Agriculture, Wales Title, application and commencement 1 1 The title of these Regulations is the Common Agricultural Policy Basic Payment and Support Schemes (Wales) Regulations 2015. 2 These Regulations apply in relation to Wales. 3 These Regulations come into force on 14 May 2015. Interpretation 2 1 In these Regulations— “ non-native invasive weeds ” (“ chwyn goresgynnol estron ”) means the following— Japanese knotweed ( Fallopia japonica ) Giant hogweed (Heracleum mantegazzianum) Himalayan balsam (Impatiens glandulifera) Rhododendron ponticum ( Rhododendron ponticum ); “ permanent grassland ” (“ glaswelltir parhaol ”) has the same meaning given in Article 4(1)(h) of the Direct Payments Regulation but also includes land where native dwarf shrubs including those in the family Ericaceae (heathers) and the species Ulex gallii (western gorse), and/or native species in the families Juncaceae (rushes) and Cyperaceae (sedges), are predominant and can be grazed; “ single application ” (“ cais sengl ”) means an application for direct payments in relation to area related aid schemes; “ the Direct Payments Delegated Regulation ” (“ y Rheoliad Taliadau Uniongyrchol Dirprwyedig ”) means Commission Delegated Regulation (EU) No. 639/2014 supplementing the Direct Payments Regulation ; “ the Direct Payments Implementing Regulation ” (“ y Rheoliad Gweithredu Taliadau Uniongyrchol ”) means Commission Implementing Regulation (EU) No. 641/2014 laying down rules for the application of the Direct Payments Regulation ; “ the Direct Payments Regulation ” (“ y Rheoliad Taliadau Uniongyrchol ”) means Regulation (EU) No. 1307/2013 of the European Parliament and of the Council establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy ; “ the European Regulations ” (“ y Rheoliadau Ewropeaidd ”) means— the Direct Payments Regulation; the Direct Payments Delegated Regulation; the Direct Payments Implementing Regulation; and the Horizontal Implementing Regulation; “ the Horizontal Implementing Regulation ” (“ y Rheoliad Gweithredu Llorweddol ”) means Commission Implementing Regulation (EU) No. 809/2014 laying down rules for the application of Regulation (EU) No. 1306/2013 of the European Parliament and of the Council with regard to the integrated administration and control system, rural development measures and cross compliance . 2 Terms used in these Regulations that are also used in any of the European Regulations have the meaning they bear in those Regulations. 3 Any reference in these Regulations to an EU instrument is a reference to that instrument as amended from time to time. Minimum eligible area of holding 3 1 Subject to paragraph (2), for the purposes of Article 10(1) ... of the Direct Payments Regulation, no direct payments may be granted to a farmer where the eligible area of the holding for which the payments are claimed or due to be granted in accordance with Article 10(1) is less than 5 hectares. 2 Direct payments may be granted to a farmer where the eligible area of the holding referred to in paragraph (1) is less than 5 hectares if in 2020 direct payments were claimed by or due to be granted to that farmer— a before the application of Article 63 of Regulation (EU) No 1306/2013; and b in respect of such a holding (as defined for the 2020 claim year)— i situated in Wales and at least one other territory; ii where the eligible area situated in Wales of that holding was less than 5 hectares; and iii for which a payment was claimed or due to be granted in respect of the eligible area situated in Wales. Date on which eligible land must be at farmer's disposal 4 In relation to any year in which the farmer makes a declaration in respect of parcels pursuant to Article 33(1) of the Direct Payments Regulation, the date on which those parcels must be at the farmer's disposal is the 15 May of that year. Maintenance of an agricultural area in a state suitable for grazing or cultivation 5 For the purposes of Articles 4(1)(c)(ii) and 4(2)(a) of the Direct Payments Regulation and Article 4 of the Direct Payments Delegated Regulation, an agricultural area will be deemed to be maintained in a state suitable for grazing or cultivation where a farmer controls non-native invasive weeds and scrub on that area. Minimum agricultural activity on land naturally kept in a state suitable for grazing or cultivation 6 For the purposes of Articles 4(1)(c)(iii) and 4(2)(b) of the Direct Payments Regulation and Article 5 of the Direct Payments Delegated Regulation, on agricultural areas naturally kept in a state suitable for grazing or cultivation, a farmer will be deemed to be carrying out the minimum activity where that— a area is grazed at an annual stocking density of 0.01-0.05 livestock units per hectare; or b farmer controls non-native invasive weeds and scrub on that area. Short rotation coppice 7 For the purposes of Article 4(1)(k) ... of the Direct Payments Regulation— a the list of planted tree species is— Alder (Alnus spp) Silver Birch ( Betula pendula ); Hazel (Corylus avellana); European Ash (Fraxinus excelsior); Lime (Tilia cordata); Sweet chestnut ( Castanea sativa ); Sycamore (Acer pseudoplatanus); Willow ( Salix spp ); Poplar ( Populus spp ); and b the maximum harvest cycle is 20 years. Young farmers 8 1 For the purposes of the payment calculation required by Article 50(6) of the Direct Payments Regulation, the number of entitlements a young farmer has activated in accordance with Article 32(1) of that Regulation will be multiplied by 25% of an amount calculated by dividing a fixed percentage of the national ceiling for the calendar year 2019 by the number of all eligible hectares declared on the single application for the claim year 2015. 