Brussels, 18/07/2008 (Agence Europe) - On Wednesday 16 July 2008, the European Commission opened a procedure to reduce Greece's Single Area Payments under the Common Agricultural Policy by 10% due to persistent failings in Greece's control system, particularly with the LPIS farmland identification scheme, which is based on out-dated, incorrect information. Such systems have to be accurate to ensure proper management and control of funding linked to surface area. The Greek authorities have promised to introduce an operational LPI by the end of 2008.
A recent audit by the department of EU Agriculture Commissioner Mariann Fischer Boel showed that the new system would not be introduced on time. The investigation showed that the system's imaging system does not cover all the country's farmland. The Greek authorities have until 1 September 2008 to respond to a letter sent by the European Commission on 17 July 2008. The European Commission will then take its final decision, taking account of Greece's response and the outcome of a visit to the country in the week of 22 September 2008. The Commission can reduce payments to Member States in the event of serious, persistent failings in national control systems but reduction in the payments does not necessarily mean that the farmer themselves will get less money. It does mean, however, that funding from the EU budget for the Greek state will be reduced. (L.C. trans fl)