andMr. Griffin asked the Minister for Agriculture if it is his intention to pay farm modernisation grants which were applied for prior to 9 February 1983 in respect of work that has been completed.
19.
Ceisteanna—Question. Oral Answers. - Farm Modernisation Scheme.
18.
asked the Minister for Agriculture if applications received by local farm development officers under the farm modernisation scheme prior to 9 February will be processed; and if approvals will be issued to the applicants.
I propose to take Questions Nos. 18 and 19 together.
Farm modernisation works, which were approved by my Department up to and including 9 February 1983 will be paid on completion of the works to specification and provided the terms of the scheme are complied with. Applications on hands on 9 February for which approvals had not issued, will not be processed further. It is a condition of the farm modernisation scheme that works undertaken without the prior written approval of the Minister are not eligible for grant aid.
Is the Minister aware that many farmers had applied for finance under this scheme for more than 12 months prior to 9 February 1982, that they had made their plans and organised their finance, but just because of the Department's delay in having approval sent out their plans will be scrapped completely and may I ask him whether he had any input in this disastrous decision?
I am aware that there are some farmers who had applications made to their FDS offices for several months before 9 February and because of the existing workload there or for many other reasons the offices were not able to reach them. I will accept that point but that is always the case. It was not just on 9 February that that happened.
But the farmers suffered. I asked a second question. Had the Minister any input in that decision?
I allowed the Deputy to ask the first question and he got an answer. Deputy Kieran Crotty.
I am aware that the Minister was very limited in the finances that were available to him but taking justice into consideration and the fact that many farmers had financial commitments to development in the expectation that grants would be made available to them and now find themselves with severe financial problems, aggravated by the fact that interest rates are very high, would the Minister make a provision in next year's Estimates to pay all the people who had applied for grants under this scheme up to and including 9 February 1983?
The reason why there was a cutback in that scheme was that there was to be a saving, by the suspension of the farm modernisation scheme grants, totalling £10.3 million. It was done because of the condition of the economy and the state of the coffers when we assumed power at the beginning of this year.
(Interruptions.)
This is a disgraceful performance.
The reality is that there was nothing left when we got there. I would be the first to admit that this has caused great hardship for people but there are several other areas where greater penalties were imposed on farmers over the years. I am taking a very close look at the area. I am looking at the introduction of a new grant scheme and so on based on current costings. That review is going on at present.
(Limerick West): Live horse and you will get grass.
(Interruptions.)
I fully appreciate the difficult financial position in which the Government found themselves on assuming office but I understand the scheme will be reintroduced in some form this autumn. Would the Minister consider paying at least those farmers who did complete the works to very strict specifications and had them completed well in advance of 10 February this year? The works were on their farm development plans and even on some supplementary plans. Would the Minister consider including those in some way in the forthcoming scheme?
I sympathise with the Deputy and indeed all Deputies on this issue.
We do not want sympathy.
Sympathy does not build houses.
(Interruptions.)
This is not a credit to any parliamentary assembly.
The farmer should have written approval in his hand before the scheme starts. In so far as the conditions applying to the scheme as of now are concerned, no such written approval is available after 9 February.
Would the Minister agree that farmers have been deprived of 4,000 grants, 93 in South Tipperary. I appeal to the Minister's common sense not to create more unemployment and to pay those grants. The farmers are entitled to them.
Is the Minister aware that oral approvals by advisers in the country had become such an accepted practice that the banks were actually giving money on their strength and that as a result many farmers have got into financial trouble by going ahead prior to receiving written approval and now have been caught by the budgetary decision of 9 February? I appeal to him, please, to consider looking after those farmers who have been caught with the reintroduction of the new grants scheme later in the year.
Even the Minister's own people are turning against him.
The Minister is putting the farm grants out of existence. The AI subsidy and the lime subsidy were not to be continued. Seeing that they were renewed I believe there is a case for putting the money back into the farm modernisation scheme. The Minister is talking about planning and said he is excited about land leasing but there will be no confidence in him if does not reintroduce those grants.
Does the Minister hope to bring these grants back in November as promised? These were worth-while jobs, particularly for farmers in the west where land is wet and people have to take cattle land off the land for the winter.
There are grants available for various farm buildings in the west at present at 40 per cent under the western package. I am currently engaged in a review of the Farm Modernisation Scheme and it is hoped to have a reintroduction of grant aid in the autumn.
In view of the Minister's intransigence in this matter, as indeed in other matters, and in view of his great commitment over the years to agriculture, would he seriously consider his position in the Department of Agriculture?
A Minister always takes his position in the Department seriously.
In the case of farmers who did have written approval for farm buildings but had not, for instance, a slurry pit provided by a certain date, surely they should be paid their grant?
I would ask the Deputy to bring to my notice any such applications and I will look at them.
Is the Minister aware it would be accepted in any court of law that where an agent of his Department gave oral approval and where the work was subsequently finished the money should be paid and that such people could take his Department to court and get paid?
That avenue is wide open to people if they want to do that.
(Interruptions.)
Gentlemen, think about the image you are creating. I am calling Deputy Noel Treacy for a final supplementary.
Would the Minister agree that farmers who made genuine applications on a date prior to 9 February for a scheme that was operational within the Department are now being discriminated against, even under the Constitution, and could he tell us what is the attitude of the EEC authorities to the suspension of this scheme and how much money will be lost to Irish agriculture this year because of the suspension of the scheme?
It is expected that there will be a saving of £10.3 million to the Exchequer because of the suspension of the scheme.
On a point of order, could I ask specifically, arising out of his reply——
I am not responsible for the Minister's reply.
——could he tell us how much will be gained to the Exchequer and, if we are losing, specifically how much will be lost?
The Deputies have disgraced this House at Question Time today. The remaining questions will appear on tomorrow's Order Paper.
Will you allow me to ask a question?
I have moved on from Question Time.