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Title: Overview of


1
Overview of Forestry Measures in Rural
Development
  • J. Van de Velde
  • EC DG Environment B1

2
1992-99 Forestry Regulation N 2080/92
  • OBJECTIVES
  • To accompany the changes linked to the 1992 CAP
    reforms (Mc Sharry / set-aside) by offering
    forestry as an alternative to agricultural
    production
  • To contribute to an improvement in forest
    resources of the EU (forest products deficiency
    in 12 MS)
  • To contribute to forms of countryside management
    more compatible with environmental requirements
  • To counter greenhouse effect and sequester CO²

3
Forestry Regulation N 2080/92
  • MAIN PRINCIPLES
  • Modulation of the aid (broadleaves, conifers,
    fast growing trees) as integral part of scheme
  • Introduction of a maintenance premium over the
    first 5 years (according to the type of
    plantation )
  • Opening the aid to a wider range of
    beneficiaries, but compensation to farmers most
    important in budget
  • Significant increase in the budget available and
    eligible actions compared to previous schemes

4
Forestry Regulation N 2080/92
Total cost for the EAGGF 1 519 Mio
(1992-1999) Breakdown by species classes
Medium and long term broadleaves 56.8
562 142 ha Medium and long term conifers
32.1 317 467 ha Mixed plantations
(broadleaves con.) 7.1 70 175 ha Fast
growing trees (Euc./Pop./Pinus) 4.0
39 464 ha Total planting 1992-99
approx. 1.000.000 ha
5
Forestry Regulation N 2080/92 Afforestation by
EU Member States (1993 -1999)
6
2000-2006 Rural Dev. Reg. 1257/99
  • Agenda 2000
  • Creation of separate schemes for direct support
    ( pillar I ) and rural development ( pillar
    II )
  • Principles of Rural Development policy
  • - Multifunctional agriculture and forestry
  • - Multisectoral and integrated approach to rural
    economy
  • - SUBSIDIARITY MS to draw up own RD programmes
  • RD Most important vehicle for implementing EU
    Forestry Strategy (98) , new RDR with complete
    chapter (VIII) on Forestry measures

7
  • .

EU Common Agricultural Policy(Including the 2003
reform in yellow)
Common Market Organisations (1. pillar)
Rural Development (2. pillar) Modulation 9 2
measures Farm advisory system
Indirect support (intervention, export
subsidies, import duties)
Direct support (payments to farmers) Indirect
support remains
RD Plans at national and regional level
Decoupling Single farm payment Cross compliance
applies
Milk
Sugar
8
RD Regulation N 1257/99
  • Chapter VIII Possibilities for forestry support
  • art. 30 investments in forestry activities,
    support for SFM and planting of non-agro land
  • MS decide 40-50 co-financing of real costs
  • art. 31 plantings on agricultural land
  • planting costs 100 supported
  • maintenance premium/ ha during 5 yrs.
  • compensation of income during 20 yrs (725 /ha
    -185 /ha)
  • (public owners only planting costs)
  • art. 32 ecological functions firebreaks
  • condition for support costs gt income
  • MS fix payments 40-120 /ha , based on real costs

No detailed technical conditions but more general
principles set the rules
9
EAGGF Guarantee Guidance expenditure by RD
measures 2000-2006 (in and million EUR)
1824
4 682
344
1 423
12 649
6 128
4 807
3 760
13 480
Total 49 billion
10
RD Regulation N 1257/99 uptake of
forestry measures in EU 15
  • Chapter VIII-Forestry measures - EU
    contribution (EAGGF- guarantee guidance) in Mio
    - Total / afforestation

11
2007-2013 Rural Dev. Reg. 1698/2005 Agenda
2007
Rural Development 2007-2013
Combined Programming for all sectors
Axis 2Environment Land Management (gt25)
Axis 3 Diversif. Quality of Life (gt15)
Axis 4 Leader 
Axis 1 Competi-tiveness (gt15)
Single set of programming, financing, monitoring,
auditing rules
Single Rural Development Fund
12
RD Regulation 1698/2005
  • Whats new
  • Simplification gt only 1 fund EAFRD
  • Three priority axes competitiveness
  • land
    management
  • diversification
  • ( axis 4 LEADER small projects scheme)
  • Consultation partnership approach (6)
  • Wider use of advisory services more training
  • Community Strategy gt National strategy
  • Designation of areas for measures by MS (50)
  • Agriculture Forestry completely in parallel
    sets of measures ( no more links required )

13
Justification of Forestry measures
  • Treaty basis has changed over time
  • Originally the basis was a strong link to CAP
    gt farm landscape structure / farmers as
    preferential beneficiaries in 2080/92 1257/99 )
  • With new RDR 1698/2005, no more formal link to
    agriculture exists gt ENV as Treaty basis
  • See considerants of new RDR
  • Argument to defend environmental added value when
    negociating with MS
  • Compare to new State Aid rules

