Parliament Act no. 6 of 2 December 2009 on the business of farming.

Modified repeals, hovedlov replaces information

Hovedlov to
Self-Government Order no. 20 of 5 September 2016 on subsidies for acquisition, new construction or restoration of farms
Home Rule Executive Order no. 12 of 12 December 1984 on business support.


Adds to Home Rule Executive Order no. 12 of 12 December 1984 on business support.


Chapter 1

Purpose and principles for business


§ 1. This law aims to contribute to Greenland's self-sufficiency and promoting an efficient and competitive agricultural industry through actions that have a long term effect on employment through initiatives in the long term is considered to have a positive economic effect.
Subsection. 2. The Government may provide erhvervsfremmelån or grant as provided for in Chapters 4 and 5 for individuals or companies with the right to farm in Greenland.

Chapter 2
Definitions

§ 2. The terms "agriculture" or "agricultural industry" in this law includes all relevant agricultural branches in Greenland, including operation and breeding of animals, forestry, vegetable growing, grass cultivation for different animals and the use of fur, skin, nails, etc. || |

Chapter 3


Guiding principles for the allocation of erhvervsfremmelån and grants

Projects eligible for erhvervsfremmelån


§ 3. The Government may provide erhvervsfremmelåntil projects
1) deemed technically sound,
2) now or in the long term is considered economically viable, and
3) where project costs are deemed to be in proportionate to the expected return.



Projects eligible for grants


§ 4. The Government may award grants for projects
1) deemed technically sound,
2) now or in the long term is considered economically appropriate and
3) can contribute to the beneficiary obtains possibility of self .




Chapter 4

Modalities of erhvervsfremmelån


§ 5. In processing applications for erhvervsfremmelån made an overall assessment of the application, which among other things, focus on the following documented conditions:
1) The applicant's professional qualifications can make it probable that the applicant has the necessary operating - and managerial skills to ensure an economically viable operation of the project applied for erhvervsfremmelån to.
2) The operating and liquidity budgets, including budget assumptions that can plausibly that business loan will be repaid.
3) Summary of the applicant's property, including terms of settlement of existing obligations, which suggest that the business loan will be repaid.
4) Regulatory Expression of land allocation and other public permits and approvals of importance for implementation of the project can be given by awarding erhvervsfremmelån under this Act.
5) The applicant's compliance with other requirements for the implementation of the project applied for erhvervsfremmelån to.
Subsection. 2. The assessment referred. Paragraphs. 1, no. 3, must be based on the candidate's economy at the time of application. Related factors, including the decision of the insurance claim, lawsuit, etc. are not included in the assessment before a decision is taken.
Subsection. 3. The Government can supplement the assessment criteria by requiring information previously received industrial loans or grants from the Government of Greenland to determine whether the candidate has fulfilled his obligations.
Subsection. 4. An applicant may only obtain erhvervsfremmelån to 1 agriculture.

§ 6. The Government can provide erhvervsfremmelån to the transferee of a farm for the construction or acquisition of a pensioner's house in connection with the transfer of a farm where
1) entered into an unconditional agreement for the transfer of agricultural and associated housing, commercial buildings, machinery and animals, and communicated to the transferee land allocation,
2) transfers of farms and their immediate family must inhabit aftægtsboligen and
3) aftægtsboligen charged, mortgaged and owned by the assignee of agriculture.

§
7th In addition to in § 15 said grant may be granted a erhvervsfremmelån of 15% of documented expenses for the construction, expansion or acquisition of commercial buildings.

§ 8. Erhvervsfremmelån granted under § 6 and § 7 includes the cost of electrical installation, the cost of craftsmen to assist in the construction of foundations and other construction costs of the building as well as technical, legal and financial advice.

Subsection. 2. Erhvervsfremmelån granted for the acquisition of existing agriculture, including commercial real estate, machinery, livestock, residential buildings and other equipment as well as technical, legal and financial advice regarding the purchase.
Subsection. 3. Erhvervsfremme The loan is granted only to the extent that the acquisition price in accordance with paragraph. 1 and 2 must be considered usual.



