Tom Hayes (Tipperary South, Fine Gael)
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Question 1094: To ask the Minister for Agriculture, Food and the Marine the reason changes were made to the payment rules regarding farmers in agri environment option scheme and the organic scheme; if he will honour contracts signed in 2010 with a south Tipperary group (details supplied); and if he will make a statement on the matter. [18280/12]

Simon Coveney (Cork South Central, Fine Gael)
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The person named joined the Agri Environment Options Scheme (AEOS) in 2010 and his selected measures under the scheme included Traditional Hay Meadow and Species Rich Grassland. He also joined the Organic Farming Scheme (OFS) in 2010. Payment under the OFS and AEOS for land submitted under the Traditional Hay Meadow or Species Rich Grassland is primarily based on the same principle which is income foregone due to the reduction of fertilizer inputs or restricted access for production. From an EU perspective, payment under both Schemes on the same parcel is regarded as a "double payment" and is not permissible.

Accordingly, to regularise this situation and to avoid "double payment", my Department wrote to the person named and indicated that he should either (i) withdraw from OFS or AEOS, or (ii) continue in AEOS and remain eligible for full payment in respect of land declared under this scheme while continuing to farm organically and receive OFS payment on all other lands farmed organically. No recoupment will be sought in respect of monies already paid. The person named has appealed this decision to the Agriculture Appeals Office which is currently reviewing the case.