The Verkhovna Rada of Ukraine adopted in the second reading and in general the draft Law No. 13202-1, which provides for the creation of a Paying Agency for transparent and timely provision of state support to agricultural producers according to EU standards. The law was supported by 278 people's deputies. This was reported by the Ministry of Economy, Environment and Agriculture of Ukraine, according to UNN.
Details
The law provides for the creation of basic institutions according to the principles of the EU Common Agricultural Policy. One of the key institutions — the Paying Agency — will ensure timely and transparent payment of state support to agricultural producers.
In particular, the Paying Agency will be responsible for administering financial support in agriculture according to EU standards and will open up opportunities for full use of funds that will be provided by the European Union for the implementation of the Common Agricultural Policy in Ukraine.
The Paying Agency will become a structure that will provide state support to agricultural producers, in accordance with European standards. The adopted law will contribute to strengthening the sustainability of agricultural production, developing rural areas, guaranteeing food security, and ensuring transparent and effective financial management.
The main tasks of the Paying Agency will be:
- effective financial control;
- verification of the legality of expenses;
- compliance with the requirements of EU and Ukrainian legislation;
- ensuring transparency in the use of budget and international resources.
It is noted that the activities of the Paying Agency will be based on the principles of accountability, justification of expenses, minimization of risks of abuse and prevention of misuse of funds.
The law also provides for the introduction of an Integrated Administration and Control System (IACS) — a Ukrainian analogue of the European IACS (Integrated Administration and Control System), which is a key element of management and control over the use of financial resources. IACS should ensure accuracy of accounting and transparent control over payments.
A System of Agricultural Data (SAD) will also be introduced — a modern tool for collecting, processing and analyzing information on the sustainable development of farms, taking into account environmental, social and economic indicators.
The system will facilitate the adoption of informed management decisions and effective planning, development and implementation of planning and monitoring procedures for state agricultural policy to strengthen coordination between government bodies at different levels, increase the effectiveness of program implementation, and ensure transparency of the decision-making process in agriculture.
The law was adopted in accordance with the alignment of Ukrainian legislation with EU legislation and in fulfillment of Ukraine's international obligations within the framework of European association and the course, and is aimed at implementing the EU "Ukraine Facility" initiative.
For reference
Paying Agency is a specialized state body responsible for administering and controlling all monetary receipts (state and donor) to support agriculture. Its creation is a mandatory requirement for all candidate countries for accession to the European Union. The agency must be accredited by the European Commission, which confirms that its control and accounting systems are reliable and secure. This will allow Ukraine to gain access to EU financial instruments for farmers.
Recall
Ministers of Ukraine and Denmark signed a Memorandum of Cooperation at the UN General Assembly. The document provides for joint projects in bioeconomy, forest restoration, emission reduction and agricultural sector development, as well as support for Ukrainian farmers.