SRD02 Agricultural production investments for environment, climate and animal welfare

Description of intervention.

The intervention is aimed at enhancing the climatic-environmental performance of farms and improving animal welfare on livestock farms.

The intervention pays particular attention to the realisation of investments aimed at favouring

AimAction A: rationalisation of agricultural production processes that reduce the emission of climate-altering gases (methane and nitrous oxide) and other air pollutants (ammonia) and/or increase the soil's carbon sequestration capacity

Objective Action D: to favour the evolution of livestock farming towards a more sustainable and ethical model, through the introduction of innovative and precision management systems that increase animal welfare and biosecurity.

Objectives.

The intervention contributes to the achievement of the general objectives of points (a) - (b) - (c) of Article 5 and of the following objectives of Article 6 of Regulation (EU) 2021/2115

• SO2 To improve market orientation and increase farm competitiveness in the short and long term, including through an increased focus on research, technology and digitisation.
• SO4 Contribute to climate change mitigation and adaptation, including by reducing greenhouse gas emissions and improving carbon sequestration, and promote sustainable energy.
• SO5 Foster sustainable development and efficient management of natural resources such as water, soil and air, including through reducing chemical dependency.
• SO9 Improve Union agriculture's response to societal demands for food and health, including high quality, healthy and nutritious food produced in a sustainable manner, reduction of food waste as well as improving animal welfare and combating antimicrobial resistance.

This measure is implemented throughout the territory of the Province of Trento; initiatives carried out on or serving areas outside the provincial territory are not eligible.

Budget for the 1st call for proposals SRD02 Expenditure total public expenditure euro 6.388.188,71 - EAFRD share euro 2.599.992,80

Cumulabilityà of aid

Expenditure financed under Resolution 2454/2023 is not eligible for any other financing through EU financial instruments. For the same expenditure, support through national (State or regional) State aid schemes is allowed only if the total cumulated amount granted with the different forms of support does not exceed the maximum aid intensity or the amount of aid applicable to the type of intervention in question, as set out in Title III of Regulation (EU) 2021/2115.

General eligible expenditure

Start-up of theinvestment operation and effect of the incentive

The following are eligible

1. initiatives started and expenditure incurred after the application for aid has been submitted. Start-up is defined as the physical implementation (works executed, delivery of movable goods, purchase and sale contract) and the date of the documentation certifying the beneficiary's commitment to order equipment or employ services (e.g. order confirmation), date of invoicing and payment of works, purchases and supplies;
2. only design costs (including supporting expertise) incurred by the beneficiary in the 24 months prior to the submission of the application and related to the design of the works attached to the application, and in any case incurred after 1 January 2023.

Contingencies

Expenses for contingencies are eligible up to a maximum of 3% of the works, higher percentages must be adequately justified within a maximum of no more than 5%.

Overheads

General expenses related to eligible costs are eligible up to a maximum of 12% of the other eligible costs (costs related to works/installations and contingencies), with the following sub-limits

1. technical expenses (including social security contributions) up to a maximum of 8% for eligible expenses on works up to €250,000 and a maximum of 5% for eligible expenses on works above that amount;
2. in case of submission of the Security Project, technical expenses on works may be increased by 2 percentage points.

Additional technical expenses (e.g. geological surveys, etc.) are also eligible, subject to the 12% maximum limit mentioned above.

Form and amount of support Expenditure limits of the intervention

Support is granted in the form of a capital contribution

The amount of support is established as shown in the table below:

The aid percentage is increased by 10% in the case of applications submitted by young people or by applicants belonging to EIPs or groupings of associated farmers.

In the case of applications submitted by young people forming part of EIPs or groupings, the aid percentage is increased by a further 10%.

1. The minimum amount of eligible expenditure per application is €40,000.00 excluding VAT, both at the grant and at the final payment stage.
2. The maximum eligible expenditure per aid application is € 1,000,000.00 excluding VAT.
3. The maximum eligible expenditure limit per beneficiary and programme is € 1,000,000.00 excluding VAT.
4. In the case of applications submitted by agricultural operators who are 65 years of age or older on the date the application is submitted, the maximum eligible expenditure is Euro 100,000.00 excluding VAT. In the case of companies and associations of companies, this provision applies if the average age of the members is over 65.

