CELEX: 51975PC0185
Language: en
Date: 1975-04-23
Title: PROPOSAL FOR A REGULATION (EEC) OF THE COUNCIL laying down measures for the rationalization of horticultural production under glass (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (75) 185
Vol. 1975/0069
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 ---pagebreak--- COMMISSION OF THE E1ROPEÂN COMMUMTIBS
                                                            COM(75)185 final
                                                            Brussels , 23 April 1975
                                  PROPOSAL FOR A
                         REGULATION (EEC ) OP THE COUNCIL
                laying down measures for the rationalization of
                       horticultural production under glass
                  ( submitted to the Council "by the Commission)
   CGM(75) 185 final
 ---pagebreak---                               EXPLANATORY MEMORAinm
               As a result of increased fuel prices there has "been a -considerable
rise in production costs for products cultivated under glass .
               Furthermore , producers are not in a position to pass the increase
in cost price on to their selling prices .
               Producers should therefore "be enablod to cease horticultural
production under glass , to which end premiums should "be granted for the
dismantling of glasshouses .
               The amount of the premium fixed for that purpose should be such as
will offset the cost of dismantling.
               It should "be noted that only heated, commercirlly exploited glass­
houses qualify for the dismantling premium .
               All producers whose glasshouses correspond to that definition are
eligible to receive the premium on request . Such producers must also undertake
not to build any further glasshouses for production purposes .
               Expenditure incurred by the Member States in respect of premiums
for the dismantling of glasshouses will be eligible for assistance from the
EAGGF . which will refund 25/J of such expenditure .                     ,
 ---pagebreak---                            PROPOSAL FOR A
                    REGULATION (EEC ) OP THE COUNCIL
laying down measures for the rationalization of horticultural production
                                  under glass
                                      THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
                                      Having regard of the Treaty establishing
                                      the European Economic Community , and in
         '  "                         particular Articles^ and 43 thereof;.
                                      Having regard to the proposal from the
                 ,                    Commission ; -
                                      Having regard to the Opinion of the European
                       .i   ■'        Parliament;'              ^               r
Whereas the energy crisis has had a serious effect on horticulture ;
whereas as a result of increased fuel prices there has been a consideralbe rise
in production costs for products cultivated under glass ;
                                   J
Whereas the increase in production costs is such that producers are unable , to
pass the entire increase, on to the selling prices- of horticultural products ; -
                                                            '                *
Whereas , in these circumstances , producers who so desire should bo enabled
totally or partially to cease horticultural production under glass , thus
permitting -'this type of production to be rationalized;              "
Whereas , it is desirable to concentrate production in the most modern glass­
houses in which the costs of production are lower.            ,   . .   .
Whereas , this goal can be achieved only in so far as aids , the effect of which
is to increase the surface area under glass are not , moreover j grant-edv
 ---pagebreak---                                        - 3 -
  Whereas , to encourage such action , incentives should "be offered to producers
  who undertake , to cease horticultural production under glass ; whereas to this
  end provision should "be made for Member States to grant premiums to
  producers who agree to dismantle their glasshouses and who also undertake
  not to "build any new glasshouses for production purposes for a speoified
  period; <
  Whereas the level of the premium should "be such as to compensate for the cost
  of dismantling;
  Whereas the proposed measures are of Community interest for the achievement
  of the objectives laid down in Article 39(l ) (a) of the Treaty whereas , conse-
         i'        "     •        '      '
  quently, they' constitute common measures within the meaning of Article 6 of
  Council Regulation (EEC) No 729/7^ of 21 April 1970 on the financing of the
  common agricultural policy, as last amended lay Regulation (EEC) No 2788/72 ;
  Whereas quarter of the expenditure incurred in granting dismantling premiums
  should "be financed "by the Community;
                     ; - '•  ' ••                            ' . •• '     ,     S
                            .. HâS ADOFTED THIS REGULATION ï          ...
  Article 1
            ... Community farmers cultivating edible or inedible horticultural
  produots under glass shall , upon application and subject to the conditions
  laid down hereafter, receive a premium for dismantling their glasshouses .
              . The conditions for granting the premium shall be adopted in accordance
  with the procedure laid down in .Article 33 of Council Regulation (EEC )
  No 1035/72^ on the common organization of the market in fruit and vegetables .
   1 OJ No I 94, 27.4.1970, p. 13
.-•? OJ No L 295» 3O.i2.i972, p. 1
  3 OJ Nò b 118, 20.5.1972 , p. 1
 ---pagebreak--- Article 2
              For the purposes of this Regulation , " glasshouse" means any building
made of glass constructed "before 1st January 1969 used for horticultural
production which is not less than 2 metres high at its point of maximum
elevation and is artificially heated from a permanent unit .
Article 3
              Applications for a premium shall "be submitted not later than
1 January 197^« The grant of a premium shall be subject in particular to the
condition that the beneficiary give a written undertaking :
a) to dismantle or have dismantled before 1 January 1977 the glasshouses in
      respect of which the premium has been requested ;
b) not to increase for production purposes , the area cultivated under glass ;
    ■ remaining after dismantling for a period of six years reckoned from the
      date on which the application is submitted#
                                                                         j
Article
■
           4  •
                                                 " -                              • >•
                                                                              -i - » ? "« -
                                                                                            •• •
 1.           The amount of the premium shall be 3?5 units of account per square
metre of glasshouses dismantled.                                             . •
 2.           The premium shall be paid, in a single instalment , when the appli– • .
 cant furnishes proof that dismantling has taken place ,                            .
