Róisín Shortall (Dublin North West, Labour)
Link to this: Individually | In context

Question 95: To ask the Minister for Agriculture and Food if voluntary modulation funds will become available to farmers here; the other forms of modulation in this context and those that benefit farmers here; the extent of same; and if she will make a statement on the matter. [9087/07]

Mary Coughlan (Donegal South West, Fianna Fail)
Link to this: Individually | In context

The Single Payment Scheme was introduced in Ireland with effect from 1 January 2005, following the decision to opt for full decoupling. The Regulations governing the implementation of the Single Payment Scheme provide for the application of compulsory Modulation at a rate of 3% in 2005, 4% in 2006 and 5% in each of the years 2008 to 2012, inclusive. Those applicants with entitlement to payment of less than €5,000, in any given year, are entitled to a refund of their Modulation payments.

The amounts deducted in each Member State form a common Community pool, which is then available for re-distribution to Member States as additional Community support for rural development measures. Each Member State receives a minimum of 80% of the total amount that the Modulation has generated in that Member State.

As part of the agreement on the EU Financial Perspective 2007-2013, the European Council decided in December 2005 on the introduction of voluntary modulation of up to 20% of direct payments and market supports in order to allow Member States to increase funding for rural development measures. I am satisfied that substantial funding has already been provided from the EU rural development budget, Exchequer funding and compulsory modulation for Ireland's draft Rural Development Programme 2007-2013 which was submitted to the Commission for approval in December. It is not my intention, therefore, to further reduce direct payments to farmers through voluntary modulation in order to provide additional funding for the programme.