 |
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| I. | Transfers of premium quota rights to flock owners who have grazing rights in designated 'degraded' commonages under the REPS is conditional on those farmers participating in the REPS or who give an undertaking that they will not graze any additional sheep on the degraded areas from 1 November to 30 April, each year. This is designed to prevent the beneficial effects of the REPS de-stocking measure being undermined (see Chapter 2.2.2). |
| II. | A proposed cross-compliance measure, if approved by the European Commission, will involve payment of ewe premiums and headage payments to farmers in designated Degraded Areas only if farmers join the REPS. This proposed measure is designed to curb overgrazing (see Chapter 5.1.1). |
Purpose
Compensation for reduction in Ewe Premium.
Nature of payment
Per animal, as per the Ewe Premium. Approx. £4-5 per ewe in 1998.
General conditions
Sheep farmers who have 50% of farmed area in Disadvantaged Areas. Area aid application is necessary.
Environmental conditions
None.
Background
The Suckler Cow Premium was first introduced by the EEC in 1980. The premium was increased, along with the Special Beef Premium, in 1993. This was intended as compensation for reductions in prices and market supports following the CAP reforms of 1992.
Purpose
Support for a form of beef production which is traditionally linked with relatively low financial returns, and particularly to compensate farmers for a fall in beef prices following the CAP reforms.
Legislation
EEC Regulation 1357/80 introducing a system of premiums for maintaining suckler cows (O.J. No L 140, 5. 06. 80). The scheme was amended by EEC Regulation 573/89 (O.J. No L 63, 7. 03. 1989). The scheme was further amended to set a stocking density limitation by EEC Regulation No 2066/92 of 30 June 1992 amending Regulation (EEC) No 805/68 on the common organisation of the market in beef and veal and repealing Regulation (EEC) No 468/87 laying down general rules applying to the special beef premium for beef producers and Regulation (EEC) No 1357/80 introducing a system of premiums for maintaining suckler cows (O. J. No L 215, 30. 06. 92).
Nature of payment
Payments are made per animal. The payment is £140. 23 for 1998.
Public expenditure
£157. 712 million in 1996.
General conditions
Environmental conditions:
None
Purpose
The premium was increased, along with the Suckler Cow Premium, in 1993 in order to compensate beef farmers for price reductions following CAP reform.
Legislation
The Special Beef Premium was provided for in Regulation (EEC) No 805/68 on the common organisation of the market in beef and veal. It was amended by EEC Regulation No 3886/92 of 23 December 1992 laying down detailed rules for the application of the premium schemes provided for in Regulation (EEC) No 805/68 on the common organisation of the market in beef and repealing Regulations (EEC) No 1244 and (EEC) No 714/89 (O.J. No L 391, 31.12.92).
As with the Suckler Cow Premium, the Special Beef Premium Scheme was further amended to set a stocking density limitation by EEC Regulation No 2066/92 of 30 June 1992 amending Regulation (EEC) No 805/68 on the common organisation of the market in beef and veal and repealing Regulation (EEC) No 468/87 laying down general rules applying to the special beef premium for beef producers and Regulation (EEC) No 1357/80 introducing a system of premiums for maintaining suckler cows (O.J. No L 215, 30. 06. 92).
Nature of payment
Payment is made per animal, and can be claimed twice in the life of male cattle. The payment rate is £87 per head each time the premium is paid.
Public expenditure
£167. 147 million in 1996. Payments were made to 90,000 herd owners on about 2 million cattle in 1997.
Conditions
Environmental conditions
None
2.1.5. Extensification Premium
Background
The Extensification Premium is essentially a mechanism to stabilise or reduce beef production by payments to farmers who have low stocking rates comparative to the usual stocking rates for beef production. The premium is now of special significance following the CAP reforms of 1992 targeted at the beef sector.
Purpose
Reduction of beef production.
Legislation
The Extensification Premium was first introduced in Article 3 of the Agricultural Structures Regulation of 1991, EEC Regulation 2328/91 of 15 July 1991 on improving the efficiency of agricultural structures (O.J. No L 218, 6. 08. 1991).
