CELEX: 51993PC0481
Language: en
Date: 1993-10-08
Title: Proposal for a COUNCIL REGULATION (EEC) laying down detailed rules for implementing Regulation (EEC) No 2080/93 on Community structural assistance in the fisheries and aquaculture sector and the industry processing and marketing its products

COMMISSION OF THE EUROPEAN COMMUNITIES
                                           C0M(93) 481final
                                          Brussels, 8  October 1993
                            Proposal for a
                      COUNCIL REGULATION (EEC)
      laying down detailed rules for implementing Regulation
        (EEC) No 2080/93 on Community structural assistance
     in the fisheries and aquaculture sector and the industry
               processing and marketing its products
                    (presented by the Commission)
 ---pagebreak---                              EXPLANATORY MEMORANDUM
INTRODUCTION
1.   This proposal for a Council Regulation follows the adoption of Council
     Regulation (EEC) No 2080/93 of 20 July 1993 laying down provisions for
     implementing Council Regulation (EEC) No 2052/88 as regards the financial
     instrument for fisheries guidance (FIFG) 1 .
     That Regulation incorporates the structural aspects of the common fisheries
     policy2 into the Structural Fund legislation, alongside the specific
     Regulations relating to each Fund (ERDF, ESF and EA66F Guidance Section).
     It establishes a single financial instrument for structural schemes in the
     sector3, replacing the two existing financial instruments4.
2.   Pursuant to Article 6 of the abovementioned Regulation, the Council must
     decide in accordance with the procedure laid down in Article 43 of the
     Treaty, and not later than 31 December 1993, "the detailed           rules    and
     conditions  for the FIFG contribution      to   the  measures  for     structural
     adjustment in the sector*.
A SINGLE LEGAL INSTRUMENT
3.   The purpose of this proposal is to replace the two legal instruments
     currently in force by a single instrument before Regulation (EEC) No
     2080/93 repeals them. The two Regulations in question are:
     - Council Regulation (EEC) No 4Q28/86 of 18 December 1986 on Community
       measures to improve and adapt structures in the fisheries and aquaculture
       sector5,
     - Council Regulation    (EEC) No 4042/89      of 19 December     1989 on the
       improvement of the condition» under        which fishery and aquaculture
       products are processed and marketed^.
1    OJ No L 193, 31.7.1993, p. 1.
2    The common fisheries policy has recently been redefined by Council
     Regulation (EEC) No 3760/92 of 20 Pecepfttier 1992 establishing a Community
     system for fisheries and aquaculture (@Cf No. J* 389, 31.12.1992, p. 1 ) .
3    "Sector" means fisheries, aquaculture, and. £he processing and marketing of
     the products thereof.
4    Chapters B2-11 (EAGGF Guidance Sectipn « fisheries) and B2-23 (European
     Fisheries Guidance Fund) in the 1993 feudist,
5    OJ No L 376, 31.12.1986, p. 7.
6    OJ No L 388, 31.12.1989, p. 1.
                                      - 1 «*s.
 ---pagebreak--- MANAGEMENT IN NEED OF RATIONALIZATION
4.    Without any real coherence, and only because the two abovementioned legal
      instruments had different historical origins, the methods of management
      began to diverge seriously from 1989, when one of the areas of assistance
      (processing and marketing of products) was integrated into the 1988 reform
      of the Structural Funds whereas the other areas (fleet restructuring,
      aquaculture, port facilities, etc.) were not covered by the reform.
5.   Assistance under Regulation (EEC) No 4042/89 comes within the programming
     procedure of Objective 5(a) of the Structural Funds, i.e. sectoral plans.
     Community support frameworks, aid applications generally in the form of
     operational programmes.
     The adoption of Regulation (EEC) No 4042/89, which replaces Regulation
      (EEC) No 355/77, brought about a significant improvement in the management
     of the field in question.
6.   The majority of the other aids (Regulation (EEC) No 4028/86), even if they
     still operate on an individual project basis and are not the subject of
      financial allocations established in advance, are based on multiannual
     guidance programmes for fishing fleets and for aquaculture; as regards the
     adjustment of fishing capacity, the Member States are required to establish
     an annual programme including a financial estimate; lastly, projects
     relating to port facilities, which are covered by the same Regulation, must
      "ibe included     in a Community    support framework within the meaning   of
     Regulation     (EEC) No   4042/89nl.
     Generally speaking, as far as Regulation (EEC) No 4042/89 is concerned,
     present management largely runs counter to the principle that decisions
     should be taken at the lowest possible level, which means that the
     Commission has to arbitrate between and select individual projects on the
     basis solely of administrative and financial documents.
     Other faults of this management system are:
     - a multiplicity of legal instruments: for each case of aid granted there
         is a Commission decision, plus, perhaps, a second decision cancelling the
         first one where the project has been abandoned;
     - a serious lack of budget flexibility: any funds released by the
         abandonment of a project are lost to the structural budget for the sector
         if the appropriation is released during a financial year other than that
         in which the appropriation was committed - which is generally the case.
     Article 27(2)(a) of Regulation (EEC) No 4028/86.
                                          - 2 3^
 ---pagebreak--- SIMPLIFICATION OF MANAGEMENT - MORE FLEXIBLE USE OF APPROPRIATIONS
7.   The first and foremost aim of this new proposal is to harmonize and
     rationalize programming, which has been disparate in the past, by
     introducing a simplified two-stage programming procedure based on the
     following principles:
     - the Member State is to present an overall strategy document or "sectoral
       plan", accompanied by an indicative financial breakdown, plus an overall
       aid application; the sectoral plan and the aid application must cover all
       the fields of assistance for the entire reference period (réf.: Article 3
       and Annex   I);
     - the Commission is to examine with the Member State, within the
       partnership framework, the content of the sectoral plan and the aid
       application; on this basis the Commission will approve a "Community
       programme" (réf.:  Article 4); the Community programme will enable the
       financial allocation to be committed in annual tranches. Successive
       payments will be made in tranches as the previous tranches are used up,
       in accordance with the same conditions as for the Structural Funds.
     As regards the legal instrument        (Commission decision), apart from
     exceptional cases, there will no longer be individual projects**. This
     means that one project may be replaced by another at Monitoring Committee
     level, even if the cost is different, without the legal instrument having
     to be amended.
8.   Far more than at present it will be up to the Member States' authorities to
     choose their own means of implementing the requirements of the common
     fisheries policy as regards structures.
9.   As far as the duration of each programming period        is concerned, two
     arguments militate in favour of a 3-year period :
     - in a production sector, investment decisions depend above all on private
       initiative.
     - The multiannual guidance programmes for fishing fleets (see point 10
       below), which dictate the allocation of a substantial part of the
       appropriations, will run until 31 December 1996.
