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

Ireland’s rural development programme 2014–2020 represents a substantial investment by both the EU and the national Exchequer in the agri-food sector and in Irish farmers. The programme is co-funded by the EU’s European Agricultural Fund for Rural Development, EAFRD, to a sum of €2.19 billion over the programme lifespan. This EU funding is supplemented by Exchequer funding, bringing the total allocation to €4 billion, a substantial vote of confidence in Irish farming. The programme covers a suite of measures, both ambitious and broad, and supports all farming sectors. These measures reflect the issues, challenges and opportunities which Irish agriculture faces, and were put in place after lengthy consultation and analysis. The programme aims to enhance competitiveness, to encourage more sustainable farming practices and to deliver real and quantifiable results for rural communities and the rural economy generally.  Achieving these results is very much dependant on farmers engaging with and participating in the various schemes and initiatives on offer and I am pleased to say that, as with previous rural development programmes in Ireland, farmers are enthusiastically signing up to schemes under this rural development programme. In fact, Ireland leads other member states in terms of our implementation of the rural development programme and currently has the second highest rate of drawn-down of EU funds among all member states. The average EU financial rate for draw-down of funds up to the end of August 2017 was 22.68%, whereas Ireland’s execution rate was 39.01%. This progress is testament to the successful roll-out, uptake and implementation of schemes under the programme to date.

I fully anticipate that based on current up-take and projections, the entire budget allocation of some €4 billion for the rural development programme will be spent and that the entire €2.19 billion of EU co-funding will be drawn down.  It is expected that the majority of funds will be spent by the end of 2020, although there will be some carry-over. Under EU regulations governing the rural development programme, funds for multi-annual commitments entered into by the end of 2020 may be claimed up to the end of 2023. Rural development programme spending is also subject to the annual Estimates process and budgetary rules, but this should not affect the overall spend and any European Agriculture Fund for Rural Development, EAFRD, funds unspent in a year are carried forward to subsequent years.

In terms of rural development programme participation levels, I am pleased to say that there has been excellent uptake to date.  At this stage of the programme, some multi-annual schemes such as the green low-carbon agri-environment scheme, GLAS, beef data and genomics programme, BDGP, and the organic farming schemes are now closed and are fully subscribed. Other schemes such as areas of natural constraint, ANC, are applied for on an annual basis, and others such as the targeted agricultural modernisation scheme, TAMS, will continue to recruit participants in tranches. 

Reaching the targets set out within the rural development programme is central to meeting the objectives of the programme and to producing the desired results and outcomes.  It is therefore important that progression toward these targets is kept under review. To this end, and in line with EU regulatory requirements, my Department carries out an annual review of implementation by reporting on indicators collected on all schemes and measures. This annual implementation report, and a citizens summary on the results of this assessment is, once approved by the Commission, published on the Department’s website. We will continue to review the implementation of the programme to ensure that we are on target to meet all identified objectives and that all EU funding is fully drawn down.

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