On Friday 13 February, the European Commission authorised a €1.04 billion Danish State aid scheme designed to support landowners who voluntarily remove their agricultural or forestry land from production.
The aim is to reduce agricultural greenhouse gas emissions, to limit nitrogen and phosphorus deposits in the aquatic environment and to contribute to biodiversity and the protection of drinking water.
The programme includes the permanent extensification of land, without ploughing, fertilisers or pesticides, and the creation of wetlands to restore the natural hydrology of the soil. Landowners can also receive compensation for ceasing forest production on plots of land linked to agricultural land. Aid will cover up to 100% of eligible costs, including investment, loss of income and administrative costs. They will take the form of direct grants or benefits in kind, such as technical consultancy or the purchase of services.
The European Commission concluded that the aid had an incentive effect, necessary and proportionate, with positive effects that outweighed the potential distortions of competition and the internal market. (Original version in French by Lionel Changeur)