Nature of the payment
Per animal. The payment in 1998 is £29.86 per animal, unchanged from 1996/7. The payment is made automatically to farmers who apply for the other beef premium schemes.
Public expenditure
£60.491 million in 1996. Up to 70,000 cattle farmers currently receive extensification premiums.
General conditions
Environmental conditions
None
Background
Subsequent to the CAP reforms, the intervention price for cereals was to be cut by 29% from July 1993. Compensation was introduced to reduce the impact on farmers but it also had the objective of reducing cereal production. The scheme was introduced in July 1992. It applies to cereals, oilseeds, peas and beans, and potatoes (for starch manufacture only).
Legislation
EEC Regulation No 1765/92 of 30 June 1992 establishing a support system for producers of certain arable crops (O.J. No L 181, 1. 07.92), as amended, and EEC Regulation No 1766 of 30 June 1992 on the common organisation of the market in cereals (O.J. No L 181, 1. 07.92).
Nature of payment
The Arable Aid Scheme offers compensatory payments per hectare, but beneficiaries must also set aside a certain proportion of their land to obtain payments ('cross-compliance'). Payments ranged from £274 per ha (£110 per acre) for cereals to £530 for linseeds in 1996. There are, in fact, two schemes:
| I. | General scheme: farmers with land eligible under the scheme which exceeds 15.13 ha must set aside land in order to obtain compensatory payments. |
| II. | Simplified scheme: farmers with less than 15.13 ha of cereals are exempted from the set aside requirement. |
Environmental conditions
The only EU environmental conditions that apply to the Arable Aid Scheme are EEC Regulation 1765/92, which states:
‘Member States shall take the necessary measures to remind applicants of the need to respect existing environmental legislation’, and;
EEC Regulation 2293/92, which states:
‘Member States shall apply appropriate measures which correspond to the specific situation of the land set aside so as to ensure the protection of the environment’.
The Department of Agriculture and Food re-affirms the general EU condition that set aside be managed in such a way as to ensure the protection of the environment, and states that penalties will apply where these rules are not observed (no set aside payment for the land parcel in question). Protection of wildlife is mentioned only once: ‘Cutting should always be effected in such a way as to allow an escape route for wildlife’ (DoA, 1996).
These three schemes are the so-called Accompanying Measures that followed the main CAP reforms in 1992. They are the first schemes paid for under the CAP Guarantee Fund that have been regionalised and co-financed, i.e. Ireland can adapt the basic EU measures but it must also pay 25% of the costs. Previously, all CAP Guarantee schemes were centralised and 100% financed by the European Commission. Even though the Afforestation and Agri-Environment Schemes appear to address two distinct issues, they are connected by one of the principal underlying objectives of CAP reform: reduction of surplus agricultural commodities by extensification and/or taking 'surplus' land out of production. The Early Retirement Scheme aims to address the perennial structural problems of the age profile of farmers and poor viability of farm holdings. The Early Retirement and Afforestation Schemes both have modest environmental conditions inserted into the EU legislation.
2.2.1. Early Retirement From Farming Scheme
Background
The Early Retirement from Farming Scheme was introduced as part of the 'Accompanying Measures' in the CAP reforms of 1992. It is optional for Member States, which must fund 25% of the costs. This scheme is the successor to an earlier scheme introduced under the 'Mansholt Plan', EEC Directive 72/160.
Legislation
EEC Regulation 2079/92 of 30 June 1992 instituting a Community aid scheme for early retirement from farming (O.J. No L 215/91, 30. 07. 92).
Purpose of scheme
The scheme provides a pension for elderly farmers to retire and provide an opportunity for young farmers to practice farming. The objectives of the Irish scheme are to ‘redress two of the main structural defects in Irish farming, viz. farm sizes and the age profile of farmers’ and ‘the emphasis is on using the land released to increase and re-structure other holdings to make them viable’ (DoA, 1996).
Nature of scheme
The scheme offers incentives for full-time farmers aged between 55 and 66 to transfer their farms to qualified young farmers by providing a pension up to a maximum of £10,016 in 1997. It is paid per person retiring, on a monthly basis. The rate of annual pension is a basic £4,006 and £250 per ha up to a maximum annual pension of £10,016 in 1997. It is paid for up to 10 years but not beyond a farmer's 70th birthday.