2 For the purpose of Article 50(9) of the Direct Payments Regulation, a single maximum limit of 25 is applicable to the number of eligible hectares declared by the farmer. Active farmers 9 1 For the purposes of Article 9(2) sub-paragraph 3(b) of the Direct Payments Regulation, a farmer's agricultural activities are not insignificant if that farmer's total holding size is greater than or equal to 21 hectares, in accordance with the third sub-paragraph of Article 13(1) of the Direct Payments Delegated Regulation. 2 For the purposes of Article 9(2) sub-paragraph 3(c) of the Direct Payments Regulation, a farmer's principal business or company objects consist of exercising an agricultural activity where that farmer provides the Welsh Ministers with evidence that at least 40% of the total receipts obtained by the business in the most recent fiscal year for which evidence is available were obtained from agricultural activities, in accordance with the third sub-paragraph of Article 13(3) of the Direct Payments Delegated Regulation. 3 For the purposes of Article 9(4) of the Direct Payments Regulation, the maximum amount is EUR 5,000. Basic Payment Scheme entitlements 10 1 For the purposes of Article 22(1) of the Horizontal Implementing Regulation, applications for allocation of payment entitlements under the basic payment scheme in accordance with Article 24 or Article 30, except paragraph 7(e), of the Direct Payments Regulation, must be submitted to the Welsh Ministers no later than the 15 May of the relevant calendar year. 2 An application for allocation of payment entitlements must be submitted to the Welsh Ministers at the same time as the aid application under the basic payment scheme, in accordance with Article 22(2) of the Horizontal Implementing Regulation. 3 For the purposes of the third sub-paragraph of Article 24(1) of the Direct Payments Regulation, the Welsh Ministers will allocate payment entitlements to farmers who— a are entitled to be granted direct payments in accordance with Article 9 of the Direct Payments Regulation; and b submit an application for allocation of payment entitlements under the basic payment scheme in accordance with paragraphs (1) and (2) of this regulation; and c either— i were producing fruits, vegetables, ware potatoes, seed potatoes or ornamental plants; or ii were cultivating vineyards; or iii never held owned or leased-in single payment scheme entitlements but can submit verifiable evidence that on 15 May 2013 they produced, reared or grew agricultural products, including through harvesting, milking, breeding animals and keeping animals for farming purposes. 4 For the purposes of Article 24(2) of the Direct Payments Regulation, the date on which the number of eligible hectares must be at the disposal of the farmer is the 15 May 2015. Transfer of entitlements 11 1 In the case of a sale of a holding or part of it, a farmer may, by contract signed before 15 May 2015, transfer together with the holding or part of it, the corresponding payment entitlements to be allocated, in accordance with Article 20 of the Direct Payments Delegated Regulation as it applied immediately prior to exit day . 2 In the case of a lease of a holding or part of it, a farmer may, by contract signed before 15 May 2015, lease-out together with the holding or part it, the corresponding payment entitlements to be allocated, in accordance with Article 21 of the Direct Payments Delegated Regulation as it applied immediately prior to exit day . 3 For the purposes of Article 8(1) of the Direct Payments Implementing Regulation, the period within which the transferor of payment entitlements must notify the Welsh Ministers of the transfer is from 16 May of the preceding calendar year to 30 April 15 May (both those dates included) of the first calendar year in which the transferee may include those entitlements in the transferee's application for direct payments. Transfer of holding 12 For the purposes of Article 8(3)(a) of the Horizontal Implementing Regulation, the period within which the transferee must inform the Welsh Ministers of the transfer and request payment of the aid or support, or both, is 30 days beginning with the first day after the date of the transfer. Non-agricultural activities 13 1 In accordance with Article 32(3) of the Direct Payments Regulation— a non-agricultural activities which may be carried out on an agricultural area of a holding for a period of up to 28 days per calendar year are listed in Part 1 of the Schedule; b areas which are classed as being predominantly used for non-agricultural activities are listed in Part 2 of the Schedule; c any area where the principal purpose of the land is for recreational activities, or a non-agricultural activity listed in Part 1 of the Schedule, is not consistent with the land being considered as remaining in agricultural use. Crop diversification 14 For the purposes of the first sub-paragraph of Article 40(1) of the Direct Payments Delegated Regulation, the relevant cultivation period in any year is 1 May to 15 July (both dates included). Permanent grassland 15 1 Any permanent grassland— a located in a site of special scientific interest; and b in relation to which written consent to plough is required in accordance with section 28E of the Wildlife and Countryside Act 1981 but such consent has not been obtained, is designated as environmentally sensitive permanent grassland for the purposes of Article 45(1) of the Direct Payments Regulation. 