For all interventions requested by entities operating in the dairy and beef zootechny sectors, the farm must meet the following requirements

- possess a manure or slurry tank of adequate size. The minimum dimensions are given in point 5.4 paragraph 3 letter a) of the criteria resolution;

- comply with the following UBA/ha ratio

- dairy cow, sheep and goat farms: UBA/ha ratio <= 2.5

- fattening cattle farms : LU/ha <= 2

- enterprises with fixed-housing farms, regardless of the initiative for which the grant is requested for all investment operations must be in possession of SQNBA certification for the farm when applying for final payment of the grant.

The eligible investment operations are:

- Livestock breeding and production facilities:

- Expenditure on the construction, improvement, renovation, rehabilitation and extension of livestock rearing facilities and facilities serving production activities (e.g. manure stores, manure collection tanks, barns, silos, etc.) and related plant and equipment, including installation, are eligible. Machinery andequipment sheds are not eligible for funding.

- Operations involving manure and manure collection tanks are eligible only if these facilities are covered.

- The purchase of structures is eligible within the limits specified in point 5.4 paragraph 1 of criteria resolution No 2455/2023. In the case of the purchase of facilities for livestock breeding, the beneficiary is required to have obtained the SQNBA certification for the livestock breeding that is the subject of the financed initiative at the time of the final payment of the grant.

- The purchase of land is eligible within the limits specified in point 5.4 paragraph 2 of Criteria Resolution No 2455/2023.

- Concerning the construction of new stables the construction of stables with loose housing is eligible, thus excluding fixed housing.

- Restructuring of agricultural land (land improvements)

Expenditure on land improvements to increase the forage area of the holding or to reduce CO2 production is eligible.

Eligible expenses are

1. levelling, ploughing and related works where any soil input from outside is vegetable soil;
2. drainage works;
3. construction of farm tracks, only if they are functional to the development of the farmland through the operations d specified in point a);

The addition of external material other than vegetable soil is not eligible for funding.

Work on agricultural land with a change of cultivation from woodland to agricultural crops, excavation expenses if aimed at removing material outside the area affected by the works and expenses for land purchase are not eligible.

Machinery and equipment

Machinery and equipment listed in Annex 1 to Resolution 2455/2023 are eligible, subject to the maximum expenditure limits specified for each type. Machines powered by fossil fuels are not eligible.

In the first application for the 2023 call for applications, the machinery and equipment indicated in Annex 1, identified in the appropriate column, for which funding is provided for by the provincial call for applications implementing the Decree on the sub-measure 'Modernisation of agricultural machinery' - PNNR - Mission 2 component 1, Investment 2.3 - Innovation and mechanisation in the agricultural and food sector, will not be eligible.

Only one machine of each type may be admitted to each application.

All machines and vehicles approved for road circulation must be in possession of the documentation required by the regulations in force for road circulation.

Supply of energy from renewable sources for business needs

The following types of plant and equipment for the sole production of energy for farm needs are eligible. Any share of costs corresponding to the estimated needs for the dwelling is deducted when determining the expenditure.

• Biomass boilers
• Solar thermal systems
• Stand-alone photovoltaic systems
• Photovoltaic grid systems
• Plants for the production of thermal and electrical energy from biogas.

In the case of applications from consortia is companies between agricultural enterprises, the cumulative requirement of the member farms is taken into account.

For biogas plants with respect to the total thermal energy produced by the plant, at least 30% must be used by the applicant farm.

Concerning the characteristics/sizing of the plants, the type of eligible expenses and the maximum expenditure limits, please refer to point 5.4.1.4 of the criteria resolution no. 2455/2023

For ineligible expenses please refer to point 5.5 of the Decision on Criteria.

Selection of aid applications

Priority criteria and scores to be attributed to applications, please refer to point 7 selection of aid applications, of the criteria resolution n. 2454/2023.

The information supporting the priority criteria and proving the score required is contained in the aid application and in the specific declarations relating to the intervention. The scoring requirements must be met by the applicant at the time the application for support is submitted.

Only applications scoring no less than 10 points may be financed.

The amount of the expenditure must be duly justified by invoices in the name of the beneficiary and duly receipted or by documents of equivalent probative value to invoices.

