Brussels, 18/04/2013 (Agence Europe) - As previously announced (see EUROPE 10828), the European Commission adopted proposals on Thursday 18 April for a transitional regime in 2014 for some of the rules of the common agricultural policy (CAP), particularly for direct payments system. The Council and European Parliament are urged to adopt the proposal before the end of the year.
The Commission remains convinced that an agreement on reform of the CAP will be concluded by June, so the new regulation can be put in place from 1 January 2014. It acknowledges, however, that “it is not realistic for member states to have all the necessary administrative procedures in place by the start of next year”.
Direct payments. According to the proposal, the current provisions for the SAPS (Single Area Payment Scheme, used in most of the newer member states) system and uncoupled aid, including those under Article 68, will continue in the 2014 claim year. New rules - for example those relating to greening - will, therefore, not apply until the start of 2015, thereby allowing Paying Agencies more time to prepare for these changes.
Rural development. For rural development, it is standard practice to define transitional rules in order to bridge the gap between two multi-annual programming periods. However, there is also a need for some specific transitional arrangements, notably to deal with the implications from the delay in the new direct payment regime on certain rural development measures, such as basic agri-environmental and climate measures and the application of conditionality rules. Transitional provisions are also needed for member states be able to continue with contractual obligations in 2014 where measures are related to surface area or livestock, even if the resources of the current period have been used up. These new commitments, similarly to the ongoing corresponding commitments, can be taken into consideration in the framework of new financial envelopes for rural development programmes in the next programming period.
Transfer of funds between pillars. Transitional measures also include provisions allowing member states to transfer funds between pillars. This flexibility mechanism is an element of CAP reform to be decided by ordinary legislative procedure. Both the European Parliament, on 13 March 2013, and the Agriculture Council, on 19 March 2013, have adopted positions on this issue. While the Council adopted the European Council conclusions on the MFF2014-2020, the EP increased the percentage proposed by the Commission for transfer to the second pillar to 15% and to 10% for transfers to the first pillar. The latter was only allowed for member states with an average payment below 90% of the EU average. In an effort to illustrate that the present proposal does not prejudge the final decision to be taken by the legislature on this specific point, the parts of the Article included in the transitional measures that differ from Article 14 of the Commission proposal on the direct support after 2013 have been put within square brackets.
European Council. The proposal also seeks to incorporate certain elements of the European Council agreement on 8 February for the 2014-2020 Multiannual Financial Framework. This would mean that the process of moving towards a fairer distribution of funds for direct payments among member states - what is often called “external convergence” - will already apply in the 2014 claim year.
Commenting on the new proposals, EU Agriculture Commissioner Dacian Ciolos said: “The motto for direct payments in 2014 will be 'existing rules, new budget', because it is important that paying agencies have time to get administrative arrangements in place and guarantee the proper management of EU funds, and farmers are clear on the new rules and not pushed into something new before it's ready”. (LC/transl.fl)