and  Regulation  (EU)  No  1308/2013  and  set 
out in the NRP Plan.  

Member  States  shall  not  provide  additional  national  financing  for  interventions 
referred to in Article 35(1), points (a), (b), (c) and (g), of this Regulation.  

For  the  agricultural,  fishery  and  aquaculture  products  covered  by  Annex  I  to  the 
TFEU,  to  which  Articles  107,  108  and  109  thereof  apply,  the  Commission  may 
authorise,  in  accordance  with  Article  108  TFEU,  operating  aid  in  the  sectors 
producing,  processing  and  marketing  those  products,  with  a  view  to  alleviating  the 
specific constraints on farming, fisheries and aquaculture production in the outermost 
regions and the smaller Aegean islands as a result of their isolation, insularity, small 
size and extreme remoteness. 

implementation  of 
Member  States  may  grant  additional  financing  for 
interventions  in  outermost  regions  and  smaller  Aegean  islands  pursuant  to  this 
Regulation. In such cases, the Member States shall notify the additional financing to 
the  Commission  and  the  Commission  may  approve  it  in  accordance  with  this 
Regulation as part of the Plans. Thus, aid notified shall be regarded as notified within 
the meaning of the first sentence of  Article 108(3) TFEU. 

the 

By  way  of  derogation  from  Article  211  of  Regulation  (EU)  No  1308/2013  and 
Article  3  of  Council  Regulation  (EC)  No  1184/200628,  Articles  107,  108  and  109 
TFEU  shall  not  apply  to  payments  to  support  local  agricultural  production  and 
specific  supply  arrangements  made  by  Member  States  in  accordance  with  this 
Regulation. 

CHAPTER 2 
Delegation and committee procedure 

Article 86 
Delegation of powers as regards amendments of certain Articles and Annexes 

The  Commission  is  empowered  to  adopt  delegated  acts  in  accordance  with  Article  87 
[Exercise  of  delegation]  to  amend  Articles  48  [Support  for  local  agricultural,  fisheries  and 
aquaculture products], 58 [Responsibilities of Member States, reporting on irregularities], 62 
[calculation  of  penalties  for  stewardship],  63  [data  collection  and  recording],  70  [IACS], 
Annexes  VIII  [fulfilment  of  milestones  and  targets],  IX  [progress  on  implementation],  XI 
[payment application], XV [Union actions], XIV [financial corrections], to this Regulation in 
order to adapt them to changes occurring during the programming period. 

1. 

28 

Article 87 
Exercise of the delegation 

The  power  to  adopt  delegated  acts  is  conferred  on  the  Commission  subject  to  the 
conditions laid down in this Article. 

Council  Regulation  (EC)  No  1184/2006  of  24  July  2006  applying  certain  rules  of  competition  to  the 
(OJ  L  214,  4.8.2006,  p.  7,  ELI: 
production  of,  and 
http://data.europa.eu/eli/reg/2006/1184/oj). 

in,  agricultural  products 

trade 

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2. 

3. 

4. 

5. 

6. 

7. 

1. 

2. 

3. 

29 

The power to adopt delegated acts referred to in Article 86 shall be conferred on the 
Commission for an indeterminate period of time from the date of entry into force of 
this Regulation. 

The delegations of power referred to in Article 86 may be revoked at any time by the 
European Parliament or by the Council. A decision to revoke shall put an end to the 
delegation  of  the  power  specified  in  that  decision.  It  shall  take  effect  on  the  day 
following  the  publication  of  the  decision  in  the Official  Journal  of  the  European 
Union or  at  a  later  date  specified  therein.  It  shall  not  affect  the  validity  of  any 
delegated acts already in force. 

Before adopting a delegated act, the Commission shall consult experts designated by 
each  Member  State 
the 
in  accordance  with 
Interinstitutional Agreement of 13 April 2016 on Better Law-Making. 

the  principles 

laid  down 

in 

As soon as it adopts a delegated act, the Commission shall notify it simultaneously to 
the European Parliament and to the Council. 

A  delegated  act  adopted  pursuant  to  paragraph  5  shall  enter  into  force  only  if  no 
objection  has  been  expressed  either  by  the  European  Parliament  or  by  the  Council 
within a period of one month of notification of that act to the European Parliament 
and the Council or if, before the expiry of that period, the European Parliament and 
the  Council  have  both  informed  the  Commission  that  they  will  not  object.  That 
period shall be extended by one month at the initiative of the European Parliament or 
of the Council. 
The empowerment conferred in Article 5(3) of Regulation (EU) No 1303/201329 on 
the Commission to adopt a delegated act to provide for a European code of conduct 
on  partnership  shall  remain  in  force  for  the  2028-202X  programming  period.  The 
delegation  of  power  shall  be  exercised  in  accordance  with  Article  86  of  this 
Regulation. 

Article 88 
Committee procedure 

The  Commission  shall  be  assisted  by  a  committee.  That  committee  shall  be  a 
committee within the meaning of Regulation (EU) No 182/2011. 

Where  reference  is  made  to  this  paragraph,  Article 4  of  Regulation  (EU) 
No 182/2011 shall apply. 

Where  reference  is  made  to  this  paragraph,  Article 5  of  Regulation  (EU) 
No 182/2011 shall apply. 

Regulation (EU) No 1303/2013 of the European Parliament and of the Council of 17 December 2013 
laying  down  common  provisions  on  the  European  Regional  Development  Fund,  the  European  Social 
Fund,  the  Cohesion  Fund,  the  European  Agricultural  Fund  for  Rural  Development  and  the  European 
Maritime  and  Fisheries  Fund  and  laying  down  general  provisions  on  the  European  Regional 
Development  Fund,  the  European  Social  Fund,  the  Cohesion  Fund  and  the  European  Maritime  and 
Fisheries Fund and repealing Council Regulation (EC) No 1083/2006 (OJ L 347, 20.12.2013, p. 320, 
ELI: http://data.europa.eu/eli/reg/2013/1303/oj). 

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CHAPTER 3 
Regulation (EU, Euratom) 2024/2509 

Article 89 
Amendments to Regulation (EU, Euratom) 2024/2509 

Article 63 of Regulation (EU, Euratom) 2024/2509 is amended as follows:  

(1) 

in paragraph 5, point (a) is replaced by the following: 

“(a)  information,  providing  a  true  and  fair  view  of  the  implementation  progress 
during  the  reference  period  as  defined  in  sector-specific  rules,  or  their  accounts  on 
the  expenditure  that  was  incurred  during  the  reference  period  as  defined  in  sector-
specific  rules,  in  the  execution  of  their  tasks  and  that  was  presented  to  the 
Commission for reimbursement;” 

(2) 

paragraph 6 is replaced by the following:  

“6. The accounts referred to in paragraph 5, point (a), shall include pre-financing and 
sums  for  which  recovery  procedures  are  ongoing  or  have  been  completed.  The 
information  or  the  accounts  referred  to  in  paragraph  5,  point  (a),  shall  be 
accompanied by a management declaration confirming that, in the opinion of those in 
charge of the management of the funds: 

(a)  the  information  contained  therein,  including  the  information  referred  to  in 
paragraph 5, point (a) is properly presented, complete and accurate; 

(b)  the  expenditure  was  used  for  its  intended  purpose,  or  the  amounts  for  which 
payment had been requested from the Commission were in line with the conditions 
for payment, as defined in sector-specific rules; 

(c)  the  control  systems  put  in  place  ensure  the  legality  and  regularity  of  the 
underlying transactions.” 

(3) 

in paragraph 7, the first subparagraph is replaced by the following:  

“The accounts referred to in paragraph 5, point (a) or the information on the basis of 
which payment has been requested from the Commission, and the summary referred 
to  in  point  (b)  of  that  paragraph  shall  be  accompanied  by  an  opinion  of  an 
independent audit body, drawn up in accordance with internationally accepted audit 
standards.  That  opinion  shall  establish  whether  the  control  systems  put  in  place 
function properly and ensure the legality and regularity of the underlying transactions 
and  state  whether  the  audit  work  puts  in  doubt  the  assertions  made  in  the 
management declaration referred to in paragraph 6. It shall also establish whether the 
accounts or the information on the basis of which payment has been requested from 
the Commission give a true and fair view and whether the use of funds complies with 
applicable law or expenditure for which reimbursement has been requested from the 
Commission is legal and regular.”  

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CHAPTER 4 
Final provisions 

Article 90 
Entry into force 

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

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

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

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LEGISLATIVE FINANCIAL AND DIGITAL STATEMENT 

1. 

1.1. 

1.2. 

1.3. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE ................................................. 3 

Title of the proposal/initiative ...................................................................................... 3 

Policy area(s) concerned .............................................................................................. 3 

Objective(s) .................................................................................................................. 3 

1.3.1.  General objective(s) ..................................................................................................... 3 

1.3.2.  Specific objective(s) ..................................................................................................... 3 

1.3.3.  Expected result(s) and impact ...................................................................................... 3 

1.3.4. 

