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Dáil

Adjournment Debate ›

Grant Payments

When I originally submitted this matter for consideration to be raised on the Adjournment, it related to the reason for the delay in the payment of REPs and payments — namely, the payment of the ewe premium of €10 per head to sheep farmers, disadvantaged areas scheme payments and single farm payments — relating to other schemes to farmers in County Kerry. Yet again, Kerry has emerged at the top of the list as the county which has experienced the most delays when it comes to farmers receiving their payments. Unfortunately, farmers in Kerry are suffering because, unlike their counterparts elsewhere, they have not received their payments. I do not know what is the reason for this but perhaps the Minister of State is in a position to shed light on the matter.

I recently quizzed the Minister for Agriculture, Fisheries and Food in respect of the premium of €10 that was to be paid in respect of each ewe in the country. Press releases were issued by the Minister and his Department to the effect that this premium was to be paid prior to Christmas. However, it has not been paid and to the best of my knowledge — having discussed the matter with the Minister — will not be paid in the near future. I understand there is a problem with Europe in respect of this matter and payment has been delayed. This is despite the fact that the Minister issued press releases heralding the premium's imminent payment.

The most popular reason provided in respect of the non-payment of disadvantaged areas scheme payments to farmers in my area is that there was a need to digitise the maps. Most farmers have discovered that while they may own 50 hectares, when the maps were digitised this no longer proved to be the case and they are now listed as possessing fewer than 50 hectares. I do not know how this happened but it is also the case when it comes to forestry.

In the context of the single farm payment, I am aware of a case where a farm was let to a nephew who is a minor and whose mother is looking after the property. The boy's father is also a farmer and neither has received a payment because only one single farm payment could be issued. This is despite the fact that the family in question has two herd numbers.

What is happening is quite frustrating. I have been obliged to inform farmers in Kerry that it is obvious that the Government and the Department are holding back money and that there will be a big slush fund from which moneys can be disbursed a couple of weeks prior to the general election. That is not much good to farmers who have bills to pay. Having been in business, I am aware that if one promises to pay a creditor on Monday one should do so and one should not delay payment until the following Monday. When farmers are informed that they will be paid on a certain date and then the money does not arrive, matters are thrown into complete confusion. Creameries and suppliers require payment. However, if farmers do not receive their payments, the circle cannot be completed.

In recent times I have received communications from the Department in respect of the representations I make on behalf of constituents to the effect that it will contact these constituents directly. This is a new departure. Perhaps the Department has decided to contact applicants directly in the run-up to the election. In many cases, however, it has not followed through on its promise to contact people. Why is the Department dealing directly with the farmers on whose behalf I am making representations? I am doing my best to represent these individuals but I am being removed from the equation.

It is disappointing that Kerry is top of the list when it comes to delayed payments. I hope that the position in this regard will be rectified as soon as possible.

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I have been asked by the Minister for Agriculture, Fisheries and Food, Deputy Smith, to clarify the position regarding payments to farmers in County Kerry under the rural environment protection scheme, REPS. I thank Deputy Tom Sheahan for raising this matter on the Adjournment.

As the Deputy is no doubt aware, REPS is an agri-environment measure under the rural development programme 2007 to 2013. It is designed to encourage farmers to go beyond basic good farming practice and to farm in a way that benefits the landscape, biodiversity and water quality. Every member state must have an agri-environment measure and REPS is co-funded by the EU at the rate of 55%. The scheme has proven to be very popular with Irish farmers and confirms their commitment to farming to the highest environmental standards. This commitment fits very comfortably with the vision of smart green growth as set out in the Department of Agriculture, Fisheries and Food's Food Harvest 2020 strategy statement. It is worth noting that, at its height, the scheme included some 60,000 farmers. This represents approximately half the active farmers in the country.

Although the scheme closed to new applicants on 9 July 2009, payments will continue to issue to REPS farmers up to the end of 2015. By then, the total payments made to farmers since the scheme was first introduced in 1994 will have come to over €3 billion. The Government remains committed to supporting farmers who choose to farm to environmentally friendly practices and to ensure these farmers are rewarded for their efforts. Indeed, the Minister, Deputy Smith, has already confirmed his intention of re-opening the successor to REPS, the agri-environment options scheme, in 2011. It will involve a maximum of 10,000 farmers with payment levels capped at €5,000 per farmer.

The Government is pleased there was such interest and uptake in the agri-environment options scheme in 2010, with over 9,000 applicants. This level of application confirms my long-held belief that Irish farmers are more than willing to play their part in protecting our environment. While the scheme has been an undoubted success, it is important to learn from our experience of 2010 by reviewing the operation of the scheme and incorporating, where possible, adjustments in 2011. This process has already commenced and will ensure the continued emphasis on the delivery of public goods by farmers in a way that suits Irish agriculture.

However, the rural environment scheme is subject to stringent EU regulations. These require that detailed administrative checks, including plan checks, be completed on all applications before any payment can issue for the year in question. This year, the work involves checks on approximately 30,000 files. Payments issue in two phases of 75% and 25% respectively, and the second phase can issue only when the field inspections have concluded.

Detailed checks were carried out late last year and in 2010 farmers in REPS 4 received some €170 million in payments. Payments to over 23,500 REPS 3 farmers also continued in 2010, with approximately €154 million also paid under this scheme. One can see from these figures that the Department has made significant payments to REPS farmers in 2010, paying out some €324 million by the year end. Already in 2011, the Department of Agriculture, Fisheries and Food has paid out some €12 million to REPS farmers.

Of the 2,117 farmers due a REPS 4 payment in Kerry, over half have been paid to date, receiving an amount in excess of €7 million. As well as that, we have made payments of €11.5 million to REPS 3 farmers in Kerry in 2010. The reason some farmers have not yet received their REPS 4 payment is that they have not yet cleared all of the necessary checks. As I mentioned earlier, in order to meet the requirements of EU regulations, applications for REPS payments have to go through an exhaustive series of administrative checks, including a cross-check against the area declared by scheme participants in their single payment scheme application, before payment can be released. In a significant number of cases, those checks raised issues and queries which required further detailed examination. The Department's staff are working to resolve these as quickly as possible. There have been some delays due to re-digitisation of land parcels and these cases are being prioritised.

The Department's objective remains to ensure that all outstanding claims are processed to payment stage as quickly as possible. Payments are being and will continue to be made on an ongoing basis. I am confident there will be no undue delay in issuing further payments to REPS farmers, including those in the Kerry region. I will bring to the Minister's attention the matter raised by Deputy Sheahan regarding the lack of direct response to representations.

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