Written answers

Thursday, 17 April 2008

Department of Agriculture and Food

Grant Payments

5:00 pm

Photo of Phil HoganPhil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 401: To ask the Minister for Agriculture, Fisheries and Food if a person (details supplied) in County Carlow is entitled to entitlements under the national reserve for the years 2000, 2001 and 2002; and if she will make a statement on the matter. [13839/08]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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The person named was not farming during the 2000-2002 reference period and therefore no Single Payment entitlements were established for him. He commenced farming in 2003. There is a special category in the Single Payment Scheme National Reserve catering for farmers who commenced farming after 31 December 2002. Applicants must satisfy certain criteria including income and farming qualifications. The person named applied under the New Entrant category of the 2005 and 2007 National Reserve.

Under the 2005 National Reserve, only farmers who had inherited or purchased land were eligible for consideration for an allocation and as the person named only had leased land he did not qualify.

However, the 2007 National Reserve included new entrants to farming who had been leasing land for a minimum of three years as they were deemed to have a commitment to farming. There was still a requirement to meet certain other criteria including farming qualifications and income.

While the person named has leased land for a minimum of three years, there is however outstanding information with regard to income and it is not possible to fully process his application. My Department has written to the person named regarding the outstanding information and when the required documentation is received his application will be finalised. The person named will be notified directly of the outcome of his 2007 National Reserve application.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 402: To ask the Minister for Agriculture, Fisheries and Food if a farmer does not have a bank account and does not want to open an account, the way they will receive their payments from her Department. [13863/08]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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A new requirement to make all payments under EU funded or co-funded schemes directly into bank accounts must be implemented in accordance with EU Council Regulation (EC) No 1290/2005 which lays down the rules on the financing and management of the Common Agricultural Policy for the period 2007 to 2013. The detailed implementing rules as set out in EU Commission Regulation (EC) 885/2006, require that all EU paying agencies must adopt procedures to ensure that payments are made only to bank accounts with effect from the 2009 financial year which begins on 16 October next. As the designated paying agency for EU funds, my Department is obliged to adhere to these arrangements. At present, farmers can choose to have their payments made by cheque or electronic funds transfer directly into their bank account and this situation will continue during the 2008 EU financial year which ends on 15 October.

My Department notified the new requirement to farmers on a number of occasions over the past year or so and a large number of farmers have already 'signed up' for electronic funds transfer. Farmers who have not yet done so still have several months in which to open a bank account and to notify my Department of the details. However, I will be urging all farmers to make the necessary arrangements as soon as possible.

My officials have briefed the banks on the new requirement. I also met recently with An Post which intends to facilitate the electronic transfer of funds through a system of post bank accounts in the near future. I understand that a number of Credit Unions are also in a position to handle direct payment to customer accounts and that this number will increase over time. I will continue to explore all possible options to minimise disruption to payments and farmers may, of course, contact my Department with any concerns that they may have.

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