Article 1 Subject matter
An emergency Community measure to assist Member States to achieve additional reductions in fishing effort resulting from recovery plans adopted by the Council is hereby instituted for the period from 2003 to 2006. The measure shall consist of a special incentive to provide Member States with funds to co-finance their additional needs to scrap fishing vessels affected by recovery plans.
Article 2 Eligibility
Any fishing vessel covered by a recovery plan adopted by the Council shall be eligible for an increased scrapping premium in accordance with Article 3 provided that: (a) the fishing vessel is also eligible for scrapping premiums under Regulation (EC) No 2792/1999, and (a) the fishing vessel is also eligible for scrapping premiums under Regulation (EC) No 2792/1999, (b) its fishing effort has had to be reduced by 25 % or more as a consequence of a recovery plan.
Article 3 Maximum amount of increased scrapping premium
Owners of fishing vessels may be granted public aid in respect of eligible fishing vessels within the meaning of Article 2 on the basis of the scales referred to in point (a) of Article 7(5) of Regulation (EC) No 2792/1999, increased by 20 %.
Article 4 Financial contribution from the Community
The Community may grant Member States, for the year 2003, a financial contribution (hereinafter ‘financial contribution’) for their expenditure incurred under Article 3. The financial contribution shall be calculated in accordance with the rates set out in Table 3, Group 1 of Annex IV to Regulation (EC) No 2792/1999.
Article 5 Forecast programmes of annual expenditure
Member States wishing to receive a financial contribution shall present to the Commission by 30 June 2003 a plan of their proposed decommissioning expenditure for the year 2003, under this emergency Community measure. The Commission shall proceed with the commitment of the global annual amount available in the budget for this emergency Community measure.
Article 6 Procedure
1. Member States shall submit their applications for the reimbursement of the expenditure by 30 June 2004. the basis of the applications, and the situation of each Member State in respect of the impact of recovery plans, the Commission shall decide on the financial contribution to be paid to each Member State. The Commission shall pay up to 50 % of the assistance on receipt of the application and the balance after certification by the authorities referred to in paragraph 2. 2. The authorities responsible for the implementation of this emergency Community measure shall be the managing and paying authorities involved in structural fund measures concerning fisheries in the relevant Member State. They shall perform the functions assigned to them by Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general provisions on the structural funds ( 5 ). 3. Except in the case of contrary provisions arising form this Regulation, the relevant provisions of Regulation (EC) No 1260/1999, in particular Articles 33 to 39, as well as derived legislation, shall apply.
Article 7 
For the period 2004 to 2006 the necessary financial resources for financing the emergency Community measure for scrapping fishing vessels shall be made available by reprogramming of the Structural Funds provided for in Articles 41 and 44 of Regulation (EC) No 1260/1999 and be programmed within the existing Financial Instrument for Fisheries Guidance programmes.
Article 8 Implementation
The detailed rules for the implementation of this Regulation shall be adopted by the Commission in accordance with the procedure laid down in Article 30(2) of Council Regulation (EC) No 2371/2002 of 20 December 2002 on the conservation and sustainable exploitation of fisheries resources under the Common Fisheries Policy ( 6 ).
Article 9 Entry into force
This Regulation shall enter into force on 1 January 2003. This Regulation shall be binding in its entirety and directly applicable in all Member States.