James Bannon (Fine Gael)

The Minister got a rap last week on this particular issue. He was confronted by 150 farmers from the counties of Longford and Westmeath who were very angry at what he is doing, trying to destroy the industry. The nitrates regulations signed into law by the Minister last December will impose limits on the maximum amounts of nitrogen and phosphorus that may be applied to land. However, the regulations he introduced are not based on science or any objective assessment of water quality in Ireland which is among the best in Europe. BP has confirmed that nitrous concentrations in Irish surplus waters are well within the mandatory limits. Water quality in Ireland is among the best in Europe. This was confirmed by the most recent EPA water quality report which showed that 98% of the 301 sites tested were better than the EU standard. At the recent World Economic Forum, which the Minister attended, Ireland shared the top spot in Europe with Norway and Sweden for 100% achievement in water quality.

The regulations will decimate the pig, poultry and dairy sectors and reverse years of progress to achieve best practice in the country's dairy and beef farms, as well as imposing serious restrictions on thousands of farmers already in the REP scheme. Prior to the introduction of these regulations, farmers were assured that the environmental standards required under the REP scheme represented best practice but the nitrates regulations effectively reverse this position.

There was a clear lack of co-ordination between the Departments involved. It was very irresponsible to designate the entire country as a nitrates vulnerable zone without a full evaluation of the impact this will have on farming practice. The regulations place obligations on farmers to prepare and maintain additional records of fertiliser requirements, purchases and stocks for five years. REPS farmers who met the highest international environmental codes do not fulfil the requirements set out in the nitrates directive. I have spoken to several farmers and farm advisers in regard to this issue and they are of the same opinion. The nitrates directive will impose a cost of €1 billion on farmers, which is a direct threat to the viability of many commercial farmers, yet the Government's approach was to get the issue off the table rather than to support this industry, which accounts for one quarter of our net exports, and negotiate on its behalf.

Two key problems are evident with the rules as they currently stand. Intensive producers and those who require early grass will now be severely restricted in their operations due to limitations on both nitrates and phosphates. This will put Ireland's food production at a significant commercial disadvantage compared to other countries within the European Union due to our reliance on a grass-based production system. The level of scale-back on production required to comply with these new rules will make the majority of current operations no longer viable. Small producers, even with a very extensive production system, will have to invest significant amounts of money to address the issues of rainwater and water run-off. This will put a severe financial burden on the operations of many small producers with inadequate housing and holding facilities, especially those with marginal land, with limited land on which to spread such dirty water.

The Minister's decision to defer the implementation of Part 3 of the regulation clearly demonstrates that basing the implementation of the nitrates directive on scientific advice was shelved in favour of reaching a politically expedient conclusion. The Minister also has serious questions to answer on why vital elements of the scientific advice provided by Teagasc were not included in the final statutory instrument. Both the Ministers for the Environment, Heritage and Local Government and Agriculture and Food failed to prioritise a practical and sensible implementation of the nitrates directive. Part 3 has now been briefly deferred but there are no guarantees that it will be dramatically altered. The deferral appears to be a delaying tactic to take the heat off for a couple of weeks or so.

The remainder of the regulation, especially the parts dealing with nitrates, came into force on 1 February 2006 and will have a serious impact on farmers. The regulation should be suspended in full, pending the production of revised scientific information by Teagasc. Irish phosphates regulations are out of line with what is happening in the rest of Europe. It is not proposed anywhere else to ban phosphate use on all lands which test at over ten parts per million. Irish phosphates regulations are currently by far the strictest in Europe. In most countries the phosphates limits have not yet been discussed, while in Holland the policy is for the achievement of a balance by 2015.

The current best estimate is that somewhere between 13% and 17% of the country's grassland will be allowed to take in some limited pig or poultry manure. It now appears that farmers will not get the level of waste management grants they were promised by the Minister for Agriculture and Food, Deputy Coughlan, in July 2005 to help them adjust to the requirements of the directive. These grants were supposed to help farmers cope with the implementation of the nitrates directive but now farmers will not get the level of funding they require. This is a case of negligence on the part of the Minister. She has dragged her heels on the introduction of this system and in applying to Brussels for its approval.

Revised farm waste management grants were due to come into effect from 1 January 2006 but not only have they yet to be approved by Brussels but the level of grants for farmers is now set to be significantly reduced. Thousands of farmers will lose out and the level of funding provided will not be sufficient for them to build extra waste storage facilities.

Farmers have serious problems getting planning permission through their local authorities. It can take up to six months to get an environmental impact statement and it now appears that these farmers will not be in a position to avail of grants. Late last year the Minister assured farmers that the maximum level of grants would be available until 2008. However, we know from the EU Commission that they will only apply until 2006, a point which Fine Gael highlighted on 19 April 2005. Farmers will not be able to fulfil the planning requirements of local authorities in the short time available as most local authorities are over-stretched with regard to staff and so on. It is impossible to imagine farmers having their developments completed in time.

I call on the Government to support a fair solution to the nitrates issue. I have no doubt the Minister and the Government have been incompetent in their handling of the implementation of the directive. By supporting the motion, Senators from the Government parties will have an opportunity to stand by Irish farmers as it calls for a breathing space to ensure a balanced and implementable set of rules can be put in place to secure a future for farmers.

I call on the Minister to amend the nitrates regulations to make them practical and workable. As a result of his gross incompetence in regard to the implementation of the nitrates directive the Minister is leaving the vast majority of Irish farmers in limbo. They are faced with significant capital costs as the action plan has not taken into account existing farming practice and proposes to be implemented in a bureaucratic manner. There is no doubt there was a major lack of co-ordination between the Department of the Environment, Heritage and Local Government and the Department of Agriculture and Food. The designation of the entire country as a nitrates vulnerable zone without a full evaluation of the impact it will have on farming practice was irresponsible. I hope the Minister will address these issues this evening and postpone the implementation of the regulations.