Indicators of performance ............................................................................................ 3 

1.4. 

1.5. 

The proposal/initiative relates to: ................................................................................. 4 

Grounds for the proposal/initiative .............................................................................. 4 

1.5.1.  Requirement(s) to be met in the short or long term including a detailed timeline for 

roll-out of the implementation of the initiative ............................................................ 4 

1.5.2.  Added value of EU involvement (it may result from different factors, e.g. 

coordination gains, legal certainty, greater effectiveness or complementarities). For 
the purposes of this section 'added value of EU involvement' is the value resulting 
from EU action, that is additional to the value that would have been otherwise 
created by Member States alone. ................................................................................. 4 

1.5.3.  Lessons learned from similar experiences in the past .................................................. 4 

1.5.4.  Compatibility with the multiannual financial framework and possible synergies with 
other appropriate instruments ....................................................................................... 5 

1.5.5.  Assessment of the different available financing options, including scope for 

redeployment ................................................................................................................ 5 

1.6. 

1.7. 

2. 

2.1. 

2.2. 

2.2.1. 

2.2.2. 

Duration of the proposal/initiative and of its financial impact .................................... 6 

Method(s) of budget implementation planned ............................................................. 6 

MANAGEMENT MEASURES................................................................................... 8 

Monitoring and reporting rules .................................................................................... 8 

Management and control system(s) ............................................................................. 8 

Justification of the budget implementation method(s), the funding implementation 
mechanism(s), the payment modalities and the control strategy proposed .................. 8 

Information concerning the risks identified and the internal control system(s) set up 
to mitigate them............................................................................................................ 8 

2.2.3.  Estimation and justification of the cost-effectiveness of the controls (ratio between 

the control costs  and the value of the related funds managed), and assessment of the 
expected levels of risk of error (at payment & at closure) ........................................... 8 

2.3. 

3. 

3.1. 

Measures to prevent fraud and irregularities ................................................................ 9 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE ............ 10 

Heading(s) of the multiannual financial framework and expenditure budget line(s) 
affected ....................................................................................................................... 10 

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3.2. 

Estimated financial impact of the proposal on appropriations ................................... 12 

3.2.1.  Summary of estimated impact on operational appropriations.................................... 12 

3.2.1.1.  Appropriations from voted budget ............................................................................. 12 

3.2.1.2.  Appropriations from external assigned revenues ....................................................... 17 

3.2.2.  Estimated output funded from operational appropriations......................................... 22 

3.2.3.  Summary of estimated impact on administrative appropriations ............................... 24 

3.2.3.1. Appropriations from voted budget .............................................................................. 24 

3.2.3.2.  Appropriations from external assigned revenues ....................................................... 24 

3.2.3.3.  Total appropriations ................................................................................................... 24 

3.2.4.  Estimated requirements of human resources.............................................................. 25 

3.2.4.1.  Financed from voted budget....................................................................................... 25 

3.2.4.2.  Financed from external assigned revenues ................................................................ 26 

3.2.4.3.  Total requirements of human resources ..................................................................... 26 

3.2.5.  Overview of estimated impact on digital technology-related investments ................ 28 

3.2.6.  Compatibility with the current multiannual financial framework.............................. 28 

3.2.7.  Third-party contributions ........................................................................................... 28 

3.3. 

4. 

4.1. 

4.2. 

4.3. 

4.4. 

4.5. 

Estimated impact on revenue ..................................................................................... 29 

DIGITAL DIMENSIONS .......................................................................................... 29 

Requirements of digital relevance .............................................................................. 30 

Data ............................................................................................................................ 30 

Digital solutions ......................................................................................................... 31 

Interoperability assessment ........................................................................................ 31 

Measures to support digital implementation .............................................................. 32 

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1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1. 

Title of the proposal/initiative 

Proposal for a Regulation of the European Parliament and of the Council establishing 
the European Fund for European Fund for Economic, social and territorial cohesion, 
agriculture  and  rural,  fisheries  and  maritime,  prosperity  and  security  for  the  period 
2028-2034   

1.2. 

Policy area(s) concerned  

Competitiveness  

Regional development  

Social affairs  

Agriculture  

Defence 

Preparedness 

Home affairs  

Maritime and fisheries  

Environment and climate action  

Democracy, culture and EU values 

1.3. 

Objectives 

1.3.1.  General objectives 

The Fund aims to:  

- reduce regional imbalances in the Union and the backwardness of the least favoured 
regions and promote European territorial cooperation; 

-  support  quality  employment,  education  and  skills  and  social  inclusion  and 
contribute to a socially fair transition towards climate neutrality;   

- support the implementation of the common agricultural policy of the Union;   

- support the implementation of the common fisheries policy of the Union; 

- and protect and strengthen democracy in the Union and uphold Union values.  

1.3.2. 

Specific objectives 

The  specific  objectives  of  the  Fund  are  structured  around  five  pillars  and  aim  to 
contribute to Europe’s sustainable prosperity across all regions, to support Europe’s 
defence  capabilities  and  security;  to  support  people  and  strengthen  the  Union’s 
societies and the Union’s social model; to sustain the quality of life in the Union; and 
to  protect  and  strengthen  fundamental  rights,  democracy,  the  rule  of  law  and  to 
uphold Union values.  

1.3.3.  Expected result(s) and impact 

The proposed regulation sets out the financial rules for the Union support provided 
under the European Fund for Economic, Social and Territorial Cohesion, Agriculture 
and Rural, Fisheries and Maritime, Prosperity and Security  by means of the National 

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and  Regional  Partnership  Plans  (‘Plans’),  Interreg  Plan  and  the  EU  Facility.  It 
provides for the financial resources for the 2028-2034 programming period.  

This new Fund aims at strengthening the economic, social and territorial cohesion of 
the Union, supporting  the implementation  of the  common agricultural  and fisheries 
policy,  boosting  the  competitiveness  of  the  Unions,  strengthening  migration  and 
border  management,  and  reinforcing  defence  and  security  and  protecting  Europe’s 
democracy.  It  will  also  contribute  to  other  cross-cutting  EU  priorities  like 
environmental  protection  and  the  fight  against  climate  change,  preparedness, 
promoting the rule of law and completing the Single Market, in synergy with other 
Union budget programmes.  

The  support  provided  under  the  National  and  Regional  Partnership  Plans  will  be 
tailored to local needs and contexts, while ensuring alignment with EU priorities. By 
aligning  with  other  policies  and  easing  delivery  for  all  beneficiaries,  cohesion, 
agriculture, home affairs and social policies are expected to  become more effective 
and resilient.   

With its single rulebook and reduced number of programming documents, the Fund 
aims at significantly simplifying procedures and reducing administrative burden for 
beneficiaries, Member States and the Commission while providing robust safeguards 
on the regular and effective use of EU funds.   

Objective-based delivery and a combination of mutually reinforcing investments and 
reforms will bring more impact and value for money. Payments will be conditional 
upon the fulfilment of pre-agreed objectives, which is expected to deliver funds and 
results more efficiently and speedily.    

The  Plans  will  embed  measures  to  facilitate  implementation,  be  it  in  their  design, 
implementation  or monitoring provisions. The Fund will also  provide for  sufficient 
flexibility, whether, for instance, via phased allocations and better responsiveness to 
unforeseen crises via, notably, the EU Facility.  

1.3.4. 

Indicators of performance 

The  output  and  result  indicators  for  the  purpose  of  monitoring  progress  and 
achievements of this programme will correspond to the common indicators provided 
under  the  Regulation  (EU,  Euratom)  202X/XXXX  [Performance  regulation]  
proposed alongside the present regulation.  

1.4. 

The proposal/initiative relates to:  

 a new action  
 a new action following a pilot project / preparatory action30  

 the extension of an existing action  

 a merger or redirection of one or more actions towards another/a new action 

30 

As referred to in Article 58(2), point (a) or (b) of the Financial Regulation. 

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1.5. 

Grounds for the proposal/initiative  

1.5.1.  Requirements  to  be  met  in  the  short  or  long  term  including  a  detailed  timeline  for 

roll-out of the implementation of the initiative 

The  Fund  shall  be  applicable  from  2028  for  the  entire  length  of  the  multiannual 
financial framework.   

Member  States  will  programme  their  budgetary  allocations  in  line  with  the 
requirements set out in the Regulation, taking into account, in particular, the relevant 
country-specific  challenges  identified,  inter  alia,  in  the  context  of  the  European 
Semester  and  other  relevant  documents  officially  adopted  related  to  the  objectives 
supported by the Fund.   