       However, the financial perspectives adopted by the Edinburgh European
       Council cover six years, the compulsory duration of programming in
       Objective 1 Regions.
       A formal programming period of six years is therefore proposed, beginning
       1 January 1994, which does not prejudge a full revision (and notably a
       revision of the allocation of resources) when the restructuring
       programmes of Community fishing fleet expire.
     According to Article 5(5) of Regulation (EEC) No 2052/88 an operational
     programme is to comprise a "series of consistent multiannual measures".
                                      -30^-
 ---pagebreak--- TAKING THE PRIORITIES OF THE COMMON FISHERIES POLICY INTO ACCOUNT
 (ref. : Article   5 and Annex   II)
10.    This proposal maintains the idea of multiannual guidance programmes for
       fishing fleets for each Member State, but proposes a different decision-
       making procedure: while the Council is to "set the objectives      and   detailed
       rules   for restructuring     the sector"9, the Commission takes the view that
       these necessarily general guidelines should be translated into precise
       terms for each national fleet, in partnership with the Member State
       concerned. As in the past, it will be the responsibility of the Commission
       to approve the multiannual guidance programmes after consulting the
       Standing Committee on the Fishing Industry. These will henceforth be
       legitimised by the views of the Council and will be binding.
       Regulation (EEC) No 3760/92 mentions 1 January 1994 as the first deadline
       for laying down the guidelines and rules of application for the
       restructuring of the sector. To this end, the Commission intends to submit
       to the Council, at the same time as the present regulation proposal, a
       proposal for a Council decision formalising the views expressed in November
       1992.
       On the basis of these guidelines, the Commission was able to formally
       approve the multiannual guidance programmes for fishing fleets for the
       period 1993 to 1996 1 0 .
       In the short term, namely unti 31 December 1996, it is expected to confirm
       simply the 1993-96 multiannual guidance programmes currently in effect.
9      Article 11 of Regulation (EEC) No 3760/92.
10     Commission Decisions 92/588/EEC to 92/598/EEC           of   21 December 1992,
       published in OJ No L 401, 31.12.1992, pp 3 to 70.
                                              - 4
 ---pagebreak--- SCOPE OF ASSISTANCE
11.  As a whole this proposal aims to preserve continuity with thé previous
     Regulations. It should be noted first of all that, in accordance with
     Article 1 of Regulation (EEC) No 3760/92, structural assistance in the
     sector now covers "living aquatic resources", not as previously only "fish,
     molluscs and crustaceans".
12.  As regards fishing fleets (réf.:          Title II   and Annex III,    paragraph    1),
     several amendments are proposed:
     - only the scrapping of vessels will be eligible for a Community
         contribution towards permanent withdrawal from fishing activities;
     - redeployment operations and exploratory fishing (Titles V and Va of
         Regulation (EEC) No 4028/86), which have not proved effective as regards
         making a contribution towards achieving the objectives of the common
         fisheries policy, will be dropped 11 ;
     - the limitation of fishing activities              will   be    eligible    only    in
         exceptional, unforeseen circumstances;
     - the building of fishing vessels will be eligible only in particular
         circumstances; in no case must it be contrary to the objectives of the
         multiannual guidance programmes; to that end, FIFG aid for the building
         of fishing vessels may not lead to an increase in FIFG aid for schemes
         aimed at directly reducing fishing effort (adjustment of fishing effort,
         joint ventures and temporary joint enterprises);
     - lastly, it is proposed that the scope of assistance be extended to
         electronic monitoring equipment on board fishing vessels.
13.  As regards the other fields it is essentially a matter of updating earlier
     texts (réf.:     Title  III;  Title JY, Article   13; Annex III,   paragraphs   2 and
     3).
     It is also proposed that the scope of assistance be extended to certain
     operations of collective interest implemented by members of the trade which
     help to attain the objectives of the common fisheries policy                      (réf.:
     Title   IV, Article    14 and Annex III, paragraph    4).
14.  Lastly, attention should be drawn, even if this aspect is not actually
     mentioned in this proposal* to the possibilities offered by the horizontal
     legislation of the Structural Funds, mentioned in Article 4 of the FIFG
     Regulation: studies, pilot projects, technical assistance, information
     campaigns.
11   Point 14 below points out that there are possibilities for financing pilot
     projects on a case-by-case basis, in accordance with procedures to be laid
     down.
                                           - 5 d^ -
 ---pagebreak--- FORMS OF ASSISTANCE
15.  This proposal does not refer to the forms of assistance which are listed in
     Article 5 of Regulation (EEC) No 2052/88 for the FIFG. These include:
     - operational programmes
     - part-financing of aid schemes
     - global subsidies.
SCALES AND RATES OF CONTRIBUTION
16.  The Commission is concerned to preserve continuity, combined with improved
     coherence and simplification.
17.  As regards the scales of aid, the principle of maximum eligible amounts for
     premiums for the permanent withdrawal of fishing vessels is maintained;
     this principle is extended to the other premiums (joint ventures, temporary
     laying-up and temporary joint enterprises) and to investments in fleet
     restructuring (modernization and construction of vessels) (réf.: Annex IV,
     paragraph 1 ).
     To ensure that they are consistent with the other scales applicable to the
     fleet, the maximum eligible amounts are determined on the basis of a
     reference scale (Table 1, Annex IV):
     scrapping                          :100% of the reference scale
     other permanent withdrawal1^       :reference scale less 37.5%
     joint venture                      :100% of reference scale
     construction                       : reference scale less 37.5%
     modernization                      : reference scale less 50%.
     The graphs in the Annex allow a comparison of the old and new scales for a
     few representative cases.
18.  As regards the rates of contribution (réf.:  Annex TV, paragraph  2):
     - the horizontal provisions of the Structural Funds apply as regards the
        upper limits for the Community contribution;
     - the lower limits for the contributions of the Member States and, where
        appropriate, the beneficiaries have been set as in the previous rules.
ANNEXES
12   Without Community assistance; the purpose of this provision is to prevent
     national subsidies for the operations concerned becoming unjustified State
     aids.
