Anne Rabbitte (Galway East, Fianna Fail)
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169. To ask the Minister for Communications, Climate Action and Environment the grants available to agricultural contractors who are SMEs and not farmers and do not have a herd number who wish to purchase slurry spreading machinery which has low emissions and is environmentally friendly in line with climate action policy; and if he will make a statement on the matter. [8918/19]

Richard Bruton (Dublin Bay North, Fine Gael)
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On 18 February, the Minister for Agriculture, Food and the Marine and I jointly announced 2019 funding for Energy Efficient Dairy Farm Equipment. Up to €500,000 is available for high efficiency milk pumps, saving the average farmer €1,440 in energy bills and 1.6 tonnes in reduced carbon emissions annually. The Energy Efficient Dairy Farm Equipment Scheme is administered through Sustainable Energy Authority of Ireland (SEAI). Up to 40% of total technology and installation costs may be covered by the grant. The technologies covered under the scheme include Variable Speed Drive (VSD) Vacuum Pumps and VSD Milk Pumps. The scheme is open to all dairy farmers supplying all major cooperatives. All herd sizes are covered, and both single and three phase electricity supply is eligible.

The SEAI assists farmers in other ways, such as through the Accelerated Capital Allowance (ACA) Scheme. The ACA scheme is a tax incentive on a range of energy efficiency equipment.

It is important to note however that the Dairy Farm Scheme requires a ‘herd number’ and that at present slurry spreading machinery is not covered by the Accelerated Capital Allowance (ACA) scheme.

I am informed separately that the Department of Agriculture, Food and the Marine provides grant aid for farmers or groups of farmers to purchase Low Emission Slurry Spreading (LESS) equipment under the Targeted Agricultural Modernisation Scheme (TAMS II). TAMS II is co-funded under Ireland’s Rural Development Programme. The EU regulations specify that beneficiaries under TAMS II must be farmers, or groups of farmers. Therefore, the Department of Agriculture, Food and the Marine is precluded from funding the purchase of LESS equipment by contractors under TAMS II. That Department is, however, committed to the use of this equipment with more than 660 applications paid over €7.6m to date under the LESS measure of TAMS II.