Member states' representatives in the Special Committee on Agriculture have endorsed providing further assistance to EU countries affected by recent unprecedent natural disasters through the European Agricultural Fund for Rural Development (EAFRD). “The EU is enabling those member states who have unused rural development funds from the previous programming period to swiftly and flexibly react to the devastating effects of recent natural disasters. This will allow EU countries to use the uncommitted 2014-2020 rural development funds to recover and rebuild, by providing emergency assistance to farmers, foresters and businesses affected by climate-related disasters.” | — István Nagy, Hungarian Minister for Agriculture |
The proposal is a direct response to recent climate-related disasters and it concerns amendments to the regulation governing the EAFRD. Once the amended regulation is formally adopted and comes into force, member states will have more flexibility to provide emergency support to farmers, forest holders, and businesses affected by natural disasters Main elementsThanks to the proposal, member states will be able to reprogramme uncommitted EAFRD funds left from the 2014-2020 programming period to swiftly provide emergency assistance to farmers, forest holders, and small and medium-sized enterprises affected by climate-related disasters that have occurred since 1 January 2024. The assistance can be 100% financed through unused EU funds from the 2014-2020 EAFRD and it will come in the form of lump sums of maximum €42 000 per beneficiary. The proposal does not modify existing budgetary commitments, meaning it is budget neutral. Moreover, member states will have the flexibility to introduce and reinforce measures to restore the production potential of affected farms and forests. The proposal also reduces the administrative burden for both the recipients of EAFRD assistance and national administrations. Once the regulation is adopted, the member states concerned will have to decide how much funding to remobilise to deal with recent disasters, according to their specific needs. They will then be required to submit programme amendments to the Commission for review and adoption. Next stepsThe proposal will now have to be adopted in the Parliament's plenary. The regulation will then be formally adopted by the Council, signed by the representatives of the Council and the Parliament and published in the Official Journal. It will enter into force on the date of its publication. The short time between the publication of the proposal by the Commission (21 October 2024) and its envisaged entry into force by the end of the year shows the three institutions are committed to swifty addressing the income losses European farmers and foresters are facing due to recent devastating climate-related disasters. BackgroundThe Commission proposal is a direct response to the devastating floods that hit Central and Eastern Europe and the wildfires that ravaged Southern Europe in 2024. These have had a devastating effect on the populations living and working in these regions and led to huge losses of income for the agricultural and forestry sectors. In parallel, the Commission has also proposed amendments to the regulations governing the European Regional Development Fund (ERDF) and the Cohesion Fund (CF), and the European Social Fund Plus (ESF+), for the 2021-2027 programming period. This is part of the wider EU response that offers member states the possibility of receiving support in the aftermath of climate disasters. This separate proposal is also currently going through the ordinary legislative procedure. Additionally, the CAP Strategic Plans (2023-2027) support investments aimed at restoring agricultural or forestry potential following natural disasters, adverse climatic events, or catastrophic events. This includes measures that contribute to climate change mitigation and adaptation, with a budget of €93 billion for the 2023-2027 period. The CAP 2023-2027 also includes an agricultural reserve of at least €450 million per year, to help farmers cope with market disruptions or exceptional events affecting agricultural production or distribution. In recent years, the reserve has been deployed on multiple occasions to directly support farmers impacted by exceptional adverse climatic events. |