«(Common organisation of the markets – Milk and milk products – Scheme of aid for skimmed milk – Validity of Regulation (EC) No 2799/1999 – Powers of the Commission (Article 11(1) of Regulation (EC) No 1255/1999) – Prohibition of discrimination (Article 34(2) EC) – Principles of legal certainty and the protection of legitimate expectations)»

Agriculture – Common organisation of the markets – Milk and milk products – Aid for skimmed milk and skimmed-milk powder intended for use as animal feed – Introduction by Regulation No 2799/1999 of a condition for grant which excludes skimmed milk in liquid form which has not first been incorporated in a mixture for the production of compound feedingstuffs or processed into skimmed-milk powder – Conditions which do not have the effect of abolishing all aid for that product – Lawfulness – Prohibition of discrimination – Legitimate expectations – Breach – None (Council Regulation No 1255/1999, Art. 11(1); Commission Regulation No 2799/1999, Arts 8 and 9) The condition which the Commission, exercising its wide measure of discretion in the matter, introduced by Regulation No 2799/1999 laying down detailed rules for applying Regulation No 1255/1999 as regards the grant of aid for skimmed milk and skimmed-milk powder intended for animal feed and the sale of such skimmed-milk powder under which skimmed milk in liquid form qualifies for aid only if it has first been incorporated in a mixture for the production of compound feedingstuffs or processed into skimmed-milk powder does not amount to a total abolition of aid for skimmed milk in liquid form intended for use as animal feed, which would be a measure contrary to Article 11(1) of Regulation No 1255/1999 on the common organisation of the market in milk and milk products. The market for that kind of skimmed milk continues to benefit from the aid provided for in that article by way of the aid for undertakings producing mixtures for the production of compound feedingstuffs.Moreover, by adopting that regulation, the Commission did not infringe the prohibition of discrimination or the principle of protection of legitimate expectations. First, there are differences between skimmed milk in liquid form and skimmed-milk powder intended for use in animal feed which objectively justify their being treated differently as regards the right to qualify for aid. Second, the principle of the protection of legitimate expectations may be invoked as against Community rules only to the extent that the Community itself has previously created a situation which can give rise to a legitimate expectation, which it has not done in this case.see paras 38-42, 49-51, 56-57

JUDGMENT OF THE COURT (Sixth Chamber) 6 March 2003 (1)

((Common organisation of the markets – Milk and milk products – Scheme of aid for skimmed milk – Validity of Regulation (EC) No 2799/1999 – Powers of the Commission (Article 11(1) of Regulation (EC) No 1255/1999) – Prohibition of discrimination (Article 34(2) EC) – Principles of legal certainty and the protection of legitimate expectations))

In Case C-14/01,

REFERENCE to the Court under Article 234 EC by the Verwaltungsgericht Hannover (Germany) for a preliminary ruling in the proceedings pending before that court between

and

on the validity of Commission Regulation (EC) No 2799/1999 of 17 December 1999 laying down detailed rules for applying Regulation (EC) No 1255/1999 as regards the grant of aid for skimmed milk and skimmed-milk powder intended for animal feed and the sale of such skimmed-milk powder (OJ 1999 L 340, p. 3),

THE COURT (Sixth Chamber),,

composed of: R. Schintgen, President of the Second Chamber, acting for the President of the Sixth Chamber, V. Skouris (Rapporteur), F. Macken, N. Colneric and J.N. Cunha Rodrigues, Judges,

Advocate General: P. Léger,

after considering the written observations submitted on behalf of:

having regard to the Report for the Hearing,

after hearing the oral observations of Molkerei Wagenfeld Karl Niemann GmbH & Co. KG and the Commission at the hearing on 21 March 2002,

after hearing the Opinion of the Advocate General at the sitting on 27 June 2002,

gives the following

The Commission's powers of implementation under Article 11(1) of Regulation No 1255/1999

Observations submitted to the Court

The Court's answer

The prohibition of discrimination

Observations submitted to the Court

The Court's answer

The principle of the protection of legitimate expectations

On those grounds,

THE COURT (Sixth Chamber),

in answer to the question referred to it by the Verwaltungsgericht Hannover by order of 6 December 2000, hereby rules:

Schintgen

Skouris

Macken

Colneric

Cunha Rodrigues

Delivered in open court in Luxembourg on 6 March 2003.

R. Grass

J.-P. Puissochet

Registrar

President of the Sixth Chamber