Dáil debates

Wednesday, 31 March 2010

Adjournment Debate

Rural Environment Protection Scheme.

8:00 pm

Photo of Cyprian BradyCyprian Brady (Dublin Central, Fianna Fail)
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Deputies O'Mahony and Crawford have two and a half minutes each.

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)
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May I share my two and half minutes with Deputy Ring?

Photo of Cyprian BradyCyprian Brady (Dublin Central, Fianna Fail)
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Is that agreed? Agreed.

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)
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I thank the Ceann Comhairle for selecting this topic, namely the serious disadvantage at which the farming community on Clare Island and, indeed, all of the islands, are as regards their income from farming.

First, these farmers were ready and willing to join REPS 4, but could not put their plans together because all of the planners were taken up with the farming plans for farmers on the mainland. Then it was withdrawn overnight, effectively, before they had a chance to get their plans formalised. In addition to all of the other cutbacks in farming that these communities have experienced, they have had no income from REPS and, therefore, 60% of their farming income was effectively wiped away.

On behalf of these farmers, I appeal for special consideration. The new scheme is a contentious scheme that has yet to come into place. If it comes into place, however, I ask that some special consideration be given to the farmers on the islands for a 50% top-up on the new scheme that would replace REPS, that a special island top-up would be given to those in REPS 4 who are in the scheme and, for instance, that the outstanding payments to farmers who were given grants under the farm waste management scheme would be paid up-front. It is only right and proper.

These people on the islands are at a serious disadvantage. I have a list of produce that must be transported off the island and requirements that must be brought onto the island, and the extra costs involved for those people.

I appeal to the goodwill of the Minister of State. This is not something that will cost millions of euro. What we are asking for is a fair crack of the whip for these farmers. I ask that they be given special consideration, both in regard to the old REPS 4 scheme, if they got into it, and in the new scheme, when it is finalised.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Will the Minister pay the people entitled to REPS 4 as they have been waiting some time for their money? If the Minister of State wants environmental schemes to work, those participating must be paid on time. This scheme will not work if farmers do not enter into it. As €5,000 is the maximum payment available, it will not be worthwhile for many of them.

From what I know from the islands in County Mayo, island life is difficult with high costs for bringing goods in and out. The Government should provide some form of a top-up to keep island farmers at work. Every summer, and increasingly during the winter months, many tourists visit the islands. It is important they are kept as tourist attractions. However, island inhabitants cannot continue to live on their islands if the resources and money to assist them are not provided.

Photo of Seymour CrawfordSeymour Crawford (Cavan-Monaghan, Fine Gael)
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I thank the Ceann Comhairle for allowing me to raise this matter. I congratulate Deputy Cuffe on his recent ministerial appointment and wish him well in it.

Up to 9,000 farmers have not been paid their REPS 4 payment, which they were promised last October would be paid by Christmas 2009. All sorts of technicalities concerning their applications are being thrown at them. Yet part of the problem is many of them cannot get information on what is wrong, if anything, with their applications.

The Monaghan REPS office has a shortage of staff. With the public sector work-to-rule and officials not getting mileage allowances, many of them have not turned up at the office meaning a backlog of applications has emerged.

I know several farmers and their consultants who have gone to the office to get their forms brought forward. Until they can get the forms down to the Environmental Protection Agency at the Johnstown Castle Estate, County Wexford, they cannot get paid. The farmers in question are in financial desperation. One had to sell his breeding stock to pay his ESB bill or else the supply would have been cut off.

While it may seem like a small scheme to some, to many others it is a matter of life and death. Whatever it takes, will the Minister ensure the personnel are put in place to deal with these applications and ensure its recipients are paid?

Everyone knows the banks are not easy to deal with these times. It is hard to explain to a farm family, however, that billions of euro can be found to underpin the banks and other financial institutions while the REPS 4 moneys are held up, which they believe is because the Government does not have to pay them.

Photo of Ciarán CuffeCiarán Cuffe (Dún Laoghaire, Green Party)
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I thank the Deputies for their best wishes on my ministerial appointment. Our islands are a rich repository of our culture, archaeology and social heritage. Long may that continue. For the past 30 years, I have gone to the islands such as Inisheer and Inishbofin off Connemara for my holidays. I have yet to have the privilege to visit Clare Island and the other Mayo islands but I am sure I will get the opportunity and look forward to it.

There are two islands off the Mayo coast on which farmers are participating in REPS 4. There were five applicants on Clare Island, and eight on Inishturk. Of these 13 applicants, nine have been paid to date; one of the others has regrettably died. Another submitted his application in 2009 after the annual closing date of 15 May, which is fixed by EU regulations. Accordingly, his REPS contract could not start until January this year and he will receive his first payment later in the year.

