A number of significant steps have been taken to address the costs at farm level of the implementation of the nitrates directive. The Government, in Sustaining Progress, stated, "recognising the importance of the Nitrates Directive and its impact on certain farmers, a number of initiatives shall be taken in the context of optimising the use of available EU and national budgetary resources." These initiatives included a review of REPS with higher payment rates, and changes to the terms and conditions of the farm waste management scheme and dairy hygiene scheme, in particular increasing the income and eligible investment ceilings. The income unit ceiling under these two schemes has been increased to 450, which means that most Irish farmers can now apply for grant-aid. The investment ceiling for farm waste management works has been raised to €75,000 and that for dairy hygiene investments to €50,000, increases of about 50% in each case.
The improvements in the farm waste management schemes and the dairy hygiene schemes are already in place, and I have launched an amended REP scheme which will deliver an average increase of 28% in payments to farmers. The scheme of capital allowances for expenditure on farm pollution control has been extended to end-2006, and a committee is currently examining issues associated with the possible introduction of low cost wintering facilities such as earthen bank tanks for the storage of livestock manures.