CELEX: 51996PC0025
Language: en
Date: 1996-01-26
Title: Amended proposal for a Council Regulation amending Council Regulation (EEC) No 1973/92 establishing a financial instrument for the Environment (LIFE)

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                          COMMISSION OF THE EUROPEAN COMMUNITIES
                                                           Brussels, 26.01.1996
                                                           COM(96) 25 final
                                                           95/0093 (SYN)
                                      Amended proposal for a
                                  COUNCIL REGULATION Œ O
                                   amending Council Regulation
                      (EEC) n° 1973/92 establishing a financial instrument for
                                         the Environment
                                               (Liffe)
                     (presented by the Commission pursuant to Article 189 a (2)
                                         of the EC-Treaty)
 ---pagebreak---  ---pagebreak---                             EXPLANATORY MEMORANDUM
        Pursuant to Article 130s(l) of the EC Treaty, the Council consulted the European
Parliament on the proposal for a Council Regulation amending Council Regulation (EEC)
N° 1973/92 establishing a financial instrument for the Environment (Life) (COM(95)135 final
- 95/0093(SYN)).
        During the November 1995 plenary session, Parliament approved 34 amendments, 28
of which were accepted by the Commission either fully or in part1.
        The various amendments and those not accepted and rejected are discussed below.
Amendments accepted by the Commission
        Some amendments aim at clarifying Life objectives and are considered by the
Commission as very useful. Amendment 4, first part (on article 1.1) recalls the actions
financed by Life and the areas of activity eligible. Amendment 4, second part, can be accepted
in principle but inserted in following amendment 6. Amendment 6 (on article 1.1) proposes
definitions of preparatory measures, demonstration measures and technical assistance.
Amendment 8 (on article 1.2) defines the scope of preparatory measures, and amendments 3
and 16 (adding a new recital 6a and concerning article 1.2) underline the need for
accompanying measures to facilitate the Life mission. All these amendments were implicit in
the Commission proposal, and will render the amended Regulation more explicit.
        The amendments aiming at putting Central and Eastern European Countries (CEECs)
on the same level as Member States for Life projects (amendments 7 and 28 on articles 1.2
and 1.7) and allowing non-CEECs third countries to share some fields of action (amendments
2,15 and 30, creating a new recital 6a and on articles 1.2 and 1.7) are acceptable, either
completely or partly. Amendment 7, opening to CEECs the whole of the Life field of
application, deserves support in principle, but "where appropriate" must be added to avoid
problems with preparatory measures or the enforcement of the Habitats Directive; furthermore
the origin of financial resources available for these projects needs clarification by appropriate
redrafting.
         PV PE 195.172 pp. 9-21 of 17.11.95
                                           2:
 ---pagebreak---          The amendments concerning water treatment or management (amendments 10 and 11,
both on article 1.2), coastal zones (amendment 9 on article 1.2), air pollution (amendments
 12 and 13, both on article 1.2) or industrial activities (amendments 14 on article 1.2) generally
correspond with the Commission's thinking, but need the redrafting.
        The amendments on financial matters (amendments 19, 20, 21 on articles 1.5 and 35
deleting article 1.12) generally correspond to the Commission's desire for equity in the sharing
out of subsidies between priorities and between beneficiaries. The maximum financial support
proposed by amendments 19, 20 and 21 fit with current practice, and the principle of 50/50
sharing between nature and non-nature sectors is accepted (part of amendment 18 on article
 1.5). The deletion of article 1.12 (amendment 35), which proposed an intermediate phase in
 1996 implying a reserve of 1995 proposals, is justified considering the poor quality of non-
selected 1995 proposals.
        The amendments detailing the procedure of proposal submission and reporting
(amendments 22, 23, 24, 25, 26, 27 and 31 on articles 1.5, 1.6 and 1.8) are helpful to clarify
procedures and make them more transparent to Member States and to beneficiaries, and
therefore the Commission agrees with them. They generally correspond to current practice,
except the amendment 22 which provides a useful tool through the introduction of a reference
framework intended to orientate potential proposers in all non-nature sectors. This framework
would take the place of the current Regulation "priorities", whose applicability varies from
one year to the other.
