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Regulation (EU) No 1305/2013 of the European Parliament and of the Council of 17 December 2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) and repealing Council Regulation (EC) No 1698/2005
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Regulation (EU) No 1305/2013 of the European Parliament and of the Council, Article 45 is up to date with all changes known to be in force on or before 29 August 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.
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1.In order to be eligible for [F1support for rural development], investment operations shall be preceded by an assessment of the expected environmental impact in accordance with law specific to that kind of investment where the investment is likely to have negative effects on the environment.
2.Expenditure that is eligible for [F1support for rural development] shall be limited to:
(a)the construction, acquisition, including leasing, or improvement of immovable property;
(b)the purchase or lease purchase of new machinery and equipment up to the market value of the asset;
(c)general costs linked to expenditure referred to in points (a) and (b), such as architect, engineer and consultation fees, fees relating to advice on environmental and economic sustainability, including feasibility studies. Feasibility studies shall remain eligible expenditure even where, based on their results, no expenditure under points (a) and (b) is made;
(d)the following intangible investments: acquisition or development of computer software and acquisitions of patents, licenses, copyrights, trademarks;
(e)the costs of establishing forest management plans and their equivalent.
3.In the case of agricultural investments, the purchase of agricultural production rights, payment entitlements, animals, annual plants and their planting shall not be eligible for investment support. However, in case of the restoration of agricultural production potential damaged by natural disasters or catastrophic events, in accordance with point (b) of Article 18(1), expenditure for the purchase of animals may be eligible expenditure.
4.Beneficiaries of investment related support may request the payment of an advance of up to 50 % of the public aid related to the investment from the competent paying agencies if that option is included in the rural development programme.
[F25.Where support is provided through a financial instrument established in accordance with Article 37 of Regulation (EU) No 1303/2013, working capital may be eligible expenditure. Such eligible expenditure shall not exceed [F3EUR 200 000][F3GBP 166,667] or 30 % of the total amount of the eligible expenditure for the investment, whichever is the higher.]
6.In order to take account of the special characteristics of particular types of investments, the [F4appropriate authority may make regulations], laying down the conditions under which other costs connected with leasing contracts, second hand equipment may be considered to be eligible expenditure and specifying the types of renewable energy infrastructure that are to be eligible for support.
[F57.Paragraphs 1, 2 and 3 shall not apply where support is provided in the form of financial instruments.]
Extent Information
E1This version of this provision applies to England, Scotland and Northern Ireland only; a separate version has been created for Wales only
Textual Amendments
F1Words in Art. 45 substituted (31.12.2020) by The Rural Development (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/764), regs. 1, 6(1); 2020 c. 1, Sch. 5 para. 1(1)
F2Substituted by Regulation (EU) 2017/2393 of the European Parliament and of the Council of 13 December 2017 amending Regulations (EU) No 1305/2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), (EU) No 1306/2013 on the financing, management and monitoring of the common agricultural policy, (EU) No 1307/2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy, (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products and (EU) No 652/2014 laying down provisions for the management of expenditure relating to the food chain, animal health and animal welfare, and relating to plant health and plant reproductive material.
F3Sum in Art. 45(5) substituted (S.) (1.1.2021) by The Rural Development (EU Exit) (Scotland) (Amendment) Regulations 2020 (S.S.I. 2020/477), regs. 1(2), 4(9)
F4Words in Art. 45(6) substituted (31.12.2020) by The Agriculture (Legislative Functions) (EU Exit) Regulations 2019 (S.I. 2019/748), regs. 1, 66; 2020 c. 1, Sch. 5 para. 1(1)
F5Inserted by Regulation (EU) 2017/2393 of the European Parliament and of the Council of 13 December 2017 amending Regulations (EU) No 1305/2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), (EU) No 1306/2013 on the financing, management and monitoring of the common agricultural policy, (EU) No 1307/2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy, (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products and (EU) No 652/2014 laying down provisions for the management of expenditure relating to the food chain, animal health and animal welfare, and relating to plant health and plant reproductive material.
1.In order to be eligible for [F6support for rural development], investment operations shall be preceded by an assessment of the expected environmental impact in accordance with law specific to that kind of investment where the investment is likely to have negative effects on the environment.
2.Expenditure that is eligible for [F6support for rural development] shall be limited to:
(a)the construction, acquisition, including leasing, or improvement of immovable property;
(b)the purchase or lease purchase of new machinery and equipment up to the market value of the asset;
(c)general costs linked to expenditure referred to in points (a) and (b), such as architect, engineer and consultation fees, fees relating to advice on environmental and economic sustainability, including feasibility studies. Feasibility studies shall remain eligible expenditure even where, based on their results, no expenditure under points (a) and (b) is made;
(d)the following intangible investments: acquisition or development of computer software and acquisitions of patents, licenses, copyrights, trademarks;
(e)the costs of establishing forest management plans and their equivalent.
3.In the case of agricultural investments, the purchase of agricultural production rights, payment entitlements, animals, annual plants and their planting shall not be eligible for investment support. However, in case of the restoration of agricultural production potential damaged by natural disasters or catastrophic events, in accordance with point (b) of Article 18(1), expenditure for the purchase of animals may be eligible expenditure.
4.Beneficiaries of investment related support may request the payment of an advance of up to 50 % of the public aid related to the investment from the competent paying agencies if that option is included in the rural development programme.
[F75.Where support is provided through a financial instrument established in accordance with Article 37 of Regulation (EU) No 1303/2013, working capital may be eligible expenditure. Such eligible expenditure shall not exceed [F8£200 000] or 30 % of the total amount of the eligible expenditure for the investment, whichever is the higher.]
6.In order to take account of the special characteristics of particular types of investments, the [F9appropriate authority may make regulations], laying down the conditions under which other costs connected with leasing contracts, second hand equipment may be considered to be eligible expenditure and specifying the types of renewable energy infrastructure that are to be eligible for support.
[F107.Paragraphs 1, 2 and 3 shall not apply where support is provided in the form of financial instruments.]
Extent Information
E2This version of this provision applies to Wales only; a separate version has been created for England, Scotland and Northern Ireland only
Textual Amendments
F6Words in Art. 45 substituted (31.12.2020) by The Rural Development (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/764), regs. 1, 6(1); 2020 c. 1, Sch. 5 para. 1(1)
F7Substituted by Regulation (EU) 2017/2393 of the European Parliament and of the Council of 13 December 2017 amending Regulations (EU) No 1305/2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), (EU) No 1306/2013 on the financing, management and monitoring of the common agricultural policy, (EU) No 1307/2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy, (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products and (EU) No 652/2014 laying down provisions for the management of expenditure relating to the food chain, animal health and animal welfare, and relating to plant health and plant reproductive material.
F8Sum in Art. 45(5) substituted (W.) (26.3.2021 in so far as it relates to domestic support for rural development) by The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 7(39)
F9Words in Art. 45(6) substituted (31.12.2020) by The Agriculture (Legislative Functions) (EU Exit) Regulations 2019 (S.I. 2019/748), regs. 1, 66; 2020 c. 1, Sch. 5 para. 1(1)
F10Inserted by Regulation (EU) 2017/2393 of the European Parliament and of the Council of 13 December 2017 amending Regulations (EU) No 1305/2013 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD), (EU) No 1306/2013 on the financing, management and monitoring of the common agricultural policy, (EU) No 1307/2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy, (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products and (EU) No 652/2014 laying down provisions for the management of expenditure relating to the food chain, animal health and animal welfare, and relating to plant health and plant reproductive material.
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