Michael Creed (Cork North West, Fine Gael) | Oireachtas source

In accordance with EU regulations, members states may define additional eligibility criteria as regards appropriate skills and-or training in respect of the national reserve and young farmers schemes.

Since the introduction of the single payment scheme in 2005 decisions relating to the national reserve, including decisions on objective criteria, are taken in consultation with the direct payments advisory committee, which comprises members of the main farming bodies and farm advisory services. The decision to include agricultural education as an objective criteria for the national reserve and young farmers schemes has been consistently endorsed by this group as it provides assurance that the funding for these schemes is made available to bona fide young and trained farmers. Otherwise, the funding could be allocated to non-farming landowners.

Persons who meet the definition of "young farmer" receive significant benefits in terms of preferential access to the national reserve and also in terms of qualifying for an additional payment under the young farmers scheme. Similarly, the category of "new entrant" provides preferential access to the national reserve for farmers who are establishing their holding for the first time or have established their holding in the previous two years but who cannot avail of the young farmer category due to their age.

To ensure that the benefits of the young farmer and new entrant categories are targeted at those who had a genuine interest in farming as a career, successful applicants are required to have completed a recognised course of education in agriculture giving rise to an award at FETAC level 6 or its equivalent.  This requirement, endorsed by the direct payments advisory committee, receives wide support as it ensures that payments from the national reserve, which are in effect funded by cuts to the entitlements of other farmers, are targeted at bona fide young farmers and new entrants to farming.

The requirement in respect of a FETAC level 6 agricultural educational qualification, when combined with the high demand for places on agricultural courses, gave rise to a significant demand and created a challenge for the agricultural educational sector in 2015. The Department was aware of many prospective applicants who had an interest in pursuing such an agricultural course but may have experienced difficulty in achieving the completed educational qualifications in time to qualify for the 2015 young farmer and national reserve schemes.  To ensure that no such young farmer or new entrant would be excluded from the benefits of these schemes, my Department announced increased flexibility regarding the timelines for achieving the required educational qualifications. It was decided that any person who met the other eligibility criteria for the relevant schemes and who commenced a qualified agricultural course anytime up to and including September 2016 would be accepted under the national reserve and young farmers schemes in 2015.

Additional information not given on the floor of the House

Ireland was required to notify the EU Commission of the additional educational eligibility criteria being applied to the national reserve and young farmers schemes, and the increased flexibility in regard to same. The EU Commission subsequently advised Ireland that the flexible arrangements that would allow an applicant to commence their agricultural education after the date of submission of an application under the national reserve and-or young farmers schemes did not fit with the "annual logic of the direct payments" and creates a risk of being contrary to EU regulations governing the operation of the scheme.

To ensure that farmers would not be disadvantaged by this ruling and to comply with the notification from the EU Commission, thus avoiding the risk of a financial correction for Ireland, extensive efforts were put in place by my Department, Teagasc and other agricultural education course providers. This resulted in applicants to the 2015 national reserve and young farmers schemes being provided with a placement on an agricultural education course prior to 31 December 2015. All applicants who commenced their agricultural education course by end-2015 were deemed to have fulfilled the agricultural education requirements for the national reserve and young farmers scheme in 2015. To have enrolled but not commenced an agricultural education course would not be sufficient to comply with the requirement for "appropriate education".

Similarly, for the 2016 young farmers scheme, successful applicants were required to have commenced their agricultural education by the closing date for the scheme. There was no requirement to have the agricultural education course completed in 2016.

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