Farm Payments Glossary ANC
Collective penalties on anc payments
September is when farmers start getting their support payments from Europe. Still confused by the new CAP schemes?
Our easy guide is here to help, starting with areas of natural constraints. A number of new agricultural schemes were launched this year, including the Green Low-Carbon Agri-Environment Scheme (GLAS) in February, the Beef Data and Genomics Programme (BDGP) in May and the Targeted Agricultural Modernisation Scheme (TAMS II) in June. To clear up any confusion around the new schemes, we have put together a handy summary guide outlining what the new schemes are, what schemes they have replaced (if applicable), how much payment farmers can expect from the schemes and when the payment is due. In this first instalment, we put the areas of natural constraint (ANC) scheme under the spotlight.
What is it?
The ANC is a supplementary payment for farmers under the Basic Payment Scheme (BPS). The scheme applies to farmers with holdings in inhospitable land areas of Ireland. These areas are classified as one of the following: less severely handicapped lowland, more severely handicapped lowland, mountain type land and areas of specific constraints (offshore islands).
There are several ways of keeping track of your BPS payments
When was it launched and what was the closing date?
It was launched on 6 May 2015 through the 2015 BPS. The closing date for applications was 29 May 2015.
What scheme has it replaced?
The ANC has replaced the disadvantaged areas scheme (DAS) under the new Rural Development Programme 2014-2020. The scheme is co-funded by the European Agricultural Fund for Rural Development.
When do farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
Successful applicants are set to be paid in the third week of September. It is understood that some 55,000 farmers will receive a cashflow boost of €114m.
Rates
Area: Mountain-type land; payment rate: €109.71; payable area: first 10ha (€95.99 for 10ha to 34ha).
Area: More severely handicapped lowland; payment rate: €95.99; payable area: 30ha or part thereof subject to an overall maximum of 30ha.
Area: Less severely handicapped lowland; payment rate: €82.27; payable area: 30ha or part thereof subject to an overall maximum of 30ha.
Area: Areas of specific constraints; payment rate: €250; payable area: up to 20ha (€170 for 20ha to 34ha; €70 for 34ha to 40ha).
Is there another chance to apply for the scheme?
Yes, farmers can apply for the ANC again next year under the annual BPS application. The scheme will continue until 2018 pending the new delineation of new ANC.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 06/10/2015)
Farm Payments Glossary GLAS
GLAS second tranche will not have planting of Hedgerows or Traditional Orchards
In the second part of our scheme payments summary series, we give the lowdown on the Green Low-Carbon Agri-Environment Scheme (GLAS). GLAS
What is it?
GLAS is the new agri-environment scheme, and is part of the €4bn Rural Development Programme 2014-2020. It ties in with the green vision for Irish agriculture as contained in Food Harvest 2020 and as promoted by Bord Bia in the Origin Green campaign.
When was it launched and what was the closing date?
GLAS was launched on 23 February 2015 and the closing date for the first tranche of applications was 26 May 2015.
What has it replaced?
As the new agri-environment scheme, GLAS replaced the Agri-Environment Option Scheme (AEOS), which was launched in 2010 and was itself a replacement of the Rural and Environmental Protection Scheme (REPS).
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
The almost 27,000 farmers who applied for GLAS in May will find out if they have been accepted in early October after final checks on their applications have been carried out. Eligible farmers will be notified in writing of their acceptance to the scheme. The average payment for these farmers is expected to be between €4,400 and €4,800, with a maximum payment of €5,000. The good news is that payments for the three months the scheme will operate in 2015 look set to average from €800 to €1,000 and are due to start in mid-December.
There is an additional €2,000 for those in GLAS+. GLAS+ is extended to all farms with a priority environmental assist, including the hen harrier. All such farmers will automatically receive up to €7,000 a year, depending on the area of land they have to manage.
Enclosed lowland, such as above, is one of the designated areas under the ANC
Is there another chance to apply for the scheme?
Yes, another two tranches are expected to be announced. The second is due to open for applications on 12 October, with a start date of 1 January 2016. With places for 50,000 farmers promised over the lifetime of GLAS, a third tranche is expected to be opened around June next, to begin on 1 January 2017.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 06/10/2015)
Farm Payments Glossary BDGP
In the fifth instalment of our farm scheme payments series, we summarise the main points of the Beef Data and Genomics Programme (BDGP). BDGP
What is it?
The six-year Beef Data Genomics Programme (BDGP) has two objectives. The first is to lower the intensity of greenhouse gas emissions by improving the quality and efficiency of the national beef herd. The second is to improve the genetic merit of the national beef herd through the collection of data and genotypes of selected animals, which will allow for the application of genomic selection in the beef herd.
