Dan Neville (Limerick West, Fine Gael)
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Question 18: To ask the Minister for Agriculture and Food her plans to review the Forestry Act 1946 in view of the impediment it creates for landowners who grow short rotation coppice, and who wish to return such lands to agricultural production; and if she will make a statement on the matter. [8796/07]

Mary Coughlan (Donegal South West, Fianna Fail)
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I assume that the Deputy is referring to the establishment and management of willow trees on a short rotation cycle. Nothing in the Forestry Act 1946 creates any impediment for landowners who wish to grow such a short rotation crop and who subsequently wish to return such lands to agricultural production.

My Department has introduced a new Bioenergy Scheme to provide establishment grants to farmers for up to 50% of the costs associated with establishing willow. The aid is payable on set-aside land and on areas, which have been subject to an application for the EU Premium of €45 per hectare under the EU Energy Crops Scheme. The Bioenergy Scheme provides a maximum establishment grant of up to €1,450 per hectare. I have extended the deadline for receipt of applications for pre-planting approval to 30 March 2007 to provide every interested farmer with the opportunity to submit an application. Application will be processed for approvals on receipt.

My Department has also introduced a new national payment of €80 per hectare to top-up the existing EU premium of €45 per hectare available under the EU Energy Crops Scheme. This increases the overall premium to €125 per hectare. It is intended that the €80 payment will apply for three years and will be subject to a maximum ceiling per producer over the three years. The current maximum area per producer is 37.5 hectares. Willow is eligible for the premium of €125 per hectare, subject to an application under the EU Energy Crops Scheme.