The  new  programming  period  will  start  on  1  January  2028  and  Member  States  are 
expected to submit their initial Plan by 31 January 2028 with a view to ensuring the 
timely launch of the new programming period.  

Implementation  in  direct  management  under  the  EU  Facility  will  also  start 
immediately after the entry into force of the programme.  

1.5.2.  Added  value  of  EU  involvement  (it  may  result  from  different  factors,  e.g. 
coordination gains, legal certainty, greater effectiveness or complementarities). For 
the  purposes  of  this  section  'added  value  of  EU  involvement'  is  the  value  resulting 
from  EU  action,  that  is  additional  to  the  value  that  would  have  been  otherwise 
created by Member States alone. 

Reasons  for  action  at  European  level  (ex-ante):  EU  added  value  is  generated  by 
providing investments and reforms that would not take place otherwise, by widening 
the  scope  of  existing  actions,  supporting  the  mainstreaming  of  innovations  and  by 
enhancing  the  capacity  of  Member  States  administrations.  Ample  evidence 
demonstrates  that  EU  policies  would  not  have  been  implemented  without 
complementary  EU  investment.  Thanks  to  European  funding,  Member  States  and 
their regions have invested in areas, target groups and reforms in a way that would 
have been impossible with national funding only. While the competence to deal with 
some of the policies covered by the present Fund rests mainly at national level, given 
the scale and effect of the challenges, action has proven more effective and efficient 
if  the  EU  level  supports  the  efforts  made  by  Member  States  and  helps  promote 
reforms beneficial to individual countries and the EU as a whole.  

Expected generated Union added value (ex-post): As highlighted by recent crises, the 
many challenges faced by European economies and societies in particular as regards, 
inter alia, agriculture, security, social and territorial cohesion or climate adaptation, 
call for continued investments and reforms in these areas. The initiative is expected 
to contribute to implement EU policies and priorities in these areas in a coordinated 
and coherent way, promote best practices and cooperation (to improve policy-making 
and  implementation  capacity,  facilitate  transnational  cooperation),  promote  EU 
values (such as the rule of law and fundamental rights) and assist Member States in 
overcoming  institutional  and  regulatory  obstacles  that  hinder  the  fulfilment  of  EU 
policy priorities, including the implementation of the EU  acquis  and completion of 
the Single Market. Funding at Union level shall also support EU public goods such 
as strategic policies that may be insufficiently prioritised by Member States due, for 
instance,  to  market  failures,  but  which  bring  high  EU-wide  benefits.  These  include 
projects  benefitting  more  than  one  Member  State,  such  as  cross-border  projects  or 
Important Projects of Common European Interest.    

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1.5.3.  Lessons learned from similar experiences in the past 

This  Fund builds upon experience gathered in  the implementation  of other relevant 
Union funding in the 2021-2027 programming period which identified the following 
key lessons learned:  

(1)  Simplification:  there  is  a  need  to  reduce  complexity  and  administrative  burden 
and costs for Member States’ authorities, beneficiaries and the Commission  caused 
by  the  current  fragmentation  of  EU  support  and  the  co-existence  of  different 
eligibility rules, delivery models and assurance systems.  

(2)  Flexibility:  the  need  for  a  more  flexible  budget  that  is  able  to  respond  to  new 
needs  and  emerging  priorities  throughout  the  entire  programming  period.   These 
flexibilities  should  be  embedded  in  the  design  of  the  Fund  while  still  ensuring  the 
predictability of EU funding and the delivery of long-term policy objectives.    

(3)  Coherence:  the  need  for  strengthened  coherence  across  funds  and  policy 
frameworks.  The  EU  budget  should  make  full  use  of  its  size  to  incentivise 
investments and reforms that contribute to Union objectives and address national and 
regional  challenges  in  a  more  holistic  and  coordinated  manner.  This  should 
contribute  to  greater  coherence  between  EU  priorities  and  national  and  regional 
actions and enhance value for money.  

1.5.4.  Compatibility with the multiannual financial framework and possible synergies with 

other appropriate instruments 

Consistency and complementarity between the Fund and other EU funds, notably the 
European  Competitiveness  Fund  (ECF),  the  Connecting  Europe  Facility  (CEF), 
Erasmus  and  the  Global  Europe  Fund,  shall  be  ensured,  in  particular,  through  the 
steering  mechanism  which  will  provide  guidance  on  the  key  policy  priorities  to  be 
financed  under  each  annual  budget  procedure.  Potential  synergies  with  the  ECF, 
Global  Europe Fund, and CEF stem from  the possibility to  support under the Fund 
reforms  and  investments  contributing  to  cross-border  initiatives  and European 
competitiveness.  

The Commission and the Member States should (i) ensure complementarity, synergy, 
coherence  and  consistency  among  different  instruments  at  Union,  national  and 
regional  levels,  both  in  the  planning  phase  and  during  implementation;  (ii)  close 
cooperation between the authorities responsible for the implementation and control at 
Union, national and regional levels to achieve the objectives of the Fund.   

The financial support from the Fund will be additional to the support provided under 
other  Union  funds  and  programmes.  Operations  may  receive  support  from  other 
Union  programmes  and  instruments  provided  that  such  support  does  not  cover  the 
same cost. For that purpose, Member States and the Commission should cooperate in 
designing  and  implementing  operations  which  are  cumulatively  financed  under  the 
National  Regional  and  Partnership  Plan  and  another  Union  programmes  to  ensure 
double funding is avoided.  

1.5.5.  Assessment  of  the  different  available  financing  options,  including  scope  for 

redeployment 

The  Fund  will  provide  non-repayable  financial  support  and  loans,  if  requested  by 
Member States,  to support the fulfilment of the objectives of the Fund. It may also 
provide funding in the form of financial instruments.  

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The  National  and  Regional  Partnership  Plans  and  the  Interreg  Plan  will  be 
implemented under shared management while the Facility will have the possibility to 
resort to shared, direct or indirect management depending on the type of measure and 
most effective course of action.  

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1.6. 

Duration of the proposal/initiative and of its financial impact 

 limited duration  

–    in effect from [DD/MM]YYYY to [DD/MM]YYYY  

–   financial impact  from  2028 to  2034 for commitment  appropriations and from 

2028 to 2035 for payment appropriations.  

 unlimited duration 

–  Implementation with a start-up period from YYYY to YYYY, 

–  followed by full-scale operation. 

1.7.  Method(s) of budget implementation planned  

 Direct management by the Commission 

–   by its departments, including by its staff in the Union delegations;  
–   by the executive agencies31  

 Shared management with the Member States  

 Indirect management by entrusting budget implementation tasks to: 

–   third countries or the bodies they have designated 

–   international organisations and their agencies (to be specified) 

–   the European Investment Bank and the European Investment Fund 

–   bodies referred to in Articles 70 and 71 of the Financial Regulation 

–   public law bodies 

–   bodies governed by private law with a public service mission to the extent that 

they are provided with adequate financial guarantees 

–   bodies governed by the private law of a Member State that are entrusted with 
the  implementation  of  a  public-private  partnership  and  that  are  provided  with 
adequate financial guarantees 

–   bodies or persons entrusted with the implementation of specific actions in the 
common  foreign  and  security  policy  pursuant  to  Title  V  of  the  Treaty  on 
European Union, and identified in the relevant basic act 

–  bodies  established  in  a  Member  State,  governed  by  the  private  law  of  a 
Member  State  or  Union  law  and  eligible  to  be  entrusted,  in  accordance  with 
sector-specific  rules,  with  the  implementation  of  Union  funds  or  budgetary 
guarantees,  to  the extent that such bodies are controlled by public law bodies or 
by bodies governed by private law with a public service mission, and are provided 
with adequate financial guarantees in the form of joint and several liability by the 
controlling bodies or equivalent financial guarantees and which may be, for each 
action, limited to the maximum amount of the Union support. 

Comments  

31 

The  Fund  might  be  (partially)  delegated  to  an  executive  agency,  subject  to  the  outcome  of  the 
cost/benefit analysis and related decisions to be taken, and to the related administrative appropriations 
for programme implementation in the Commission and the executive agency being adapted accordingly. 

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2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

In order to monitor the performance of the implementation of the Fund a system for 
requesting and executing payments from the Fund will be set up. 

In order to receive funds from the Fund, Member States should submit their National 
Regional  and  Partnership  Plans  to  set  the  reforms,  investments  and  other 
interventions to be financed. The Commission is to assess those Plans based on the 
requirements  outlined  in  this  Regulation.  The  disbursement  of  the  financial 
contribution will follow the completion of pre-set objectives agreed with the Member 
State concerned. For that purpose, Member States may submit a payment application 
up to six times a year in line with the template annexed to this Regulation. 

The performance of the Fund will be monitored through the performance framework 
provided  in  the  Performance  Regulation  proposed  alongside  the  present  regulation, 
including  through  the  common  list  of  intervention  fields  and  output  and  result 
indicators. 

