Rural development: adapting Annex VIII to the Act of Accession of Bulgaria and Romania (Regulation (EC) No 1698/2005)

PURPOSE:  to adapt Annex VIII to the act of Accession of Bulgaria and Romania.

LEGISLATIVE ACT: Council Decision 2006/664/EC adapting Annex VIII to the Act of Accession of Bulgaria and Romania.

CONTENT: Council Regulation 1698/2005/EC on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), introduces changes to the acquis on which the accession negotiations with Bulgaria and Romania were based. For a summary of Regulation 1698/2005/EC see CNS/2004/0161. The purpose of this Decision, therefore, is to adapt the Act of Accession and to make it compatible with Regulation 1698/2005/EC.

In other provisions, this Decision:

-          Deletes references to “semi-subsistence” and “producer group” mentioned in Annex VIII to the Act of Accession, given that they are covered by Regulation 1698/2005/EC.

-          Deletes provisions on “technical assistance” in Annex VIII since they too are covered by Regulation 1698/2005/EC.

-          Harmonises provisions on the Leader axis so that Annex VIII is compatible with Regulation 1698/2005/EC. This has been done since arrangements negotiated with Bulgaria and Romania differed from those set out in the Regulation.

-          Offering Romania and Bulgaria the choice either to implement support measures on advisory services which are set out in the Act of Accession or to implement support measures on advisory services established by Regulation 1698/2006/EC, since the provisions differ. This has been done to avoid double financing for the first three years of the programme.

-          Following a political agreement between the Council and the Commission set out in a Joint Declaration. This Decision allows Romania and Bulgaria to extend the measures on advisory services to farmers receiving semi-subsistence support, until 2013.

-          Clarifies the basis on which the 20% ceiling specified in the complement to direct payment measures are. They are provided for in point E of Section I of Annex VIII to the Act of Accession. 

-          Deletes a derogation set out in Annex VIII on economic viability as a condition for eligibility for investment support.

-          Modifies the Community’s financial contribution for agri-environment and animal welfare measures since the co-financing rates are no longer set at measure but at axis level.

ENTRY INTO FORCE: 1 January 2007. This is subject to the entry into force of the Treaty of Accession of Bulgaria and Romania.