Expenditure paid by the beneficiary by means of a bank or postal transfer or by Riba, to the current account in the name of the beneficiary or co-owned by the beneficiary (current account dedicated, even if not exclusively, to the investment operation) is eligible. Limited to the purchase of structures/land, payment by registered bank draft is also permitted, with proof of debiting.

Payment in cash is not permitted under any circumstances.

The Unique Project Code (Cup) must be quoted on all invoices and in all payments. The code is assigned by the Agricultural Service and will be communicated to each beneficiary before the grant is awarded. The CUP must always be present in the documents supporting the expenditure (invoices and payment documents) issued after the communication of the CUP itself.

Expenditure supported by documents (invoices and/or payments) without a CUP code will not be eligible for funding.

For documents issued prior to the communication of the CUP code, reconciliation is permitted by referring to the CUP manually on the invoice (PdF style sheet) and attaching a separate declaration in lieu of affidavit by the applicant, indicating the invoice details, the amount and type of initiatives carried out linked to the invoice and the CUP code assigned for such initiatives.

Reconciliation, as explained above, is allowed in the event a mistake is detected in the typing of the CUP code, which must in any case be written on all the documents evidencing the expenditure (invoices and payment certificates).

In the hypothesis of payments made for the purchase of structures and land, the deed of sale must indicate the CUP code and the serial code of each bank draft. For the purposes of the obligation of traceability of expenditure, the deeds of sale shall be in the form of a public deed or a notarised private deed.

OBLIGATIONS

The beneficiary of an investment operation undertakes to

1. to carry out the operation in accordance with the terms defined in the decision granting the Agriculture service, without prejudice to any variations and extensions;

2. subject to cases of force majeure and exceptional circumstances, ensure the stability of the supported investment operation for a minimum period of time of

   - 5 years from the date of final payment to the beneficiary for movable property and equipment;

   - 10 years from the date of final payment to the beneficiary for immovable property, building works, including fixed equipment;

3. maintain the following UBA/ha ratio for 5 years from the final payment date:

   - dairy cow, sheep and goat farms: UBA/ha ratio <= 2,5

   - fattening cattle farms: LU/ha <= 2

Obligations are checked by means of ex-post controls in accordance with the relevant regulations. Sample checks will also be carried out, in accordance with the relevant regulations, on declarations in lieu of affidavits and certificates.

In order to comply with the information and publicity obligations for the investment operations supported by the EAFRD, the provisions of Regulation (EU) No. 2022/129 and of the provisions issued by the Managing Authority shall apply. The provisions on publicity and information obligations for each individual operation are available at the following link https://www.provincia.tn.it/FEASR .

Applicants

Individual or associated farmers who, in accordance with Article 2135 of the Civil Code, are engaged in cultivation of the land, forestry, animal husbandry, and related activities, and who have an agricultural VAT number and are registered with the Chamber of Commerce, Industry, Crafts and Agriculture (C.C.I.A.A.) as of the date the application is submitted. The C.C.I.A.A. registration requirement is waived for young farmers who have submitted an application on Intervention SRE01 of the PSP and have not yet completed the establishment process.

Entrepreneurs who carry out exclusively forestry and aquaculture activities are excluded.

Eligibility condition

On the date the aid application is submitted, each applicant is obliged to set up and update the electronic farm file. Information on the farm file and the user guide are available on the website of the Provincial Paying Agency - APPAG, at the following link: http://www.appag.provincia.tn.it/APPAG/Fascicolo-aziendale.

Only enterprises operating in the dairy and beef livestock sectors are eligible for aid under this notice.

For investment operations relating to Livestock facilities and production facilities (point 5.4.1.1) the applicant, in order to ensure compliance with the 10-year restriction on use from the date of final payment of the grant, must be the owner or holder of registered beneficial ownership of the land parcels or buildings concerned. Alternatively, this requirement may be held by a partner of the applicant enterprise, provided that 100% of the ownership or other right in rem is attributable to the partners of the enterprise.

By way of derogation from the property ownership requirement, investment operations relating to interventions for which the assets concerned are held by the applicant by virtue of an appropriate and duly registered title of use, as well as the authorisation signed by the owner to carry out the works are eligible for financing, provided that the initiatives of a building nature are requested for an amount not exceeding 100,000.00 euro.