An  implementation  report  will  be  published  by  the  Commission  no  later  than  four 
years  after  the  start  of  the  programme’s  implementation,  in  order  to  assess  the 
progress  made  towards  the  achievement  of  their  objectives.  A  retrospective 
evaluation  will  be  carried  out  by  the  Commission  at  the  latest  three  years  after  the 
end  of  the  programming  period  of  the  programme  with  a  view  to  assessing  the 
effectiveness,  efficiency,  relevance,  coherence  and  Union  added  value  of  the 
programme.  

2.2.  Management and control system(s)  

2.2.1. 

Justification  of  the  budget  implementation  method(s),  the  funding  implementation 
mechanisms, the payment modalities and the control strategy proposed 

The management, control and audit of the Fund will be governed by specific rules to 
ensure  transparency,  accountability  and  the  proper  use  of  EU  funding,  in  line  with 
applicable law and the principle of sound financial management.  

The Regulation includes, in particular, strong safeguards to ensure the robustness and 
quality  of national  control  systems  and allow effective and timely action in  case of 
deficiency.  

Key  requirements  of  the  management  and  control  systems  of  the  Member  States, 
including  on  the  prevention,  detection  and  correction  of  cases  of  fraud,  corruption 
and  conflicts  of  interests  as  well  as  on  compliance  with  applicable  law,  including 
public procurement and State aid rules, will be clearly defined ex ante and will have 
to be met throughout implementation.  Before approving each Plan, the Commission 
will assess whether Member States have adequate arrangements in place to comply 
with these requirements and ensure the protection of the Union’s financial interests. 
These  requirements  should  enable  a  maximum  use  of  existing  structures  already  in 
place for the management of EU funds, with possible adaptations of their procedures 
to ensure adequate assurance. In case of serious deficiency, Member States will have 
to take corrective action before payments can be undertaken.  

The level and intensity of controls is tailored to the  objective-based delivery model 
of  the  Fund  and  is  based  on  clear  sequencing  and  division  of  duties  between  the 
Commission and Member States. 

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In line with the single audit principle, Commission audits under shared management 
will first and foremost consist of systems audits to avoid duplications of controls and 
audits  and  reduce  the  administrative  burden,  thereby  addressing  demands  for 
simplification  and  predictability.  The  audit  authority  should  carry  out  audits  and 
ensure  that  the  audit  opinion  provided  to  the  Commission  is  reliable.  That  audit 
opinion  should  provide  assurance  to  the  Commission  that  the  Member  State’s 
management  and  control  systems  function  properly  and  that  the  assertions  made  in 
the management declaration submitted by the coordinating body are correct.   

The Commission will however retain the possibility to conduct more targeted checks, 
for instance in case of a specific risk or suspicion of fraud, corruption or conflicts of 
interest or a serious breach by the Member State of its obligations, and act in a timely 
and  proportionate  manner  if  deficiencies  have  not  been  properly  addressed  by 
Member States. 

2.2.2. 

Information concerning the risks identified and the internal control system(s) set up 
to mitigate them 

The  risks  mainly  relate  to  irregularities  or  serious  non-compliance  of  the  Member 
States  with  its  obligations  under  the  present  regulation,  notably  as  regards  the 
protection of the Union’s financial interests and compliance with the rule of law and 
Charter horizontal conditions. 

To  safeguard  the  Union’s  financial  interests,  the  proposed  regulation  establishes 
proportionate  measures  at  the  level  of  Member  States  and  the  Commission,  in  line 
with their respective responsibilities.  

Member  States  are  required  to  maintain  robust  management,  control  and  audit 
systems to ensure compliance with all key requirements throughout implementation 
and to provide, each year, an assurance package to report on the sound and regular 
use of funds. 

The  Commission  will  conduct  regular  audits  on  the  work  performed  by  national 
authorities  to  assess  the  robustness  and  reliability  of  national  procedures  and  will 
issue, whenever relevant, recommendations with a clear implementation timeline to 
remedy deficiencies. There will be a possibility to block payments at any time during 
implementation and in line with the principle of proportionality, taking into account 
the nature, duration, gravity and scope of the identified deficiency.  

2.2.3.  Estimation  and  justification  of  the  cost-effectiveness  of  the  controls  (ratio  between 
the control costs  and the value of the related funds managed), and assessment of the 
expected levels of risk of error (at t & at closure)  

The assessment by the Commission of the level of risk at payment and at closure will 
be  based  on  a  set  of  criteria,  e.g.  the  risk  profile  of  the  milestones  and  targets,  the 
information  included  in  the  annual  assurance  package  submitted  by  the  Member 
States, notably the summary of audits carried out by national authorities, the results 
of  Commission’s  own  audits,  as  well  as  findings  from  the  IAS  and  ECA’s  audits. 
Given  the  novelty  of  the  approach,  the  levels  of  low  risk  expenditure  to  be 
considered as an equivalent to the materiality threshold will be established once the 
implementation has started. 

In order to ensure that controls remain cost-effective, the Commission aims to strike 
the  right  balance  between  effectiveness,  efficiency  and  economy.  The  concrete 

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application of the single audit principle should be applied for the Fund with a view to 
reducing the administrative burden and costs on recipients of Union funding as well 
as to avoid duplication of audits and management verifications of the same measures.  

2.3.  Measures to prevent fraud and irregularities  

The Regulation contains the necessary provisions to ensure that the implementation 
of the Fund complies with the protection of the financial interests of the Union. 

The  financial  interests  of  the  Union  are  to  be  protected  through  proportionate 
measures,  including  measures  relating  to  the  prevention,  detection,  correction  and 
investigation of fraud, corruption and conflicts  of interests, and, where appropriate, 
the  imposition  of  administrative  penalties.  In  particular,  the  European  Anti-Fraud 
Office  (OLAF)  has  the  power  to  carry  out  administrative  investigations,  including 
on-the-spot  checks  and  inspections,  with  a  view  to  establishing  whether  there  has 
been fraud, corruption or any other illegal activity affecting the financial interests of 
the  Union.  The  European  Public  Prosecutor’s  Office  (EPPO)  is  competent  to 
investigate  and  prosecute  fraud  and  other  criminal  offenses  affecting  the  financial 
interests  of  the  Union.  Any  person  or  entity  receiving  Union  funds  is  to  fully 
cooperate in the protection of the Union’s financial interests, to grant the necessary 
rights  and  access  to  the  Commission,  OLAF,  the  EPPO  and  the  Court  of  Auditors 
(ECA) and to ensure that any third parties involved in the implementation of Union 
funds  grant  equivalent  rights.  Member  States  should  swiftly  report  to  the 
Commission  irregularities  detected,  including  fraud,  and  any  follow-up  action  they 
have  taken  with  regard  to  such  irregularities  and  with  regard  to  any  OLAF 
investigations.  The  competent  authorities  of  the  Member  States  participating  in  the 
enhanced cooperation on the establishment of the EPPO pursuant to Regulation (EU) 
2017/1939 should also report to the EPPO without undue delay any criminal conduct 
in respect of which it could exercise its competence, in accordance with Regulation 
(EU) 2017/1939. 

EN 

12 

  EN 

 
3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

3.1. 

Heading(s) of the multiannual financial framework and expenditure budget  

Heading of 
multiannual 
financial 
framework 

Number  

Budget line 

Type of  

expenditure 

Diff./Non-
diff.[1]  

from EFTA 
countries[2] 

Contribution  

from 
candidate 
countries 
and potential 
candidates[3]  

From 
other 
third 
countries 

other 
assigned 
revenue  

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

1 

02. European Fund for Economic, Territorial, Social 
Cohesion,  Agriculture  and  Rural,  Fisheries  and 
Maritime, Prosperity and Security 
02.01  Support  expenditure  of  the  National  and 
Regional Partnership Fund 
02.02  National  and  Regional  Partnership  Plans  and 
Interreg Plan - Operational Expenditure 

02.02.01 Europe's sustainable prosperity 

02.02.02 Europe's defence capabilities and security 

02.02.02.01 Migration, asylum, border  management, 
visa and internal security 

02.02.02.02 Other 

02.02.03  Supporting  people,  strengthening  Europe's 
societies and Europe's social model 

02.02.04 Sustaining Europe's quality of life 

02.02.04.01 CAP and CFP interventions 

02.02.04.02 Other 

02.02.05  Protecting  Union's  democracy,  rule  of  law 
and upholding Union values 

02.02.06 Flexibility 

02.02.07 Interreg Plan 

02.02.08  Technical  assistance at the initiative of  the 
Commission - operational expenditure 

02.03 EU Facility 

02.03.01 Union actions 

02.03.01.01  Crisis  situations  -  European  Union 
Solidarity 
02.03.01.02  Unity  Safety  Net  (stabilisation  of 
agricultural markets) 
02.03.01.03 Migration, asylum, border  management, 
visa and internal security 

02.03.01.04 Other Union actions 

02.03.02. Emerging challenges and priorities cushion 

Diff. 