14
AXIS 1 3
  • AXIS 1 COMPETITIVENESS (20)
  • - vocational training (21)
  • - setting up young farmers (22)
  • - early retirement (23)
  • - use of advisory services (24)
  • - setting up advisory services (25)
  • - farm modernisation (26)
  • - improving economic value of forests (27)
  • - adding value to products
  • co-operation (28)
  • developing new products (29)
  • - infrastructure support (30)

AXIS 3 QUALITY OF LIFE/RURAL ECONOMY (52) -
diversification into non-ag activities -
micro-enterprises - tourism activities - basic
services for economy - village renewal -
conservation rural heritage - training - skills
acquisition animation
  • - gt mainly agro-specific measures

- gt some forest specific measures
15
AXIS 2 land management (36)
  • Agricultural land (36a)
  • support for mountain areas (i)
  • LFA support (ii)
  • Natura 2000 Water FD payments (iii)
  • agri-environment (iv)
  • animal welfare (v)
  • non-productive investments (41)
  • Forest land (36b i-vii)
  • afforestation on agr. Land (43)
  • Agroforestry (44)
  • afforestation on non agri-land (45)
  • Natura 2000 (46)
  • ( but no WFD ! )
  • forest environment (47)
  • restoring forestry potential (48)
  • non-productive investments (49)
  • gt Agro For. are now at par

16
Whats new for forestry ?
  • New
  • Establishment support for agro-forestry (axis 2)
  • creation and development of micro-enterprises
  • (axis 1
  • Changed
  • afforestation restricted to first afforestation
  • broadened support measures for maintaining and
    improving environment to focus on Natura 2000 and
    forest environment payments
  • No more support for the establishment of
    associations
  • Reduction in support rate for afforestation costs
    and period of compensation of income

17
Support levels RD Reg. 1648/2005
  • Annex
  • Axis 1
  • 80 co-financing of advisory services , max.
    1500 /unit (24) (25)
  • 50 or more co-financing of investments (27)
    (28)
  • Axis 2
  • lower levels of support for plantations (43/45)
  • - co-financing 40 / 50 / 75 (all types of
    land)
  • - maintenance 5 yrs. (agro benef.)
  • - compensation of income 500/150 /ha, max. 15
    yrs. (agro benef.)
  • agroforestry establishment costs, co-fin. 70-85
    (44)
  • Natura 2000 payment 40-200 /ha (46)
  • forest environment payment 40-200 /ha (47)
  • Support for non-productive investments
  • ( reduced eligibility for state forests ,
    44/46/47 excluded)
  • Axis 3 setup costs covered , no co-fin or
    max. specified

18
Plantations (43-44-45)
  • Afforestation of agricultural land
  • Establishment / maintenance / compensation
  • Public owners only establishment costs
  • Fast growing trees only estabishment ( see IR)
  • Avoid concentration on this (classical) measure
  • Agroforestry
  • Most interesting for MED zone (cork / fruit
    trees)
  • See IR on  local conditions  and spp. choice
  • Afforestation of non-agro land
  • Mostly non cultivated open land
  • Biodiv. Implications to be carefully screened ,
    e.g. for wetlands / bogs / semi-natural
    grasslands (wet/dry)

19
Environment (46-47)
  • Forests Natura 2000 payment
  •  Costs incurred   income foregone  to be
    specified
  • N2000 designations to be specified
  • N2000 management plans or equivalent
  • Forest Environment payment
  • No set of conditions comparable to CC in agro
  •  Relevant mandatory requirements  to be
    specified
  •  Additional costs   Income foregone  to be
    specified
  • 5-7 yrs. commtiment period is short for forestry
  • For both measures , a reasoned explanation of
    the support levels chosen can be expected from MS

20
Additional (48-49)
  • Restoration prevention
  • Replanting after windfall and forest fires
  • Potential for important ecological added value
  • Allows to avoid repetition of disasters
  • Possibly high demands of Med. Zone for fire
    prevention balance with other measures ?
  • Non-productive investments
  • Can be linked to forest-environment , focussing
    on biodiversity
  • Mainly intended for public access, all owners
    eligible
  • Avoid concentration on infrastructure

21
Implementing Rules
  • Axis 1 rules
  • Advisory services degressive support (16)
  • Investment support art. 1819
  • Forest holding level
  • Avoid run on machinery
  • No support for industrial processing ( no
    downstream  )
  • Axis 2 definitions (29-30-31-32-33-34)
  • Forest OWL definitions
  • Eligibility criteria for owners
  • Agroforestry
  • Restoration / prevention / non-productive
  • Designation of areas
  • Axis 3 partnership criteria (36)

22
Challenges / Issues (I)
  • Lower Support for Afforestation (also env.
    Plantations)
  • Maximum public support for establishment costs
    capped at 50 (60 for LFAs and mountain
    regions), see annex 1
  • Income foregone payments reduced to 15 years
  • No more support for owner co-operation or
    establishment of forestry associations Investment
    support restricted to micro businesses
  • No comprehensive set of rules for environmental
    conditionality on forestry support that compares
    to cross compliance