Equipment and other fixed


§ 9. The Government may ydeerhvervsfremmelån to:
1) Acquisition of machinery, tools, irrigation systems, fencing and moreover necessary operating equipment.
2) The construction or acquisition of facilities for power generation, including mini hydro, wind and solar energy for use of buildings for agricultural purposes, housing and pensioner's house.
3) Purchase of boat for passenger transport.



Breeding


§ 10. The Greenland Government may provide erhvervsfremmelån for the purchase of breeding stock in the following cases:
1) When it causes an extraordinary and significant expansion of the total herd
2) Where the purchase of breeding animals as a result of that existing breeding stock in a substantially lost by disease in the herd, climatic conditions or the like, or
3) Where in an agricultural restarted business.



Repairs


§ 11. The Greenland Government may provide erhvervsfremmelån for repair of assets specified in §§ 6, 8 and 9, if the repair is essential for the sector's continued operation and beyond common and expected repair costs.



Chapter 5

Detailed rules on subsidies


§ 12. For agriculture can only be granted subsidies for land improvements and the construction or acquisition of commercial buildings. The applicant must in order to receive subsidies for land improvements and the construction or acquisition of commercial buildings
1) be between 21 and 65 years
2) the operation of existing agriculture
3) demonstrate that soil improvement work or commercial building will help promoting and efficient agriculture, and
4) demonstrate that soil improvement work or business building will make a positive contribution to the rural economy.



Soil Improvement Works


§ 13. The Greenland Government may subsidize opdyrknings- and nyrydningsarbejder, marling, drainage, liming, fertilizing and road building, carried out in areas where the right of use is assigned to the owner of the farm.
Subsection. 2. The subsidy is granted based on the size of the area that has been treated and the nature of the work and be paid until it is proven to work is completed.
Subsection. 3. Subsidies for land improvement work granted under the requirements and evaluation criteria specified in § 4 and § 12
Subsection. 4. Soil improvement work must be assessed by the Advisory Service for Agriculture before grants jordforbedringsarbede can be paid.



Modalities on Agriculture


§ 14. The Greenland Government may subsidize an agricultural to construction or acquisition of 1 These houses to either the owner, user, manager or assistant.
Subsection. 2. Subsidies under paragraph. 1 form of a grant of a maximum of 95% of documented expenses for materials to be used for self-construction.

§ 15. The Greenland Government may subsidize an agricultural to construction, expansion or acquisition of commercial buildings.
Subsection. 2. Subsidies under paragraph. 1 form of a grant of 75% of documented expenses for materials to be used for commercial buildings.



Repairs


§ 16. The Greenland Government may subsidize repair of equipment referred to in § 14 and § 15, if the repair is essential for the sector's continued operation and beyond common and expected repair costs.



Chapter 6


Particularly on operating credit


§ 17. The Greenland Government may provide a fixed rate operating credit available to cover the cost of feed, seed, fertilizer or the like. In addition, small purchases and less maintenance work is covered by operating credit. Payments will be based on presentation of documentation for expenses incurred.
Subsection. 2. The Government may, in special cases, permit drawings on its operating credit for the payment of other expenses not covered by paragraph. 1, whenever these expenses are related to the operation of agriculture and these expenses are urgent or of self-defense nature.
Subsection. 3. The Government may establish rules on operating credit, including operation of the credit amount, repayment and interest rate.



Chapter 7

Terms of erhvervsfremmelån



Run


§ 18 Erhvervsfremmelån granted and taken as a fixed-rate annuity.

Subsection. 2. The Government may subsidize the settlement of business loan as the borrower pays installments on business loan. There may not be awarded for the payment of interest.
Subsection. 3. The Government may increase the grant if multiple farm owners acquire buildings, machinery etc. for common use.
Subsection. 4. The Government shall determine the grant amount applicable for business loan. The grant for the settlement of erhvervsfremmelån can represent up to 75% of the mortgage payment. Grants for settlement of erhvervsfremmelån may be granted when the borrower has paid it under the loan agreement provided for repayment.
Subsection. 5. In connection with establishing new farmer can Naalakkersuisut fix the subsidy for running erhvervsfremmelån higher than the prescribed percentage in paragraph. 2. This provision shall not apply if the borrower acquires a share of a farm, which he already has joint control.
Subsection. 6. The Government may lay down rules on the size of grants for settlement of erhvervsfremmelån and other terms of settlement of erhvervsfremmelån.



