“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” The main points of the new EAFRD Regulation (Version as of summer 2005) Euronatur – 6/9/2005

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Rural Areas in EU27 Source: DG Agri / Eurostat 2005

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” History of the RD in the EU 1975:Mountain Farmers Programme 1988: Structural funds (mainly Objectives 5b „Development of Rural Areas“) 1992:„Accompanying Measures“ (Mc Sharry - Reform) 2000:Regulation 1257/99 – Rural Development as the „2nd Pillar“ of the CAP (2000 – 2006) 2004: Commission's proposal for the „European Agricultural Fund for Rural Development“ (EAFRD) (2007 – 2013) (Guarantee and Guidance will be merged) 2005: European Council compromise (not adopted yet)

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Axes of EAFRD EU10 only min. 2,5% for Leader Axis 1 Competitiveness (min. 10 %) Axis 2 Environment + Land Management (min. 25 %) Axis 3 Diversification + Quality of Life (min. 10%) L E A D E R (min. 5%)

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Competitiveness improving human potential (articles 20 – 24) – Training – Setting-up of young farmers (max. € ,-) – Early retirement – Farm audit (max. € 1.500,-) restructuring and developing physical potential and promoting innovation (articles 25 – 28) – farm modernisation, (40 – 75 % funding) – improving the economic value of forests (50 – 85% funding) – adding value to agricultural and forestry products – improving and developing infrastructure Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” improving the quality of agricultural production and products (articles 29 – 31) – to adapt to demanding EU standards (max. € / farm) – supporting farmers who participate in food quality schemes – supporting producer groups for information and promotion activities for products under food quality schemes Competitiveness Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Competitiveness transitional measures for the EU10 (Articles 32 and 33) – semi-subsistence farms undergoing restructuring (until 2013) € 1.500,- per farm per year – supporting setting up of producer groups “jointly placing goods on the market, including preparation for sale, centralization of sales and supply to bulk buyers” up to € in 5 years Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” measures targeting the sustainable use of agricultural land (article 34-38) – natural handicap payments to farmers in mountain areas (between € 25,- and € 250,-/ ha) – payments to farmers in areas with handicaps (between € 25,- and 150/ha) (new description in 2010) –NATURA 2000 payments and payments linked to Directive 2000/60/EC (max. € 500,- / ha for 5 years) –agrienvironment payments Annual crops € 600,- / ha Local threatened or endangered breeds (€ 200,- / livestock unit) Animal welfare € 500,- / livestock unit Improving Environment & Land Management Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Improving Environment & Land Management Utilised agricultural area under NATURA 2000 areas Sweden 40 % Greece 29 % Spain 23 % France 5 % Germany 4 % Belgium 3 % Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Improving Environment & the countryside The sustainable use of forestry land (article 39 – 45) – First afforestation of agricultural land (€ 150 to € 500 / ha / a) – First establishment of agro forestry systems on agricultural land – NATURA 2000 payments – (between € 40,- and € 200,- / ha / year) 70% co funding outside of LFA up to 85 % EU-co funding in LFA Competitiveness Land Management Diversification L E A D E R Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” * The commission proposed to give funds only to micro-enterprises. Due to the member states´ proposal payments were opened for medium-sized enterprises as well.) Diversification & Quality of life to diversify the rural economy, comprising (articles 50 – 52) diversification into non-agricultural activities the creation and development of medium-sized and micro- enterprises* encouragement of tourism activities (no infrastructure) Competitiveness Land Management Diversification L E A D E R Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Diversification & Quality of life to improve the quality of life in the rural areas, (articles 54 – 55) – basic services for the economy and rural population – conservation and upgrading of the rural heritage. Management plans for Natura 2000 – areas with high ecological value Environmental education Investing in conservation Preserving and upgrading the natural heritage Competitiveness Land Management Diversification L E A D E R Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Diversification & Quality of life Training (article 56) skills-acquisition and animation measure with a view to preparing and implementing a local development strategies (article 57) Competitiveness Land Management Diversification L E A D E R Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” LEADER LEADER should be connected to the other axes of emphasis such that it becomes a cross-section of tasks LEADER should be implemented all over, and thus become mainstream (no LEADER regions anymore) LEADER connects all areas of the economy in the rural area A program with a “bottom-up concept“ Local action groups work out development strategies Formation of networks (local-regional-international) Competitiveness Land Management Diversification L E A D E R Axis 1 Competitiveness Axis 2 Environment + Land Management Axis 3 Diversification + Quality of Life L E A D E R

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” The involvement of NGO‘s will be increased at the planning stage! Central elements of ELER-VO The EU defines strategic goals Three levels of planning are implemented: strategic guidelines Europe national strategy Nation regional development programmes Region

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Funds Annual breakdown of commitment appropriations for 2007–2013 (EUR million – 2004 prices) – Proposal of Commission

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” New challenges in the RD LEADER+ as a cross-section of tasks Natura 2000 becomes an element of Rural Development. Parts of it can thus be financed by Rural Development. EU Expansion to 25 states (27 states starting in 2007).

“One year of EU 25 – Nature Conservation policy experience regarding the 2nd pillar of the CAP and reform prospects” Why is it so important to strengthen RD? With the reorganization of Rural Development, new tasks must be dealt with: EU Expansion by 10 (12) states with sizeable developmental needs in their rural areas Financing the Natura 2000 settlement. Additional EU financial need: min. 3bn € per year! Financing the LEADER Programme.