                                       - 6 o^ -
 ---pagebreak---                  Scrapping premiums
              Vessels over 10 years old
        6    0
                        10        20       30     40  50        200    400     600   800  1000
        X
                                Vessel tonnage                       Vessel tonnage
-NI             Scrapping premiums
p           Vessels over 15 years old
      ^ 0.3
                    New aid scale - old aid scale
    •H                    (vessels > 25 m)               1.5 +
      S   0.2 +
     D
     U
     W
          0.1 +
                                                         0.5 +
    X
    fl»
    X                  10        20      30      40  50        200    400     600   800  1000
                               Vessel tonnage                       Vessel tonnage
 ---pagebreak---            Scrapping premiums
        Vessels over 20 years old
                          20       30   40 50  vJ^        400     600  800 1000
                         Vessel tonnage                 Vessel tonnage
oo      Scrapping premiums
p    Vessels over 30 years old
   Q0.3
                                              1.5 +
                                              0.5 +
                 Old aid scale
                 10       20      30       50       200  400      600  800 1000
                        Vessel tonnage                  Vessel tonnage
 ---pagebreak---             Joint ventures
        Vessels over 10 years old
        0.4
                                Old aid scale
     B 0.3 f
    8
    «
             I
             i
    . 0.2 +•
    a»s    ;
    &0.1 +•
    CM      I
   IX    w           _i  1    h        -\   1  1 h-
   X        0       10       20       30      40    50                     400     600      800 1000
                            Vessel tonnage                                Vessel tonnage
 i
NO
           Joint ventures
        Vessels over 15 years old
                                                       2.5
                                                         2-
                                                              New aid scale « old aid scale
                                                       1.5 ••
                    10       20       30                I 0 J     200      400     600      800 1000
                          Vessel tonnage                                 Vessel tonnage
 ---pagebreak---             Joint ventures
        Vessels over 20 years old
   ~ 0.4
    c
    0
   U0.3 +
   6                          Old aid scale
   H
   w
        0.2 +
   S 0.1 +
   04
   a o          H    H                 I  I  1 H
   x                                                  400     600  800 1000
   <d      w0       10       20      30     40   50
   X                       Vessel tonnage           Vessel tonnage
 i
o           Joint ventures
        Vessels over 30 years old
    ~0.4
    c
    0
   •W -
   «H
   3 0.3
    6
   a
   u
   -0.2
                            Old aid scale
       0.1 +
   5 o                                H   1  1 H
    3               10       20      30     40   50  400      600      1000
   x                       Vessel tonnage
                                                    Vessel tonnage
 ---pagebreak---                       Temporary joint enterprises
     5000 -r-
                                   Vessel tonnage
                        Temporary cessation of activity
      5000
 ~* 4000
 >t •
 <d
•O
"^
D
O
W 3000
 Ë
 3                            New aid scale
•A
 E
 g    2000
 a
 E
 3
 g
 x    1000
                                 Vessel tonnage
              Supplement for vessels under 10 years old (old scale)
                                     - 11
 ---pagebreak---                                 -^L-2 -
                               Table of contents
1.   Scope
TITLE I          PROGRAMMING
2.   General provisions
3.   Sectoral plans and aid applications
4.   Community programmes
5.   Multiannual guidance programmes for fishing fleets
6.   Monitoring multiannual guidance programmes
TITLE II   IMPLEMENTATION   OF MULTIANNUAL  GUIDANCE   PROGRAMMES FOR FISHING
           FLEETS
7.   Common provisions
8.   Adjustment of fishing effort
9.   Reorientation of fishing activities - temporary joint enterprises and
     joint ventures
10. Fleet renewal and modernization of fishing vessels
11. Investments aimed at better monitoring of fishing activities
TITLE III INVESTMENT AID IN THE FIELDS OF AQUACULTURE, THE DEVELOPMENT OF
           COASTAL WATERS, FISHING PORT FACILITIES AND PROCESSING AND
           MARKETING
12. Scope
TITLE IV   OTHER MEASURES
13. Measures to find and promote new market outlets
14. Operations by members of the trade
TITLE V    GENERAL AND FINANCIAL PROVISIONS
15. Compliance with the conditions governing assistance
16. Scales and rates of assistance
17. Budget commitments
18. Procedures for the payment of assistance
19. Entry into force
ANNEXES
I. Indicative contents of sectoral plans
II. Minimum content of multiannual guidance programmes for the fishing fleet
     for 1997-99
III.    Special conditions and criteria for assistance
IV. Scales and rates of assistance
 ---pagebreak---                                          - 3 -
THE COUNCIL OF THE EUROPEAN COMMUNITIES
Having regard to the Treaty establishing the European Economic Community, and
in particular Article 43 thereof,
Having regard to the proposal from the Commissionf1),
Having regard to the opinion of the European Parliament(^),
Having regard to the opinion of the Economic and Social Committee(^),
Whereas Council Regulation (EEC) No 2052/88 of 24 June 1988 on the tasks of
the Structural Funds and their effectiveness and on coordination of their
activities    between   themselves   and   with  the   operations   of  the   European
Investment Bank and the other existing financial instruments^), as amended
by Regulation     (EEC) No 2081/93< 5 ), and Council Regulation      (EEC) No 4253/88
of 19 December 1988 laying down provisions for implementing Regulation (EEC)
No 2052/88 as regards coordination of the different Structural Funds between
themselves and with the operations of the European Investment Bank and the
other  existing     financial  instrumentsi 6 ),  as  amended   by  Regulation   (EEC)
            7
No 2082/93( ), define the general objectives          and tasks of the Structural
Funds  and   the    financial   instrument   for  fisheries    guidance   (hereinafter
referred   to    as  the   FIFG)  their   organization,    the   assistance   methods,
programming and general organization of the aid provided by the Funds and the
general financial arrangements;
(1)    OJ  No
(2)    OJ  No
(3)    OJ  No
(4)    OJ  No  L  185, 15.7.1988, p. 9.
(5)    OJ  No  L  193, 31.7.1993, p. 5.
(6)    OJ  No  L  374, 31.12.1988, p. 1.
(7)    OJ  No  L  193, 31.7.1993, p. 20.
 ---pagebreak---                                        - 4 -
Whereas Council Regulation (EEC) No 3760/92 of 20 December 1992 establishing
a Community system for fisheries and aquaculture^8) lays down the objectives
and general    rules of the common policy; whereas the development         of the
Community fishing fleet must be restricted according to the decisions that
the Council is called to take by virtue of Article 11; whereas it is up to
the Commission to translate these decisions into precise measures at the
level of each Member State; whereas, furthermore, the provisions of Council
Regulation    (EEC) No ..../93  of          1993  establishing   a control  system
                                              9
applicable to the common fisheries policy^ ) must be respected;
Whereas Council Regulation     (EEC) No 2080/93 of 20 July 1993, relating to
application measures of Council Regulation       (EEC) No 2052/88 concerning the
Financial Instrument for Fisheries Guidance( 10 ) defines the specific tasks
of Community structural aid measures in the fisheries and aquaculture sector
and the industry processing and marketing its products, hereinafter referred
to as "the sector"; whereas in terms of Article 6, the Council must decide,
at   the  latest   by 31  December   1993,   the  terms   and  conditions  of  the
contribution of the FIFG to adaptation measures of the structures of the
sector;
Whereas the Council must lay down detailed rules for the implementation of
measures connected with the modification of the structures of the sector in
order to ensure that FIFG assistance achieves the objectives assigned to the
structural policy of the sector within the overall framework of Community
structural assistance and the common fisheries policy as a whole which comes
under the exclusive competence     of the Community,     and  in order that each
Member State is in a position to manage the structural interventions in the
sector; whereas, in so far as these interventions are not limited to the
granting of Community aid, it is appropriate to insert, in a coherent manner,
the programming    of the restructuring    of Community    fishing  fleets in the
context of structural interventions as a whole;
(8)     OJ No L 389, 31.12.1992, p. 1.