Public expenditure and uptake
At the end of December 1996, 5,393 farmers had been approved for payments, costing £44 million and 169,000 ha were released to young, qualified farmers, resulting in an average increase in their farm size from 31 ha to 39 ha (DoA, 1996).
General conditions
Pensions are granted to:
Environmental conditions
The EEC Regulation states that the released land must be ‘farmed in harmony with the protection of the environment’, and that Member States must adopt the necessary laws to ensure, inter alia, that purchase or rental contracts of the land released should contain clauses requiring compliance with the requirements of environmental protection.
Article 6 of EEC Regulation 20979/92, conditions applicable to released land, states:
‘Released land transferred to farming transferees must be farmed for not less than 5 years, in harmony with the requirements of environmental protection.
‘Released land transferred to non-farming transferees must be used in a manner compatible with the protection or improvement of the quality of the environment and of the countryside.’
Article 7 of EEC Regulation 2079/92, National provisions, states:
‘Member States shall adopt the necessary laws, regulations and administrative provisions to implement the programme. These provisions must ensure in particular:
In other words, Member States are required to ensure that all farms involved in the scheme are managed in a manner that protects the countryside, although the details of how this should be achieved are not specified.
The Department of Agriculture and Food specifies that participating farmers must ‘farm in harmony with the requirements of EC and National legislation on environmental protection’ (DoA, no date). However, there are no specific guidelines on environmental management. Where no suitable farming transferee can be found, owners are allowed to re-assign land for non-agricultural uses, forestry or ecological reserve creation (DoA, 1994).
2.2.2. Rural Environment Protection Scheme (REPS)
Background
One of the reasons stated by the European Commission for the CAP reforms of 1992 was the need to protect the environment. The result was the Agri-Environmental Action Programme, a framework regulation under which Member States were legally required to put in place a national agri-environmental scheme. In Ireland, this scheme was entitled the Rural Environment Protection Scheme.
Legislation
EEC Regulation No 2078/92 of 30 June 1992 on agricultural production methods compatible with the requirements of the protection of the environment and maintenance of the countryside. (Official Journal, No L 215, 30. 07. 1992.)
Purpose of scheme
Encouragement of environmentally-friendly farming methods; protection of wildlife habitats and endangered species of flora and fauna; production of quality food in an extensive and environmentally friendly manner.
Nature of scheme
Voluntary agreement with the Department of Agriculture and Food for 5 years. It is expected that the scheme will be renewed in 1999 for a further ten years.
The following measures are included in the basic scheme:
There are a number of supplementary measures, which offer additional payments on top of the basic scheme, which are set out in Table 2.1:
| Supplementary REPS Measure | Objective | Application |
| Natural Heritage Areas (NHAs) | Habitat conservation: extra payments | Applies in Natural Heritage Areas (~7% of territory); mandatory |
| Degraded Areas | Rejuvenation of commonages suffering from overgrazing, by offering payments for adherence to sustainable stocking strategy and for sheep removed from land. | Applies in degraded commonages designated by the Department of Agriculture, Food and Forestry; mandatory |
| Long term set aside (20 years) | Conservation of river banks by set- aside of land up to 30 metres from a river. Protection of bank from erosion and conservation of flora and fauna. | Applies to 22 designated Salmonid Waters |
| Local breeds in danger of extinction | Preservation of livestock breeds on the EU list of endangered species | Countrywide |
| Public access and leisure activities | To facilitate farmers who undertake to give public access for leisure activities. | Countrywide |
| Organic farming | To assist in the conversion to or maintenance of organic farming | Countrywide |
Public expenditure and uptake
In February 1998, the Department of Agriculture and Food supplied statistics for the uptake of the REPS and the various supplementary measures. The following is a summary (figures refer to Stage 1):
Basic REPS
Total number of farmers approved to date: 31,631, costing £105.4 million.
Area of country under scheme: 1,101,416 hectares
Counties with greatest uptake: Galway (121,687 ha, 4171 farmers); Mayo (104,140 ha, 3400 farmers).
A total of £105,422,461 has been paid out to date, with an average payment per farm of £3332.
