COMMISSION PROPOSED TO INCREASE DE MINIMIS AID TO FARMERS TO €25,000 – 02 MARCH

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COMMISSION PROPOSED TO INCREASE DE MINIMIS AID TO FARMERS TO €25,000 - 02 MARCH
02 Mar 2018

COMMISSION PROPOSED TO INCREASE DE MINIMIS AID TO FARMERS TO €25,000 – 02 MARCH

Brussels, Brussels Daily

Commission proposes to increase de minimis aid to farmers to €25,000

The European Commission proposes to increase the maximum amount of agricultural state aid that Member States can distribute without prior notification from €15,000 to €25,000, over three years, per farm holding. The so-called “de minimis” aid has proved to be particularly useful in times of crisis as it enables a quicker reaction in helping farmers overcome emergencies, such as temporary liquidity gaps. The Commission is responding to Member States’ call to increase the ceiling of this aid which will allow them to distribute funds on a bigger scale and more quickly without going through the necessary notifications.  To ensure that no market distortions occur, an additional safeguard is introduced: a single agricultural sector cannot receive more than 50% of the total amount of the national de minimis aid. The Commission is also proposing to create a central registry which Member States will have to set up and use. This will make the monitoring of the aid’s use and distribution simpler. The Commission is currently seeking feedback on its proposal from public authorities across the EU having made use of this tool. The consultation remains open until 16 April 2018. The proposal is expected to be adopted in the summer by the Commission after consulting the Member States

Consultation on the de minimis Regulation (EU) No 1408/2013

Consultation period: 1 March 2018 – 16 April 2018

 

Objective of the consultation

State funding meeting the criteria of Article 107(1) TFEU constitutes State aid. In application of Art 109 TFEU, by adopting the Council Regulation (EU) 2015/1588 (‘Enabling Regulation’), the Council enabled the Commission to set out in a regulation a threshold below which aid measures are deemed not to meet all the criteria of Article 107(1) TFEU and are therefore exempted from the notification obligation under Article 108(3) TFEU.

On this basis, the Commission adopted Regulation (EU) No 1408/2013 on the application of Articles 107 and 108 TFEU to the de minimis aid in the agriculture sector, applicable since 1 January 2014.

The Commission invites the Member States and stakeholders to provide input for the revision of the de minimis Regulation. To gather as much information as possible for an appropriate revision of the regulation, the questionnaire proposed focuses not only on general questions relating to its application, but also to more practical issues, such as monitoring.

Draft amending Regulation (EU) No 1408/2013

ANNEX – Draft amending Regulation (EU) No 1408/2013

Questionnaire on the de minimis regulation

Reference documents

Commission Regulation (EU) No 1408/2013 of 18 December 2013 on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid in the agriculture sector

Contact

Responsible service: DG Agriculture and Rural Development, Unit I2. State aid

E-mail address for repliesAGRI-STATE-AIDS-CONSULTATION@ec.europa.eu

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