  We study the reaction of pion photoproduction on the nucleon in the framework
of chiral perturbation theory with explicit $\Delta(1232)$ degrees of freedom.
In the covariant approach, we give results up to order $\epsilon^3$ in the
small scale expansion scheme. Furthermore, we provide $\Delta$-less and
$\Delta$-full results obtained in the heavy-baryon scheme to analyze the
differences to the covariant approach. Low energy constants are fitted to
multipole amplitudes using theoretical truncation errors estimated by a
Bayesian approach. We also compare our findings to data of neutral pion
production cross sections and polarization asymmetries. The description of the
reaction is clearly improved by the explicit treatment of the $\Delta(1232)$
resonance.
