
Article 1 
Regulation (EC) No 795/2004 is amended as follows:

1.. in Article 2, points (c) and (d) are replaced by the following:
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c)) “permanent crops” shall mean non-rotational crops other than permanent pasture that occupy the land for five years or longer and yield repeated harvests including nurseries as defined in point (G/5) of Annex I to Commission Decision 2000/115/EC, with the exception of multiannual crops and the nurseries of such multiannual crops.
For the purpose of Article 54(2) of Regulation (EC) No 1782/2003 and in case of areas which are also subject to an application for the aid for energy crops provided for in Article 88 of that Regulation, short rotation coppice (CN code ex 0602 90 41) Miscanthus sinensis (CN code ex 0602 90 51) Phalaris arundicea (reed canary grass) (CN code ex 1214 90 90) shall be considered as multiannual crops. However, for the purpose of Article 44(2) of Regulation (EC) No 1782/2003, shall be considered as eligible hectares:

— the areas planted with those crops between 30 April 2004 and 10 March 2005,
— the areas planted with these crops before 30 April 2004 and leased or acquired, between 30 April 2004 and 10 March 2005 in view of applying for the single payment scheme.
d)) “multiannual crops” shall mean crops of the following products:

CN code 
0709 10 00 Artichokes
0709 20 00 Asparagus
0709 90 90 Rhubarb
0810 20 Raspberries, blackberries, mulberries and loganberries
0810 30 Black-, white- or redcurrants and gooseberries
0810 40 Cranberries, bilberries and other fruits of the genus Vaccinium'
2.. in Article 3, paragraph 4 is replaced by the following:
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4. Paragraphs 2 and 3 shall apply only if the farmer still needs to declare or transfer a payment entitlement or a fraction of a payment entitlement with a fraction of a hectare after having declared or transferred existing payment entitlements or fractions of payment entitlements of the same nature.';
3.. in Article 7, paragraph 6 is replaced by the following:
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6. For the purpose of paragraphs 1, 2, 3 and 4, hectares transferred by sale or by lease, and not replaced by a corresponding number of hectares, shall be included in the number of hectares which the farmer declares.';
4.. in Article 10 the following paragraph 6 is added:
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6. Member States may fix a ceiling above which paragraph 1 shall apply.';
5.. in Article 21, paragraph 4 is replaced by the following:
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4. Long term lease of six and more years started by 15 May 2004 at the latest shall be considered as a purchase of land or investment in production capacity for the application of paragraph 1.';
6.. in Article 22(2), the following subparagraph is added:
'For the purposes of application of this paragraph, “land under a lease” shall mean land which was, at the time of, or after the purchase under a lease which has never been renewed except when the renewal was imposed by a legal obligation.'
7.. in Article 25, the following paragraph is added:
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4. For the application of the second subparagraph of Article 46(2) of Regulation (EC) No 1782/2003, the percentage of the payment entitlements the farmer has used shall be calculated on the number of payment entitlements allocated to him in the first year of application of the single payment scheme, with the exception of payment entitlements sold with land, and must be used during one calendar year.';
8.. Article 47 is replaced by the following:
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Article 47 
Where the sum of the amounts to be paid under each of the schemes provided for in Articles 66 to 71 of Regulation (EC) No 1782/2003 exceeds the ceiling fixed in accordance with Article 64(2) of that Regulation, the amount to be paid shall be reduced proportionately in the year concerned.'
Article 2 
By way of derogation from Article 51 of Regulation (EC) No 1782/2003, Member States may decide for the year 2005 to apply the second subparagraph of Article 51(b) of that Regulation as amended by Regulation (EC) No 864/2004.
Article 3 
This Regulation shall enter into force on the day of its publication in the Official Journal of the European Union.
It shall apply from 1 January 2005.
This Regulation shall be binding in its entirety and directly applicable in all Member States.Done at Brussels, 8 March 2005.
For the Commission
Mariann FISCHER BOEL
Member of the Commission