Initiatives of a building nature on structures owned by public bodies, civic use bodies, consortia or foundations leased or granted to farmers and initiatives relating to the development of agricultural land are exempt from the ownership requirement

Aid may not be granted to

1. enterprises to which aid granted under the 2007-2013 and 2014-2022 RDPs and the current PHP has been recovered and then withdrawn, without repayment of the same
2. in the case of mixed undertakings that have not complied with the compulsory grubbing-up requirements ordered by the Agricultural Service (Provincial Plant Protection Office) in compliance with provincial (ref. art. 55 bis, paragraph 6 ter, of Provincial Law 4/2003), national and Community sector regulations.

Failure to meet one of the eligibility requirements will result in ineligibility for support or partial or total forfeiture of the aid.

Eligibility Criteria

In order to be eligible, the application for support must be accompanied by the submission of an Investment Project aimed at providing elements for the evaluation of the consistency of the operation in achieving the objectives of the intervention.

This project must highlight the improvement effects of the investment in order to meet requirement E1.1 "Increase the profitability of agricultural, agri-food and forestry holdings" and requirement E3.12 "Encourage the evolution of livestock farms towards a more sustainable and ethical model".

The Investment Project must also provide evidence of the fulfilment of the objectives set out in Article 6 of Regulation (EU) 2021/2115 mentioned above.

For aid applications for an amount of expenditure requested of less than € 100,000.00, the Investment Project must be signed by the applicant, while for aid applications for an amount of expenditure requested of more than € 100,000.00, the Investment Project must be drawn up and signed by a qualified and competent professional in accordance with the professional orders recognised by the regulations in force.

The application may be submitted by the owner of the farm or by the legal representative in the case of a company, (a consultant may be used to enter the application into SRTrento only).

The application must be submitted online by accessing the provincial agricultural information system SRTrento at https://srt.infotn.it that can also be reached from the portal https://a4g.provincia.tn.it/ by the deadline of 30 June 2024.

To submit the application you must

- have a digital signature;

- whoever enters the application (the applicant or the appointed consultant) must be accredited to the portal, as specified on this webpage

The application must be digitally signed by the person entitled to sign the document, otherwise it will be inadmissible.

For any assistance in accessing and enabling the portal, please contact helpdesk.srtrento@provincia.tn.it.

Only one application may be submitted

The following shall constitute grounds for the inadmissibility of the application

1. failure to meet the deadline for submitting applications
2. the absence of information enabling the applicant to be unequivocally identified;
3. failure of the legal representative to sign the application;
4. the submission of applications using methods other than those described above;
5. applications signed by a person other than the legal representative or a person expressly delegated or without a signature.

The application acquires the data from the farm file and contains

• an indication of the scoring titles with reference to the selection criteria, with the relevant details for ex officio acquisition;
• for applications of less than €100,000 an Investment Project with the contents as per point 5.2, paragraph 3;
• if required by the urban planning regulations in force, details of the urban planning title (building permit or equivalent deed);

The application also contains a declaration in lieu of affidavit, pursuant to Articles 46 and 47 of Presidential Decree no. 445 of 28 December 2000, certifying

- that, for the initiatives in question, it has not benefited from any other aid provided for under current European, national, regional or provincial legislation other than the limits laid down in point 6.3 'Compatibility and cumulation with other aid and facilities' above

- that the firm is not in difficulty, as defined by current Community legislation

- that the company is not the recipient of any aid previously declared unlawful by the European Union;

-the type of title held;

-in the case of compulsory grubbing-up measures ordered by the provincial plant health service in accordance with provincial, national and Community sectoral legislation, that it has complied with the prescribed grubbing-up obligations.

The following requirements will be ascertained ex officio:

- registration with the CCIAA;

- possession of a VAT number.

The applicant also declares to have read the publicity obligations of Regulation (EU) No 2022/129 and provisions issued by the Managing Authority.

Documents to be attached to the aid application

Ahe application must be attached, under penalty of non-admissibility:

1. for applications amounting to €100,000.00 or more, an Investment Project with the contents set out in point 5.2, paragraph 3, drafted and signed by a qualified and competent professional in accordance with the professional orders recognised by the regulations in force.