There are outstanding issues with the other two applications and my officials have been dealing with these. In one case an adjusted plan has been received in the Department. This is being examined and I would hope that payment can issue shortly. In the remaining case, the Department is awaiting a response to a query from the farmer.

There are also 20 participants in REPS 3 and all are paid up to date. I appreciate the particular difficulties experienced by island farmers and I am committed to ensuring the outstanding REPS 4 issues are resolved as quickly as possible. In recognition of the difficulties which island farmers face because of their location, island participants under REPS 4 receive an additional 15% on payment rates towards the costs of carrying out their agri-environment undertakings.

I am aware of the income and cash-flow difficulties which many farm families are experiencing. Every effort has been, and continues to be made, to ensure all payments issuing from the Department are up to date and that farmers do not experience any undue delay in receiving payments. With the exception of specific cases where particular difficulties have arisen, I can confirm that payments under the various schemes administered by my Department, and particularly the main schemes such as the single payment scheme and the disadvantaged areas scheme, are up to date.

Payments for 2009 REPS 4 commenced on 18 December 2009 and continue to issue on a weekly basis. As of 30 March, 20,445 farmers had been paid in full out of 28,842 who are due payments, that is over 70% of participants.

Photo of Seymour CrawfordSeymour Crawford (Cavan-Monaghan, Fine Gael)
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That makes no difference to the other 30% of participants.

Photo of Ciarán CuffeCiarán Cuffe (Dún Laoghaire, Green Party)
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The first stage payment of 75% for 2009 is on the way to another 666 applicants who will receive payment in the next few days.

The other cases are still under query. To meet the requirements of EU regulations, applications for REPS payments have to go through an exhaustive series of administrative checks before payment can be released. In a significant number of cases, those checks raised issues and queries which required further detailed examination. Departmental staff are working to resolve these as quickly as possible.

Many of these cases require the applicants' planners to amend the farm plans that were submitted originally. Where this is the case, the applicants concerned have been made aware of the position and the applications will be further processed without delay on receipt of amended plans.

The House will be aware from previous debates that there were also delays in processing payments in a small number of local offices due to staff shortages. This has arisen from the Government decision in March 2009 to introduce a moratorium on recruitment and promotion in the public service to control public expenditure and numbers in public sector. This moratorium forms a key element in the Government's policy to control public expenditure.

As a result, my Department has been unable to fill several vacancies. I am endeavouring to put alternative arrangements in place to ensure the prompt processing of claims.

I hope the current delays in some REPS cases will not detract from the overall merit of REPS. The scheme has been one of the most successful operated by the Department since its launch in 1994. It has delivered multiple benefits to the environment with water quality, biodiversity, conservation and landscape enhancement. It has also brought welcome income benefits to farmers, with more than €342 million paid out to REPS participants last year and a total of more than €2 billion paid since 1994. Payments in 2009 reached their highest level ever. The original allocation for last year was just €330 million but additional funds were provided in December last and approved by the Dáil by way of a Supplementary Estimate. Payments due to REPS farmers this year will continue at this high level.

Notwithstanding the Government's decision to close REPS to new entrants in July last year, which was unavoidable given the state of the public finances, the contracts to those farmers in the scheme will be honoured in full. This means there will still be farmers in REPS right up to the end of 2014. By the time the scheme finally comes to an end, payments to farmers will have exceeded €3 billion.

Yesterday, I launched a new agri-environment options scheme, partly funded by the EU but which will also get substantial support from the Exchequer. The Minister for Finance has agreed to provide for payment to approximately 10,000 participants at a maximum of €5,000 a year.

The new scheme focuses on the priority areas of biodiversity, water management and climate change. The shape of the new scheme reflects the increasing emphasis at EU level of having schemes that deliver clearly identifiable and measurable benefits to the environment.

It consists of a menu of actions from which farmers can select those that complement the environmental profiles of their farms. The majority of participants will be able to reach the maximum payment of €5,000 while many others will get very close to that figure.

I thank the Deputies for bringing to my attention the understandable frustration experienced by some REPS applicants.

Photo of Seymour CrawfordSeymour Crawford (Cavan-Monaghan, Fine Gael)
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On a point of order, we did not receive a copy of the Minister's speech.

Photo of Cyprian BradyCyprian Brady (Dublin Central, Fianna Fail)
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I understand no copies were made available. However, the Deputy will be able to read it tomorrow morning in the Official Report.

Photo of Ciarán CuffeCiarán Cuffe (Dún Laoghaire, Green Party)
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I apologise to the Deputy. I have only one copy of my speech and I am sure the parliamentary reporters may need it; they can put it on the public record as soon as possible.

The Dáil adjourned at 9.50 p.m. until 10.30 a.m. on Thursday, 1 April 2010.