(9)     OJ No
(10)    OJ n° L 193 du 31.7.1993, p.l
 ---pagebreak---                                      - 5 -
HAS ADOPTED THIS REGULATION:
                               Article 1: Scope
The Commission may, on the terms and conditions laid down in this Regulation,
provide assistance from the FIFG for the measures referred to in Titles II,
III and IV, within the fields covered by the common fisheries policy as
defined in Article 1 of Regulation (EEC) No 3760/92.
                             TITLE I: PROGRAMMING
                        Article 2: General provisions
1. The measures referred to in Article 1 of this Regulation shall be the
   subject of a two-stage programming procedure on the terms laid down in
   Articles 3 and 4.
2. Provision for the restructuring of the Community's fishing fleets shall be
   made in multiannual guidance programmes, as referred to in Article 5.
 ---pagebreak---                                         - 6 -
                   Article 3: Sectoral plans and aid applications
1. Each Member State shall present to the Commission:
    - a sectoral plan
    and
   - an aid application,
   in the form of a single programme document, hereinafter referred to as
    "the document".
   Each document shall cover a period of          six years, the first programming
   period beginning on 1 January 1994.
   Unless arrangements are made to the contrary with the Member States in
   question, documents covering the first programme period shall be submitted
   within    three months    of the entry    into   force of this Regulation; the
   documents    covering   subsequent  programme    periods   shall be   submitted  at
   least six months before the start of each period.
2. Each sectoral plan shall cover all of the fields referred to in Titles II,
   III   and   IV of this Regulation.     It   shall   contain   all the   information
   specified     in  Annex I   to this   Regulation.    It   shall  be  drawn   up  in
   accordance with the objectives of the common            fisheries policy and the
   provisions of the multiannual guidance programme referred to in Article 5.
   Aid applications shall be drawn up in accordance with the provisions of
   Article 14(1) and (2) of Regulation (EEC) No 4253/88. They shall describe
   all the measures that are planned in order to give effect to Community
   measures and shall specify the forms of assistance within the meaning of
   Article 5 of Regulation (EEC) No 2052/88.
3. The document     shall draw a distinction between        information   relating to
   Objective 1 regions and information relating to other regions.
   The information relating to Objective 1 regions shall be covered by the
   programming referred to in Article 8(7) of Regulation (EEC) No 2052/88 and
   Article 5(2) of Regulation (EEC) No 4253/88.
 ---pagebreak---                                       - 7 -
                        Article 4: Community programmes
1. The Commission shall examine the sectoral plans to determine whether they
   are  consistent  with   the  objectives   of   this   Regulation  and  with  the
   provisions  and policies referred to      in Articles 6 and 7 of      Regulation
   (EEC) No 2052/88.
   Aid applications shall be examined in accordance with the provisions of
   Article 14(3) and (4) of Regulation (EEC) No 4253/88.
2. On the basis of the document referred to in Article 3 of this Regulation,
   and within six months of receiving it, the Commission shall adopt a single
   decision on a Community programme for structural assistance in the sector.
   The  Commission's   decision   shall  be   taken    in  the  framework   of  the
   partnership referred to in Article 4(1) of Regulation (EEC) No 2052/88 and
   in  agreement  with   the  Member   State   concerned.    It  shall  follow  the
   procedures laid down in Article 17 of Regulation (EEC) No 2052/88.
   The Commission's decision on a Community programme shall be communicated
   to the Member State concerned and published in the Official Journal of the
   European Communities.
3. Community programmes shall be drawn up in accordance with the objectives
   of the common   fisheries policy    and the provisions of the multiannual
   guidance programmes referred to in Article 5. They may, to this end, be
   revised in the event of major changes and at the end of each programming
   period for the restructuring of the Community's fishing fleets.
 ---pagebreak---                                      - 8 -
         Article 5: Multiannual guidance programmes for fishing fleets
1. For the purposes of this Regulation, a multiannual guidance programme for
   the fishing fleet shall mean a series of objectives accompanied by a set
   of measures   for their realization, allowing    for management   of fishing
   effort on a consistent, longer-term basis.
2. On the basis of multiannual objectives and measures for restructuring the
   fisheries sector as laid down by the Council pursuant to Article 11 of
   Regulation (EEC) No 3760/92, and in accordance with the procedure provided
   for  in Article 8 of Regulation    (EEC) No 2080/93, the Commission    shall
   adopt the multiannual guidance programmes for individual Member States.
3. The multiannual guidance programmes adopted for the period from 1 January
   1993 to 31 December 1996, as referred to in Article 9(1) of Regulation
   (EEC) No 2080/93, shall remain in effect until they expire.
4. By 1 January 1996 at the latest, Member States shall supply the Commission
   with the information specified in Annex II to this Regulation, to be used
   in  drawing   up  multiannual  guidance  programmes  for  the   period  from
   1 January 1997 to 31 December 1999.
 ---pagebreak---                                        - 9 -
             Article 6: Monitoring multiannual guidance programmes
1. For the purpose of monitoring the implementation of multiannual guidance
   programmes, Member States shall transmit to the Commission, before 1 April
   each year, a document reviewing the progress made with their multiannual
   guidance programme. Within three months of this deadline the Commission
   shall forward an annual report to the Council on the implementation of
   multiannual guidance programmes throughout the Community.
2. Member States shall transmit to the Commission the information required
   estimate the fishing effort by vessel and by fleet segment according to
   the main parameters for managing such effort, in particular capacity and
   activity.
3. To this end the Commission shall operate a Community register of fishing
   vessels designed for use in managing fishing effort.
4. The Commission shall adopt the rules relating to the register referred to
   in paragraph 3 in accordance with the procedure laid down in Article 8 of
   Regulation (EEC) No 2080/93.
5. At  the  request   of  the Member   State   concerned  or  the  Commission,  or
   pursuant to provisions laid down in the multiannual guidance programmes,
   any multiannual guidance programme which has been approved may be re-
   examined and, if necessary, revised.
6. The  Commission   shall  decide whether    or not   to  approve  the  revisions
   provided   for  in  paragraph 5   of  this   Article in   accordance  with  the
   procedure laid down in Article 8 of Regulation (EEC) No 2080/93.