Article 5
  ,.        . JXiring the last three months of the period specified in Article
 3(2 ) (b) the Member States shall check whether the benefioiary has abided
 by his undertaking not to increase for production purposes the area cultivated
 under glass .
Article 5 bis
              Subject to Art . 92 Par . 2 of the Treaty, all aid the effect of which
is to increase the area under glass shall be prohibited until 31 December 1976 .
 ---pagebreak--- Article 6
1.        The measures provided for in this Regulation constitute common
measures within the meaning of Article 6(l ) of Regulation (EEC) No 729/70*
2.        The total contribution by the Guidance Section of the EAGGP to the
cost of the common measures is estimated at 8,8 million units of account .
3.       The common measures shall "be carried out by 31 December 1975*
                                                                            v '
Article 7   ■
1.        Expenditure incurred by the Member States in respect -of action taken
under this Regulation shall be eligible for assistance from the Guidance
Section of the EAGGP.   •                      ......
2.     , The Guidance Section of the European Agricultural Guidance and
Guarantee Fund shall refund to' Member States 23% of the expenditure eligible
for assistance .
                                                  ' 1       '        i - /,
3.        Detailed rules for the application of paragraph 2 shall be adopted
in accordance with the procedure laid down in Artiole 13 of Regulation .(EEC )
No 729/70.
Article 8 .
          Applications for reimbursement shall relate to expenditure incurred
by Member States during one calendar year and shall be submitted to the Commission
before 1 June of the following year.
                                                                                1
          The Commission shall take a deoision on such applications , either all
together or otherwise , in accordance with the procedure laid down in Article 7(1 )
of Regulation (EEC) No 729/70.
                                                                                ./•
 ---pagebreak---                                     - 6 -
Article 9
1.         Without prejudice to Article 8 of Regulation (EEC ) No 729/70 , where
the undertaking provided for in Article 3 has not "been abided "by the Member
States shall , acting in accordance with the national provisions laid down
"by law , regulation or administrative action, take whatever measures are
necessary to recover sums paid out »
           They shall inform the Commission of the measures taken and shall in
 particular notify it at regular intervals of the state of the admj.nistrr.tive
 or judicial proceedings relating thereto .
 2.        Dions recovered shall be made over to the paying authorities or
bodies and set off by them against that part of expenditure which is eligible
 for Community financing from the Fund.
           The financial consequences of failure to recover sums paid out shall
be borne by the Community and by the Member States in proportion to their
respective financial contributions .
           Interest may be charged on sums to be recovered.
3.         Detailed rules for the application cf this article shall be adopted
 in accordance with the procedure laid down in Article 13 of Regulation
 (EEC) No 729/70.
                                »
 Article 10
           The Commission shall submit to the Council before 1 July 197° a
 report based on the particulars furnished by the Member States on the operation
 of the system of premiums introduced by this Regulation.
           Any decision to alter the system shall be taken by the Council , in
 accordance with the voting procedure laid down in Article 43(2 ) of the Treaty,
 on a proposal from the Commission.
           General implementing shall bo adopted in the saiae manner.
                                                                                 /•
 ---pagebreak---                                     - 7 -
Article 11
         This Regulation shall "be without prejudice to the granting of aids
provided for in the rules of Member States , provided the corresponding ■
applications are submitted before the date on which it enters into force , "
where the purpose of such aids is similar to that of this Regulation.
Artide 12
         This Regulation shall enter into force on the third day following
its publication in the Official Journal of the European Communities .
         This Regulation shall be binding in its entirety and directly
applicable in all Member States . .
                                       Done at Brus sel s ,
                                       For the Council
                                       The Président
 ---pagebreak---                                   FINANCIAL ÂNNEX.'
Estimated cost of applying the draft Regulation laying down measures for the
rationalization of horticultural production under glass .
1.       The amount of the premium is 3,5 units of account per square metre of
   glasshouse dismantled.
2.       It is estimated that there are in the Community about 10,000 hectares
   of glasshouses within the meaning of Article 2 of the Regulation.
         On the "basis of the results of similar measures applied previously in
   some Member States it is estimated that glasshouses accounting for 10$ of
   the area under glass will "be dismantled.
         This represents a total expenditure eligible for assistance of :
         3,5 u.a . x 10«0009 000 m2 = 35o00Oo 000 u.a.
3.       The Guidance Section of the EAGGF will refund to Member States 25$ of
   eligible expenditure incurred during the previous calender year , i.e. a
   total of :
         35,000,000 x 0,25 = 8,750,000 u<a.
         rounded to 8,8 million u.a.
4*       Assistance from the EAGGF could be paid in instalments as follows :
         40$ in 1976, i.e.      , 3>5 million u.a«
         50$ in 1977 »            4»4 niillion u.a.
         10$ in 1978 , i.e .      0.9 million u.a.
                                  8.8 million u.a.
 ---pagebreak---                                      -9-
Declaration of the Commission concerning the utilisation of energy in heated
                                glasshouses
The Commission instructs its services to draw up an inventory of research,
recently , completely or still in progress , concerning production methods *nd
techniques which could allow energy economies in the field of horticulture
under glass .