Brendan Griffin (Kerry, Fine Gael)
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324. To ask the Minister for Agriculture, Food and the Marine if a beam scheme penalty will be withdrawn in respect of a farmer (details supplied) in County Kerry given they were informed that they had met all the conditions of the scheme in August 2021; and if he will make a statement on the matter. [5000/23]

Charlie McConalogue (Donegal, Fianna Fail)
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The objective of the Beef Exceptional Aid Measure (BEAM) was to provide temporary exceptional adjustment aid to farmers in the beef sector in Ireland subject to the conditions set out in EU Commission Implementing Regulation (EU) 2019/1132. 

One of the conditions of the BEAM scheme under which funding was provided by the EU was that there had to be an element of reduction or re-structuring built into the scheme - Article 1 (3) of (EU) 2019/1132 refers. 

Accordingly, in applying for BEAM, participants agreed to reduce the production of bovine livestock manure nitrogen on their holding by 5% for the reduction period 1st July 2020 to 30th June 2021 as compared with the reference period 1st June 2018 to 30th June 2019. 

Section 3.1 of the Beef Exceptional Aid Measure (BEAM) Terms and Conditions define a holding as:

“All the production units managed by a farmer during 2018 and subsequent years and situated within the territory of the Republic of Ireland” 

Where a BEAM participant has during the BEAM reference period (1st July 2018 - 30th June 2019) and/or the BEAM reduction period (1st July 2020 - 30th June 2021), had one or more associated herd numbers linked to their BEAM application herd number on the Department’s Corporate Customer System (CCS), these herd numbers are deemed as being be part of the participant’s holding in line with section 3.1 of the BEAM Terms and Conditions.

As part of the holding, any bovine animals in these associated herdnumbers during the BEAM reference period or the BEAM reduction period will be included in the calculations of bovine nitrates figures for the holding. Letters issued in May 2021 to all BEAM participants (including the person named) identified at that time as having an associated herdnumber, reminding them of their obligations under the scheme vis a vis section 3.1.

The holding of the person named had two other herdnumbers associated with the herdnumber used in the application during both the reference and reduction periods and as such the accumulated figures for all herdnumbers were assessed in calculating whether the participant had met the 5% reduction requirement in BEAM. My Department's calculations indicate that while the application herdnumber appeared to have made the necessary adjustments to meet the 5% reduction requirement, the bovine nitrates in the second herdnumber had increased by some 65% in the original reduction period relative to the reference period.

Taken together, the overall effect was that the holding recorded an increase of almost 40% in the original reduction period and as such missed the 5% reduction requirement.

The person named opted to defer and thus applied for the alternative reduction period of 1st January 2021 - 31st December 2021 over which to meet the 5% reduction requirement. Following the end of that alternative reduction period, my Department undertook a series of administrative and compliance checks to ensure that the commitments farmers had entered into under the BEAM Terms and Conditions had been met.

In the case of the person named, for the alternative reduction period, the combined nitrates for the herdnumbers concerned recorded an increase of some 60% over the reference figure.

As the commitment to reduce the bovine livestock manure nitrogen by 5% was not met in either reduction period, all BEAM monies received were to be recouped.

The person named was informed of this outcome and advised of their right to see a review of the decision.

Such a review was requested and a letter, upholding the original decision of my Department issued on the 5th January 2023. The letter also advised the person named of their right to appeal the outcome to the Agriculture Appeals Office if they so wished.

Brendan Griffin (Kerry, Fine Gael)
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325. To ask the Minister for Agriculture, Food and the Marine if he will directly intervene in a national reserve application by a person (details supplied) under 5.10 of the terms and conditions and allow force majeure; and if he will make a statement on the matter. [5001/23]

Charlie McConalogue (Donegal, Fianna Fail)
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The person named submitted an application under the New Entrant priority category of the 2022 National Reserve to my Department on 13th May 2022.  This application was submitted under a herd number held jointly by the person named and a second person of the same name.  In line with the EU Regulations governing the operation of the National Reserve, under a herd number held in joint names, both individuals named on the herd number must meet the definition of New Entrant, apart from the educational qualification requirement.  This requirement is set out at section 3.1 of the 2022 National Reserve Terms and Conditions.

