Dáil Éireann Debate, Wednesday - 24 March 2004
6 Mr. Gilmore asked the Minister for Agriculture and Food if he will consider a support system for farmers who will incur substantial capital costs in order to meet the nitrates directive requirements; and if he will make a statement on the matter. [9159/04]
Amharc ar fhreagraSubstantial financial aid is being made available to farmers to facilitate compliance with the nitrates directive. In Sustaining Progress, the Government 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 and dairy hygiene schemes, in particular increasing the income and eligible investment ceilings. Following a wide-ranging review of REPS, proposals for changes to the scheme, including an average 28% increase in payments, are now with the European Commission for approval.
Earlier this year I secured approval from the European Commission to proceed with substantial improvements to both schemes with effect from January 2004. In addition, increases have already been applied to the standard costs used to calculate grant aid. Section 21 of the Finance Bill 2004 also gives concessions to farmers on farm pollution control measures to 31 December 2006, subject to the enactment of the necessary legislation in the Finance Act 2004.
While I am an optimist I did not really expect the Minister to give me any better news than he has given my colleagues on that point. Would he agree, however, that some farmers will suffer a significant financial cost or loss arising from the capital investment they may have to make to meet the storage requirements? Could he comment particularly on that?
I indicated earlier that storage requirements and the times of spreading organic manure were probably greater impositions on farmers than some other aspects of the directive. We sought and got approval from the Department of Finance to give higher rates of grants to help farmers cope with this. I also spoke to Teagasc about this because many farmers embark on Rolls Royce style farm buildings and facilities when there are more modest but equally effective storage systems available. Teagasc has initiated a very useful scheme which intensively advises farmers on how best to cope with post-Fischler problems, including the nitrates directive. If farmers take and implement the best advice they can adequately meet the requirements of the directive without suffering undue hardship. The farm waste management and dairy hygiene schemes will also help them.
Can the Minister indicate when the nitrates directive will be concluded or when does he believe it will be finally agreed?
We have until June of this year to submit our action programme to Brussels otherwise we are in danger of further court proceedings and of putting several EU supported and funded schemes in jeopardy. I hope and expect that in deliberations with the stake holders and farming organisations we can agree an action programme, submit it to Brussels by June, and finalise this matter once and for all.
Does the Minister know when it will be finalised?
I cannot say for sure how long the Commission services take to deliberate. For example, we submitted REPS in the first week of December and have been chasing the Commission since then. It is the third week in March yet we have not yet received it from the services and there is €260 million expenditure available for the scheme. We have an obligation under the 1991 directive to deliver an action programme to the Commission and must do so by June of this year.
Can the Minister please outline what supports are in place or planned and indicate the role of Teagasc in this regard?
Several measures were included in the Estimates this year to cope with the nitrates directive. They include the farm waste management and dairy hygiene schemes, the installation aids and section 2 of the Finance Act 2004. In addition the Teagasc post-Fischler programme is geared to assist farmers in this regard. A battery of measures and advisory programmes have been put in place to be of maximum assistance to farmers.
Will the Minister take into account the serious situation in the Border area, especially in Cavan, Monaghan, Leitrim and Donegal where the proposal is for a 24 week storage period? Many dairy farmers are going out of business there because they cannot afford to develop their farms to meet the 24 week storage requirement. Will the final application for this be submitted to Brussels before June?
I hope that in discussions with the farming organisations we can get consensus before June and the sensible approach then is to get an action programme and negotiate to seek the maximum derogation. Twenty-four weeks in certain years, such as last year when we had a good autumn and winter with virtually no rainfall would not be too difficult to manage but another year could be completely different. We will seek, and I hope get, exemptions and derogations depending on weather conditions and particular situations for individual farmers because while those in the south west and those in the northern area may be working in different soil types they will have the same requirements. We have every opportunity to get derogations to allow sensible professional farming to continue and be sustained.
Will there be additional grants for higher levels of storage?
We are over the time. Deputy Sargent may speak very briefly.
Although the Minister says many farmers observe good farming practice and will experience a negligible impact from this directive, would he not agree that there are some, particularly in the pig, poultry and mushroom sector, who require other farmers' land for spreading of slurry and that they need particular advice and assistance? Deputy Crawford would be aware of these farmers. Has the Minister identified the most vulnerable farmers who need advice on anaerobic digestion and other means by which they can comply with the nitrates directive?
The Department is in continuous discussion and liaison with Teagasc on that and there are programmes, such as those the Deputy suggests, and others, in which farmers could be involved. In some commercial farms the organic manure is dried and sold off as compost for gardening purposes. In Ireland we import a great deal of that material when there is no need for it. We must have regard to good farming practices, the rural landscape and environment, and the quality of our rural streams and rivers. I see no reason that cannot be done in harmony with good commercial farming practice.
We must address the problem of waste and pollution, especially wanton pollution. When driving through the countryside I have seen effluent from silage pits and slurry tanks leaking across the road and into a local stream. That need not happen with good farming practice. The nitrates directive will spur us into ensuring that we comply with the directive and address particular aspects of the rural landscape alongside good commercial professional farming.