2 In this regulation— “ site of special scientific interest ” (“ safle o ddiddordeb gwyddonol arbennig ”) has the meaning given in section 52(1) of the Wildlife and Countryside Act 1981. Ecological focus areas 16 1 For the purposes of Article 46(2) of the Direct Payments Regulation, the areas mentioned in points (a) (land lying fallow), (g) (areas of short rotation coppice), (h) (afforested areas) and (j) (areas with nitrogen-fixing crops) and, subject to paragraph (3), point (c) (landscape features), are considered to be Ecological Focus Areas. 2 In accordance with Article 45(2) of the Direct Payments Delegated Regulation, there shall be no agricultural production on land lying fallow in any year between 1 February and 31 July (both dates included). 3 For the purposes of the second sub-paragraph of Article 45(4) of the Direct Payments Delegated Regulation, landscape features are limited to— a hedges and wooded strips up to 10 metres wide; and b traditional stone walls at least 1 metre high and no more than 4 metres wide. 4 For the purposes of Article 45(8) of the Direct Payments Delegated Regulation— a the list of planted tree species that can be used for short rotation coppice is— Alder ( Alnus spp ), Silver Birch ( Betula pendula ), Hazel (Corylus avellana), European Ash (Fraxinus excelsior), Lime (Tilia cordata), Sweet chestnut ( Castanea sativa ), Sycamore (Acer pseudoplatanus), Willow ( Salix spp ), Poplar ( Populus spp ); and b within the first 2 years of planting any of the species in paragraph (4)(a)— i no mineral fertiliser may be used on those species, and ii plant protection products can only be used for the treatment of non-native invasive weeds; and c the maximum harvest cycle is 20 years. 5 For the purposes of Article 45(10) of the Direct Payments Delegated Regulation— a the list of nitrogen fixing crops is— Alfalfa (Medicago sativa), Bean (Phaseolus spp), Bean (Vigna spp), Birdsfoot trefoil ( Lotus corniculatus ), Chickpea ( Cicer spp ), Clover (Trifolium spp), Faba bean ( Vicia faba ), Lentil (Lens culinaris), Lupin (Luninus spp), Pea (Pisum spp), Vetch (Vicia spp except Vicia faba), Medick (Medicago lupulina), Soybean ( Glycine max ), Sweet clover ( Melilotus albus ), Sainfoin (Onobrychus viciifolia); and b in any year, any nitrogen fixing crop must be sown by 15 May and be present for 14 weeks from the date that it was sown, or until 1 August at the latest. 6 When calculating the total hectares represented by the Ecological Focus Area of a holding, the Welsh Ministers will make use of the conversion and weighting factors set out in Annex X to the Direct Payments Regulation. Revocations and savings 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . National reserve 18 1 The Welsh Ministers will establish a national reserve, in accordance with Article 30(1) of the Direct Payments Regulation as it applied immediately prior to exit day . 2 The Welsh Ministers will use the national reserve, in the following priority order, to— a allocate payment entitlements to young farmers and to farmers commencing their agricultural activity, in accordance with Article 30(6) of the Direct Payments Regulation; b allocate payment entitlements to farmers who were prevented from being allocated payment entitlements under the basic payment scheme as a result of force majeure or exceptional circumstances, in accordance with Article 30(7)(c) of the Direct Payments Regulation; c cover the yearly needs for payments to young farmers, in accordance with Article 30(7)(f) of the Direct Payments Regulation; and d permanently linearly increase the value of all payment entitlements under the basic payment scheme if the national reserve exceeds 0.5% of the annual national ceiling for the basic payment scheme, in accordance with Article 30(7)(e) of the Direct Payments Regulation. Payment for agricultural practices beneficial for the climate and the environment 19 1 The Welsh Ministers will grant the payment for agricultural practices beneficial for the climate and the environment as a percentage of the total value of the payment entitlements that the farmer has activated in accordance with article 33(1) of the Direct Payments Regulation for each relevant year, in accordance with the third sub-paragraph of article 43(9) of the Direct Payments Regulation. 2 The percentage referred to in paragraph (1) will be calculated in accordance with the fourth sub-paragraph of article 43(9) of the Direct Payments Regulation. Rebecca Evans Deputy Minister for Farming and Food, under the authority of the Minister for Natural Resources, one of the Welsh Ministers