Ms Sinéad McPhillips:

No. I can cut it, although it might be three minutes rather than two. I thank the committee for inviting my colleagues, Ms O'Flynn and Mr. McGann, and me to discuss this proposal. This is a relatively modest simplification proposal to the CAP following on from simplifications last year. The proposed amendments can be summarised as changes in the following broad headings: changes to the green architecture, including controls and eligibility; changes to include a crisis reserve and risk management tools within the CAP strategic plans; changes in relation to competitiveness and digitalisation; and changes to the administration of the CAP. In each of these four blocks, there are some mandatory changes that, if accepted, will automatically come into force. There are also voluntary adjustments and new measures, which member states can choose to implement if they wish. There are also changes to some CAP measures which are only implemented in certain member states.

The focus of the proposals is on providing additional flexibilities to member states within the existing suite of CAP strategic plan, CSP, measures. However, it is important to note that there is no additional funding attached to this proposal. Therefore, the implementation of any new options would have to be funded from within the existing CSP envelope. As members will be aware, the financial allocation of €9.8 billion under the Irish CAP strategic plan is already fully committed for the current period of 2023 to 2027. Expenditure under the CSP amounted to €1.9 billion in CAP financial year 2024, for example.

The proposal is proceeding through the ordinary legislative procedure involving the Commission, the Council, and the European Parliament. At present, the proposals are being discussed in the Council working group. When a general approach has been agreed at Council level, trilogues with the European Parliament will follow. We do not expect the final regulation to be adopted until the end of this year at the earliest. Any changes introduced will only be applicable for the last two years of the current CAP strategic plan, that is, 2026 and 2027.

The Department has been engaging regularly with stakeholders, including the farm representative bodies, environmental NGOs and others, on this simplification proposal and will continue to do so as it progresses through the European system. We expect that overall, there will be limited changes for the Irish CAP strategic plan in the current round arising from this Commission proposal. Stakeholders are broadly in agreement that stability and certainty for farmers should be the priority for the final two years of implementation of the current plan.