Aid intensities and rate of Community contribution
Article 173
1. For the purposes of this component, the eligible expenditure as referred to in Article 38(1) shall be calculated on the basis of the public expenditure as defined in Article 2. 2. Public expenditure shall in principle not exceed a ceiling of 50 % of the total eligible cost of the investment. However, that ceiling shall be raised up to: (a) 55 % for investments in agricultural holdings made by young farmers; (b) 60 % for investments in agricultural holdings in mountain areas; (c) 65 % for investments in agricultural holdings in mountain areas made by young farmers; (d) 75 % for investments referred to in paragraph 4(d) and for investments in agricultural holdings to implement the Council Directive 91/676/EEC ( 15 ) , subject to the existence of a national strategy for its implementation; (e) 100 % for investments in infrastructure not of a nature to generate substantial net revenue; (f) 100 % for measures referred to under in Article 182. 3. In determining the rate of public expenditure for the purposes of paragraph 2, account shall not be taken of national aid to facilitate access to loans granted without any Community contribution provided under the IPA Regulation. 4. The Community contribution shall in principle not exceed a ceiling of 75 % of the eligible expenditure. However, that ceiling shall be raised up to: (a) 80 % for the measures covered by priority axis 2 referred to in Article 171(3); (b) 80 % in the case of activities covered by Article 182, where those activities are not taken at the initiative of the Commission; (c) 100 % in the case of activities covered by Article 182, where those activities are taken at the initiative of the Commission; (d) 85 % in the case of investment projects carried out in regions where the Commission determines that exceptional natural disasters have occurred.