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1. In relation to agriculture, the priority objectives of the Community shall be:

(a) better to integrate market, rural development and environmental policies with a view to securing sustainable agriculture, notably in the framework of the reform process launched by the Commission's Agenda 2000 proposals, by: - integrating environmental considerations into agricultural policy-making and taking appropriate steps to ensure that specific environmental objectives are achieved pursuant to the process of the reform of the common agricultural policy, - considering the scope for the incorporation of additional environmental considerations into agricultural policies.

All measures should include appropriate monitoring, reporting and evaluation obligations;

(b) to provide for regular reporting and the generation of comparable data on the pressures and effects on the environment, including biodiversity, of agricultural practices, such as fertiliser and pesticide use, and data on water quality and use and land use;

(c) to promote sustainable farming, including integrated farm technologies, organic agriculture and, where appropriate, extensive production methods (which, for example, respect biodiversity) in close cooperation with the actors concerned. The Community will continue to encourage the development of local initiatives and disseminate information on them;

(d) further to develop an integrated strategy to reduce the risks to health and the environment from the use of plant protection products and pesticides, including more detailed provisions on the distribution and sales of these substances and restrictions on use and, where appropriate, substitution of the most dangerous plant protection products and pesticides;

(e) further to develop comprehensive approaches to rural development, taking account of environmental considerations, including the conservation of biological diversity, for example by monitoring and coordinating the various policy instruments concerned;

(f) to consider measures for internalising environmental costs in the cost of agricultural products and production processes. The Community will promote better coordination and coherence of actions and policies affecting forests, with a view to facilitating their management (including afforestation and protection from forest fires), conservation and sustainable development and responding to international developments concerning forests.

2. In relation to transport, the priority objectives of the Community shall be:

(a) further to tighten provisions on emissions and noise from road and off-road vehicles and, taking due account of developments in the relevant international forums, from aircraft, as well as on fuel quality, to develop action to reduce CO2 emissions from road vehicles, notably by promoting the use of fuel-efficient vehicles and low-emission technologies, and to strengthen Community provisions on vehicle inspection and maintenance;

(b) to give greater attention to the factors determining transport demand, while taking account of the diversity of situations in the various regions of the Community, by: - developing and promoting measures to achieve better internalisation of external costs in transport prices, in particular for less environmentally-friendly modes of transport, as a prerequisite for influencing user choices in order to arrive at a more sustainable level of transport demand,

- promoting a more integrated transport policy, including improvements in the economic efficiency of the transport sector and improvements in environmental, safety and accessibility aspects, inter alia by promoting better integration of land-use and transport planning and promoting demand-management measures, such as the use of telematics;

(c) to pursue its aims of reducing the imbalances between the different transport modes and encouraging the more environmentally friendly modes of transport, in particular by: - developing potential methods of analysis with a view to strategic evaluation of the environmental impact of the trans-European transport network as well as potential methods of corridor analysis covering all relevant transport modes, taking account of the need to link all Member States and regions to the trans-European transport network and, in particular, the need to link island, landlocked and peripheral regions with the central regions of the Community, - investigating possibilities for the use of Community funding to promote a better balance between transport modes by facilitating transport intermodality and appropriate modal shifts,

- developing a framework for solving the environmental problems caused by heavy goods vehicle traffic, - promoting the use of more environmentally friendly modes of transport, for example by encouraging public and/or collective transport and low-emission vehicles.

3. In relation to energy, the priority objectives of the Community shall be:

(a) to promote energy efficiency and the rational use of energy and to support the development and application of energy-saving technologies and practices, including renewable energy sources and combined heat and power, by means of appropriate programmes and measures, awareness-raising and information measures, and to develop criteria for the screening of subsidy schemes in order to offset the adverse impact of certain incentives;

(b) to encourage the implementation of energy demand side management measures, including energy conservation measures, the internalisation of external costs and benefits through economic instruments and other means, and the improved coordination of consumer awareness initiatives in Community energy-saving programmes;

(c) to strengthen energy efficiency standards for appliances and to provide for their energy efficiency labelling.

4. In relation to industry, the priority objectives of the Community shall be:

(a) to promote the ongoing development of eco-management schemes by the industrial sector and to develop programmes for the further promotion of environmental awareness on the part of industry, including, in particular, small and medium-sized enterprises (SMEs), as well as for vocational training and technical support; to review the Environmental Management and Audit Scheme;

(b) to develop a framework for an integrated, life-cycle orientated product policy, which will address, inter alia, the further development of life-cycle analysis, including the reduction of waste generated, and will take into account implications for the internal market, in order to promote the development of cleaner products by incorporating environmental considerations into their design and minimising the use of persistent organic substances, heavy metals and substances with an irreversible impact on health;

(c) to improve the legislation and other instruments in relation to coherent and comprehensive control of pollution from industrial installations, to develop options for a framework to complement integrated pollution control for smaller installations, taking into account their particular problems, and to encourage better integration of external costs;

(d) taking note of the European Parliament resolution of 14 May 1997 (7) and the Council resolution of 7 October 1997 (8), both concerning the implementation and enforcement of Community environmental law, to take steps to improve implementation and sanctioning of all regulatory measures aimed at reducing industrial emissions and pollution by ensuring improved integration of the 'polluter pays` principle into Community legislation; in this connection, the European Parliament and the Council note that the Commission will submit a White Paper on environmental liability;

(e) to develop actions in order to enhance the awareness of industry on environmental issues, such as tools for better business information, including information on best available techniques, inter alia through the use of EuroBAT documents, improved dissemination of cleaner technologies and promotion of best environmental practices;

(f) to clarify the definition of eco-businesses and to facilitate their development;

(g) to give priority to the problems of SMEs as regards technical and financial obstacles to the development and use of clean technology in relation to the environment;

(h) to promote effective control and, where viable environmentally friendly alternatives exist, the phasing-out or banning of persistent organic pollutants (POPs), which have a damaging effect on the environment or health, taking account of progress in relevant international negotiations;

(i) to develop and give practical form to policies aimed at sustainable industrial development, involving the formulation of the concept of eco-efficiency and a focus on partnerships between governments and industry, using industry's capacity for innovation and appropriate incentives and stimulating conditions, on both the demand and the supply side.

5. In relation to tourism, the priority objectives of the Community shall be:

(a) to provide for regular exchanges of information on the impact on the environment of tourism practices;

(b) to support awareness campaigns in order to promote environment-friendly use of tourism resources;

(c) to promote the implementation of innovative good practices in the field of sustainable tourism development, including by means of pilot projects in the framework of existing financial instruments and by applying the 'polluter pays` principle;

(d) to ensure that the Structural Funds contribute to sustainable forms of tourism in accordance with: - the requirements of the Structural Fund regulations, including any provisions for the appraisal of the environmental impact of operations, and