Written answers

Tuesday, 6 November 2012

Department of Agriculture, Food and the Marine

Dairy Equipment Scheme Applications

Photo of Charlie McConalogueCharlie McConalogue (Donegal North East, Fianna Fail)
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To ask the Minister for Agriculture, Food and the Marine when processing will commence of all outstanding applications under the dairy equipment scheme; and if he will make a statement on the matter. [48255/12]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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The Dairy Equipment Scheme was introduced by my Department on 4 March 2011 in order to provide grant-aid for the purchase of milking machines and milk cooling equipment. The available grant-aid is 40% up to a maximum eligible investment ceiling of €40,000 for milking machines and €25,000 for cooling equipment. Special incentives are provided for certain Milk Production Partnerships. The indicative allocation for the Scheme in Ireland’s Rural Development Programme is €45 million. In view of the high level of demand for grant-aid under the Scheme, I subsequently increased this amount to €49 million by way of the transfer of €4 million from the Rainwater Harvesting Scheme. As the financial allocation for the Scheme is limited, a series of tranches is in place in order to ensure that approvals to commence work can issue to farmers at regular intervals. Selection criteria have also been applied in order to determine those applications which will go forward to the approval process as the Scheme has been over-subscribed since its introduction.

The tranche which closed at end-July 2012 was over-subscribed and the processing of applications involved the detailed examination of all applications as well as the clarification and resolution of a large number of queries and other issues in correspondence with the applicants. This process is nearing completion and I expect that approvals will issue shortly. In addition, my Department has already commenced work on the applications received during the tranche which closed at end-October 2012. My aim is to ensure that approvals under both tranches will issue as quickly as possible.

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