Seanad debates

Wednesday, 27 October 2004

7:00 pm

Photo of Michael KittMichael Kitt (Fianna Fail)
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I have been approached by a number of individuals who are happy with the final deal on top-up grants and incentives allowing them to sell off bog plots and turbary rights. The deal amounts to €3,500 for the first acre and €3,000 for each subsequent acre. The only difficulty to arise is that others who had bogs designated in 1998 received £1,000. I understand they will now receive an extra €4,730 to bring them to a total of €6,000. However, one can see that those who received a maximum of €6,000 in 1998 are not as satisfied as those who benefited from the deal in July 2004 and feel hard done by. I can provide the Minister with their details. Some individuals were also told in writing that if the deal improved after 1998, they would receive the more favourable terms of €3,500 for the first acre and €3,000 for each subsequent one. I ask the Minister to review the situation as only a few people did not do as well in 1998 when the land was first designated. It should also be remembered they were the first to co-operate fully with Dúchas to sell off the bog.

Photo of Dick RocheDick Roche (Wicklow, Fianna Fail)
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The agriculture chapter of Sustaining Progress includes a range of commitments from the Government encouraging nature conservation requirements. Constructive discussions on these issues took place between my Department and representatives of the farming pillar, resulting in an agreement in July 2004. Part of this agreement was for an increase in the rates of compensation where cessation of turfcutting is necessary in bogs designated for conservation. The new rates reflect the increase in the value of bogs since the original scheme commenced in March 1999.

The revised rates of compensation for cessation of turfcutting in special areas of conservation and natural heritage areas are as follows. In raised bogs, which are mostly in the midlands, purchase of freehold is €3,500 for the first acre, or part thereof, and €3,000 per acre thereafter, and purchase of turbary rights is at 85% of the freehold price. The rates will apply to all purchases from the date of the new agreement. In addition, they will be applied retrospectively by means of an additional ex gratia payment in respect of any earlier purchases of raised bogs included in the December 2002 designation proposals. In general, the purchase of blanket bogs is not envisaged because it is not necessary to discontinue domestic turfcutting. In exceptional circumstances, where it is necessary to prohibit turfcutting, €1,000 per acre will apply. The Department of the Environment, Heritage and Local Government will also make a contribution toward an applicant's legal costs in connection with transferring rights in bogs.

An additional incentive payment of a maximum of €6,000 will also be paid to those who sell bog or turbary rights before the end of 2005. This payment will decline by €600 per annum for those selling in later years. This payment will only apply to a vendor supplying satisfactory evidence of ownership of the plot as at 1 July 2004. Alternatively, a landowner who does not wish to sell bog or turbary rights but who commits to cease cutting and to allow drain-blocking will also be entitled to a payment of €600 per annum. This rate of payment will be reviewed annually. For people whose bogs were designated in 1999 or before and have already sold their bogs to the Department, an increase in the incentive payment, which was £1,000, €1,270, and is now €6,000, is available, based on the timing of their agreement to cease turfcutting. For example, if turfcutting ceased from 1999, the incentive would be €6,000 less the €1,270 which was already paid. The amount payable decreases by €600 for each subsequent year.

As Senator Kitt will appreciate, the enhanced incentive payments are available to people who have already sold their bogs or turbary rights to the Department since the original rates were announced in March 1999. The revised rates per acre are available retrospectively to people whose bogs were designated at the end of 2002 and had already sold, under the old rates, to the Department. It is not intended to carry out any further review of the scheme, which has benefited from detailed and constructive discussions between the farming organisations and Department officials. The scheme has been well publicised in newspapers and on radio. The Department and farming organisations have had numerous inquiries, both written and oral, since the announcement of the agreement. I am confident that every effort has been made to ensure that details of the scheme are available to those affected by the scheme. Bog or turbary owners who feel that the revised rates do not fully compensate them have the option of going to arbitration for a decision. Both parties are bound by the arbitrator's decision. Senator Kitt referred to those who received letters that assured them of better rates. If he can forward details of these to me, I will look into the matter.