23
Challenges / Issues (II)
  • Consultation partnership approach (6)
  • Eligibility for forestry measures (42.1)
  • All forest owners eligible (43) , (45), (48) ,
    (49)
  • Private Municipal only (44) , (46) , (47)
  • State forests not eligible (44) , (46) , (47)
  • Designation of areas (50.1 / 50.6-7-8)
  • Applies to 34 b (i) , (iii) , (iv) , (vi) /
    (43-45-46-48)
  • Important planning measure to give owners
    security about what is / is not possible on their
    land

24
Cross compliance in forests?
  • Existing Annex III IV approach of 1782/2003 for
    the agricultural sector applies in theory to
    forests.
  • EU legislation
  • - Habitats directive
  • - Birds Directive
  • - Water Framework Directive
  • - EIA / SEA
  • Good Woodland Condition or Good Forestry
    Practice concept was refused by MS AGRI
  • This means
  • Less specific framework conditions than under
    Agenda 2000
  • More decision power to Member States
  • Less direct prescriptions from Brussels

25
Forests in transition 2007-2013
  • A very diverse set of interests
  • Forest woodland covering 165 M ha , still
    extending (500 000 ha/yr in EU 25 plant. / NR
    50/50 )
  • Forest expansion can be problematic (debate in
    several MS landscape , natural habitats )
  • Energy Policy White Paper/RES directives
    gtbiomass action plan gt biofuel strategy
  • Forest policy will increasingly respond to
    broader issues (climate/water/biodiv./landscape)
  • Will importance as economic resource decline, and
    reliance on imported raw material rise,
    notwithstanding policy to expand the resource
    base since over 25 yrs. ?

26
What to avoid ?
  • Environmental damage from forestry
  • loss of undisturbed forest habitats
  • loss of semi-natural woodlands
  • decline of existing forest biodiversity
  • intensification of forest management
  • increasing uniformity of stand structures
  • unwise use of exotic species (fire/wind)
  • introduction of animals for hunting
  • large scale drainage (peat soils / wetlands)
  • acidification / eutrophication (plantations)
  • - gt see DOBRIS 3 Report (EEA - 1998)

27
What to look for ?
  • Forest products and public benefits
  • timber as an enviromentally friendly material
  • non-wood products, responsible hunting , food
  • renewable energy from forest biomass
  • environmental forest services
  • - habitats and species
  • - landscape
  • - soil and water protection
  • - flood management
  • - carbon sequestration
  • public access , recreation infrastructure

28
About EU forests
  • Major form of land use Forest wood- land
    cover total UAA ( 165 M ha / 33 cover )
  • Actual forest estate is mostly semi-natural and
    sector has low ecological footprint but Virgin
    sites are very rare
  • Large variety of natural forest types and forest
    use, with many transitions and regional
    combinations (N/S E/W)
  • Large variety in forest cover ( lt10 to gt 70 )
  • See For. Strat. Report Staff WP COM(2005)84

29
Forest  clusters  (I)
  •  The Nordics  
  • Austria, Finland, Sweden and the three Baltic
    states Estonia, Latvia and Lithuania heavily
    forested and have substantial forest products
    industries based predominantly on coniferous
    forest and a high utilisation rate
  • The South
  • France, Greece, Italy, Spain, Portugal and Cyprus
  • Mediterranean woodland, managed primarily for
    protection and where fire is potentially a
    serious threat. France and Italy in particular
    also have large areas of temperate forest and
    mountain forests, including coppice areas, farm
    woodlots and community forests utilisation rate
    of Med. Forests is generally low

30
Forest  clusters  (II)
  • Old and new classics
  • Belgium/Luxembourg, N. France and Germany have a
    mixed ownership structure and a wide range of
    semi-natural forest types with timber production
    being significant but forest output is generally
    below sustainable capacity
  • Poland, the Czech Republic, Slovakia and Slovenia
    have coniferous, broadleaved and mixed forests
    which have mostly been subject to age class
    management with a stocking rate generally higher
    than in W. Europe, and the tree species generally
    closer to the natural habitats than in the EU 15.
  • Man-made forests
  • Denmark, Ireland, the Netherlands, Hungary and UK
    have predominantly artificial forest, based on
    plantations, the objects of management have been
    widened in the last decade to encompass service
    values, leaving productive functions in the
    background
  • SW France, N Spain and parts of Portugal have
    large areas of industrial wood plantations,
    mainly destined for pulping and a high
    utilisation rate.

31
About EU ENLARGEMENT
  • 25 increase in forest area
  • 30 increase in no. of forest holdings
  • 47 increase in standing stock
  • large potential for employment in forest sector
  • increased self reliance for forest products
  • large increase in protected forest areas

32
Business as usual
33
No intervention
34
Wet Forests
35
Multifunctional
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