Separate deposits


§ 19. The Government provides erhvervsfremmelån on condition that the applicant has its own deposits.
Subsection. 2. Separate deposits must be at least 10% of the purchase price and paid to the Government of Greenland before erhvervsfremmelån can be paid.
Subsection. 3. By erhvervsfremmelån, see. §§ 6-10, can own deposits consist of an asset that is part of the total cost.
Subsection. 4. In connection with the establishment of the holder may be granted erhvervsfremmelån accordance with §§ 6-11 so that the private contribution is fixed at 5%.
Subsection. 5. The increased loans related investments under paragraph. 4 can only apply to investments that are included in a Minister approved the plan for the first 3 years of investments for the implementation of the borrower's establishment as a farmer.
Subsection. 6. The Government may lay down rules elevated own deposits.



Maturity


§ 20. The term of erhvervsfremmelån under § 7 set at a maximum of 25 years. The maturity of erhvervsfremmelån after § 9 shall be a maximum of 10 years.
Subsection. 2. Payment of the first performance of business loan can be extended by up to two years, the duration is extended by 2 years.
Subsection. 3. The term of erhvervsfremmelån according to § 10 shall be a maximum of 5 years.
Subsection. 4. The term of erhvervsfremmelån according to § 11 shall be determined in accordance with the term set for business loan to the asset for which the business loan to repair granted a maximum of 10 years for electrical installation.



Security


§ 21 Erhvervsfremmelån to real estate should always be secured by the mortgage. The mortgage must have the best possible priority.
Subsection. 2. Erhvervsfremmelån also be ensured the best possible way and possibly by a mortgage on the active receiving erhvervsfremmelån.



Terms of erhvervsfremmelån and subsidies for repayment


§ 22 Erhvervsfremmelån interest redeemed according to rules established by the Greenland Government. The loans can be paid in installments.
Subsection. 2. The Government may require business loan is repaid when interest or principal is not paid on time or conditions of business loan otherwise breached.
Subsection. 3. Termination Payments are timely, when payments are made within 30 days of the due date. Failing payment after this date due business loan to repayment if the borrower fails to pay interest and principal payments within 7 days of written demand is shipped.
Subsection. 4. The Government can provide the borrower deferment of loan payment for up to 2 years if:
1) The value of an underlying mortgage is estimated to account for over 60% of the value of the total balance of business loan and
2) It is estimated the inability to pay is temporary.
Subsection. 5. When the borrower after exposure with the termination payment provided. Paragraphs. 4 resumes termination payments, the maturity of the number of terms that termination payment has been exposed to.
Subsection. 6. The Government may, in special cases provide additional exposure with termination payment for more than 2 years.



Chapter 8

Repayment of subsidies for the construction or acquisition of commercial buildings and one These houses


§ 23. The Government may require a subsidy for the construction or acquisition of commercial buildings or locally built house to either owner, user, manager or assistant reimbursed if:
1) Beneficiary for 2 consecutive years do not have a living as a farmer .

2) craft house sold within 10 years from the date of receipt of the grant.
3) Beneficiary no longer meets the conditions for farming or missing second authority permission included agriculture, or
4) Terms and conditions for awarding grants also overridden.

§ 24. The grant written down over 33 years with 3% of the principal per year, however, 4% the last year.
Subsection. 2. The repayment of grant referred to. § 23, calculated the reimbursement request as the subsidy reduced by 1/33 per commenced years ago receipt of the grant.



Transfer


§ 25. Transfer of business building and even builds the house can only be made to the Government of Greenland, see. § 26, or Minister approved the purchase on terms approved by the Greenland Government.
Subsection. 2. The grant recipient's death, grant recipient's spouse and heirs eligible to join the grant recipient's rights and obligations with regard to the grant.