7. For the   implementation   of this Article, Member     States must   comply  in
   particular with Article 29 of Regulation (EEC) No ..../93. [monitoring and
   control Regulation]
 ---pagebreak---                                       - 10 -
         TITLE II: IMPLEMENTATION OF MULTIANNUAL GUIDANCE PROGRAMMES
                               FOR FISHING FLEETS
                          Article 7: Common provisions
1. During the lifetime of a multiannual guidance programme and with regard to
   a given   segment  of  a Member   State's fleet, where   the total of   FIFG
   assistance for the operations referred to in Articles 8 and 9 is likely to
   lead to over-achievement of the objectives set in the multiannual guidance
   programme, the new situation shall be taken as the new objective.
2. On an annual basis for each fleet segment, Member States shall ensure that
   the FIFG   assistance  referred  to  in Article 10 does not   result  in an
   increase in FIFG aid as referred to in Articles 8 and 9.
                    Article 8: Adjustment of fishing effort
1. Member States shall take measures to adjust fishing effort on the basis of
   the multiannual guidance programmes referred to in Article 5.
   To this end, Member States shall provide for measures to stop definitively
   and/or restrict vessels' fishing activities.
 ---pagebreak---                                       - 11 -
2. Measures to definitively stop vessels' fishing activities may include:
   -    scrapping of vessels,
   -   permanent transfer to a third country, provided such transfer is not
       likely to infringe international law or affect the conservation and
       management of marine resources,
   -   definitive reassignment of the vessel in question in Community waters
       other than fishing.
   For  vessels  of  less  than   50 gross   registered   tonnes  (GRT) only   the
   scrapping of the vessel shall represent a measure to stop definitively the
   activities of the vessel within the meaning of this Article.
   Member States shall ensure that vessels concerned by such measures are
   deleted  from the registration     lists  for  fishing  vessels and   from the
   Community  fishing vessel register.     They shall also ensure that deleted
   vessels are permanently excluded from fishing in Community waters.
   FIFG assistance   for pe.rma.nent withdrawal measures may only be used to
   finance the scrapping of vessels,.
3. Measures   to  restrict   fishing   activities   may   in  particular   include
   restrictions on fishing d.ayg or days at sea authorised for a specific
   period or the temporary cessation of activities.
   FIFG assistance may only he used to finance measures intended to offset
   partially the loss of inqgrne suffered as a result of a temporary cessation
   of fishing activities caused by unforeseen events linked to biological
   phenomena in particular.
 ---pagebreak---                                     - 12 -
               Article 9: Reorientation of fishing activities -
                joint enterprises and temporary joint ventures
1. Member States may take measures to promote the reorientation of fishing
   activities by encouraging the creation of temporary joint enterprises and
   /or joint ventures.
2. For the purposes of this Regulation "temporary joint enterprise" means any
   association based on a contractual agreement of limited duration between
   Community shipowners and physical or legal persons in one or more third
   countries with which the Community maintains relations, with the aim of
   jointly  fishing for and exploiting the fishing resources of the third
   country  or countries and sharing the costs, profits or      losses of the
   economic activity jointly undertaken, with a view to the priority supply
   of the Community market.
   The  contractual  agreement  shall  provide  for the  catching  and,  where
   necessary, the processing and/or marketing of those species covered, the
   provision of know-how and/or the transfer of technology where linked to
   the said operations.
3. For the purposes of this Regulation     "joint venture" means any company
   regulated by private law comprising one or more Community shipowners and
   one or more partners in a third country with which the Community maintains
   relations, linked by a joint venture agreement with the aim of jointly
   fishing  for and exploiting   fishery  resources in the waters under the
   sovereignty and/or jurisdiction of the third country or countries, with a
   view to the priority supply of the Community market.
4. Where necessary the Commission shall set additional conditions concerning
   the fishing zones, the species fished, fishing methods and gear which the
   activities of the temporary joint enterprises must satisfy, in accordance
   with the procedure referred to in the second paragraph of Article 8 of
   Regulation (EEC) No 2080/93.
 ---pagebreak---                                       - 13 -
         Article 10: Fleet renewal and modernisation of fishing vessels
1. Member   States  may  take  such measures   to promote   the  construction  of
    fishing vessels as comply with the intermediate and final objectives of
    their multiannual guidance programme within the stated time limits.
    Member States shall, when forwarding any pertinent aid proposal, inform
    the  Commission  of  provisions  taken  to ensure   that  this   condition is
    complied with.
2. FIFG assistance may be granted      for measures to promote     fishing vessel
    construction assuming this is justified by special regional circumstances
    and if these measures fulfil one of the following conditions :
    -   the  new  fishing  capacities  apply  to  fleet  segments   that  are not
        experiencing major resource and market difficulties and they permit a
        real improvement in the fish products concerned.
        in the same fleet segment and the same year the new fishing capacities
        are compensated for by the permanent withdrawal, or by the allocation
        to a joint venture, of appreciably greater fishing     capacities.
3. Member States may take measures to promote the modernisation of fishing
    vessels.  Such measures shall be subject to the conditions referred to in
    paragraph 1 where   investments  are  likely to result    in an   increase in
    fishing effort.
   Article 11: Investments aimed at better monitoring of fishing activities
Member States may take measures to encourage investments on board vessels
which will facilitate the monitoring of fishing activities in line with the
objectives set out in Article 11 of Regulation (EEC) No 3760/92.
 ---pagebreak---                                       - 14 -
            TITLE III: INVESTMENT AID IN THE FIELDS OF AQUACULTURE,
          THE DEVELOPMENT OF COASTAL WATERS, FISHING PORT FACILITIES
                          AND PROCESSING AND MARKETING
                               Article 12: Scope
1. Member States may, on the terms and conditions specified in Annex III,
   take measures to encourage capital investment in the following fields:
       aquaculture,
       protection and development of marine resources in coastal waters, in
       particular by the    installation of fixed or moveable      facilities to
       enclose protected underwater areas,
       fishing port facilities,
       processing and marketing of fishery and aquaculture products.
2. In addition, Member States may take measures to encourage the devising and
   implementing   of  quality  improvement   and  control  systems,   systems  to
   improve hygiene and research and training initiatives in enterprises.      The
   relevant   expenditure,  with  the   exception  of  beneficiary  enterprises'
   operating costs, may be funded from the FIFG provided they are directly
   linked to the investments referred to in paragraph 1.