YES 

YES 

YES 

YES 

Non Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

Diff. 

NO 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

YES 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

NO 

EN 

13 

  EN 

 
 
3.2. 

Estimated financial impact of the proposal on appropriations  

3.2.1. 

Summary of estimated impact on operational appropriations  

–    The proposal/initiative does not require the use of operational appropriations  

–   The proposal/initiative requires the use of operational appropriations, as explained below 

3.2.1.1.  Appropriations from voted budget 

Heading of multiannual financial 
framework 

1 

Operational appropriations  
02. European Fund for Economic, 
Territorial, Social Cohesion, 
Agriculture and Rural, Fisheries and 
Maritime, Prosperity and Security 
02.01 Support expenditure of the 
National and Regional Partnership 
Fund 

02.02 National and Regional 
Partnership Plans and Interreg Plan - 
Operational Expenditure 

02.02.01 Europe's sustainable 
prosperity 

02.02.02 Europe's defence capabilities 
and security 

02.02.02.01 Migration, asylum, 
border management, visa and internal 
security 

EN 

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
MFF 
2028-2034 

Commitments 

(1a) 

135,571.000 

133,134.000 

130,131.00
0 

127,411.000 

123,879.000 

111,535.000 

103,415.000 

865,076.000 

Payments 

Commitments 

Payments 

(2a) 

(1a) 

(2a) 

pm 

0.000 

0.000 

0.000 

Commitments 

(1a) 

123,887.000 

122,988.000 

120,223.00
0 

117,315.000 

114,259.000 

101,388.000 

93,083.000 

793,143.000 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

pm 

0.000 

0.000 

0.000 

0.000 

0.000 

5,847.000 

5,633.000 

5,407.000 

5,170.000 

4,922.000 

3,945.000 

3,291.510 

34,215.510 

pm 

14 

0.000 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
02.02.02.02 Other 

02.02.03 Supporting people, 
strengthening Europe's societies and 
Europe's social model 

02.02.04 Sustaining Europe's quality 
of life 

02.02.04.01 CAP and CFP 
interventions 

02.02.04.02 Other 

02.02.05 Protecting Union's 
democracy, rule of law and upholding 
Union values 

02.02.06 Flexibility 

02.02.07 Interreg Plan 

02.02.08 Technical assistance at the 
initiative of the Commission - 
operational expenditure 

02.03 EU Facility 

02.03.01 Union actions 

02.03.01.01 Crisis situation - 
European Union Solidarity 

02.03.01.02 Unity Safety Net 
(stabilisation of agricultural markets) 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

EN 

42,272.000 

42,268.000 

42,265.000 

42,261.000 

42,257.000 

42,204.000 

42,172.000 

295,699.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

pm 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

1,753.000 

1,782.000 

1,810.000 

1,840.000 

1,524.000 

1,555.000 

10,264.000 

pm 

0.000 

0.000 

0.000 

11,684.000 

10,146.000 

9,909.000 

10,095.000 

9,621.000 

10,147.000 

10,331.000 

71,933.000 

pm 

0.000 

10,512.000 

8,951.000 

8,690.000 

8,852.000 

8,353.000 

8,853.000 

9,012.000 

63,223.000 

pm 

0.000 

2,706.000 

2,760.000 

2,815.000 

2,872.000 

2,929.000 

2,988.000 

3,047.000 

20,117.000 

pm 

0.000 

900.000 

900.000 

900.000 

900.000 

901.000 

900.000 

900.000 

6,301.000 

pm 

15 

0.000 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
02.03.01.03 Migration, asylum, 
border management, visa and internal 
security 

02.03.01.04 Other Union actions 

02.03.02. Emerging challenges and 
priorities cushion 

TOTAL appropriations 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

Commitments 

Payments 

(1a) 

(2a) 

(1a) 

(2a) 

(1a) 

(2a) 

=1a+1
b+3 
=2a+2
b+3 

3.401.000 

3.469.000 

3.539.000 

3.609.000 

3.682.000 

3.755.000 

3.830.000 

25.285.000 

0.000 

0.000 

0.000 

1,172.000 

1,195.000 

1,219.000 

1,243.000 

1,268.000 

1,294.000 

1,319.000 

8,710.000 

pm 

135,571.000 

133,134.000 

130,131.00
0 

127,411.000 

123,879.000 

111,535.000 

103,415.000 

865,076.000 

0.000 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
MFF 
2028-2034 

Commitments 

(4) 

135,571.000 

133,134.000  130,131.000 

127,411.000  123,879.000  111,535.000  103,414.000  865,076.000 

Payments 

(5) 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

operational 

TOTAL 
appropriations  
(including  contribution  to 
decentralised agency) 

appropriations  of 

an 
Ÿ  TOTAL 
administrative  nature  financed  from  the 
envelope for specific programmes  

(6) 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

TOTAL 
appropriations 
under HEADING 1 
of the multiannual 
financial framework 

Commitments 

=4+6 

135,571.000 

133,134.000  130,131.000 

127,411.000  123,879.000  111,535.000  103,415.000  865,076.000 

Payments 

=5+6 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

operational 

TOTAL 
appropriations  
(including  contribution  to  decentralised 
agency) 

Commitments 

(4) 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Payments 

(5) 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

EN 

16 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ÿ  TOTAL  appropriations  of  an  administrative  nature 
financed from the envelope for specific programmes  

(6) 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

TOTAL appropriations 
under HEADING 1 

Commitments 

=4+6 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

of the multiannual financial framework  Payments 

=5+6 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Heading of multiannual financial 
framework 

4 

Ÿ Human resources  

Ÿ Other administrative expenditure  

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
MFF 
2028-2034 

435.090  435.090 

435.090 

435.090 

435.090 

435.090 

435.090 

3045.630 

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

188.461 

TOTAL 

Appropriations  

462.013  462.013 

462.013 

462.013 

462.013 

462.013 

462.013 

3234.091 

TOTAL appropriations 
under HEADING 4 
of the multiannual financial framework  

(Total 
commitments 
= Total 
payments) 

462.013  462.013 

462.013 

462.013 

462.013 

462.013 

462.013 

3234.091 

TOTAL appropriations 
under HEADINGS 1 to 4 

Commitments 

136,033.013  133,596.013  130,593.013  127,873.013  124,341.013  111,997.013  103,877.013 

868,310.091 

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
MFF 
2028-2034 

EN 

17 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
of the multiannual financial framework  

Payments 

pm 

3.2.1.2.  Appropriations from external assigned revenues 

Social Climate Fund 

 Operational appropriations  

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
MFF 
2028-2034 

02.02.03 Supporting people, 
strengthening Europe's societies and 
Europe's social model 

Commitments 

Payments 

(1a) 

(2a) 

10,481.600  10,281.600  10,081.600 

9,781.600 

9,381.600 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

• Appropriations of an administrative nature financed from the envelope of specific programmes[3]  

02.0102 

(3) 

18.400 

18.400 

18.400 

18.400 

18.400 

TOTAL appropriations under 
Heading 1 

Commitments 

=1a+1b+3 

10500.000 

10300.000 

10100.000 

9800.000 

9400.000 

  Payments 

=2a+2b+3 

pm 

pm 

pm 

pm 

pm 

3.2.2.  Estimated output funded from operational appropriations (not to be completed for decentralised agencies) 

50,008.000 

50,008.000 

92.000 

50100.000 

Year 

2028 

Year 

2029 

Year 

2030 

Year 

2031 

Year 

2032 

Year 

2033 

Year 

2034 

TOTAL 
2028-2034 

Commitment appropriations in EUR million (to three decimal places) 

No 

Cost 

No 

Cost 

No 

Cost 

No 

Cost 

No 

Cost 

No 

Cost 

No 

Cost 

No 

Cost 

Indicate objectives 
and outputs 

 

OUTPUTS 

Type 

Average 
cost 

SPECIFIC OBJECTIVE No 1… 

- Output 

- Output 

- Output 

Subtotal for specific objective No 1 

0 

0.000 

0 

0.000 

0 

0.000 

0 

0.000 

0 

0.000 

0 

0.000 

0 

0.000 

EN 

18 

0 

0 

0 

0 

0.000 

0.000 

0.000 

0.000 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
   
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SPECIFIC OBJECTIVE No 2 ... 

- Output 

- Output 

- Output 

Subtotal for specific objective No 2 

TOTALS 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0.000 

0.000 

0 

0 

0 

0 

0 

0.000 

0.000 

0.000 

0.000 

0.000 

EN 

19 

EN 

 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.2.3. 

