Sixteenth Report of Session 2012-13 - European Scrutiny Committee Contents


17   Publication of information on CAP beneficiaries

(34282)

14314/12

COM(12) 551

Amendment to the Commission proposal for a Regulation of the Regulation of the European Parliament and Council on the financing, management and monitoring of the common agricultural policy

Legal baseArticle 43(2) TFEU; co-decision; QMV
Document originated25 September 2012
Deposited in Parliament4 October 2012
DepartmentEnvironment, Food and Rural Affairs
Basis of considerationEM of 12 October 2012
Previous Committee ReportNone, but see footnote
Discussion in CouncilNo date set
Committee's assessmentPolitically important
Committee's decisionCleared

BACKGROUND

17.1  As we noted in our Report of 23 November 2011, the Commission put forward in October 2011, as part of its package of proposals for the reform of the Common Agricultural Policy (CAP), a draft Regulation[72] to replace Council Regulation (EC) No 1290/2005 on the financing of the CAP. In doing so, it noted that, although the latter Regulation had originally included provisions regarding the publication of details of recipients of payments under the European Agricultural Guarantee Fund (EAGF) and the European Agricultural Fund for Rural Development (EAFRD), the European Court of Justice had ruled in November 2010[73] that the application of those provisions to natural persons was invalid.[74] A subsequent Commission Regulation (No 410/2011) had accordingly removed that requirement.

THE CURRENT DOCUMENT

17.2  At the same time, the Commission also said that the adoption of any new rules taking account of the opinion of the Court should be preceded by an in-depth assessment in order to find the best way of reconciling a beneficiary's right to the protection of personal data with the need for transparency, and, having carried out such an assessment, it has now proposed this amendment[75] to its earlier proposal.

17.3  This would require Member States to publish the name of each beneficiary; the municipality and post code; the amount of payment under each CAP measure (including any co-financing contribution from national funds); and the nature and a description of the measures themselves. However, there would be an exception under which beneficiaries receiving less than an amount determined by each Member State in respect of the "small farmer" exemption, established in the Commission's proposal for a new regulation on direct payments, would not be named, but would instead be identified by a unique code. The proposal also envisages that detailed rules would be being established by the Commission by way of implementing acts.

THE GOVERNMENT'S VIEW

17.4  In his Explanatory Memorandum of 12 October 2012, the Minister of State for Agriculture and Food (David Heath) says that the proposal is broadly consistent with the Government's position on transparency in the use of public funds, with the UK having supported the original implementation of this principle in Regulation No 1290/2005, and complied in full with the publication requirements. He also says that, since the Court's judgement in 2010, it has been pressing the Commission to bring forward a proposal which would maximise transparency, particularly as regards beneficiaries who are natural persons, commensurate with that judgement.

17.5  At the same time, the Minister says that the Government has two concerns about the proposal. The first is the exemption under which the names of "small farmers" (however defined) would not be published, where he says it is not clear that this stems from any justifiable difference in terms of their right to privacy between those beneficiaries (both natural and legal persons) and beneficiaries receiving higher levels of support, and that it could also create an unnecessary layer of complexity for Paying Agencies. The second concern is that the Commission is proposing this provision as part of the CAP reform package, which may not come into force until 2014, whereas it could alternatively be presented as an amendment to the current financing Regulation (1290/2005) on a potentially shorter timescale, UK policy on transparency being a return to maximal transparency in the use of CAP funds at the earliest opportunity.

CONCLUSION

17.6  Whilst this document does not break any new ground, it does touch upon the balance to be struck between the need for transparency regarding payments made from public funds and the privacy rights of beneficiaries. Consequently, although we are content to clear it, we think it right to draw it to the attention of the House.




72   (33257) 15426/11: see HC 428-xliii (2010-12), chapter 18 (23 November 2011). Back

73   Cases C-92/09 and C-93/09. Back

74   The Court argued that this was because it is not proportionate to publish personal data without drawing a distinction based on relevant criteria, such as the periods during which aid was received, or its frequency, nature and amount. Back

75   The proposal also contains some minor amendments to Regulation No 1290/2005 to reflect the accession of Croatia. Back


 
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