In this case, as one of the named individuals on the herd number had been farming under the herd number previously, the application was deemed to be unsuccessful as the applicants did not comply with the Regulatory requirements and Terms and Condition of the scheme. An appeal of this decision was submitted, including medical evidence in support of consideration of force majeure.  The appeal was considered based on all the information submitted, including the medical evidence, but was unsuccessful.  The applicants were advised of the outcome of the appeal on 6th December 2022.  As part of this notification the applicants were also advised that if the new entrant farmer held the herd number in his sole name, met the agricultural educational requirements and had not farmed prior to joining the herd number in 2022, he would be eligible to apply under the New Farmer priority category of the National Reserve in 2023 or 2024.  A successful application to the National Reserve would provide an allocation of payment entitlements on eligible land for which the applicants hold no entitlements and/or a top up to the national average entitlement value on payment entitlements below the national average value, subject to a maximum of 50 eligible hectares.

The requirement for all members of the joint herd number to meet the new entrant definition is an EU Regulatory requirement applying to all Member States and Ireland has no discretion with regard to the implementation of this requirement.

Alan Dillon (Mayo, Fine Gael)
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326. To ask the Minister for Agriculture, Food and the Marine the way that he intends to reimburse those affected by the decommissioning scheme; if the scheme will leave those affected in debt or financially secure (details supplied); and if he will make a statement on the matter. [5069/23]

Charlie McConalogue (Donegal, Fianna Fail)
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The Deputy is aware that I established the Seafood Task Force to examine the implications of the EU/UK Trade & Cooperation Agreement (TCA) for the Fishing Industry and Coastal Communities and to consider initiatives and make recommendations to address those implications. The Task Force had among its members representatives from across the seafood sector including Producer Organisations and other fisheries stakeholders. Their participation ensured that the industry shaped the recommendations according to their needs and the difficulties that they faced.

The Task Force report made a specific recommendation in respect of a voluntary permanent cessation scheme. The recommendation called for a premium of up to €12,000 per gross tonne which was to include crew payments and scrapping costs. The Task Force also noted that any payments under the Brexit Temporary Cessation Scheme would have to be deducted from the premium. They included this condition due to it being specified in guidance from the EU Commission on permanent cessation. Lastly, the Task Force specified that an age depreciation factor be incorporated, up to a maximum of 15%. These details were published by the Task Force in its report, Navigating Change, in October 2021.

The Brexit Voluntary Permanent Cessation Scheme was developed based on the recommendation and matched the rates, terms and methodology specified in the Seafood Task Force report. Following a State Aid decision on the scheme by the EU Commission, I announced the scheme in July 2022 along with a budget of €60 million. The scheme was subsequently published by BIM along with all terms and conditions.

Appreciating the significance of the decision any individual fisher would make should they chose to participate in the scheme, the deadline for applications was extended to 18 November 2022. This was to allow time for fishers to evaluate their own circumstances and the terms of the scheme should they voluntarily chose to apply and accept any offer made.

Based on an analysis of the profile of applicants by BIM, in order to ensure all eligible applicants could avail of the scheme if they chose to do so and be awarded the maximum amount possible under the terms of the scheme, I secured additional funding. This increase ensured that all 57 eligible applicants would receive a combined total of almost €75 million in payments should they accept offers made under the scheme. In order to ensure fairness and transparency to all those who applied for the scheme and for those who did not, to ensure that the Task Force recommendation was adhered to, and to ensure that a State Aid decision would be forthcoming at EU level, no terms of the scheme were changed. These terms have been transparent from the outset and are favourable relative to similar schemes launched since by other Member States. Offers made combined with the tax benefits through section 15 of the Finance (Covid-19 and Miscellaneous Provisions) Act 2022 represent the totality of compensation available to any fisher participating in the scheme.

In respect of individual cases, it is the nature of the scheme that all offers are different and are based on the specifics of each vessel and their fishing activity. The individual offers are formal contractual offers from the State, through BIM, to each individual and it is solely for each individual to consider their specific offer. I would encourage any fisher who has been issued an offer to assess the it with their professional advisors and ensure they take full advantage of the tax benefits which were introduced to accompany the scheme. Any queries an individual may have in relation to their specific offer may be directed to BIM.