5.2.1999 Official Journal of the European Communities L 32/25 COMMISSION DECISION of 14 July 1998 on aid for lentil producers in the Prefecture of Levkas (Greece) (notified under document number C(1998) 2367) (Only the Greek text is authentic) (1999/100/EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, and in particular Article 93(2), first subpara- graph, thereof, Having regard to Council Regulation (EEC) No 827/68 of 28 June 1968 on the common organisation of the market in certain products listed in Annex II of the Treaty (!), as last amended by Regulation (EC) No 195/96 (3, and in particular Article 5 thereof, After giving notice to the parties concerned to submit their comments to the Commission in accordance with Article 93(2), first subparagraph, of the Treaty (°), Whereas: 1. In its letter of 19 November 1996, registered on 22 November 1996, the Permanent Representation of Greece to the European Union notified the measures in question to the Commission in accordance with Article 93(3) of the Treaty. In its letter of 7 March 1997, registered on 10 March 1997, the Permanent Representation of Greece to the European Union communicated to the Commission the additional information requested by the Commis- sion in its letter of 21 January 1997. In that letter, the Greek authorities stated that the draft Joint Ministerial Decision had already been adopted at national level. Nevertheless, the Greek authorities gave assurances that it had not yet been applied. 2. In 1996 drought affected the economic situation of producers in the Prefecture of Levkas (Ionian islands). Most of these farmers live in hill communities and their incomes depend largely on the cultivation of lentils. The State aid under consideration relates to the provision of financial assistance for lentil cultivators in () OJ L 151, 30. 6. 1968, p. 16. @) OJ L 26, 2. 2. 1996, p. 13. () OJ C 225, 24. 7. 1997, p. 19. the Prefecture of Levkas, at least 50 % of whose crops were destroyed by drought in 1996, to compensate them for their loss of income during that year. The aid for each farmer who sustained losses amounts to 30 % of the gross value of the production concerned up to a maximum of GRD 500 000/hectare. The amount of aid was calculated by the Greek author- ities as follows: — the production of lentils taken into account is the mean yield per hectare over the previous four years, equal to 680 kg/hectare, — the prices paid to producers ranged from GRD 1500 to 2000 per kg, and for the purposes of calculating the aid the latter figure (GRD 2 000/kg) was used, — the gross production value is 680 kg/hectare x GRD 2000/kg = GRD 1 360 000/hectare, — the maximum aid, representing 30 % of the gross production value, amounts to 30 % of GRD 1 360 000 per hectare = GRD 408 000 per hectare. The Greek authorities estimated the number of benefi- ciaries at 120 and the total budget made available by the Greek State for this measure amounted to GRD 40 million. II . In its letter SG(97) D/4136 of 30 May 1997 the Commission informed the Greek authorities of its decision to set in motion the procedure laid down in Article 93(2) of the Treaty in relation to the measures notified. . In that letter the Commission informed the Greek authorities that the measure did not appear to qualify for the derogation provided for under Article 92(2)(b) of the Treaty, and that it therefore had to be consid- ered incompatible with the common market.