Natural heritage area supplementary measure (without destocking payment)
Total number of participants: 5794
Area of country under Measure: 176,973
Counties with greatest uptake: Galway (34,485 ha, 1229 farmers); Mayo (27,735 ha, 988 farmers); Donegal (21,776 ha, 692 farmers); Kerry (17,119 ha, 487 farmers); Clare (14,041 ha, 404 farmers).
Natural heritage area supplementary measure (with destocking payment)
Total number of participants: 15
Area of country under Measure: 593 ha
Destocking payments in NHAs were only paid in Galway, Kerry and Sligo.
Degraded Area Measure
Total number of participants: 361
Area of country under Measure: 13,392 ha
Counties with greatest uptake: Mayo has by far the greatest area and number of participants in this Measure: 9,925 ha and 282 farmers, followed by Galway with 1,849 ha and 45 farmers.
Rare Breeds Measure
Total number of participants: 92 farms
Livestock Units of country under Measure: 283 LU.
Riparian Zones Measure (Long term set aside of river banks)
Total number of participants: 41
Area of country under Measure: 59 ha
Organic farming Measure:
Total number of participants: 314
Area of country under Measure: 8,840 ha
Counties with greatest uptake: Cork (76 farmers; 2,046 ha); Clare (52 farmers; 1,619 ha)
Demonstration farms
There are 46 demonstration farms, averaging nearly two farms per county.
Twenty hour training course
A total of 7,592 farmers received payments for attending the training course.
Conditions
The conditions are quite comprehensive and are set out in the manual prepared by the Department of Agriculture and Food (DoA, 15 May 1996).
Notable points are:
Linkages
2.2.3. Afforestation and Premium Schemes
These schemes are the subject of a current evaluation by the Heritage Council. The Council is referred to its study, ‘Review of the Impact of Current Forestry Policy on Aspects of Ireland's Heritage’ for details of the forestry measures. The Afforestation and Premium Schemes are mentioned in this study (see Chapter 8.1.8), since they are targeted on agricultural land, they are designed to compete with other agricultural payments, and have a considerable potential to impact on the countryside.
All the above schemes are co-funded by the EU Structural Funds and the Exchequer, and all are administered by the Department of Agriculture and Food, or its agents. The first five schemes listed above are directed solely at farmers, and operate through the Operational Programme for Agriculture, Rural Development and Forestry, 1994-1999 (OPARDF) (Government of Ireland, 1995). LEADER and INTERREG are so-called Community Initiatives, introduced by the European Commission in addition to Member States' operational programmes. They are more broad-based schemes with a strong rural development emphasis, and are directed at rural communities. Under EU policy, all EU Structural-funded activities have to be included in programmes (usually running for 5 years). The various programmes, including agriculture and rural development programmes, comprise the Community Support Framework (CSF) for each Member State. Programmes are submitted for funding and are approved, with or without amendments, by the European Commission. They are subject to a mid-term review and final evaluation. The previous Headage, Farmyard Pollution, LEADER and INTERREG schemes have been evaluated and the current Headage and Control of Farmyard Pollution schemes have been reviewed in the Mid-Term Review of the CSF (ESRI), (1997).
There are two main differences between current schemes and earlier schemes:
| I. | Current schemes are directed not only at farmers but also towards other rural economic activities (e.g. tourism, small businesses, forestry, etc.). This is in recognition of the fact that mainstream agriculture has declined in importance as the mainstay of the rural economy. |
| II. | Drainage and land reclamation projects are no longer subsidised by the EU, and all the schemes listed must conform to EU environmental policy or to the requirements of environmental protection. However, these clauses are often vague and open to interpretation. |
The Compensatory Headage Scheme has remained essentially unchanged since it was first introduced in 1975, and provides basic income supplements for about 120,000 farmers, many of whom are small and medium farmers in western areas.
2.3.1. Compensatory Headage Allowances ('Headage Payments') in Less Favoured Areas
Background
Headage payments were introduced in 1975 under EEC Directive 268/75 on mountain and hill farming and farming in certain less-favoured areas, as amended. The current legislative basis is EEC Regulation 2328/91 of 15 July 1991 on improving the efficiency of agricultural structures, as amended (EEC, 1975; EEC, 1991a).
