The guidelines for the activation of entitlements by young farmers is set down in the Departments information booklet "The Single Payment Scheme, An Explanatory Guide", published in May 2004.
The reference to four months in the Deputy's question appears to refer to the time allowed by my Department to participants in the early retirement scheme to either renew a lease that has expired with their transferee, which is the young farmer who took over the holding, or to find a replacement transferee. Such a lease must be in place to ensure the continued payment of the pension. My Department notifies the participant in advance of the expiry of the lease of the need for a new lease and asks that the relevant documentation be supplied. If this documentation is not received after four months, the Department may suspend payment of pension until it is received. My Department endeavours to be as flexible as possible where difficulties arise for participants in sourcing a replacement transferee.
The lease is a legal agreement between the transferor and transferee. If either party does not meet commitments under the terms of the lease, it is open to the other party to take legal action to enforce the terms of the lease. A farmer can only consolidate entitlements on lands where the lease agreement has expired. This concession will not extend to farmers who terminate a lease before the agreed period.
