Brussels, 21/11/2014 (Agence Europe) - As the reformed common agricultural policy (CAP) prepares to come into force on 1 January 2015, it has again faced criticism of its complexity, particularly with regard to the greening of aid. Member states, and EU agricultural organisations and cooperatives have called on the European Commission to show tolerance in the face of what promises to be wide-scale errors.
At the Special Committee on Agriculture (SCA) meeting on 17 November, several member states informed the Commission that they expected serious problems when the reformed CAP's new measures come into effect.
During a debate to prepare the Council conclusions on the Commission report on the causes of the errors in payment of CAP aid, some delegations (Austria, Greece) even called for a transition period during which a higher level of error could be tolerated. Slovakia, Finland, Hungary and Ireland suggested more that the greening of aid could prove to be a significant source of error. Other delegations (France, Germany, United Kingdom, Netherlands, Portugal, Sweden, Denmark, Belgium, Czech Republic) asked for more active liaison between the member states and the Commission to better address outstanding issues. In general terms, all thought that there would have to be simplification.
This, indeed, is one of the main objectives of new agriculture Commissioner Phil Hogan for the first year of his term of office.
Farmers overwhelmed. The desire to see things simplified is shared by Copa-Cogeca (EU agricultural organisations and cooperatives). In a letter sent to the director general for agriculture at the European Commission, Jerzy Plewa, Copa-Cogeca warns of the serious difficulties farmers will face in the implementation of the reform of the CAP and in particular with regard to greening requirements. “Simplification of the rules is essential”, says the organisation, arguing that there are so many new measures that farmers are going to have to call in independent experts to make sure they abide by all the new rules that will come into force on 1 January. “Given that it is too late to shed more light on the rules, there should be an appropriate degree of tolerance brought in for the first year of the new CAP”, Copa-Cogeca suggests (our translations).
Diversity of implementation of the reform. On 11 November, the European Commission published a report on implementation by the member states of the reform of the CAP. The report reveals that eleven member states have decided to transfer funds from the first pillar (direct aid) to the second (rural development) and five have elected to make transfers in the opposite direction. In all €3 billion will flow from the first to the second pillar over six years, a sum equivalent to 1.2% of the entire CAP envelope for the period. Three member states have asked to be allowed to grant more than 13% of their direct support in the form of coupled aid. The Commission has asked them for further information before deciding whether or not to give the go-ahead. Nine will distribute less than 8% in this way and twelve will use the 13% maximum permitted level (+2% for protein crops).
Eight member states will apply redistributive payment (first hectares premium). Nine intend to cap aid and ten will apply degressivity (-5% beyond €150,000). In all, this reduction is calculated to be €558 million for the period from 2015 to 2019. Eight member states have decided to use equivalence of measures in implementing the greening of direct aid.
Concern over rural development schemes. Elsewhere, on 17 December, Copa-Cogeca urged the Commission to adopt “as many EU rural development programmes for 2014-20 as possible by the end of the year”. Otherwise, they warn, the programmes “risk being held up until May 2015, which could impact negatively on EU farmers, forest owners and agri-cooperatives”. Copa-Cogeca Secretary General Pekka Pesonen says it is very worrying that some rural development programmes for 2014-20 will not be ready for adoption by 31 December 2014. “If they are not”; he says, “they will not be able to be approved before May 2015 due to procedural reasons relating to revisions of the EU budget”. Measures relating to investment aid and support to help young farmers set up are of the utmost importance to the sector, Copa-Cogeca points out, and it urges the Commission to “speed up the adoption of the programmes without affecting the quality and objectives of the programmes”. (LC)