Headage payments are an explicitly socio-economic measure, and operate within the specific terms laid down in Articles 17-19 of EEC Regulation 2328/91. Seventy-two per cent (72%) of Ireland is classified as a Less Favoured Area within the terms of Article 3.4 (less favoured areas) and Article 3.5 (areas affected by specific handicaps). In these areas, farmers are eligible to receive headage payments for cattle, sheep, goats, horses and donkeys. The aim of the scheme is to compensate farmers in order to provide a reasonable level of income in areas with natural disadvantages. In line with the Less Favoured Areas Directive (268/75 EEC), the scheme aims to ‘conserve the countryside by the prevention of further depopulation of rural areas’ (Government of Ireland, 1995).
Definition of Less-Favoured Areas (LFAs)
LFAs are classified under three headings:
LFAs in Ireland are entitled Disadvantaged Areas (DAs) and are classified thus:
Farmers qualify for headage payments in LFAs if their farms are greater than 3 ha (7.5 acres). About 120,000 farmers currently receive headage payments, with an average payment of £1,000 per farmer. Over 80% of the payments go to cattle/beef farmers, who are amongst the lowest income earners in Irish agriculture (Government of Ireland, 1995).
Payments
Headage payments for the various categories of LFAs and for different livestock categories are complex (especially when other livestock payment schemes have to be considered). The payments as they apply in 1998 are set out in Table 2.2. As of 1998, there is a new ceiling on combined cattle and sheep headage of £3,024 per individual. Payments are limited to £89.62 per forage hectare for beef cows, sheep, goats, horses and donkeys, and £55.99 for all other cattle paid at the full rate. These rates are subject to a stocking density limitation of 1.4 LU per hectare.
Public expenditure
The total projected cost of headage payments in the OPARDF is £793. 670 million from 1993 to 1999, 65% (£448. 985 million) from the CAP Guidance Fund and 35% (£344. 68 million) from the Exchequer. In 1997, total public expenditure amounted to £127. 423 million.
Environmental conditions
Payment of sheep headage to farmers in designated 'degraded areas' in the REPS is conditional on joining the REPS. This measure is designed to curb overgrazing.
Linkages
Environmental cross-compliance with the REPS (see Environmental conditions, above).
|
|
|
| Rate (£) | |
| Beef cows | 84.00 per head |
| Sheep and goats | 10.00 per head |
| Cattle (1 - 8 livestock units) | 40.00 per LU |
| Cattle (next 22 livestock units) | 33.00 per LU |
| Mares (8 mares) | 70.00 per head |
| Mares (next 22 livestock units) | 66.00 per head |
|
|
|
| Rate (£) | |
| Beef cows and mares | 75.00 per head |
| Sheep and goats | 10.00 per head |
2.3.2. Control of Farmyard Pollution Scheme (CFP) (currently suspended)
Background
In the late 1980s, farmers responded to a succession of wet summers with a rapid conversion from hay to silage as winter fodder. This was often carried out without proper effluent storage facilities and resulted in a large number of fish kills. The Operational Programme for the Control of Farmyard Pollution, 1989-1993 was brought into effect in 1989, and was the first Irish operational programme approved by the EC in the 1989-1993 round of Structural Funds. 40,000 farms availed of the scheme.
Purpose and nature of scheme
The scheme was essentially a continuation of the 1989-1993 scheme. However, one of the key objectives was to assist small and medium farmers to reduce pollution.
The CFP operated through the Operational Programme for Agriculture, Rural Development and Forestry, 1994-1999 (OPARDF, 1994), but was suspended in April 1995 because it was fully subscribed. 18,500 farms benefited from aid in 1994 and 1995. There is a possibility that the CFP may re-commence in 1998. Capital grants were awarded to farmers who undertook construction/installation of farm waste storage facilities, basic winter housing for cattle or sheep and fodder storage. The objectives of the current scheme are stated as:
Public expenditure
Total public spending allocated amounted to £95 million, of which £66 million was from the CAP Guidance Fund. £37.092 million was paid to 3,992 farmers in 1996.
