jb. benhaiem european commission co-ordinator for uk rural programmes the new european union...

JB. BenhaiemEuropean Commission

Co-ordinator for UK Rural Programmes

The new European Union Strategy for Rural The new European Union Strategy for Rural DevelopmentDevelopment

AER Rural Development ConferenceAER Rural Development Conference19-20 October 2005, Exeter, Devon (UK) 19-20 October 2005, Exeter, Devon (UK)

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Context

Current EU Rural Development Policy (2000-06)

Rural Development and Lisbon objectives

New EU Rural Development Policy (2007-13)

Conclusion

THE AGENDA

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Rural areas :– 56 % population of EU-25 in rural areas– 92% of the EU territory– 53 % of the EU employment

Lower :– income (1/3)– higher education– ICT broadband access, etc

Lack of :– business opportunities– contacts (remoteness, peripherality)– training infrastructure

Rural areas face challenges re. : growth, jobs and sustainability

But high potential for : growth in new sectors, rural amenities, tourism, place

to live and work, natural resources and highly value added landscapes

RURAL AREAS: PROBLEMS AND CHALLENGES

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1st pillar

Support to marketSupport to market

financed by EAGGF-Guarantee

2003 reform– Decoupling (from production)

– Conditionnality (cross-compliance)

– Modulation (money transfer to 2nd pillar)

2nd pillar

Rural developmentRural development

EAGGF-Guarantee + Guidance

2003 reform– Principles unchanged

– Reinforcement (modulation)

– New measures (quality, animal welfare)

COMMON AGRICULTURE POLICY TO-DATE

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Land Management

Environment

LFA

Afforestation

Infrastructure

Basic Services

Physical Capital

Investment

Human Capital

Training

(ESF) (EAAGF - Guarantee and Guidance)

Modernisation Restructuring

Economic Diversification

(ERDF)

EmploymentUrban/ Rural

Linkage

Rural Economy

Social Fund Agricultural Fund Regional Fund

Land Management

Environment

LFA

Afforestation

Infrastructure

Basic Services

Physical Capital

Investment

Human Capital

Training

(ESF) (EAAGF - Guarantee and Guidance)

Modernisation Restructuring

Economic Diversification

(ERDF)

EmploymentUrban/ Rural

Linkage

Rural Economy

Social Fund Agricultural Fund Regional Fund

LEADER APPROACH

RURAL DEVELOPMENT COVERAGE (2000-06)

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BREAKDOWN OF RD EU FUNDING FOR EU-15 (2000-06)

EU funding : bn € 52.5 National funding : bn € 52.5 Total RD budget: bn € 105

38%

52%

10%

Group 1: restructuring/competitiveness

Group 2: environment/land management

Group 3: rural economy/rural communities

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Agriculture (incl. RD)– largest user of rural land– key determinant factor for the quality of the countryside, the environment– importance and relevance of the EU CAP

Göteborg agenda and Rural Development– RD relevant to sustainable development– Promotion of high quality products, organic production, renewable raw

marerial, biodiversity

Lisbon agenda and RD– RD is central to the Lisbon process– RD is a key tool for diversification, restructuration and innovation in rural

areas– RD help promote competitiveness in agri-food processing (ICT, R&D)– environment and associated tourism as a major source of income and jobs

CURRENT RD AND COMMUNITY PRIORITIES

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New regulation (2007-13)– “tool kit” (approved Sept. 2005 )– new strategic approach for rural development with clear focus on EU

priorities (Community Strategic Guidelines)– new “European Agriculture Fund for Rural Development (EAFRD)– strengthened “bottom-up” approach – but, budget still under discussion

Broader scope– addresses innovation and restructuring needs in farming and forestry– improves environmental protection– should create more jobs and opportunities in rural areas

Simpler implementation– one fund – one programming instrument

Responding better to citizens’ concerns– food safety and quality– rural amenities

RURAL DEVELOPMENT POLICY 2007-2013

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Simplification

today: in future:

2 Sources of finance (funds)

3 systems for financial management and controls

5 types of programming

1 fund

1 system for financial management and controls

1 programming system

For all rural areas in the EU

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Three core objectives:

Improving the competitivenesscompetitiveness of the farm and forestry sector

through support for restructuring, modernisation/innovation

and quality production

Enhancing the environmentenvironment and the countryside through

support for land management

Improving the quality of lifequality of life in rural areas and promoting

diversificationdiversification of economic activity

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4 axes4 axes to implement the objectives:

To each core objective corresponds a thematic axis in the rural

development programme

The three thematic axes are complemented by a « methodological » axis

dedicated to the LEADER approach (LEADER axis)

A minimum funding for each axis is required to ensure some

overall balanceoverall balance in the programme (10% - 25% - 10% - 5%)

As building blocks for each thematic axis a range of pre-defined pre-defined

measuresmeasures is available

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Rural Development 2007-2013

« LEADER » Axis

Axis 1 Competi-tiveness

Axis 2Environment

+Land

Management

Axis 3Economic

Divers.+

Quality of Life

Single set of programming, financing, monitoring, auditing rules

Single Rural Development Fund

<<LEADER Axis>>

Axis 1 Competi-tiveness

Axis 2Environment

+Land

Management

Axis 3Economic

Divers.+

Quality of Life

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Axis 1: Increasing Competitiveness

1.1. Measures aiming at improving Measures aiming at improving human potentialhuman potential::

vocational training/information; setting up of young farmers; early retirement;

management, relief and advisory services

2.2. Measures aiming at restructuring Measures aiming at restructuring physical potentialphysical potential:

investments to improve production, processing and marketing structures

3.3. Measures aiming at improving the Measures aiming at improving the quality quality of agricultural production and of agricultural production and

productsproducts:

adaptation to new EU-standards; participation in food quality schemes; promotion

for quality products

4.4. Transitional measures for the new Member States (until 2013):Transitional measures for the new Member States (until 2013):

semi-subsistence farms; setting up of producer groupssemi-subsistence farms; setting up of producer groups

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Axis 2: Land management

1.1. Measures targeting the sustainable use of Measures targeting the sustainable use of agricultural landagricultural land: mountain areas and other areas with handicaps (LFA); Natura 2000

areas; agri-environment; animal welfare; ...

2.2. Measures targeting the sustainable use of Measures targeting the sustainable use of forestry landforestry land::first afforestation; first establishment of agro-forestry systems; Natura

2000 areas; forest-environment; restoring forestry production potential

and introducing prevention actions; ...

Note: Agri-environment measures are compulsory for each

programme

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Axis 2: Land management/environmentLess favoured areas:

Designation of areas; max. amounts; calculation of allowance

Current regime continued until 2010 Report and proposal by the Commission in 2008 Council decision in 2009 New regime to enter into force in 2010

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Axis 3: Diversification of the rural economy and quality of life in rural areas

1.1. Measures aiming at the Measures aiming at the diversificationdiversification of the rural of the rural

economy:economy:

on farm diversification to non-agricultural activities; support for

micro-enterprises; rural tourism

2.2. Measures aiming at the improvement of the Measures aiming at the improvement of the quality of life:quality of life:

Basic services; village renewal; conservation and upgrading of

the rural heritage (natural and cultural)

3.3. Training and Training and capacity buildingcapacity building

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“LEADER” Axis

1.1. Implementation of Implementation of local development strategieslocal development strategies through a LEADER approach to contribute to the achievement of the objectives of one or several of the three thematic axes

2.2. Inter-territorial and trans-national Inter-territorial and trans-national cooperationcooperation

3.3. Capacity building and working of Capacity building and working of Local Action Local Action GroupsGroups

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1.1. Community Strategy GuidelinesCommunity Strategy Guidelines setting out the EU priorities for the three thematic axes

2.2. National strategy plansNational strategy plans translation the EU priorities to the national situation and ensuring complementarity with other policies (Cohesion policy – ESF/ERDF)

