Michael Ring
Question:5 Mr. Ring asked the Minister for Agriculture, Food and Rural Development when details of the new installation aid grant scheme will be announced; and if he will make a statement on the matter. [13790/00]
Ceisteanna–Questions. Priority Questions - Installation Aid Scheme.
Under the National Development Plan 2000-2006, a provision of £27.5 million has been made for a scheme of installation aid. The new scheme will increase the level of grant from £5,600 to £7,500 and raise the upper income limit for eligibility from 100 to 150 income units.
This measure will form part of the new regional operational programmes for the Border, midland and western region and the southern and eastern region. The programmes have been submitted to the European Commission for approval. The negotiation process is expected to take a number of months and, consequently, this measure is unlikely to come on stream until later in the year. In the meantime, it is intended that the national scheme of installation aid will remain in operation and open to applicants.
Why was this scheme announced before approval for it was secured from Europe? From what the Minister said, this scheme will not be in place this year. We know how slowly the Commission operates. The scheme is due to run from 2000-06, but it will not be in place until 2001. What plans has the Minister to get approval for it from Europe, as many farmers are anxiously awaiting its implementation?
I agree with the Deputy this is an important scheme, especially for encouraging and instilling a degree of confidence in younger farmers coming into the industry, and we need to do that as much as possible.
Provision is made in the national development plan for a new form of installation aid scheme. That scheme must be approved by Brussels. We have sent the scheme to Brussels for approval but, as the Deputy said, Brussels takes time to consider it. We were told it would be approved by the summer, but having regard to previous experience, I think it will not be approved until later in the year. In the meantime, we will continue to operate the existing scheme. We are doing everything possible on a weekly and monthly basis in Brussels to expedite approval for this important scheme as quickly as possible.
That concludes priority questions.