Payments
The payment takes the form of a once-off capital grant towards the costs of upgrading farmyards in order to store slurry and silage effluents safely. The rate of grant depends on the scale of the operation and the level of investment. Subsidies of up to 60% are available for small and medium farmers and 30% for larger farmers (see Table 2.3).
Table 2.3 Aid available for investments under Control of Farmyard Pollution Scheme
| Supplementary REPS Measure | Objective | Application |
| Type of investment | Enterprises less than 80 units(standard unit for farm size in animals or hectares) | Enterprises greater than 80 units |
| Investment ceiling £22,500 | Investment ceiling £45,000 |
|
| Storage facilities for farm wastes Animal housing |
60% | 30% |
| Farm roadways Water Supply to fields Screening shelter belts |
30% Subject to a maximum investment of £5,000 |
20% Subject to a maximum investment of £5,000 |
Mobile equipment for slurry disposal |
30% Subject to a maximum investment of £4,000 |
30% Subject to a maximum investment of £4,000 |
General conditions
Environmental conditions
Timing of slurry disposal: undertaking to empty slurry tanks not later than 31 October each year, and not to spread slurry between 1 November and 31 January each year.
Linkages
There was an important linkage with the Rural Environment Protection Scheme (REPS) (see Section 3.2). REPS payments were conditional on having adequate farm waste storage facilities as part of the farm plan. Since grants were made available for such improvements under the Control of Farmyard Pollution Scheme, this was an added incentive to join the REPS. In addition, the Department of Agriculture and Food encouraged participants to join the REPS.
2.3.3. Farm Improvement Programme (FIP) (currently suspended)
The Farm Improvement Programme operated under the OPARDF 1994-1999. However, the scheme has been in operation since 1986, when it replaced the Farm Modernisation Scheme. In the eleven years since its inception, the scheme has changed from its original emphasis on land improvement (reclamation, hedge and ditch clearance, drainage, etc.) to a scheme which finances upgrading of farmyards in relation to pollution control. The similarity between the latest FIP and the CFP is striking.
| Type of investment | Rate of capital grant as a % age of approved costs | Rate of capital grant as a % age of approved costs |
| Enterprises with 0.5 MWU or less | Enterprises with more than 0.5 MWU | |
| Storage facilities for farm wastes Animal housing Fodder storage |
Less Favoured Areas: 45% Other areas: 35% |
All areas 30% |
| Mobile equipment for slurry disposal | 30% Subject to a maximum investment of £4,000 |
30% Subject to a maximum investment of £4,000 |
Public expenditure
Grants of £15 million were paid for farm buildings and farm waste facilities between 1989 and 1994, when the scheme was suspended to new applicants.
2.3.4. Agri-Tourism Scheme
The outline description of the scheme is contained in a brochure supplied by the Department of Agriculture and Food (DoA, no date). The scheme was introduced on 20 February 1995. It is administered by the Department of Agriculture and Food through its agents the Shannon Development Company in the Shannon Region and under the aegis of Bord Fáilte in all other parts of Ireland. It succeeds an earlier scheme introduced in 1989 (Government of Ireland, 1990).
2.3.5. Development of Organic Farming Scheme
Purpose of scheme
The aim of the scheme is ensure a regular supply of organic produce to the market by the development of organic co-operatives, groups and companies (Government of Ireland, 1995). The targets are:
Nature of scheme
Grant aid of up to 50% of capital investment is offered to farmers, groups, companies and cooperatives for the provision of facilities for grading, packing, storage and distribution or organic products. Aid of up to 70% of costs is also provided for recognised bodies such as An Bord Bia and An Bord Glas for marketing and promotion in support of organic farming.
Public expenditure
The budget forecast for the scheme is £0.8 million.
Conditions
Grant aid will only be paid to operators (producers, companies and cooperatives) which are inspected and meet the requirements under the EU's Organic Farming Regulation (EEC, 1991b).
Linkages
There is a linkage with the Organic Farming Measure in the Rural Environment Protection Scheme (REPS) (see Section 3.2). This latter measure (described in Section 2.2.2) provides an area payment for farmers who convert to or continue with organic farming methods. The REPS Organic Farming Measure is in part responsible for the increase in organic farming taking place in Ireland, from 5,300 ha in 1994 to 16,865 ha in 1996. Aid under the Development of Organic Farming Scheme is considered necessary to meet the increasing need for grading, packaging, storage and distribution facilities for organic products.