Summary of estimated impact on administrative appropriations  

–    The  proposal/initiative  does  not  require  the  use  of  appropriations  of  an 

administrative nature  

–   The proposal/initiative requires the use of appropriations of an administrative 

nature, as explained below 

3.2.3.1. Appropriations from voted budget 

VOTED 
APPROPRIATIONS 

HEADING 7 

Year 

Year 

Year 

Year 

Year 

Year 

Year 

2028 

2029 

2030 

2031 

2032 

2033 

2034 

TOTAL 
2028 - 
2034 

POST 

2034 

GRAND 
TOTAL 

Human resources  

435.090 

435.090 

435.090 

435.090 

435.090 

435.090 

435.090 

3045.630 

435.090 

3480.720 

Other administrative 
expenditure  

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

188.461 

26.923 

215.384 

Subtotal HEADING 7 

462.013 

462.013 

462.013 

462.013 

462.013 

462.013 

462.013 

3234.091 

462.013 

3696.104 

Outside HEADING 7 

Human resources  

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

205.030 

29.290 

234.320 

Other expenditure of an 
administrative nature 

Subtotal outside 
HEADING 7 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

205.030 

29.290 

234.320 

TOTAL 

491.303 

491.303 

491.303 

491.303 

491.303 

491.303 

491.303 

3439.121 

491.303 

3930.424 

3.2.3.2.  Appropriations from external assigned revenues  

EXTERNAL ASSIGNED 
REVENUES 

HEADING 7 

Year  Year  Year  Year  Year  Year  Year  TOTAL 
2028 - 
2034 

2034 

2029 

2030 

2031 

2032 

2033 

2028 

POST  GRAND 
TOTAL 
2034 

Human resources  

7.150 

7.150 

7.150 

7.150 

7.150 

0.000 

0.000 

35.751 

0.000 

35.751 

Other administrative expenditure  

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Subtotal HEADING 7 

7.150 

7.150 

7.150 

7.150 

7.150 

0.000 

0.000 

35.751 

0.000 

35.751 

Outside HEADING 7 

Human resources  

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Other expenditure of an 
administrative nature 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Subtotal outside HEADING 7 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

TOTAL 

7.150 

7.150 

7.150 

7.150 

7.150 

0.000 

0.000 

35.751 

0.000 

35.751 

3.2.3.3.  Total appropriations 

TOTAL 
VOTED APPROPRIATIONS  
+ 
EXTERNAL ASSIGNED 
REVENUES 

HEADING 7 

Year 

Year 

Year 

Year 

Year 

Year 

Year 

2028 

2029 

2030 

2031 

2032 

2033 

2034 

TOTAL 
2028 - 
2034 

POST 

2034 

GRAND 
TOTAL 

Human resources  

442.240 

442.240 

442.240 

442.240 

442.240 

435.090 

435.090 

3081.381 

0.000 

3081.381 

EN 

20 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other administrative expenditure  

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

26.923 

188.461 

0.000 

188.461 

Subtotal HEADING 7 

469.163 

469.163 

469.163 

469.163 

469.163 

462.013 

462.013 

3269.842 

0.000 

3269.842 

Outside HEADING 7 

Human resources  

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

205.030 

0.000 

205.030 

Other expenditure of an administrative 
nature 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

0.000 

Subtotal outside HEADING 7 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

29.290 

205.030 

0.000 

205.030 

TOTAL 

498.453 

498.453 

498.453 

498.453 

498.453 

491.303 

491.303 

3474.872 

0.000 

3474.872 

The  appropriations  required  for  human  resources  and  other  expenditure  of  an  administrative  nature 
will be met by appropriations from the services that are already assigned to management of the action 
and/or  have  been  redeployed  within  those  services,  together,  if  necessary,  with  any  additional 
allocation which may be granted to the services in charge of the management of the Fund under the 
annual allocation procedure and in the light of budgetary constraints. 

These estimates also include  the  human  resources  and  other expenditure  of  an administrative  nature 
required for the implementation of the objectives set out in Regulation (EU) 202X/XXX [ return and 
readmission, solidarity], Regulation (EU) 202X/XXX [support to common visa policy] and Regulation 
(EU) 202X/XXX [cross-border cooperation in relation to terrorism and serious and organised crime] 
and  the  implementation  of  Union  support  under  Regulation  (EU)  202X/XXX  [implementation  of 
Union support for CAP], Regulation (EU) 202X/XXX [implementation of Union support for regional 
development],  Regulation  (EU)  202X/XXX  [implementation  of  Union  support  for  quality 
employment,  skills  and  social  inclusion],  Regulation  (EU)  202X/XXX  [implementation  of  Union 
support for CFP/maritime policy]. 

3.2.4.  Estimated requirements of human resources  

–    The proposal/initiative does not require the use of human resources  

–   The  proposal/initiative  requires  the  use  of  human  resources,  as  explained 

below 

3.2.4.1.  Financed from voted budget 

VOTED APPROPRIATIONS 

Estimate to be expressed in full-time equivalent units (FTEs) 

Year  Year  Year  Year  Year  Year  Year  POST 

2028 

2029  2030 

2031 

2032 

2033 

2034 

2034 

 Establishment plan posts (officials and temporary staff) 

20 01 02 01 (Headquarters and Commission’s 

Representation Offices) 

2180 

2180 

2180 

2180 

2180 

2180 

2180 

2180 

20 01 02 03 (EU Delegations) 

01 01 01 01  (Indirect research) 

01 01 01 11 (Direct research) 

Other budget lines (specify) 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

• External staff (in Full Time Equivalent unit: FTE) 

20 02 01 (AC, END from the ‘global envelope’) 

250 

250 

250 

250 

250 

250 

250 

250 

20 02 03 (AC, AL, END and JPD in the EU 

Delegations) 

0 

0 

0 

0 

0 

0 

0 

0 

Admin. Support 

- at Headquarters 

230 

230 

230 

230 

230 

230 

230 

230 

EN 

21 

  EN 

 
 
 
 
 
 
 
 
line 
[XX.01.YY.YY] 
[2] 

- in EU Delegations  

01 01 01 02 (AC, END - Indirect research) 

01 01 01 12 (AC, END - Direct research) 

Other budget lines (specify) - Heading 7 

Other budget lines (specify) - Outside Heading 7 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

TOTAL 

2660 

2660 

2660 

2660 

2660 

2660 

2660 

2660 

3.2.4.2.  Financed from external assigned revenues 

EXTERNAL ASSIGNED REVENUES 

Year  Year  Year  Year  Year  Year  Year  POST 

2028 

2029  2030 

2031 

2032 

2033 

2034 

2034 

 Establishment plan posts (officials and temporary staff) 

20 01 02 01 (Headquarters and Commission’s 

Representation Offices) 

20 01 02 03 (EU Delegations) 

01 01 01 01  (Indirect research) 

01 01 01 11 (Direct research) 

Other budget lines (specify) 

• External staff (in Full Time Equivalent unit: FTE)[1] 

20 02 01 (AC, END from the ‘global envelope’) 

20 02 03 (AC, AL, END and JPD in the EU 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

Delegations) 
Admin. Support 
line 
[XX.01.YY.YY] 
[2] 

- at Headquarters 

57 

57 

57 

57 

57 

- in EU Delegations  

01 01 01 02 (AC, END - Indirect research) 

01 01 01 12 (AC, END - Direct research) 

Other budget lines (specify) - Heading 4 

Other budget lines (specify) - Outside Heading 4 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

TOTAL 

57 

57 

57 

57 

57 

3.2.4.3.  Total requirements of human resources 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

TOTAL 
VOTED APPROPRIATIONS  
+ 
EXTERNAL ASSIGNED REVENUES 

Year  Year  Year  Year  Year  Year  Year  POST 

2028 

2029  2030 

2031 

2032 

2033 

2034 

2034 

 Establishment plan posts (officials and temporary staff) 

20 01 02 01 (Headquarters and Commission’s 

Representation Offices) 

2180 

2180 

2180 

2180 

2180 

2180 

2180 

2180 

20 01 02 03 (EU Delegations) 

01 01 01 01  (Indirect research) 

01 01 01 11 (Direct research) 

Other budget lines (specify) 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

EN 

22 

  EN 

 
 
 
 
 
Delegations) 
Admin. Support 
line 
[XX.01.YY.YY] 
[2] 

• External staff (in Full Time Equivalent unit: FTE) 

20 02 01 (AC, END from the ‘global envelope’) 

250 

250 

250 

250 

250 

250 

250 

250 

20 02 03 (AC, AL, END and JPD in the EU 

0 

0 

0 

0 

0 

0 

0 

0 

- at Headquarters 

287 

287 

287 

287 

287 

230 

230 

230 

- in EU Delegations  

01 01 01 02 (AC, END - Indirect research) 

01 01 01 12 (AC, END - Direct research) 

Other budget lines (specify) - Heading 4 

Other budget lines (specify) - Outside Heading 4 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

TOTAL 

2717 

2717 

2717 

2717 

2717 

2660 

2660 

2660 

The staff required to implement the proposal (in FTEs):  

To be covered by 
current staff 
available in the 
Commission 
services  

Exceptional additional staff* 

To be financed 
under Heading 7 
or Research 

To be financed 
from BA line 

To be financed 
from fees 

Establishment 
plan posts 

External 
staff 
(CA, SNEs, INT) 

2180 

537* 

N/A 

N/A 

* this amount includes the 57 FTE for the Social Climate Fund, which are financed from the 
assigned revenue.  