Amendments not accepted by the commission
        Amendment 17 (on articles 1.4) is not accepted for legal and technical reasons : the
Commission is traditionally against showing indicative amounts and an amount of 800 MECU
is inconsistent with the budgetary schedule.
        Amendment 18, 1st part (on article 1.5), increasing to above 5% the share of funds
allocated to non-CEECs third countries actions, cannot be accepted because 5% is already an
increase for the countries concerned and resources are limited.
        The additional criterion concerning the use of Best Available Technology, foreseen by
amendment 29 (on article 1.7), is not implementable and cannot therefore be accepted.
                                               ?>
 ---pagebreak---         Amendment 37 (on article 1.7) cannot.be accepted because it would create confusion.
        Amendment 32 on comitology (on articles 1.9) is not acceptable because of it runs
counter to Council Decisions 87/373/EEC2 on Comitology. Life Committee must remain a
regulatory Committee (Ilia type).
        Concerning amendment 33 (on article 1.11), the first part (in line with amendment 1
on recital 4) foresees formal annual reports to be adressed by the Commission to the Council
and the Parliament, either evaluating each action undertaken (amendment 1) or evaluating
results of Life 1 and Life 2 projects (amendment 33). Because of the great variety of projects
financed by Life, this would be impractical, but the Commission agrees to supply Parliament
with information documents on project monitoring in an ad hoc manner. As regards general
evaluation of the financial instrument, the Commission is already committed to submitting a
formal report in 1998. The second part of amendment 33 providing for the establishment of
a legal base for Life after 1999, is contradictory to the Commissions right of initiative.
The legal base will be chosen in accordance with Court of Justice case law which implies that
the choice must be made taking into account, amongst other things, the specific content of
any proposals.
         O.J. L 195 of 18.7.87 pp. 33-35
                                             ty
 ---pagebreak---  ---pagebreak---    Amended proposal for a Council Regulation amending Council Regulation (EEC)
        N° 1973/92 establishing a financial instrument for the Environment (Life)
Original text                                    Modified text
Recital 6                                        Recital 6
Whereas the additional protocols to the           Whereas the additional protocols to the
Europe agreements between the                     Europe agreements between the
Community and certain Central and                 Community and certain Central and
Eastern European countries provide for            Eastern European countries provide for
the participation of those countries in           the participation of those countries in
Community programmes, in particular               Community programmes, in particular
concerning the environment;                       those concerning the environment;
                                                  whereas, therefore, access of these
                                                  countries to Life must be ensured under
                                                  conditions similar to those applicable to
                                                  the activities to be carried out in the
                                                  Community;
                                                  Recital 7 (new)
                                                  Whereas, given that the aforementioned
                                                  Central and European countries will
                                                  themselves meet the cost of their
                                                  participation, the Community may
                                                  decide, if appropriate for specific cases
                                                  and in conformity with the rules
                                                  applicable to the General Budget of the
                                                  European Communities, to grant
                                                   supplements to the countries' national
                                                  contribution;
                                                   Recital 8 (new)
                                                   Whereas, for third countries of the
                                                   Mediterranean or the Baltic other than
                                                   the Central and Eastern European
                                                   countries which have signed association
                                                   agreements with the European
                                                   Community, there is a need to
                                                   implement technical assistance activities
                                                   and demonstration activities !>• nature
                                                   conservation and in other areas of the
                                                   environment;
                                                   Recital 9 (new)
                                                    Whereas, during the various phases of
                                                    implementation, evaluation of the results
                                                    of the demonstration initiatives must be
                                                    ensured by suitable and sufficient means;
                                             9
 ---pagebreak---                                              whereas in particular these means must
                                             make it possible to monitor the
                                             initiatives to detect any administrative or
                                            technical problems in good time and to
                                             determine the possible synergy between
                                            projects; whereas this approach aims to
                                            promote a multiplier effect adding value
                                            to these activities;
Article 1                                   Article 1
Regulation (EEC) No 1973/92 is hereby       Regulation (EEC) No 1973/92 is hereby
amended as follows:                         amended as follows:
(1) Article     1 is replaced by the        (1) Article       1 is replaced      by the
following:                                  following:
Article 1                                   Article 1
A financial        instrument for the       A financial instrument for the
environment, hereinafter referred to as     environment, hereinafter referred to as
"Life", is hereby established.              "Life", is hereby established.
