The Less Favoured Area Support Scheme (Scotland) Regulations 2002

Explanatory Note

(This note is not part of the Regulations)

These Regulations, which replace the Less Favoured Area Support Scheme (Scotland) Regulations 2001, make provision for the purposes of implementation of Council Regulation (EC) No. 1257/1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund and Commission Regulation (EC) No. 1750/1999 laying down detailed rules for the application of Council Regulation No. 1257/1999.

They apply to holdings in respect of which the Scottish Ministers are the competent authority under the Integrated Administration and Control System Regulations 1993 (regulation 1(2)).

Applications for less favoured area support (“LFAS”) are to be made to the Scottish Ministers on a date which they shall determine each year. Failure to meet the deadline will result in reduction of the payment of support (regulation 3).

Eligibility for payment of LFAS is dependent upon the applicant meeting the criteria set out in regulation 4. It can only be paid to an applicant who carries out an eligible agricultural activity (defined in regulation 2(1)) on eligible land (defined in regulation 6). No payment will be made where the amount of eligible land is less than 3 hectares (regulation 5). There is provision at regulation 7 to determine to whom payment should be made where a holding is transferred during a Scheme Year.

LFAS is paid for eligible hectares on farms in Scottish less favoured areas at specified rates (regulations 8(1), 9(1), 9(2) and Schedule 3). The number of eligible hectares may be reduced because the applicant does not maintain minimum stocking densities, as appropriate (regulations 6(3) and 9(3)). Minimum stocking densities are defined in regulation 2(1) and Schedule 1. There is provision at regulation 6(6) to allow Scottish Ministers to determine the total number of livestock units where an applicant has not been able to achieve the minimum stocking density because of slaughter in consequence of foot and mouth disease.

There are transitional arrangements for payments in 2002 and 2003 (regulation 10). For those years LFAS may be increased if an applicant is due to receive less under these Regulations when compared with any payment paid or due under the 1999 Regulations. There is also provision to reduce the payment to be paid under the transitional provisions where the forage area of the holding is reduced by more than 25% during the course of the Scheme Years relevant to payments to be made in 2002 to 2003 (regulation 10(4)). For the 2002 payment, where an applicant has increased the amount of eligible land since being paid under the 1999 Regulations the Scottish Ministers will fix the amount of the 1999 payment for the purposes of calculations in regulation 10.

Regulation 11 makes transitional provision for applicants under the 2001 Regulations. Where an applicant under those Regulations either did not receive a payment under the 1999 Regulations (or received a reduced payment thereunder) or has increased the amount of eligible land since being paid under the 1999 Regulations, the Scottish Ministers shall fix the level of the 1999 Regulations payment for the purposes of determining a payment under that regulation.

Regulation 12 sets the maximum amount of less favoured area support to be paid by the Scottish Ministers in 2002.

Regulation 13 contains powers of enforcement. Regulation 15 provides for withholding or recovery of LFAS where there is a breach of the rules of the Scheme. Regulations 18 to 21 deal with offences and penalties.

Regulations 22 to 24 deal with an applicant’s right of appeal against decisions taken by the Scottish Ministers. Regulation 25 makes consequential amendments to the Agricultural Subsidies (Appeals) (Scotland) Regulations 2000.