Gabrielle McFadden (Longford-Westmeath, Fine Gael)
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347. To ask the Minister for Agriculture, Food and the Marine the measures that need to be put in place in the event of Ireland facing a substantial milk superlevy fine in the order of €100 million, if Ireland stays at over-quota when the milk quota ends on 31 March 2015; if those measures could include reaching agreement with the European Union that farmers could spread the cost of the superlevy fine over a number of years; and if he will make a statement on the matter. [11536/15]

Simon Coveney (Cork South Central, Fine Gael)
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The end of February 2015 milk quota position, which is the latest currently available, shows that Ireland is an estimated 5.07% over quota, when account is taken of the butterfat content of the milk deliveries. While this figure continues a downward trend in the over-quota position, coming down from 7.15% in October, indications are that Ireland will still end the milk quota year in the region of 5% over quota which equates to a super levy bill of about €80m.

As the Deputy is aware I have, on numerous occasions, called on the Commission to take action to mitigate the impact of super levy fines, e.g. via utilisation of an adjustment to the butterfat coefficient, as this would not have required an amendment to existing regulations. Unfortunately, there was no realistic prospect of any movement on the super levy or on the butterfat adjustment at EU level given the level of opposition of MS who did not share our views on this matter.

However, in recent weeks the Commission has acceded to a request from Ireland and other Member States for an instalment facility to pay the super levy. The Commission has come forward with a Regulation which introduces an instalment facility over a three year period, for farmers who are facing a super levy liability. Ireland voted in favour of the proposal when it came before the Management Committee earlier this month. The Department will be required to pay the super levy in full to the European Commission by the standard deadline of 31 November 2015, with the terms of the scheme requiring farmers here to repay a minimum of one-third of the payment this year and two thirds by next, with the remainder payable in 2017. My officials are working out the practicalities of implementing this scheme in consultation with the relevant stakeholders.

I welcome the Commission's initiative on the basis that it can help to reduce the burden on dairy farmers entering the post-quota era in full readiness for the opportunity which awaits. We are now in the final few days of the quota regime before they are gone forever and the Irish dairy sector can start to realise its full potential.