2. If the application includes initiatives relating to works, the following documentation must be attached

a)technical report describing the works to be carried out signed at the bottom of the page by the qualified technician;

b)complete project approved, if envisaged by the regulations in force, with building permit or equivalent deed, as well as a copy of the same on computerised support in pdf format

c)estimated metric calculation of the works signed at the foot of the page by the qualified technician, drawn up in accordance with the items in the Autonomous Province of Trento's price list for public works or, for those items not present, in accordance with the price lists published by the C.C.I.A.A;

d)a simple copy of the duly registered title of ownership attesting the availability of the assets concerned by the eligible works, of which the applicant is not the owner

e) the authorisation signed by the owner to carry out the works;

f)in the case of works already started at the date of submission of the application, a declaration by the works manager certifying the progress of the works, accompanied by a photograph and indicating the date of the shooting;

3. If the application includes initiatives relating to the purchase of structures/land, the following must be attached

a)plain copy of the preliminary sale agreement registered at the Revenue Office;

b)appraisal report of the structure/land, signed by an independent qualified technician, showing that the purchase price is not higher than the market value and that the property complies with the urban planning regulations in force, or specifying the elements of non-compliance, in cases where the operation provides for their regularisation by the final beneficiary.

4. If the application includes initiatives for the purchase of plant, machinery and equipment

(a) three cost estimates signed by the supplier, detailed, comparable and competitive with the market prices, issued by 3 different, independent and competing suppliers. For machinery and equipment, the quotations must show the technical characteristics set out in Appendix 1. For real estate installations or installations for the production of energy from renewable sources, the estimated metric calculation may be submitted as an alternative;

b) if the applicant does not choose the lower estimate, a brief technical-economic report by a qualified technician explaining the reasons for the choice of the estimate considered valid. Failing this, the cost of the lowest estimate shall be taken into account.

c) in the case of acquisitions of highly specialised goods and in the case of investments to complete pre-existing supplies, for which it is not possible to find or use more than one supplier, a detailed cost estimate to which must be attached a technical-economic report by a qualified technician highlighting the impossibility of identifying other competing companies capable of supplying the goods to be financed, regardless of the value of the goods or supplies to be purchased.

5. In the case of plants for the supply of energy from renewable sources

a) three cost estimates signed by the supplier, detailed, mutually comparable and competitive with market prices, issued by 3 different, independent and competing suppliers. Alternatively, the estimated metric calculation may be submitted;

b) project of the installation signed and stamped by a qualified technician where provided for by DM 37/2008 or declaration that no project is required;

c) if the project is not necessary: submission of a map extract, highlighting the position of the plant on the building/land parcel affected by the intervention

d) if envisaged by the regulations in force, presentation of the urban planning measure pursuant to L.P. N. 4/2022 Measures for the promotion of the use of energy from renewable sources. If the urban planning measure is the Communication of free works or the Cila, the details must be communicated with the application;

e) a report signed and stamped by a qualified technician indicating any distinction between business and residential requirements (in percentage terms) certifying

- for photovoltaic systems: the correct sizing of the system with respect to the farm's needs calculated on the basis of the consumption of the previous three years and, for new structures, on the presumed consumption based on the functional needs of the new structure; number of panels and total power of the system expressed in kWp

- for solar thermal systems: number of panels installed and their size with indication of the total surface area of the system

- for biomass boilers: plant sizing with an indication of the efficiency level of the plant, indication of the power output expressed in kWp, type of loading (manual or automatic) and declaration that they fall within the classes envisaged by the "Conto Termico " as per Ministerial Decree of 28 December 2021 and subsequent amendments

- for biogas plants: plant sizing with an indication of the level of electricity and heat production in compliance with the limits provided for eligibility under point 5.4.1.4.

Additional documentation required for applications with a requested amount greater than or equal to €300,000.00 and or including initiatives relating to the purchase of structures.

1. Within 90 days (which may be extended by a further 60 days upon justified request) of receipt of the notification of the position in the ranking list eligible for funding, the applicant shall submit

a) for applications for an amount requested greater than or equal to €300,000, a positive assessment by a credit institution to the granting of a loan or medium-term financing for at least 50% of the expenditure requested
b) in the event that the purchase of the structure is envisaged and a simple copy of the preliminary sale agreement registered with the Inland Revenue Agency is attached to the application, the documentation envisaged under point 7.5 paragraph 2, letters a)-b)-c)-f).