Description of tasks to be carried out by: 

Officials and temporary staff 

Programme  management,  general  administrative,  financial  and  technical 
support, policy coordination, audit 

External staff 

Programme  management,  general  administrative,  financial  and  technical 
support, policy coordination, audit 

3.2.5.  Overview of estimated impact on digital technology-related investments 

TOTAL Digital and IT 
appropriations 

HEADING 7 

IT expenditure (corporate)  

Subtotal HEADING 7 

Outside HEADING 7 

Policy IT expenditure on operational 
programmes 

Year 

2028 

Year 

2029 

Year 

Year 

Year 

Year 

Year 

2030 

2031 

2032 

2033 

2034 

TOTAL 
2028 - 
2034 

19.926 

19.926 

19.926 

19.926 

19.926 

19.926 

19.926 

19.926 

139.482 

19.926 

19.926 

19.926 

19.926 

19.926 

19.926 

139.482 

EN 

23 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Subtotal outside HEADING 7 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

TOTAL 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

pm 

3.2.6.  Third-party contributions  

The proposal/initiative: 

–    does not provide for co-financing by third parties 

–    provides for the co-financing by third parties estimated below: 

Appropriations in EUR million (to three decimal places) 

Years 

Year  
2028 

Year  
2029 

Year  
2030 

Year  
2031 

Year  
20232 

Year  
2033 

Year  
2034 

Total 

EEA/EFTA  

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

Candidate countries 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

countries, 
Thirs 
including  neighbouring 
countries 

TOTAL appropriations 
co-financed  

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

p.m. 

3.3. 

Estimated impact on revenue  

–   The proposal/initiative has no financial impact on revenue. 

–    The proposal/initiative has the following financial impact: 

– 

– 

– 

Budget revenue line: 

Article …………. 

 

 

on own resources  

on other revenue 

  please indicate, if the revenue is assigned to expenditure lines 

Appropriations 
available for the 
current financial 
year 

     EUR million (to three decimal places) 

Impact of the proposal/initiative32 

Year 2024 

Year 2025  Year 2026 

Year 2027 

For assigned revenue, specify the budget expenditure line(s) affected. 

Other  remarks  (e.g.  method/formula  used  for  calculating  the  impact  on  revenue  or 
any other information). 

32 

As regards traditional own resources (customs duties, sugar levies), the amounts indicated must be net 
amounts, i.e. gross amounts after deduction of 20% for collection costs. 

EN 

24 

  EN 

 
 
 
 
 
 
 
 
 
 
 
4. 

DIGITAL DIMENSIONS 

EN 

25 

  EN 

 
 
4.1 Requirements of digital relevance 

If the policy initiative is assessed as having no requirement of digital relevance: 

Justification of why digital means cannot be used to enhance policy implementation and why the ‘digital by default’ principle is not applicable 

Otherwise: 

High-level  description  of  the  requirements  of  digital  relevance  and  related  categories  (data,  process  digitalisation  &  automation,  digital  solutions 
and/or digital public services)  

Reference to the 
requirement 

Requirement description 

Actors affected or 
concerned by the 
requirement 

High-level 
Processes 

Categories 

shall 

Plans 

contribute 

The 
a 
comprehensive and adequate manner all the 
into 
Fund’s  specific  objectives, 
account 
the 
Member State concerned, including: 

taking 
the  specific  challenges  of 

in 

specific 
Articles  3  on 
objectives 
on 
22 
and 
requirements  for  the  NRP 
Plan 

i) 

ii) 

iii) 

supporting the digital transformation 
and promoting the development and 
use  of  advanced  technologies  and 
ICT  connectivity,  while  addressing 
the digital divide; 
support the […] digital transition of 
transport; 
the  attractiveness  and 
improving 
living  standards in  rural  and coastal 
areas  and  fair  working  conditions 

Member States 

Support  to  the 
digital 
transition 

Digital 
solutions 
and/or digital public 
services, 
digital 
infrastructures, 
training 

EN 

26 

EN 

 
 
 
 
and  […]  accelerating  the  digital 
transition  for  a  thriving  agri-food 
sector. 

The Plans shall be consistent, inter alia, with 
the  […]  national  digital  decade  strategic 
roadmaps  under  Decision  (EU)  2022/2481 
and  effectively  contribute,  in  particular,  to 
the  digital  and  data-driven 
supporting 
transition of agriculture and rural areas. 

Member  States  shall  collect,  record  and 
store electronically the required information 
on  (i)  the  beneficiary,  (ii)  the  recipient  and 
the  final  recipient,  (iii)  the  contractor,  (iv) 
the  subcontractor,  (v)  the  operation,  (vi)  on 
Community-Led  Local  Development, 
in 
relation to each Local Action Group (LAG), 
(vii)  on  each  EIP-AGRI  operational  group 
for  the  purposes  of  audit  and  controls, 
transparency  and  performance  monitoring, 
analysis,  evaluation  and  statistics  while 
ensuring 
and 
security, 
confidentiality of data and the authentication 
of  used  and  allowing  automated  data 
exchange  with 
system 
identified by the Commission.  

the  electronic 

integrity 

the 

Article 
63 
collection and recording 

on  Data 

Member States, 
European Commission 

Data  collection 
and recording 

Data 

Article 64 on Transparency 

Member States shall ensure that a website is 
operational  where  information  on  support 
under  this  Regulation  is  available,  covering 
the  Plan’s  objectives,  activities,  available 

Member States 

Transparency 

Data 

EN 

27 

EN 

 
 
funding opportunities and achievements.  

Member  States  should  also  ensure 
the 
publication  of  the  information  referred  in 
Article 63 on the website. They should also 
ensure  publication  on  the  website  of  the 
elements  referred  to  in  the  [Performance 
Regulation]. 

The European Commission shall publish the 
data  referred  to  in  Article  63  on  the 
centralised  website 
the 
[Performance Regulation].    

referred 

in 

to 

Member  States  ensure  the  reporting  of  all 
cases  of  suspected  fraud,  corruption  and 
irregularities,  including  conflict  of  interest, 
double  funding  and  other  breaches  of  the 
applicable 
the  Commission’s 
Irregularity Management System (IMS); the 
Commission  shall  summarise  and  publish 
that 
shall 
communicate it to the European Parliament. 

information 

annually 

law 

and 

in 

of 

information  with 

Member  States  shall  ensure  that  all  official 
exchanges 
the 
Commission are carried out by means of an 
electronic  data  exchange  system  referred  to 
in  Annex  XVI  [SFC2027:  electronic  data 
exchange  system  between 
the  Member 
States and the Commission] 

Article 64 on Transparency 

on 

58 

Article 
the 
responsibilities  of  Member 
States,  Annex  IV  on  key 
the 
requirements 
Member 
State’s 
management,  control  and 
audit  systems  and  Annex 
XVI on SCF2027, 

for 

European Commission 

Transparency 

Data 

Member 
European Commission 

States, 

Data  collection 
and recording 

Data 

Article 

58 

on 

the  Member  States 

shall  ensure 

that  all  Member States 

Process 

Data 

EN 

28 

EN 

 
 
responsibilities  of  Member 
States 

between 
information 
of 
exchanges 
beneficiaries  of  funding  and 
the  Plan 
authorities, as well as with the Commission, 
are  carried  out  by  means  of  electronic  data 
exchange systems. 

digitalisation  

Annex  XIV  on  Union 
actions  supported  through 
the EU Facility 

support 

Facility 

The 
the 
shall 
implementation  of  the  Common  Fisheries 
Policy, inter alia to provide scientific advice, 
data  collection  and  knowledge  for 
the 
purposes  of  promoting  sound  and  efficient 
fisheries  management  decisions;  develop 
and  implement  the  EU  fisheries  control 
system,  promote  clean  and  healthy  oceans, 
develop and disseminate market intelligence 
fishery  and  aquaculture  products, 
for 
promote maritime security and surveillance 

European Commission 

Data  collection 
and recording 

Data 
solutions 

digital 

4.2. Data 

High-level description of the data in scope 

Type of data  

Reference to the requirement(s) 

Standard and/or specification (if applicable) 

Data on (i) the beneficiary, (ii) the recipient and the 
final recipient, (iii) the contractor, (iv) the 
subcontractor, (v) the operation, (vi) on 
Community-Led Local Development, in relation to 
each Local Action Group (LAG), (vii) on each EIP-
AGRI operational group 

Article 63 on Data collection and 
recording 

The Commission shall publish this data, subject to 
exceptions provided for by the regulation, on a 
centralised website with the share of Union 
contribution referred to in the [Performance 
regulation]. Information on name and surname, in 
case of a natural person, or name, in case of a legal 
entity, shall not be published, if the amount received 

EN 

29 

EN 

 
 
 
Information  on 
objectives, 
opportunities.  

the  Member  State’s  Plan’s 
and 

available 

funding 

activities, 

Article 64 on Transparency 

recipient, 

(iii) 
  v) 

Data on (i) the beneficiary, (ii) the recipient and the 
the 
final 
(iv) 
subcontractor, 
(vi)  on 
Community-Led Local  Development,  in  relation to 
each Local Action Group (LAG), (vii) on each EIP-
AGRI operational group 

the  contractor, 
the  operation, 

Information linked to the relevant elements referred 
to in the Performance Regulation in relation to calls 
for proposals and tenders under the Fund 

Timetable  of  the  planned  calls  for  proposals  under 
the Fund.  