2.3.6. LEADER Initiative
Background and origins
The LEADER Initiative was first introduced by the European Commission in March 1991 as an integrated scheme to stimulate rural enterprise, and particularly because agriculture was recognised as being no longer the mainstay of the economy in many rural areas. The first Irish scheme, LEADER I, ran from 1991 to December 1994. LEADER I supported 16 groups selected for funding, which amounted to £21 million from the EU, £14 million from the Exchequer and a roughly similar proportion from private sources (DoA, 1995).
LEADER II, the current scheme, was launched in 1995 under the Operational Programme for the Implementation of the EU LEADER II Initiative in Ireland, 1994-1999 (Government of Ireland, no date, a).
Legislation
Commission Decision of 29 March 1995 on the granting of assistance from the European Agricultural Guidance and Guarantee Fund (EAGGF), the European Regional Development Fund (ERDF) and the European Social Fund (ESF) for an Operational Programme under the Community Initiative LEADER II in the Objective I regions of Ireland.
Purpose of scheme
The LEADER scheme offers, inter alia, assistance for rural groups in rural tourism, exploitation and marketing of agricultural, forestry and fisheries products and promotion and improvement of the environment and living conditions.
Nature of scheme
Each individual programme is managed and administered by local groups under contract from the Department of Agriculture and Food. It applies to groups operating in an area with a population of up to 100,000 people.
Public expenditure
The Operational Programme provides for a gross expenditure of £132 million from 1994-1999. The total projected public spending is £77.29 million, of which EU funds, £54.18 million, Exchequer £23.11 and private sector an estimated £54.8 million.
Environmental incentives
Incentives are provided under Measure 6 of Sub-Programme 2, for the following:
2.3.7. INTERREG II Initiative
Background and origins
The INTERREG II Programme is a cross-border EU initiative, operated in conjunction with Northern Ireland. It is financed through the EU Structural Funds. The Operational Programme is available from the Department of Agriculture and Food (Government of Ireland, no date, b).
The first INTERREG scheme was launched in 1991. A joint operational programme for Ireland and Northern Ireland included measures for agriculture and forestry, and environmental measures such as improving water quality. Grants of £2.5 million were paid for agricultural projects and £4.8 million for forestry projects in Donegal, Sligo, Leitrim, Cavan, Monaghan and Louth.
Purpose of scheme
INTERREG was designed to assist local populations of the border areas of the EU to overcome relative disadvantages of their isolation within national economies and the Union as a whole. It aims to stimulate local economic activity in various areas and to encourage cross-border activities and networks. Objectives include the protection of the area's environment and rural development through stimulation of activities in addition to mainstream agriculture.
Ireland has two INTERREG II Programmes:
Public expenditure
The EU financial allocation to INTERREG is 156.95 million ECU.
Agriculture/Forestry projects
Of the five sub-programmes in the Ireland/Northern Ireland INTERREG Programme, two are of relevance to this study. These are:
a) Sub-Programme 4: Agriculture/Fisheries/Forestry (£35 million). The aim is to support worthwhile cross-border projects which would not be eligible under mainstream programmes. Eligible projects or studies listed in the Agriculture Measure include alternative enterprises, improving quality of agricultural produce and improving management systems for the agri-food sector, and animal/plant health control and monitoring.
Eligible projects in the Forestry Measure include:
In all of the above measures, the EU aid rate is 75% of public expenditure.
b) Sub-Programme 5: Environmental Protection (£27 million)
This aim of this measure is to protect and enhance water quality and to encourage environmental protection.
The Measure is: Shared and Related River Catchments - Water Quality, Pollution Abatement and Other Environmental Action.
The aim is to improve water quality in cross-border catchment areas in order to facilitate tourism and protect water for economic and domestic use. Eligible projects related to agriculture and rural development include:
Environmental conditions
| I. | In general, all projects which are aided under the EU Structural Funds must comply with EU policies on environmental protection. |
| II. | In the agriculture and forestry measures, ‘projects must, where appropriate [our emphasis], contribute towards the protection/improvement of the environment.’ |
| III. | In the environmental measure, project selection criteria include compliance with EU Directives on waste water quality, and implementing existing water quality management plans or development new plans. |
Qualifying projects
The Department of Agriculture and Food declined to give information on approved projects.
