Malcolm Noonan (Green Party)

Correspondence from the European Commission on securing the nitrates derogation for Ireland will have serious ramifications for the wider rural economy and the agricultural sector generally in terms of demonstrating compliance with the habitats directive. While granting derogations to individual farmers, it is on a subcatchment basis. The requirements for maintaining the nitrates derogation will likely lead to stocking rate reductions for some farmers. This will require them to reduce livestock numbers, increase land area or find alternative solutions for slurry management. It could significantly impact farm profitability and competitiveness, particularly for dairy farmers. It may also affect sectors such as beef, sheep and tillage. The changes aim to improve water quality and meet the requirements of the directive but farmers may need to adapt practices and potentially invest in new technologies and infrastructure.

I welcome the most recent EPA report, which shows there has been a reduction in nitrates but phosphates remain persistently high, particularly in my part of the country in the south east. I ask the Minister for agriculture to ensure his and other responsible bodies, namely, the Department of Housing, Local Government and Heritage and the NPWS, are fully optimised to deal with the new requirements to protect farm incomes and our wider rural environment. Farmers may need to increase the amount of land they farm to maintain livestock numbers. It will be a significant challenge. The nitrates directive and the nitrates action programme are there to protect our water bodies.

We have to turn this tide. We need to retain the derogation. We have seen the potential economic cost of it. In my view, and I have said it here previously, the only game in town is the water action plan and full and swift implementation of the measures contained therein. I attended a farm walk a number of weeks ago in County Laois where farmers from all over the region were learning about the farming for water EIP. This is a €60 million European innovation partnership. It will really be beneficial in terms of farmers participating in it. The resources of the Departments of agriculture and housing will be required to get a grip on what is a seismic shift in the European Commission's approach to this. I have asked a number of times about where the climate and nature fund is. What has happened to it? It was supposed to be put in place to support farmers to implement measures on their farms as part of it. I would welcome statements and an appearance by the relevant Ministers on this matter in the autumn.