 ---pagebreak---                                       - 15 -
                             TITLE IV: OTHER MEASURES
           Article 13: Measures to find and promote new market outlets
Member States may take measures in favour of finding and promoting new market
outlets for fishery and aquaculture products, in particular:
    -    operations associated with quality certification^
    -    promotion campaigns, including those highlighting quality issues
    -    consumer surveys,
        projects to test consumer reactions,
        organisation of and participation in trade fairs and exhibitions,
        organisation of study and sales visits,
        market   studies,  including  those  relating  to   third   countries,  and
        surveys,
        sales advice and aids, services provided to wholesalers and retailers.
The   above measures must    not  be based  around  commercial    brands nor make
reference to particular countries or regions.
                  Article 14: Operations by members of the trade
Member States may take measures to promote operations by members of the trade
themselves and regarded by the competent authorities in the Member State as
operations of collective interest, provided suoh operations serve to attain
the objectives of the common fisheries policy.
The measures referred to in the present article include in particular aid to
producer organisations in the sense of Article 7 of Council Regulation (EEC)
No   3759/92  of   17 December  1992, laying  down the    common   organisation  of
                                       11
fisheries and aquaculture products.C )
(11)    OJ No L 388 of 31.12.92, p.l
 ---pagebreak---                                            - 16 -
                      TITLE V: GENERAL AND FINANCIAL PROVISIONS
         Article 15: Compliance with the conditions governing assistance
 1. Member    States   shall    ensure    that    the   special    conditions    governing
     assistance listed in Annex III to this Regulation are complied with.
 2. When   requesting   payment    of each annual      aid  instalment,    Member   States
     shall certify that     compliance with the terms and conditions             governing
     assistance set out in this Regulation has been verified.
 3. Where the terms and conditions referred to in paragraph 2 have not been
    complied    with,   the   Commission    may    suspend,    reduce   or   cancel   FIFG
    assistance.
                    Article 16: Scales and rates of assistance
1. The maximum amounts of assistance payable under this Regulation and the
    limits on financial participation from the Member States, beneficiaries
    and the Community are listed in Annex IV of the present regulation.
2. Within    the   scope   of   this   Regulation,      Member   States   may    introduce
    supplementary aid schemes subject to conditions or rules other than those
    laid down in this Regulation, or covering a sum in excess of the maximum
    amounts    referred   to    in   this   Article,     provided    they    comply   with
    Articles 92, 93 and 94 of the Treaty.
                           Article 17: Budget commitments
1. In the case of multiannual operations, Member States shall forward to the
    Commission each year the information required to permit commitment of the
    annual   instalments    provided    for    in   Article 20    of   Regulation    (EEC)
    No 4253/88.
2. Budgetary resources shall be committed            in line with the      implementation
    stages set out in the decision granting assistance.
3. Detailed rules for the application of this Article shall be adopted by the
   Commission    in accordance with the procedure laid down in Article 8 of
   Regulation (EEC) No 2080/93.
 ---pagebreak---                                          - 17 -
             Article 18: Procedures for the payment of assistance
1. Financial    assistance    shall   be  paid    in accordance    with   Article 21  of
   Regulation (EEC) No 4253/88 and in line with the implementation stages and
   financial provisions set out in the decision to grant assistance.
2. Applications     for   payment   must  be    accompanied  by    documents   providing
   evidence   of   the  progress made      in  implementing    the   operation  and  any
   payments    made    by   the   Community     and   national   authorities     to  the
   beneficiaries.
3. Detailed rules for the application of this Article shall be adopted by the
   Commission    in accordance with the procedure laid down in Article 8 of
   Regulation (EEC) No 2080/93.
                             Article 19: Entry into force
This Regulation shall enter into force on 1 January 1994.
This Regulation shall be binding in its entirety and directly applicable in
all Member States.
Done at
                                              For the Council
                                              The President
 ---pagebreak---                                      - 18 -
                                    ANNEX I
                     INDICATIVE CONTENTS OF SECTORAL PLANS
1. Description of current situation broken down by area of assistance*
       strengths and weaknesses
   -   summary of operations undertaken and impact of funds used in previous
       years
       needs of the sector
2. Strategy for adjustment of fishery structures
   -   general objectives under the common fisheries policy
       objectives specific to each area of assistance, quantified if possible
   -   anticipated impact (on employment, production, etc)
       Areas of assistance are taken to mean sub-sectors of the       fishery
       sector whose problems can be grouped together, for example:
           adjustment of fishing effort;
           renewal and modernisation of the fishing fleet;
           aquaculture;
       -   enclosed seawater areas;
           fishing port facilities;
           product processing and marketing;
       -   product promotion.
 ---pagebreak---                                      - 19 -
                                    ANNEX I
3. Means to attain the objectives
   -   measures   selected  (legal,   financial  or  other) in   each   area of
       assistance
   -   indicative financing schedule covering the entire programming period
       and listing the national and Community resources provided for each
       area of assistance
       indications  of  how  the  FIFG  assistance  is to be   used   (forms of
       assistance, etc.)
       justification for Community assistance
 ---pagebreak---                                      - 20 -
                                    ANNEX II
              MINIMUM CONTENT OF MULTIANNUAL GUIDANCE PROGRAMMES
                       FOR THE FISHING FLEET FOR 1997-99
1. Up-dating of the description of the situation provided for in Annex I
   This  consists   in describing   the   change  in the   situation regarding
   fisheries, fleet and related employment since the date when the sectoral
   plan was submitted.
2. Results from the previous programme
   2.1.  Indentify and comment on the progress achieved in attaining the
         objectives set for the 1993-96 programmes.
   2-2. Analyse the general administrative and socio-economic context in
         which it was implemented and in particular the context in which
         measures to reduce fishing activity were implemented.
   2.3.  Specify  and   comment  on   the  Community,  national   and regional
         financial resources committed in attaining the results achieved, for
         each fleet segment.
 ---pagebreak---                                        - 21 -
                                      ANNEX II
3. New guidelines
   On  the   basis  of  the   replies  given   to  points  1 and    2  indicate  the
   guidelines which should be given to the various fleet segments for the
   period   1997/99,   in   particular   with   relation   to   the   following  two
   operations:
   3.1.   Adjustment of fishing effort: desirable levels of fishing effort per
          segment on 31 December 1999 in relation to the objectives set for
          each segment   for 31 December    1996.   Associated   administrative and
          legal provisions.    Systems for managing fishing activity.      Extent of
          administrative   resources and   funds to be used to attain the new
          objectives thus set.
   3.2.   Fleet  renewal:   Rate   of  renewal   required   for   each  segment  and
          asociated   funding.   Legal  or   administrative    provisions   by  each
         Member State for controlling the inward and outward movements of its
          fleet's vessels.    Measures taken by Member States per fleet segment
         to ensure that     state aid granted     for renewal and fishing effort
         adjustment operations do not have contradictory effects where the
         pursuit of the objectives of the programmes is concerned.