The general objective of Life shall be to   The general objective of Life shall be to
contribute to the development and, where    contribute to the development and, where
appropriate, to implementation of           appropriate, to implementation of
Community environment policy and            Community environment policy and
legislation.                                legislation by financing projects aimed at
                                            nature conservation, preparatory or
                                            demonstration activities, or technical
                                            assistance.
                                            For the purposes of this Regulation, the
                                            following definitions shall apply:
                                                 "Nature conservation"            means
                                                 measures required to maintain or to
                                                 reestablish natural habitats and wild
                                                 species of fauna and flora in a
                                                 favourable state.
                                                   "Preparatory activities" means
                                                   projects concerning the promotion
                                                   of joint initiatives, cooperation and
                                                   the transfer of know-how between
                                                   (local, regional or national)
                                          €
 ---pagebreak---                                                   government agencies           and/or
                                                  non-governmental organizations
                                                  and/or socio-economic actors:
                                                  "Demonstration activities" means
                                                  the introduction of a new technical
                                                  process and/or innovative or
                                                  original approaches for the country
                                                  concerned and the carrying out of
                                                  exploratory projects designed to
                                                  facilitate sustainable development.
                                                  "Technical assistance" means
                                                  projects to be promoted by local
                                                  government or non-governmental
                                                  organizations to encourage rational
                                                  management of the environment
                                                  through increased cooperation, in
                                                  particular transnational cooperation,
                                                  where cross-border or global
                                                  problems are involved.
(2)     Article 2 is replaced by the        (2) Article 2 is replaced by the
        following:                                following:
Article 2                                   Article 2
The areas of activity eligible        for   The areas of activity eligible for
financial support from Life are:            financial support from Life are:
1. In the Community                         1. In the Community and, where
                                                 appropriate, in the Central and
                                                 Eastern European countries which
                                                 have signed association agreements
                                                 with it.
 1.1 nature protection measures:             1.1 nature conservation measures:
     Measures needed to implement                 Measures needed to implement
     Council Directive 79/409/EEC, of             Council Directive 79/409/EEC, of
     2 April 1979, on the conservation of         2 April 1979, on the conservation of
     wild     birds     and    Council            wild      birds     and     Council
     Directive 92/43/EEC,              of         Directive 92/43/EEC,               of
     21 May 1992, on the conservation of          21 May 1992, on the conservation
     natural habitats and of wild fauna           of natural habitats and of wild fauna
     and flora and, in particular, the            and flora and, in particular, the
     Natura 2000 European Network                 Natura 2000 European Network or
                                          Ï
 ---pagebreak---                                                   equivalent activities outside the
                                                  Community:
1.2     Other measures designed to            1.2 Other measures designed to
        implement Community                       implement Community environment
        environment policy:                       policy and to promote sustainable
                                                  development:
(a) preparatory and support measures          (a) preparatory and support measures
    designed to help implement                    designed to help implement
    Community legislation by increasing           Community legislation or to help
    the efficiency of structural aid for          direct structural aid towards the
    the environment in the priority               environment, and namely:
    sectors in which it is used, namely:
-   protection of coastal areas and their         protection of coastal areas, including
    rational management,                          the coastal part of catchment areas
                                                  and their rational management:
    reduction of industrial waste, in             prevention and reduction of
    particular toxic and hazardous waste,         industrial waste, especially toxic and
    including reclamation of                      dangerous waste;
    contaminated sites,
    water protection, including waste             protection of water resources and
    water treatment;                              management of water, including
                                                  waste water and contaminated water
                                                  treatment;
                                                  prevention of atmospheric pollution.
                                                  especially in urban areas;
(b) demonstration, promotion and              (b) demonstration, promotion and
    technical assistance projects for local       technical assistance activities for
    authorities with a view to                    local authorities with a view to
    incorporating environmental factors           incorporating environmental factors
    into regional planning and                    into regional planning and
    development;                                  development;
(c) innovative and demonstration              (c) innovative and demonstration
    projects designed to promote                  projects designed to promote
    sustainable development in industrial         sustainable development in industrial
    activities, such as projects to check         activities.
    the economic feasibility of clean
    technologies, to provide appropriate
    environmental training for the use of
     such technologies and to promote
                                            8
 ---pagebreak---     environmental audits and ecolabels,
    etc.