The procedure for granting or refusing the grant is structured as follows:

1. approval procedure, by determination of the manager, of a merit ranking of the applications submitted drawn up on the basis of the scores awarded, within 45 days starting from the day after the deadline for submitting applications;

2. notification to the applicant of the person in charge of the procedure, of the position in the ranking list eligible for funding and any request for regularisation or supplementation of documentation for the purposes of the preliminary investigation

3. alternatively, a notice will be sent to the applicant of the position in the ranking list ineligible for funding

4. the procedure concludes with a determination by the Director of the Agricultural Service within 120 days from the approval of the ranking list (days of expiry of the administrative procedure) granting or not granting the contribution to the applicant. The act granting the contribution may impose conditions and constraints in relation to the specific investment project;

5. notice of grant/denial of the grant.

Assessment of aid applications

1. For all eligible aid applications, the person in charge of the procedure of the Agricultural Service shall verify through administrative checks and possible on-farm inspections the following requirements

(a) the presence of the subjective requirements

(b) the regularity and completeness of the documentation submitted,

c) the eligibility of the scores awarded in the ranking list according to the selection criteria,

(d) the relevance, functionality and eligibility of the expenses requested

e) the reasonableness and congruity of the eligible expenditure,

f) the content of the Investment Project

g) the amount of the grant that can be awarded

2. Without prejudice to the application of the maximum unit costs specified in the description of the individual investment operations, the reasonableness of the expenditure shall be determined as follows

a) assessment of the requested metric calculation, in the case of works and/or plants, which must be drawn up on the basis of price lists for public works published in the Official Bulletin of the Region of Trentino Alto Adige, for the Autonomous Province of Trento or, for those items not included, on the basis of price lists published by the C.C.I.A.A;

b)evaluation of 3 cost estimates in the case of machinery, equipment and plants, which must be from competing firms;

c)evaluation of the technical-economic report of 1 cost estimate in the case of machinery, equipment and plant for which it is not possible to identify competing firms capable of supplying the goods to be financed or which are complementary to pre-existing supplies.

3. The results of the preliminary investigation are set out in a check list signed by the person in charge of the procedure.

Time limits and deadlines for reporting operations

The reporting deadlines are set for all the initiatives relating to the various operations investment operations in 24 months from the date of the grant award decision. All the documentation required for the payment of the grant must be submitted by the reporting date.

The application for an advance may be submitted by the beneficiary after the grant award notice. The advance may be granted up to a maximum of 50% of the grant.

The results of the liquidation enquiries are set out in a check-list signed by the official in charge on the basis of which the grant is paid.

In the case of applications that envisage the construction of works and facilities, a maximum of two reasoned extension applications submitted within the reporting deadline established by the grant are allowed,

In the case of applications that provide only for the purchase of machinery and equipment listed in Annex 1, a maximum of one reasoned extension application submitted within the grant reporting deadline is allowed. The extension may be granted for a maximum period of 12 months.

Applications for extensions are approved by a determination of the Agricultural Service.

Variants to the original project are permitted in the cases set out in point 10 of criteria resolution 2455/2023, provided that they are requested in advance, with respect to the execution of the relevant works, The Agricultural Service, having assessed the variant proposals, shall approve or reject them, notifying the beneficiary.

The variant application must be submitted online by accessing the provincial agricultural information system SRTrento at https://srt.infotn.it which can also be reached from the portal https://a4g.provincia.tn.it.

Payment applications

Payment applications can be divided into applications for advance payments, applications for payment on account of work progress and applications for payment of the balance.

An application for an advance payment may be submitted by the beneficiary after notification of the grant award. The advance may be granted up to a maximum of 50% of the contribution.

The application for payment must be submitted online through the portal https://srt.infotn.it which can also be reached from the portal https://a4g.provincia.tn.it, digitally signed by the beneficiary, to which the documentation set out in point 11 of the criteria resolution no. 2455/2023 must be attached.

The results of the liquidation enquiries are set out in a check-list signed by the official in charge on the basis of which the grant is paid.