OBJECTIVE: to amend the Commission proposalfor a Regulation on support for rural development by the European Agricultural Fund for Rural Development (EAFRD).
CONTEXT: on 12 October 2011 the Commission adopted its proposal for a Regulation on support for rural development by the European Agricultural Fund for Rural Development (EAFRD).
The accession of Croatia to the EU is scheduled for 1 July 2013. Although the Act of Accession has not yet been ratified by all Member States, the Commission has recently updated its Multi-Annual Financial Framework proposals in view of Croatia's accession. A similar adjustment exercise should be prepared for the CAP reform proposals to ensure that once they are adopted, Croatia will be fully covered as a new Member State.
The adoption of Regulation (EU) No 671/2012 of the European Parliament and of the Council of 11 July 2012 amending Council Regulation (EC) No 73/2009 as regards the application of direct payments to farmers in respect of the year 2013 provides for voluntary adjustment for the United Kingdom whereby funds for direct payments for calendar year 2013 would be made available for the next rural development programming period.
As a consequence a relevant provision to allow transfer of the funds to the EAFRD should be made in the CAP reform proposal for rural development.
IMPACT ASSESSMENT: there was no need for consultation of interested parties or an impact assessment since these adjustments follow, in relation to Croatia, from the Act of Accession and, in relation to the voluntary adjustment for the United Kingdom, from the adoption of Regulation (EU) No 671/2012.
CONTENT: the adjustment will take the form of an amendment to the proposal for a Regulation of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) in order to:
- introduce a temporary additional measure on financing complementary national direct payments;
- provide for specific conditions applicable to Croatia in relation to LEADER (minimum EAFRD contribution reserved for LEADER of 2.5% instead 5%) and investments for the implementation of Council Directive 91/676/EEC for a maximum period of four years (provision of a support rate of 75%);
- introduce an empowerment to the Commission to adopt transitional rules for the transition of Croatia from support under IPARD to support under the new Rural Development regime, also covering the ex-post evaluation;
- in relation to voluntary adjustment for the UK the adjustment consists in introducing a reference to the amounts to be transferred in application of the relevant provisions of Regulation (EC) No 73/2009.
BUDGETARY IMPLICATION: this amendment has no budgetary implications, apart from those already set out in the explanatory memorandum for the updated proposals for the Multi-Annual Financial Framework.