 ---pagebreak---                                     - 22 -
                                  ANNEX III
                SPECIAL CONDITIONS AND CRITERIA FOR ASSISTANCE
1. Implementation of multiannual guidance programmes (Title II)
   1.1 Definitive stopping of activity (Article 8(2))
       (a) Definitive stopping of activity may concern only vessels which
           have carried out a fishing activity for at least 100 days at sea
           in each of the two periods of twelve months preceding the date of
           request for permanent with drawal or, as the case may be, a
           fishing activity for at least 80% of the number of days at sea
           permitted by current national regulations.
       (b) Priority is to be given to vessels more than ten years old.
   1.2 Temporary joint enterprises and joint ventures (Article 9)
       (a) Operations must satisfy the following conditions:
           - they must involve vessels of more than 50 GRT, technically
             suited for the proposed fishing operations, operating for more
             than five years and owned by physical or legal persons in the
             Community;
           - the vessels in question must fly the flag of a Member State
             throughout the duration of the temporary joint enterprise, which
             must consist of fishing activities lasting between six months
             and one year;
           - in the case of the founding of a joint venture, the operation
             must be accompanied by the permanent transfer of the vessel(s)
             to the third country concerned with no possibility of a return
             to Community waters.
 ---pagebreak---                                        - 23 -
        (b) The financial assistance given to joint venture projects may not
            be added to other Community aid granted under this Regulation or
            Council    Regulations    (EEC)    Nos   2908/83(l3)or    4028/86.  The
            assistance   granted  is to be reduced      by the amount    previously
            received in the following cases :
            - aid for construction during the ten years preceding the setting
              up to the joint venture (deduction prorata temporis);
            - aid for the modernisation and/or allowance for a temporary joint
              enterprise during the five years preceding the setting up of the
              joint venture (complete deduction).
   1.3 Vessel construction (Article 10)
        (a) Vessels  must   be   built   to   comply  with   the   regulations  and
            directives   governing   hygiene    and   safety   and   the  Community
            provisions concerning the dimensions of vessels.         They shall be
            entered in the appropriate segment of the Community register from
            the moment they commence      fishing activities in accordance with
            Commission Regulation (EEC) HO 163/89.
       (b) Assistance is to be given by priority to those vessels using the
            most selective fishing gear and methods.
(13)   OJ No L 290 of 22.10.1983, p.l
 ---pagebreak---                                  - 24 -
                               ANNEX III
1.4 Vessel modernisation (Article 10)
    (a) Investments should relate to:
        - the rationalisation of fishing operations, in particular by the
          use of more selective fishing gear and methods,
        and/or
        - improvement of the quality of products caught and preserved on
          board, the use of better fishing and preserving techniques and
          the implementation of legal and administrative rules regarding
          health,
        and/or
        - improvement of working conditions and safety.
    (b) The operations may cover only vessels less than 25 years old.
 ---pagebreak---                                  .- 25 -
                                ANNEX III
1.5 Investments   to   improve   the   monitoring   of   fishing activities
    (Article 11)
    (a) Eligible investments should cover, in particular, equipment placed
        on board vessels in order to facilitate operations to monitor and
        record   fishing   activities.   This   equipment   must meet   the
        requirements of Community or national monitoring rules.
    (b) Priority  is  to   be  given  to   investments  for  the collective
        equipping of fleet segments or groups of vessels.
 ---pagebreak---                                     - 26 -
                                  ANNEX III
2. Investments in the areas referred to in Title III
   2.0 General
       (a) Investments must
           - contribute     tomic     benefits     from     the       structural
             improvement in question;
           - offer   an  adequate  guarantee   of  technical   and    commercial
             viability,  in  particular  by  avoiding  the  risk   of   creating
             surplus production capacity.
       (b) Priority is to be given to investments
           - of collective interest,
           - submitted by trade bodies, associations and cooperatives,
           - mainly benefiting small and medium-size enterprises as defined
             in the Commission guidelines on state aids to small and medium-
             sized enterprises.
 ---pagebreak---                                    - 27 -
                                 ANNEX III
2.1 Aquaculture
    Measures should involve physical investments:
    (a) in the construction,     equipping, expansion and modernisation         of
        aquaculture installations, such as
        - the construction, modernisation and acquisition of buildings;
        - works   concerning   the   development     or   improvement   of   water
          circulation in aquaculture enterprises;
        - the  acquisition   and  installation    of new plant     and  machinery
          intended   exclusively    for   aquaculture    production,    including
          vessels and equipment concerned with data processing and data
          transmission;
        - effluent treatment    for   purposes of reducing pollution of the
          environment.
    (b) concerning   projects    intended    to    demonstrate,    on   a    scale
        approaching that of normal productive investments, the technical
        and commercial viability of farming species not yet commercially
        exploited   in  the   aquaculture     sector    or   innovative    farming
        techniques, provided they are based on successful research work,
    (c) intended to adapt aquaculture installations or zones to Community
        and national standards relating to product hygiene and quality,
        animal health and the environment.
 ---pagebreak---                                   - 28 -
                                ANNEX III
2.2 Development of coastal waters
    Investments should meet the following conditions:
    (a) they must include scientific monitoring of the operation for at
        least five years, in particular the evaluation and monitoring of
        the development of marine resources in the waters concerned;
    (b) they  must  be  carried   out  by   public   institutions,  recognised
        producer organisations or bodies designated for that purpose by
        the competent authorities of the Member State concerned.
2.3 Fishing port facilities
    (a) Eligible investments should relate in particular to installations
        and equipment:
        - to  improve  the  conditions   under   which  fishery  products  are
          landed, handled and stored in ports;
        - to improve the quality and hygiene of operations regarding the
          handling and first placing on the market of fishery products;
        - to support fishing vessel activities (provision of fuel, ice and
          water, maintenance and repair of vessels);
        - to   reduce   pollution   and    guarantee    better   environmental
          protection;
        - to improve jetties with a view to improving safety during the
          landing or loading of products.
 ---pagebreak---                                  - 29 -
                               ANNEX III
    (b) Priority is to be given to investments:
        - of interest to all fishermen using a port;
        - to improve health and hygiene conditions;
        - to reduce environmental pollution;
        - contributing to the general development of the port and to the
          improvement of services offered to fishermen.
2.4 Processing and marketing
    (a) Eligible investments should relate in particular to:
        - the construction and acquisition of buildings and installations;
        - the acquisition of new equipment and installations needed for
          the processing and marketing of fishery and aquaculture products
          between the time of landing and the end-product stage (including
          in particular data processing and data transmission equipment);
        - the application of new technologies intended in particular to
          improve competitiveness and increase value added;
        - effluent  treatment for purposes of reducing pollution of the
          environment.