§ 26. Until the grant is written, is Naalakkersuisut obligated to take over the business building or even build the house if the grant recipient requests it.

§ 27. Grants under this Act may be granted only to legitimate farmer once.



Chapter 9

Debt Impairment and waiver regarding erhvervsfremmelån



Termination of interest calculation and debt write-down





§ 28. Addition of interest on a erhvervsfremmelån cease when the Government has terminated the business loan for cause.
Subsection. 2. When a erhvervsfremmelån terminated for cause, and agriculture is no longer the borrower's possession, the Greenland Government may provide an annual subsidy for debt reduction equivalent to the amount that the borrower has paid in the preceding 12 months.



Waiver


§ 29. The Greenland Government may cancel a erhvervsfremmelån partially, after at five years from the end of the calendar year in which the loan was terminated if business loan under this Act or previous rules on business support has been terminated for cause. Erhvervsfremmelån can not be waived in part so that the remaining debt will account for a lower amount than 150,000 kr.
Subsection. 2. The Government can only remit a erhvervsfremmelån when it is deemed that the borrower will not be able to run the business loan in the next few years.
Subsection. 3. The borrower's payment options, see. Paragraph. 2, is based on
1) debt level,
2) the borrower and his household property,
3) the borrower and his household's current and future income, and
4) the borrower's age.
Subsection. 4. The Government may, notwithstanding paragraph. 1 remit a erhvervsfremmelån fully 10 years after the business loan is terminated, if the borrower has conducted business loan to such an extent that could be expected in relation to its payment options.
Subsection. 5. Cancellation may take place only for natural persons.



Loan Rescheduling


§ 30. The Greenland Government may convert one erhvervsfremmelån granted under this Act or previous rules on business support, into a single new erhvervsfremmelån with a maturity not exceeding the expected life of the asset to which the existing erhvervsfremmelån relates if || | 1) the existing erhvervsfremmelån running for more than 5 years, and
2) it is estimated that the borrower will be able to run the new erhvervsfremmelån.



Customer Switching


§ 31. The Government may grant permission for erhvervsfremmelån granted under this Act or previous rules on business support transferred to a new borrower, when active, business loan is granted, at the same time of day for the new borrower and the new borrower fulfill the conditions for receiving erhvervsfremmelån.



Chapter 10

Common Provisions





§ 32. The Greenland Government may decide on the termination of erhvervsfremmelån and recovery of aid if persons or companies wrongly obtained erhvervsfremmelån or grant under this Act.
Subsection. 2. Failure notification to the Government of Greenland on significant changes in the borrower or grant recipient's financial situation, or failure to comply with order production of documents considered default, see. § 22 paragraph. 2.

§ 33. The Greenland Government may lay down rules for the implementation of this law, including rules:
1) Which business areas and projects eligible erhvervsfremmelån to.

2) In which geographic areas eligible erhvervsfremmelån and grants.
3) Grants for settlement of erhvervsfremmelån.
4) Educational, economic and technical requirements for applicants and projects.
5) Terms of subsidies for land improvements and commercial buildings.
6) Operating credit.
7) The administration of this Act, including municipal and Agriculture Officers 'and Sheep Farmers Association SPS' participation.


Transition and Implementation


§ 34. This law shall enter into force on 1 January 2010.
Subsection. 2. At the same time county Regulation no. 10 of 12 November 2001 on support for fishing, hunting and agriculture as well as county Regulation no. 11 of 20 November 2006 amending the county regulation on support for fishing, hunting and agriculture.
Subsection. 3. Home Rule Executive Order no. 12 of 12 December 1984 on business support, remain in force until replaced or repealed by regulations laid down in this Act or other county regulations.
Subsection. 4. Claims under county regulation no. 4 of 20 November 1984 on business support and county Regulation no. 10 of 12 November 2001 on support for fishing, hunting and agriculture as well as county Regulation no. 11 of 20 November 2006 amending the county regulation on support for fishing, hunting and agriculture, which still exists, is administered in compliance with the regulations that were applicable when the aid or loan was granted.



Greenland, December 2, 2009






Kleist
/
Ane Hansen