Nevertheless, if payments are made as an advance or in two instalments, the first amount is determined on the basis of the results of the administrative and on-the-spot checks that are available at the date of payment and at such a level that the definitive amount of the payment is not less than the amount of the first instalment.

3. The competent authorities may, based on an evaluation of the risk-management processes, risk loss data base and internal control mechanisms of the payment institution, require the payment institution to hold an amount of own funds which is up to 20 % higher than the amount which would result from the application of the method chosen in accordance with paragraph 1, or permit the payment institution to hold an amount of own funds which is up to 20 % lower than the amount which would result from the application of the method chosen in accordance with paragraph 1.

Over the reference period (2003-2005) additional entitlements totalling more than €127 million (not including interest for late payment) were paid to the Commission following observations it made in reports on joint or autonomous inspections, following inspections by the Court of Auditors or following the Commission's other inspection activities.

We must also clarify openly and honestly in discussions with these countries, that the common agricultural policy does not imply that the same payments have to be made everywhere from day one of membership, without checking if there are price losses in the individual product segments.

Over the reference period (2000-2002), additional entitlements (principal amounts) totalling EUR140 936 094.49 were paid to the Commission following observations it made in reports on joint or independent inspections; EUR2 284 794.00 was paid following inspections by the Court of Auditors, giving a total de EUR143 220 888.49. [23]

Whereas the introduction of the system of differential amounts means that the amount of aid to be granted in national currency differs according to the Member State in which the products are harvested and used; whereas an intra-Community trade control system should therefore be introduced and the control copy referred to in Article 1 of Commission Regulation (EEC) No 223/77 of 22 December 1976 on provisions for the implementation of the Community transit procedure and for certain simplifications of that procedure (9), as last amended by Regulation (EEC) No 2823/87 (10), should be used for that purpose; whereas use of the control copy s ...[+++]hould be accompanied by the giving of a security lodged in accordance with Commission Regulation (EEC) No 2220/85 of 22 July 1985 laying down common detailed rules for the application of the system of securities for agricultural products (11), as last amended by Regulation (EEC) No 1181/87 (12); whereas in order to ensure the administrative supervision of the entitlement to aid Article 17 of Regulation (EEC) No 3540/85 should be amended accordingly;