Nedimović: This decree will enable municipalities to create agribusiness zones

– The decree on conditions, manner and procedure for giving state-owned agricultural land for use for non-agricultural purposes, which was adopted by the Government on Friday, will open the possibility for each municipality to get its own agribusiness zone – said Minister of Agriculture Branislav Nedimović.

The regulation takes effect this week.

The new regulation applies to land that is registered in the real estate cadastre of the Republic Geodetic Authority as state-owned agricultural land.

Those plots that can be the subject of restitution are excluded.

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The lessee can be a natural or legal person, and the use of state land can be agreed for a period of up to 30 years.

Thus, state agricultural land can be given for use for energy production by using renewable sources of wind and solar energy by building wind power plants with accompanying infrastructure.

It will be possible to lease agricultural land for the construction of solar power plants with accompanying infrastructure.

This primarily refers to solar panel facilities, transmission lines, as well as other facilities in the function of power plants and equipment for the production of electricity using solar energy.

Also, state agricultural land can be leased for performing geological exploration works or exploitation of mineral raw materials or performing works on disposal of tailings, ash, slag and other dangerous and harmful substances on agricultural land for a certain period of time, with the necessary approvals of competent authorities.

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Municipalities group state-owned agricultural land that can be used for these purposes.

Anyone interested in renting this type submits a letter of intent to the municipality, which must contain all the details related to the project.

The decision on whether to lease any land for these purposes is made by the municipality, but with the consent of the Minister of Agriculture.

The annual fee for the use of state land may be at least five times the average lease price per hectare of state agricultural land on the territory of Serbia, up to thirty times the average lease price.

This, significantly higher amount is paid in case the land is used for performing works on disposal of tailings, ash, slag and other dangerous and harmful substances on agricultural land for a certain period of time.

The amount of the fee is adjusted every three years.

60 percent of this amount goes to the state budget, while 40 percent remains with the local self-government on whose territory the leased land is located.

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The user shall deposit the funds for returning the agricultural land to the previous condition in the amount of 30 percent of the costs envisaged by the reclamation and rehabilitation project to the account of the Ministry of Agriculture, before concluding the use contract.

The remaining 70 percent is paid to the account of the Ministry no later than five years before the expiration of the use contract.

Source: Bolja Zemlja by

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