Brussels, 20/07/2004 (Agence Europe) - On Tuesday in Strasbourg, the European Commission decided to authorise certain State aid schemes granted by France (reductions in social contributions and other charges) to the fisheries and fish farm sector after the oil pollution caused by the Erika disaster in December 1999 and the violent storms that took place shortly afterwards.
Fish farming: The Commission decided to give its approval for aid in favour of fish farmers on the Atlantic coast most affected by these events. On the other hand, for the other fish farmers, including those in the overseas departments, two of the measures (lighter social contributions and exemption of demesne levies) were considered incompatible with the rules of the common market. The Commission considers that, although the oil slick that followed the wrecking of the Erika did cause a slump in the mollusc industry, the damage caused to fish farmers (2.7% drop in the average annual turnover) cannot be considered as exceptional.
Fisheries sector: Information gathered by the Commission has shown that there was no slump on the market. Aid granted to fisheries because of the disaster, in the form of exemption of social charges, were therefore not authorised, and should be recovered.
The Commission recalls that the fisheries and fish farming sectors had been severely affected by the above two events in the coastal regions of the Atlantic. In 2001, the Commission had already approved some aid schemes (compensation for shellfish farmers and fishermen who had suffered losses) and had, however, opened review proceedings concerning aid that was the subject of the day's decision.
Fishing in Corsica: Furthermore, the Commission gave its clearance to the payment of most aid granted to the fisheries sector in Corsica between 1986 and 1999. It concerns, above all, the purchase of new and second-hand fishing vessels, the modernisation of vessels without increasing engine power, and equipment used on land by fishermen and fish farmers. Nonetheless, the Commission did not authorise aid for the purchase of new vessels or modernisation (during the period 1 January 1997 to 28 October 19987) which had the effect of increasing vessel power. The Commission explains that this kind of aid had been prohibited during this period due to the non-compliance by France of the rules for governing the fleet defined in the Multi-Annual Guidance Programme (MAGP III). We recall that the programme fixed capacity levels not to be exceeded for Member State fleets.