Vol. 505 No. 3
23 Mr. Penrose asked the Minister for Agriculture and Food the progress, if any, achieved to date in his discussions with the EU Commission to obtain clearance for control of farmyard pollution and dairy hygiene schemes; the nature of the discussions; the level of grant aid proposed in both of the schemes; when discussions will be concluded; and if he will make a statement on the matter. [13647/99]
In the Department Estimates for 1999, an additional £25 million is being provided for on-farm investment schemes to be targeted towards those farmers most in need of assistance. The new national scheme for the improvement of dairy hygiene standards has been formally approved by the European Commission and is now in operation. Application forms for the scheme are available in the local farm development service offices of my Department. The scheme provides for grant aid at the rate of 40 per cent in the less favoured areas and 35 per cent in the other areas subject to a grant ceiling of £7,000.
In relation to the proposed new control of farm pollution scheme, officials of my Department met the European Commission earlier this month to address the issues which the Commission had raised with regard to the draft proposals submitted to it for approval in February of this year. The Commission had expressed reservations that some of the proposed eligible investment items were production oriented rather than environmental measures. Arising from the discussions, further written clarifications on the environmental nature of the investments were provided to the Commission to allow the approval process to be completed.
The rates of grant aid proposed for this scheme are similar to those outlined for the scheme for the improvement of dairy hygiene standards but the maximum grant would be £10,000. I am confident the new scheme for the control of farm pollution will be approved and introduced in the near future.
What are the worries of the EU Commission? It always seems to have reser vations and caveats regarding any scheme put forward by Ireland. Has the Minister told the Commission that the pressure for better facilities is driven by pollution control requirements, rural environment protection, quality food assurance, livestock welfare, shortage of labour and the elimination of drudgery from farming? That is what this is about. Will the application for the new CFP scheme have to be accompanied by a nutrient plan or a REPS plan, which would satisfy the nutrient requirement, or planning permission or a certificate of exemption and a calculation of the income units, with a maximum of 100 units being the criterion to verify eligibility? Are those the criteria required for eligibility under the new scheme? Would it be advisable for farmers, unless they can proceed without the need to get grant approval for capital expenditure, to postpone their application for REPS until approval for the CFP scheme is received?
This scheme has not been announced. What am I to say about this proposed scheme to drystock farmers in Kilbeggan and other such places in the midlands as June approaches? It will take those farmers three months to get planning permission for the necessary infrastructural facilities they want to put in place to house their cattle. When will the scheme be announced? Is Brussels trying to delay its introduction?
Is it the case that £25 million that is to be allocated will not be sufficient because of the number of farmers who were awaiting payments under the old scheme when it was suspended and who are now part of the matured liability to which the Minister of State probably referred previously? He told the Dáil a month ago that he expected approval for the CFP scheme and the dairy hygiene scheme to be granted within days. He got approval for the dairy hygiene scheme but not for the CFP scheme. Why is there a difference between the two schemes?
If I could have given approval for the scheme, I would have given approval for it in February, but this scheme is regarded as a direct aid to farmers and, as such, it is subject to approval from Brussels. A proposed scheme was forwarded to Brussels in February 1999 and Brussels is being extremely difficult about it. I could have announced the scheme a month ago, but I want the scheme to be broadly based and to provide for housing and facilities for livestock during poor weather conditions in the winter and because of the lack of fodder. That is what is holding up the approval.
I am annoyed and disappointed about it because there is adequate finance for it. Members who have had to deal with Departments will know that the most difficult job is to get approval for a scheme from the Department of Finance. We have got that.
It is disappointing that the Commission is holding up this scheme. The Commission questioned the environmental benefit of some of the investment items proposed for grant aid under the scheme, including certain animal housing. Animal housing is required in this country and it is ridiculous to introduce a control of farmyard pollution scheme that does not contain a housing element. I am holding out for that element in the scheme. Officials of the Department met Commission officials on 7 May and it usually takes three weeks for approval to be granted and that would bring us up to 28 May. I expect and hope that approval for the scheme will be granted before the end of this month.
In order to focus the grant aid on farmers who are most in need of such aid, it is proposed to limit the scheme to applicants with 100 income units or less. A nutrient management plan will be required as a condition of the scheme because environmental protection is vital. I would advise applicants to make preparations for this scheme by getting approval within the next few weeks so that they will be able to proceed immediately approval is granted. I alerted the Department to have application forms available for this scheme and the dairy hygiene grant scheme.
