31.7.2012 Official Journal of the European Union L 20411 REGULATION (EU) No 671/2012 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 11 July 2012 amending Council Regulation (EC) No 73/2009 as regards the application of direct payments to farmers in respect of the year 2013 THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty on the Functioning of the European Union, and in particular the first paragraph of Article 42 and Article 43(2) thereof, Having regard to the proposal from the European Commission, After transmission of the draft legislative act to the national parliaments, Having regard to the opinion of the European Economic and Social Committee (1), Having regard to the opinion of the Committee of the Regions (3), Acting in accordance with the ordinary legislative procedure (%), Whereas: (1)  New support schemes for farmers within the framework of the common agricultural policy are to apply from 1 January 2014 and are to replace the current schemes. Council Regulation (EC) No 73/2009 of 19 January 2009 establishing common rules for direct support schemes for farmers under the common agri- cultural policy and establishing certain support schemes for farmers (*) should continue to form the basis on which to grant income support for farmers in calendar year 2013. (2)  Regulation (EC) No 732009 established a system of compulsory, progressive reduction of direct payments (modulation’) including an exemption of direct payments of up to EUR 5000 which is to apply until calendar year 2012. As a consequence, the total net amounts of direct payments (net ceilings) which may be granted in a Member State, after the application of modulation, have been fixed until calendar year 2012. In order to maintain the amount of direct payments in calendar year 2013 on a level similar to that of 2012, with due account being taken of phasing-in in the new Member States, within the meaning of Regulation (EC) No 73/2009, it is appropriate to establish an adjustment mechanism for calendar year 2013 with an effect equivalent to that of modulation and the net ceilings. (") O] C 191, 29.6.2012, p. 116. (3) Opinion of 4 May 2012 (not yet published in the Official Journal). (°) Position of the European Parliament of 4 July 2012 (not yet published in the Official Journal) and decision of the Council of 10 July 2012. % OJ L 30, 31.1.2009, p. 16. Due to the special characteristics of the support in the outermost regions under the common agricultural policy, this adjustment mechanism should not be applied to farmers in those regions. (3)  For the smooth functioning of the direct payments to be made by the Member States in respect of applications made in calendar year 2013, it is necessary to extend the net ceilings set for calendar year 2012 to 2013 and to adjust them, where necessary, in particular as regards the increases resulting from the phasing-in of direct payments in the new Member States. 4)  In parallel with compulsory modulation, Council Regu- lation (EC) No 378/2007 of 27 March 2007 laying down rules for voluntary modulation of direct payments provided for in Regulation (EC) No 1782/2003 estab- lishing common rules for direct support schemes under the common agricultural policy and establishing certain support schemes for farmers (°) made it possible for Member States to apply a reduction (voluntary modu- lation’) to all amounts of direct payments to be granted in their territory in respect of a given calendar year until calendar year 2012. In order to maintain the amount of direct payments to be made in respect of applications made in calendar year 2013 on a level similar to that of 2012, Member States which made use of voluntary modulation in respect of calendar year 2012 should continue to have the possibility to reduce direct payments in respect of calendar year 2013 and to use the funds generated thereby to finance rural development programmes. Therefore, it is appropriate to provide for the possibility to further reduce the amount of direct payments by applying a system of voluntary adjustment of direct payments in respect of calendar year 2013. Such reduction should be in addition to the compulsory adjustment of direct payment foreseen in respect of calendar year 2013. (5)  Where a Member State has applied regionally differ- entiated voluntary modulation rates in respect of calendar year 2012, it should also have that possibility in respect of calendar year 2013. In order to safeguard the level of direct support to farmers, the combined application of the compulsory and voluntary adjustment of direct payments in calendar year 2013 should not lead to a reduction of direct payment in excess of the reductions applied in 2012, through both compulsory and voluntary modulation. Therefore, the maximum rate of adjustment of direct payments to be applied in respect of calendar year 2013 in each region should not exceed the reductions resulting from both compulsory and voluntary modulation, as applied in respect of calendar year 2012. () OJ L 95, 5.4.2007, p. 1.