Data for monitoring, progress reporting, evaluation, 
financial management verifications and audits 

Article 58 on the responsibilities of 
Member States and Annex XVI on 
SCF2027 

by them in one year is equal to or less than EUR 
2500. 

This data should be in at least one of the official 
language or languages of the Member State and/or in 
either English, French or German and shall remain 
available on the website for two years from the date 
of its initial publication. The data published on the 
website shall be a digital-ready, open, interoperable 
and machine-readable format, which allows data to 
be sorted, searched, extracted, compared and reused. 

The information shall be updated at least every six 
months. The information on the calls for proposals 
shall be updated at least two times a year.  

Member States shall have systems and procedures in 
place to ensure that all supporting documents 
necessary for the audit trail related to a measure 
supported by the Fund are kept at the appropriate 
level for a 10-year period from 31 December of the 
year in which the last payment by the Commission 
to the Member State is made;  where a redress 
procedure has been initiated, an appeal has been 
lodged or where court proceedings have begun, the 
supporting documents shall be kept until those 
procedures or any subsequent recovery procedures 
are terminated; 

EN 

30 

EN 

 
 
Electronic data exchange systems 

Article 58 on the responsibilities of 
Member States 

These systems shall include, among others, use of 
automatic and interactive forms and calculations, 
ensure record-keeping and data storage in the system 
enabling both administrative verifications of 
payment claims submitted by beneficiaries and 
audits as well as allow for automatic synchronisation 
and transmission of data between beneficiaries' and 
Member States' systems. 

Alignment with the European Data Strategy 

Explanation of how the requirement(s) are aligned with the European Data Strategy 

The  Regulation  contributes  to  the  general  objectives  of  the  European  Data  Strategy,  as  it  aims  at  facilitating  modern  and  effective  data 
management  and  sharing,  including  for  the  purpose  of  supportive  public  administrations  and  facilitating  better  policymaking,  i.e.,  better 
performance data management will enable reinforced steering of programmes management. 

Each Member State will also need to ensure consistency with their respective national digital decade strategic roadmap under  Decision (EU) 
2022/2481 when designing their National and Regional Partnership Plan. 

Alignment with the once-only principle 

Explanation of how the once-only principle has been considered and how the possibility to reuse existing data has been explored 

// 

Explanation of how newly created data is findable, accessible, interoperable and reusable, and meets high-quality standards 

The data published on the website shall be a digital-ready, open, interoperable and machine-readable format, which allows data to be sorted, 
searched, extracted, compared and reused. 

EN 

31 

EN 

 
 
 
 
 
Data flows 

High-level description of the data flows 

Type of data 

Data  on  (i)  the  beneficiary,  (ii)  the 
recipient  and  the  final  recipient,  (iii)  the 
contractor, (iv) the subcontractor, (v) the 
operation, (vi) on Community-Led Local 
Development,  in  relation  to  each  Local 
Action Group (LAG), (vii) on each EIP-
AGRI operational group 

Data  on  (i)  the  beneficiary,  (ii)  the 
recipient  and  the  final  recipient,  (iii)  the 
contractor, (iv) the subcontractor, (v) the 
operation, (vi) on Community-Led Local 
Development,  in  relation  to  each  Local 
Action Group (LAG), (vii) on each EIP-
AGRI operational group 

Information  on 
the  Member  State’s 
Plan’s  objectives,  activities,  available 
funding and opportunities.  

Data  on  (i)  the  beneficiary,  (ii)  the 
recipient  and  the  final  recipient,  (iii)  the 
contractor, (iv) the subcontractor, (v) the 
operation, (vi) on Community-Led Local 
Development,  in  relation  to  each  Local 

Reference(s) 
to the 
requirement(s) 

Actors who 
provide the 
data 

Article 63 

Member States 

Actors who 
receive the data 

Trigger for the 
data exchange 

Frequency (if 
applicable) 

European 
Commission 

Adoption of the 
decision for 
approval of the Plan  

Two times per year, 
annually for the 
interventions 
supporting the 
Common 
Agricultural Policy 

Article 64 

European 
Commission 

The public 

Reception of the 
information from 
the Member State 

Regular updates 
based on the 
information 
received from 
Member States 

Article 64 

Member States 

The public 

Adoption of the 
decision for 
approval of the Plan  

Website operational 
within 6 months of 
the adoption of the 
Commission 
decision of the 
approval of the 
Plan. 

The data shall be 

EN 

32 

EN 

 
 
Action Group (LAG), (vii) on each EIP-
AGRI operational group 

Information linked to Article 10(3) of the 
Performance Regulation.  

Timetable of the planned calls for 
proposals under the Fund  

4.3. Digital solutions 

High-level description of digital solutions 

updated every 6 
months. 

Digital 
solution 

Reference(s) 
to the 
requirement(s) 

Main mandated 
functionalities 

Responsible body 

How is 
accessibility 
catered for? 

How is reusability 
considered? 

Use of AI 
technologies 
(if 
applicable) 

// 

For each digital solution, explanation of how the digital solution complies with applicable digital policies and legislative enactments 

The digital solutions supported by the future National and Regional Partnership Plans will be tailored to each Member State’s national and regional 
needs and challenges, with a view to ensuring the effective delivery of the Plans’ objectives and compliance by Member States with their obligations 
under this Regulation. The Commission may also develop new digital solutions and/or upgrade existing ones as necessary to fulfil its responsibilities 
under this Regulation. 

Digital solution #1 

Digital and/or sectorial policy (when these are 
applicable) 

Explanation on how it aligns 

AI Act 

N/A 

EN 

33 

EN 

 
 
 
 
 
 
 
 
 
EU Cybersecurity framework 

eIDAS 

Single Digital Gateway and IMI 

Others 

N/A 

N/A 

N/A 

N/A 

4.4. Interoperability assessment 

High-level description of the digital public service(s) affected by the requirements 

Digital public 
service or category 
of digital public 
services 

Description 

Reference(s) to the 
requirement(s) 

Interoperable 
Europe Solution(s)  

Other interoperability solution(s) 

NA 

// 

// 

// 

// 

When carrying out their functions, the plan authorities may use a single integrated and interoperable information and monitoring system, including a 
single data-mining and risk-scoring tool, as referred to in Article 36(2)(d) of the Financial Regulation, to access and analyse the relevant data, with a 
view to a generalised application by Member States. 

Impact of the requirement(s) as per digital public service on cross-border interoperability 

Digital public service #1  

Assessment 

Measure(s) 

Potential remaining barriers (if applicable) 

Alignment with existing digital and 
sectorial policies  

NA 

Please list the applicable digital and 
sectorial policies identified 

NA 

EN 

34 

EN 

 
 
 
Organisational measures for a 
smooth cross-border digital public 
services delivery 

Please list the governance measures 
foreseen 

Measures taken to ensure a shared 
understanding of the data 

Please list such measures 

Use of commonly agreed open 
technical specifications and 
standards 

Please list such measures 

NA 

NA 

NA 

NA 

NA 

NA 

4.5. Measures to support digital implementation 

High-level description of measures supporting digital implementation 

Description of the measure 

Reference(s) to the 
requirement(s)  

// 

Commission 
role  

Actors to be 
involved 

(if applicable) 

(if applicable) 

Expected timeline 

(if applicable) 

National and Regional Partnership Plans may include dedicated measures to support digital implementation, including reforms, training schemes and 
investments in digital infrastructures, depending on the specific needs and challenges identified in the Member States and regions concerned.  

EN 

35 

EN 

 
 
 
 
 
 
 
 
EN 

36 

EN