                                              2. (c) new
                                              conservation or rehabilitation, from a
                                              nature conservation viewpoint, of
                                              important habitats sheltering endangered
                                              species of flora and fauna.
                                                   Accompanying measures needed for
3. A c c o m p a n y i n g    measures             the monitoring, evaluation or the
     implemented at the initiative of the          promotion of the activities
    Commission needed to analyse,                  undertaken during the first phase
    evaluate or promote the projects               and/or within the framework defined
    ^undertaken under paragraphs 1 and 2           by paragraphs 1 and 2 above, and
    above and dissemination of                     dissémination       of    information
     information on this subject.                  concerning the experience gained
                                                   during and the results of these
                                                   activities.
(5)      Article 8 is replaced by the         (5) Article 8 is       replaced    by   the
         following:                                following:
         Article 8                                 Article 8
l.(c)    5% for measures undertaken           l.(c)    5% for activities undertaken
         under Article 2(2);                           under Article 2(2) in equal
                                                       shares,     between        nature
                                                       conservation and other activities.
2.    The rate of Community financial              The rate of Community financial
      support for tlie measures referred to         support for the measures referred to
      in Article 2(1) shall normally be             in Article 2(1) and 2b) shall be a
      50% of the eligible cost.                    maximum of 50% of the eligible
                                                   cost.
      Nonetheless, this rate shall be:
                                                    However, this rate shall be:
      - 30% of the cost for projects
         generating significant income,             - a maximum of 30% of the cost
                                                       of activities wjikh it is
                                                       considered will generate a
                                                       potentially significant income,
                                            *
 ---pagebreak--- by way of exception, a maximum            - by way of exception, a maximum
of 75% of the cost of projects               of 75% of the cost of activities
concerning, in the European                  concerning, ' in the European
Union, natural habitats or                   Community, natural habitats or
priority species as defined in               priority species as defined in
Directive 92/43/EEC           or         i Directive 92/43/EEC or the bird
populations of birds in danger of            s p e c i e s c o v e r e d fry
extinction.                                  Directive 79/409/EEC which ate
                                             in danger of extinction,
                                          - hv wav of exception, a maximum
                                             of 75 % of the cost ofactivities to
                                             be carried out, in fields other
                                             thannatureçomCTvation.frynçn-
                                             goveiiiuièiitàl orgamzations in
                                             partnership with pufrlic
                                             authorities "agfl. where
                                             appropriate. with private
                                             companies.
                                     2.(a)   (new)^
                                     Activities carried out in Central and
                                     Eastern European countries with which
                                     the Union has concluded association
                                     agreements are financed from the
                                     financial resources provided by these
                                     countries. Any financial contribution
                                     from the Community shall be decided on
                                     a case by case basis according to
                                     available resources, as provided for in
                                     the aforementioned association
                                     agreements. The financial allocation
                                     between nature conservation measures
                                     and other activities shall be made under
                                     the same conditions as for the
                                     Community.
                                      Article 8(a) (new)
                                      1.   For activities covered by paragraph
                                           1.2. (b) and (c) of Article 2, the
                                           Commission, in accordance with the
                                           Article 15 procedure and before
                                           31 May 1996, shall establish a
                                           referenceframeworkcovering:
                                  Ao
 ---pagebreak---                                               - the evaluation of the chief
                                                  environmental needs with regard
                                                  to regional planning, particularly
                                                  for urban areas, with a view to
                                                  providing guidelines for activities
                                                  to be undertaken by local
                                                  authorities;
                                              - an analysis of the environmental
                                                  situation in industry at sectoral
                                                  level with a view to identifying
                                                  suitable guidelines for sustainable
                                                 development in this sector.
                                          2. The referenceframeworkreferred to
                                              in paragraph 1, which is intended to
                                              provide information for parties
                                              concerned by financial support
                                              under Life in fields which are of
                                              particular Community interest, shall
                                              be adapted by the Commission
                                              every two years as necessary.
(6) In Article 9:
                                          (6) In Article 9:
    Paragraph 1 is replaced by the
    following:                                Paragraph 1 is replaced by the
                                              following:
1. Proposals for measures to be
    financed shall be submitted to the    1. Proposals for ' measures to be
    Commission by the Member States.          financed shall be submitted to the
    Where measures involve more than          Commission by the Member States.
    one Member State, proposals shall         Where measures involve more than
    be submitted by the coordinating          one Member State, proposals shall
    authority or body."                       be submitted by the coordinating
                                              authority or body."
