I propose to take Questions Nos. 11, 12, 19, 25, 26, 30, 36, 44, 54, 56, 74, 75, 76, 82, 83, 84, 85, 86, 87, and 88 together.
A proposal to reclassify all existing less severely handicapped and mountain sheep areas to more severely handicapped status was made to the EC Commission on 4 February last. No proposal was made to extend the boundaries of the existing disadvantaged areas. The Commission indicated that the proposed across the board change did not meet the requirement in the basic EC Directive that the level of compensatory allowances (headage payments) should be fixed in accordance with the degree of severity of the permanent natural handicaps. This ruled out the payment of uniform rates of headage grants throughout all our disadvantaged areas and so the proposal was not acceptable to the Commission.
In the light of the reply from the Commission, the Government has approved a modification of the February proposal to provide for a restructuring of the disadvantaged areas scheme in a manner that should meet the objections raised by the Commission. The new proposal was lodged with the Commission on 4 November. It includes a case for improved FEOGA financing of the disadvantaged areas scheme as operated here and in addition deals with the question of extending the boundaries. The improved financing arrangement sought would enable the proposed revisions to the schemes to be financed without imposing any additional burden on the Exchequer.
The situation in the various areas mentioned by Deputies will be taken fully into account in discussions with the Commission on this matter. It is not possible to be more specific in regard to individual areas at this stage but I can assure the Deputies that the case made for each area will be carefully examined before final decisions are taken.