Brendan Smith (Cavan-Monaghan, Fianna Fail)

The rates of payment under the rural environment protection scheme included a premium over and above the basic REPS payment in respect of Natura, natural heritage areas and commonage land. The basic payment reflected the whole-farm approach of the scheme under which the same rate per hectare was paid to each participant regardless of the specific actions he or she had undertaken.

To secure the agreement of the European Commission to the new agri-environment scheme, it was necessary to design the scheme as a menu of specific, closely-targeted actions which would contribute in a measurable and verifiable way towards the target objectives of biodiversity, water quality and climate change as identified in the CAP health check. It was not possible to negotiate a whole-farm approach for the proposed new scheme. There is a requirement under the new scheme to have sustainable management plans drawn up for Natura and commonage land in recognition of the particular environmental conditions of each such area and any restrictions on farming activity. The rate of payment for this measure under the new scheme is, in fact, very similar to the premium over the basic payment that applied to Natura and commonage land in REPS.

The situation in regard to the scheme is that the amendment to the rural development programme 2007–13, which includes the new agri-environment scheme, received a favourable vote at a meeting of the EU Rural Development Management Committee in January. I expect to receive the formal approval of the European Commission very shortly. I am planning to launch the new scheme as soon as the Commission approval has been received. The Minister for Finance has committed to provide funding for the acceptance initially of up to 10,000 participants into the new scheme at a maximum payment of €5,000 per participant. The level of payment available to each farmer who joins the new agri-environment scheme will depend on his or her particular circumstances and the actions he or she can or chooses to undertake. I am satisfied, however, that a payment of up to €5,000 can be achieved by a wide range of participants.

The decision to close REPS was taken in the context of the very difficult situation in the public finances and the rapidly escalating cost of the scheme. I firmly believe that the funding being provided for the new scheme represents a massive commitment by Government in very difficult times to a meaningful new scheme which will benefit farm incomes while delivering worthwhile environmental benefits.

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