                                              Proposals shall be forwarded to the
                                              Commission before 30 September,
                                              The Commission shall rule on these
                                              proposals fry 30 April."
2. Unchanged compared with
    Regulation EEC 1973/92 (see           2. deleted.
    OJ L 206, 22.7.92) [However, the
                                       Ai
 ---pagebreak---     Commission may ask any legal or
    natural persons established in the
    Community to submit applications
    for assistance in respect of measures
    of particular interest to the
    Community by means of a notice
    published in the Official Journal of
    the European Communities.]
    Paragraph 4 is replaced by the
    following:                                     Paragraph 4 is replaced by, the
                                                   following:
"4. The Commission shall inform the
    Member States of the content of            "4. The Commission shall transmit to
    proposals received in the framework            Member States a summary of the
    of expressions of interest and of              principal points and of the contents
    applications submitted by third                of the proposals received, including
    countries."                                    requests from third countries and
                                                   the Central and Eastern European
                                                   countries which have signed
                                                   association agreements with the
                                                   European Community."
    Paragraph 5 is replaced by the
    following:                                     Paragraph 5 is replaced by the
                                                   following:
    Measures provided for in
    Article 2(1)(1) shall be subject to            Nature conservation measures
    the procedure set out in Article 21            provided for in paragraphs 1.1 and
    of Directive 92/43/EEC;         other          2 of Article 2 and thé corresponding
    LIFE measures shall be approved in             accompanying measures shall be
    accordance with the procedure                  subject to the procedure set out in
    provided for in Article 13.                    Article 21 of Directive 92/43/EEC;
                                                   other LIFE measures shall be
                                                   approved in accordance with the
                                                   procedure provided for in
                                                   Article 13.
    The measures approved shall give
    rise:
                                                   The measures approved shall give
    - for projects to be undertaken in             rise:
       the European Community, to an
        outline decision from the                  - for activities to be undertaken in
        Commission addressed to the                   the European Community, to an
        Member States concerning                       outline decision from the
        proposals which have been                      Commission addressed to the
        accepted and to individual                    Member States concerning
                                          /it-
 ---pagebreak---            decisions addressed to the                     proposals which have been
           beneficiaries concerning specific              accepted and to individual
          projects;                                       decisions addressed to the
                                                          beneficiaries concerning specific
                                                          projects, the financial conditions
                                                          of jwhich shall be agreed with the
                                                          latter.
       - for projects to be undertaken in
           third countries, to a contract or
           an agreement setting out the               - for activities to be undertaken in
           rights and obligations of the                  third countries, to a contract or
           partners, as drawn up with the                 an agreement setting out the
          beneficiaries responsible for                   rights and obligations of the
           implementation of the said                    partners, as drawn up with the
          projects."                                      beneficiaries responsible for
                                                          implementation of the said
  6.   deleted.                                           activities."
                                                 6.   deleted.
(7) A new Article 9a is added as follows:        (7) A new Article 9a is added as follows:
Article 9a                                       Article 9a
1. Requests for financial support shall be        1. Requests for financial            support
     for projects meeting the following                concerning measures            to fre
     criteria:                                         implemented in the Community and
                                                       the countries of Central and Eastern
                                                       Europe which have signed association
                                                       agreements with it shall be for
                                                       activities which meet the following
                                                       criteria, where relevant:
                                                  (A) General criteria
(a) be of Commumty interest,               in     (a) they must be of Community interest,
     particular as a result of:                        in particular because of:
     - the habitats or species concerned,              - the habitats or species concerned,
         or                                                or
     - the answers found to a problem                  - the answers found to a problem
         frequently encountered in the                     frequently encountered in the
         Community;                                        Community;
                                             Sfb
 ---pagebreak---                                                    (B) Specific criteria
(b) make a significant contribution to the         (b) Unchanged
    implementation of Community
    environment policy for promoting, in
    particular, a multinational or
    biogeographical region approach;
(c) as regards nature conservation projects        (c) as     regards nature conservation
    be aimed at the sites proposed by a                 measures, they must concern sites
    Member State under Article 4 of                     proposed by a Member State under
    Directive 92/43/EEC or sites classified             Article 4 of Directive 92/43/EEC or
    pursuant        to A r t i c l e 4 of               sites classified pursuant to Article 4 of
    Directive 79/409/EEC or species                     Directive 79/409/EEC or species as
    mentioned in Annexes II and I                       referred to in Annexes II and I,
    respectively to those Directives;                   respectively, to those Directives;
(d) as r e g a r d s , in p a r t i c u l a r ,    (d) Unchanged
    demonstration, promotion and
    technical assistance projects:
    - be innovative and example-setting
       and represent progress compared
       with the current situation or current
       available technology,
    - be capable of promoting
       widespread application of practices
       and technologies conducive to
       environmental protection,
    - aim at developing and transferring
       know-how which can be used in
       identical or similar situations,
    - have a satisfactory cost-benefit
       ratio and, where" appropriate,
       guarantees of economic viability,
    - comply with the polluter pays
       principle.