2.3.8. Erne Catchment Nutrient Management Scheme
Background
The scheme operates under the EU Special Support Programme for Peace and Reconciliation, introduced by the European Commission, to operate from 1995-1999. The scheme was introduced because of concern over the growing phosphorus (P) imbalance between crop requirements and applications in the Erne catchment. Over the past twelve years, the amounts of P entering the lakes has been steadily increasing, causing an increase in algal growth and deterioration of water quality.
Purpose
To reduce eutrophication arising from agriculture in the Erne catchment.
Nature of scheme
The scheme operates in sub-catchments of the River Erne in Cavan, Monaghan and Fermanagh. It offers a nutrient management planning service to farmers on both sides of the border in the Erne catchment. It involves co-operative action between the Department of Agriculture and Food and the Department of Agriculture Northern Ireland, and farmers, to address water quality problems caused by excess phosphorus.
Public expenditure
The initial budget for the scheme was 1.4 million ECU, divided between both sides of the border on a fifty-fifty basis.
DoA (Department of Agriculture, Food and Forestry), (1995).
1994 Annual Review and Outlook for Agriculture, the Food Industry and
Forestry. Stationery Office, Dublin.
DoA (Department of Agriculture, Food and Forestry) (no date). Agri-Tourism:
Scheme of Grant Aid for Investments. Guidelines and Application Form.
Department of Agriculture and Food, Dublin.
DoA (Department of Agriculture, Food and Forestry) (1994) Scheme of
Early Retirement from Farming: Guidelines. Department of Agriculture,
Food and Forestry, Dublin.
DoA (Department of Agriculture and Food) (1996). EU Arable Area Payments,
1996/97. Explanatory Leaflet. Department of Agriculture, Food and
Forestry, Dublin.
DoA (Department of Agriculture, Food and Forestry) (1997) Annual Report
1996. Stationery Office, Dublin.
DoA (Department of Agriculture and Food) (1998) Annual Report 1997.
Stationery Office, Dublin.
DoA (Department of Agriculture, Food and Forestry) (1996) Rural Environment
Protection Scheme. Farm Development Service: Agri-Environmental Specifications.
Department of Agriculture, Food and Forestry, Dublin.
EC (Commission of the European Communities) 1993. Community policy
for aid to farms in hill, mountain and less-favoured areas. Green
Europe series. Luxembourg: Office for Official Publications of the European
Communities. ISSN 1012-2117.
EEC (1975) EEC Directive 75/268 on mountain and hill farming and farming
in certain less-favoured areas. Official Journal No L 128 of 19. 05.
1975.
EEC (1991a) EEC Regulation 2328/91 of 15 July 1991 on improving the
efficiency of agricultural structures [amending Directive 795/85/EEC
and Directive 268/75/EEC]. Official Journal, No L 218, 6. 08. 1991.
EEC (1991b) EEC Regulation 2092/91 on the organic production of agricultural
products and indications referring thereto on agricultural products and
foodstuffs. Official Journal, No L 198/1, 22. 07. 1991.
ESRI (Economic and Social Research Institute) (1997) Mid-Term Review
of the Community Support Framework. ESRI, Burlington Road, Dublin.
European Commission (1998) Agenda 2000: The Future of European Agriculture.
Directorate-General of Agriculture (DG VI), Brussels. Web address: http://europa.eu.int/en/comm/dg06/
Government of Ireland (1990) Operational Programme for Rural Development
1989-1993. Stationery Office, Dublin.
Government of Ireland (1994) Operational Programme for Agriculture,
Rural Development and Forestry. Stationery Office, Dublin.
Government of Ireland (no date, a). Operational Programme for the Implementation
of the EU LEADER II Initiative in Ireland, 1994-1999. Stationery Office,
Dublin.
Government of Ireland (no date, b). INTERREG Programme: Ireland and
Northern Ireland, 1994-1999. Department of Agriculture and Food, Dublin.