 ---pagebreak---                                           - 30 -
                                        ANNEX III
        (b) Investments    shall    not   be  eligible    for   assistance     where  they
            concern:
            - fishery    and   aquaculture     products    intended    to   be   used  and
              processed for purposes other than human consumption, with the
              exception     of    investments      exclusively     for    the    handling,
              processing    and   marketing    of   fishery   and   aquaculture    product
              wastes;
            - the retail trade.
3. Promotion (Article 13)
   (a) Eligible expenditure should cover in particular:
       - expenditure by advertising agencies and other providers of services
          involved   in   the    preparation      and   implementation      of   promotion
          campaigns;
       - the   purchase   or   hire   of   advertising    space   and   the   creation of
          slogans and logos for the duration of promotion campaigns;
       - expenditure on publishing, external staff, premises and                  vehicles
          required for the campaigns.
   (b) Priority is to be given to:
       - campaigns    to   encourage     the   sale   of   surplus    or   underexploited
          species;
       - campaigns of a collective nature;
       - operations to develop a quality policy for fishery and aquaculture
          products.
   (c) The beneficiary's operating costs (staff, equipment, vehicles, etc.)
       shall not be eligible for aid.
 ---pagebreak---                                     - 31 -
                                  ANNEX III
4. Operations implemented by members of the trade (Article 14)
   (a) At the proposal of the Member State concerned, eligible expenditure
       shall  cover  operations  of  limited duration  requiring  the   active
       involvement of trade organisations appointed for that purpose by the
       competent authorities of the Member State.
   (b) Eligible expenditure may concern the following fields in particular:
       - regulation of access to certain fishing areas and quota management;
       - management of fishing effort (capacity for each activity);
       - promotion of more selective fishing gear and methods;
       - implementation of technical measures for resource conservation;
       - operational  contributions  to  a centre  for monitoring   commercial
         trends in the fisheries and aquaculture sector;
       - restructuring of aquaculture locations,
       - campains to eradicate aquaculture animal disease.
 ---pagebreak---                                        - 32 -
                                     ANNEX IV
                          SCALES AND RATES OF ASSISTANCE
1. Scales of assistance relating to fishing fleets (Title II)
   The eligible   costs of certain operations referred to         in Title II are
   subject to the following restrictions:
   1.1 Definitive stopping of activity and joint ventures (Articles 8(2) and
       9   (3); Annex III, 1.1 and 1.2)
                                      TABLE 1
           Class of vessel by              Maximum amount of premium
         gross registered tonnage          for a 15-year-old vessel
                (GRT)                            (in ecu)
                0 -   25                      5500/GRT
              25 -   50                       4500/GRT +   25000
              50 - 100                        4000/GRT +   50000
             100 - 400                        2000/GRT + 250000
             400 and more                     1000/GRT + 650000
       (a) The premiums for scrapping of a vessel and for setting up joint
           ventures    paid  to  beneficiaries   may   not  exceed  the  following
           amounts:
         - 15-year-old vessels           : see Table 1 above;
         - vessels less than 15          : scale from Table 1 increased by
         - years old                       2.5% per year less than 15;
         - vessels more than 15          : scale from Table 1 decreased by
           years old                       2.5% per year over 15.
       (b) The premiums for the permanent transfer of a vessel to a third
           country or for definitive re-assignment, in Community waters, to
           uses other than fishing paid to beneficiaries, may not exceed the
           maximum  amounts   for the scrapping premiums      referred to  in  (a)
           above, less 37.5%.
 ---pagebreak---                                   - 33 -
                                 ANNEX IV
1.2 Temporary   cessation   of  fishing   activities   and   temporary   joint
    enterprises (Articles 8(3) and 9 (2); Annex III, 1.2)
    The  laying-up   premiums  (for  temporary  cessation)    and. cooperation
    premiums (for temporary joint enterprises) paid to beneficiaries may
    not exceed the scales set out in Table 2 below:
                                 TABLE 2
      Class of vessel by               Maximum amount of premium
      gross registered tonnage         per vessel (ecu/day)
           (GRT)
              0 -   50                       4.30/GRT +    25
            50 -    70                       3.50/GRT +    65
            70 -   100                       3.12/GRT +    88
           100 -   200                       2.74/GRT +   120
           200 -   300                       2.36/GRT +   177
           300 -   500                       2.05/GRT +   254
           500 - 1000                        1.76/GRT +   372
          1000 - 1500                        1.50/GRT +   565
          1500 - 2000                        1.34/GRT +   764
          2000 - 2500                        1.23/GRT +   956
          2500 and above                     1.15/GRT + 1137
 ---pagebreak---                                  - 34 -
                                ANNEX IV
1.3 Construction aid (Article 10; Annex III, 1.3)
    The eligible costs of aid for the construction of fishing vessels may
    not exceed the scales in Table 1 above, increased by 37.5%.
1.4 Modernisation aid (Article 10, Annex III, 1.4.)
    The eligible costs of aid for the modernisation of fishing vessels may
    not exceed 50% of the eligible costs for construction aid referred to
    in 1.3. above.
PARTICIPATION RATES
For all the operations referred to in Titles II, III and          IV, the
restrictions on Community participation (A), total state participation
(national, regional and other) by the Member State concerned (B) and,
where applicable, participation by beneficiaries (C) shall be subject to
the following conditions, expressed as a percentage of eligible costs:
2.1 Investments in enterprises
    Group 1 : processing and marketing
    Group 2 : construction and modernisation  of vessels,
              aquaculture
                                TABLE 3
                            Group 1             Group 2
       Objective 1          A < 50%             A < 50%
         regions            B > 10%             B > 10%
                            C > 25%             C > 40%
          other             A < 30%             A < 30%
                            B > 10%             B > 10%
         regions            C > 50%             C > 60%
 ---pagebreak---                                       - 35 -
                                     ANNEX IV
    2.2 Other measures   (scrapping premiums(*), temporary cessation premiums,
        temporary   joint   enterprises,  monitoring    of  fishing  activities,
        enclosure   of  coastal   waters,   fishing   port  facilities,  product
        promotion, operations undertaken by trade bodies)
                                     TABLE 4
          Objective 1 regions                    50% < A < 75%
                                                  B > 25%
             Other regions                       25% < A < 50%
                                                  B > 50%
(*)     The premiums for permanent transfer to a third country or for
        definitive re-assignment, in Community waters to uses other than
        fishing are entirely for the account of the Member State, in
        accordance with the final subparagraph of Article 8(2).
 ---pagebreak---                                                                      ISSN 0254-1475
                                                              COM(93) 481 final
                                                      DOCUMENTS
EN                                                                              03
                                 Catalogue number : CB-CO-93-515-EN-C
                                                             ISBN 92-77-59679-1
Office for Official Publications of the European Communities
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