                                                   3(a)    (new)
                                                   Requests for financial support from third
                                                   countries of the Mediterranean or the
                                                   Baltic other than the Central and Eastern
                                                   European countries which have signed
                                                   association agreements with the European
                                                   Community shall be for activities which
                                                   meet the following criteria:
                                                AH
 ---pagebreak---                                                      they must be of Community interest,
                                                     and in particular contribute to the
                                                     implementation of the regional and
                                                     international agreements and
                                                    guidelines;
                                                    they must contribute to a policy
                                                    encouraging sustainable development
                                                    at all levels (national, regional or
                                                    international);
                                                    they must help to solve very serious
                                                    environmental problems in the region
                                                    or the field concerned;
                                                    they must       increase  cross-border
                                                    cooperation;
                                                    they must guarantee the feasibility of
                                                    the technical proposals, and their
                                                    technical and financial management
                                                    and provide a good cost-benefit ratio;
(8) In Article 12                               (8) In Article 12
2.  For each multiannual action the             2.  For each multiannual activities the
    beneficiary shall submit progress               beneficiary shall submit progress
    reports to the Commission within six            reports to the Commission within six
    months of the end each full year of             months of the end of each full year of
    implementation. Within six months of            implementation. Within six months of
    completion of the action a final report         completion of the action a final report
    shall also be forwarded to the                  shall also be forwarded to the
    Commission. For each action lasting             Commission. For each action lasting
    less than two years the beneficiary             less than two years the beneficiary
    shall submit a report to the                    shall submit a report to the
    Commission within six months of                 Commission within six months of
    completion of the action.          The          completion of the action.          The
    Commission shall determine the form             Commission shall determine the form
    and content of these reports.                   and content of these reports.
                                                    Reports are based on physical and
                                                    financial indicators defined in the
                                                    Commission Decision which approves
                                                    the projects, or in the contract or
                                            A<T
 ---pagebreak---                                                     agreement concluded         with    the
                                                    beneficiaries.
                                                    These indicators are structured so as to
                                                    indicate the state of progress of the
                                                    project and the objectives to be
                                                    achieved within a given time.
(11)    Article 14 is replaced by the          (11)    Article 14 is replaced by the
        following:                                     following:
Article 14                                     Article 14
No later than 31 December 1998, the            Unchanged
Commission shall submit a report to the
European Parliament and to the Council on
the implementation of this Regulation and
on the use of appropriations and shall
make proposals for any adjustment to be
made with a view to continuing the action
beyond the second phase.
The Council, acting by a qualified majority    The Council acting in accordance with the
on a proposal from the Commission, shall       Treaty, shall decide on the implementation
decide on the implementation of the            of the third stage as from 1 January 2000.
second phase as from 1 January 2000.
   12) A new Article 14a is added as follows:
Article 14a                                    Article 14a
Applications for financial support for         Deleted
measures which could not be granted such
support because of the inadequacy of the
financial resources available in 1995 may
be taken into consideration in accordance
with the conditions of this Regulation in
 the context of the 1996 budget year.'
                                            A6
 ---pagebreak---  ---pagebreak---                                                                  ISSN 0254-1475
                                                            COM(96) 25 final
                                             DOCUMENTS
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