Written answers

Thursday, 14 April 2016

Department of Agriculture, Food and the Marine

Basic Payment Scheme Administration

Photo of Martin KennyMartin Kenny (Sligo-Leitrim, Sinn Fein)
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179. To ask the Minister for Agriculture, Food and the Marine the amount of unused funds from the 2015 National Reserve and from the clawback arising from the sale of entitlements without land in 2016 for the National Reserve to deal with the demand from young farmers in 2016; if this amount will be sufficient to meet the demands of young farmers in 2016; and if he will make a statement on the matter. [6427/16]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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In order to provide funding for the 2015 National Reserve a linear reduction of 3% was applied to Ireland’s Basic Payment Scheme financial ceiling. This was the maximum financing rate available to Member States under the relevant EU Regulations and provided a fund of €24.7m. When finalised there will be some 6,000 successful applicants under the 2015 National Reserve, the majority of these being under the two priority categories of young farmer and new entrant to farming and all of the available National Reserve funding will have been utilised. In 2016 the only source of funding available to the National Reserve will be from ‘clawback’ on the sale of entitlements without land. It is not possible at this time to estimate the level of funds that may arise from ‘clawback’ during the 2016 Scheme Year. From 2017 onwards the National Reserve will also be replenished from unused entitlements as EU Regulations governing the scheme provide that entitlements that are unused for 2 consecutive years are surrendered to the National Reserve. The Regulations also provide that Member States may apply a linear cut to the value of all farmers’ entitlements in order to provide funding for the National Reserve.

My Department is currently in discussions with the Direct Payments Advisory Committee, which includes members of the main farming bodies and advisory services, in relation to the National Reserve. No final decision on the operation of the National Reserve in 2016 has been made at this time.

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