3. National or regional rural development programmesrural development programmes articulating the four axes

Programming Steps


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Regulation and Guidelines

Rural Development Regulation

=> purpose and scope of assistance from the RD fund

Community Strategy Guidelines

=> EU level priorities within the RDR framework, in particular focus on sustainability (Göteborg) and growth and jobs (Lisbon)


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The Community Strategy Guidelines will help to:

identify and agree the areas where the use of EU support for rural development will create the most value addedvalue added at EU levelat EU level;

make the link with the main EU prioritiesEU priorities (Lisbon, Göteborg) and translate them into RD policy;

ensure consistencyconsistency with other EU policies, in particular in the field of cohesion and environment;

accompany the implementation of the new market oriented new market oriented Common Agricultural PolicyCommon Agricultural Policy and the necessary restructuring that it will entail in the old and the new Member States.


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Community guidelines

1. Axis 1

priorities: knowledge transfer and innovation in the food chain and

focus on priority sectors for investment in physical and human capital.

2. Axis 2

three EU level priority areas: biodiversity and preservation of high

nature value farming and forestry systems, water, and climate change.

3. Axis 3

the overarching priority of the creation of employment opportunities in

the fields of diversification and quality of life.


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Community Guidelines

4. Axis 4 (Leader)

priority: improving governance and mobilising the endogenous development potential of rural areas.

4. Horizontal: Member States should ensure that synergies between and within the axes are maximised and potential contradictions avoided. They will also wish to reflect on how other EU level strategies can be taken into account.

5. Horizontal: The synergy between structural, employment and rural development policies needs to be encouraged.


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ICT take up by farms and food processing farms– Extension of broadband coverage to promote new way of selling– Facilitating on-farm tourism through ICT use (booking, promotion and links)

Facilitating innovation in the supply chain– Targeted investment in equipment, process and training– Innovation initiatives for quality product

Co-operation in Research & Development– Networking between R&D centres, food industry and farmers – Take up of new technologies and processes

Public-Private partnership– Leader approach– Local services designed by local people

Increasing competitiveness– Entrepreneurship– Product quality and promotion– Quality schemes and « niche » products

Job creation and rural diversification– Tourism, craft and rural amenities– Micro businesses (training, coaching, etc.)– Child care facilities– Co-operation activities on high quality farms and local products

MEETING THE LISBON STRATEGY THROUGH NEW RD: EXAMPLES

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The timetable

Legislative framework:Legislative framework: Council regulation & Implementing Rules in place by end of 2005

Community Strategic Guidelines:Community Strategic Guidelines: adoption Autumn 2005

National strategy plans:National strategy plans: end of 2005/beginning 2006

RD programmes:RD programmes: submission 1st half 2006, approval 2nd half 2006


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At the level of the axislevel of the axis as share of total eligible public expenditure

For axis 1 and 3 a maximum cofinancing rate of 50%50% (75%75% in Convergence regions)

For axis 2 and 4 a maximum cofinancing rate of 55%55% (80%80% in Convergence regions)

COMMUNITY FINANCING RATES

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Technical assistanceTechnical assistance at programme level for preparation, management, monitoring, evaluation, information and control activities (up to 4% of programme funding)

A national rural networknational rural network supporting and bringing together the organisations and administrations active in rural development (financed from the technical assistance at programme level)

A European rural development networkEuropean rural development network to interface with the national networks and administrations (financed from the technical assistance at Commission initiative, 0.25% of RD funding)

SUPPORT AND NETWORKS

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EU Rural development policy :– takes into account the needs of European rural areas and

faces their challenges– complements national/regional/local policies– is an important element of the Lisbon process, in particular

for rural economies– should create more jobs and opportunities in rural areas

RD programmes are just now being designed in synergy with the “cohesion” programmes at national and regional level

The challenge for all of the stakeholders in rural economies is to take part somehow in the process (planning, development, implementation) and in the rural networks.

CONCLUSION

jb. benhaiem european commission co-ordinator for uk rural programmes the new european union...

Documents

rural development programme

rural development eafrd

rural development coverage

rural development rd

landscapes rural areas

rural areas rd help

uk rural programmes

quality of life slide