The live system of applications for the second tranche of GLAS will be open for six weeks
When was it launched and what was the closing date?
The BDGP was launched on 5 May 2015 and the closing date for applications was 5 June 2015.
What scheme has it replaced?
Although not a direct replacement, the scheme follows on from the Suckler Cow Welfare Scheme, which covered issues relating to animal welfare, breeding and recordkeeping. This scheme ran from 1 September 2009 until 1 April 2013.
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
The 29,000 farmers who applied for the BDGP before this year’s closing date were accepted into the programme. All the farmers who entered the scheme and had no outstanding issues received their €uro-Star report in September. Farmers then had to decide, based on the report, whether it was viable for them to remain in the scheme.
Some 700 farmers exited the scheme in late September following receipt of their reports.
Those remaining in the programme will receive a payment of €142.50 per hectare for the first 6.66 payable hectares under the scheme, and €120 per payable hectare after that. The eligible hectares on which an applicant is entitled to claim will be equal to the number of calved cows on his/her holding in 2014 (known as reference animals) divided by a standard stocking rate of 1.5. This payment is based on the farmer fulfilling six separate requirements and is due to start in mid-December 2015.
Is there another chance to apply to the scheme?
No. The BDGP had only one open period for applications, which opened in May 2015 and closed the following month.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 12/10/2015)
Dairy shed built by Clare farm building contractor Declan Fennel a range of investments are eligible for TAMS support
Farm Payments Glossary BPS
In this part of our series on payments, we summarise the key points of the Basic Payment Scheme, or BPS.
What is it?
The BPS is a direct payment under Pillar I of CAP and acts as a safety net for farmers, supplementing their main business income. You can apply for entitlements based on the land you farm and the activity you undertake. In order to qualify under the BPS, you must have at least one entitlement linked to one hectare of eligible land.
When was it launched and what was the closing date?
The BPS was launched in January 2015 and the closing date for receipt of applications was 29 May 2015.
What scheme has it replaced?
The BPS has replaced the Singe Payment Scheme (SPS). All entitlements held under the SPS expired on 31 December 2014. A new set of entitlements will be allocated in 2015 to those eligible for an allocation under the BPS.
The reason the SPS was replaced by the BPS is that the payment that a farmer receives under the new direct payments system is no longer a single payment, but may be a combination of payment under four separate schemes – the BPS, greening, Young Farmers Scheme and Aid for Protein Crops.
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
Farmers will know about acceptance into the scheme when they receive payment. All eligible farmers will receive a payment under the BPS and a greening payment while some farmers may also qualify for a further payment under the Young Farmers Scheme or under the Aid for Protein Crop Scheme.
Following the emergency meeting of Agriculture Ministers in Brussels on 7 September, the European Commission has allowed for a 70% advance of Basic Payment Scheme and greening payments on 16 October 2015 instead of the usual 50% advance. This means that the first instalment of the new Basic Payment Scheme and greening payments to Irish farmers will be boosted by €200m in 2015, and will total over €700m.
The balance of Basic Payment Scheme and greening payments will begin on 1 December with a target of paying 100% of all applicants on that date.
Is there another chance to apply for the scheme?
The BPS is an annual scheme so farmers will have an opportunity to apply again in 2016.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 06/10/2015)
Farm Payments Glossary TAMS II
Although not a direct replacement, the BDGP follows on from the Suckler Cow Welfare Scheme, which covered issues relating to animal welfare, breeding and record keeping.
In this instalment of our farm scheme payments series, we summarise the main points of the second Targeted Agriculture Modernisation Scheme – TAMS II.
What is it?
TAMS II is part of the €4bn Rural Development Programme (RDP) 2014-2020 and provides grants to farmers to build and/or improve a specified range of farm buildings and equipment on their holding. A total of €395m has been made available for TAMS II schemes over the course of the RDP period. There are six different schemes under TAMS II: the Young Farmer Capital Investment Scheme (YFCIS); the Dairy Equipment Scheme (DES); the Organic Capital Investment Scheme (OCIS); the Low Emission Slurry Spreading Equipment Scheme (LESS); the Pig and Poultry Investment Scheme (PPIS); and the Animal Welfare Safety and Nutrient Storage Scheme (AWNSS).
When was it launched and what is the closing date?
The first of the TAMS II schemes, the YFCIS, opened for applications on 8 June 2015. This was followed on a gradual basis by the opening of the rest of the schemes, finishing with the launch of the PPIS on 13 August. There is a three-month period from the opening date of each scheme during which farmers can apply.
What scheme has it replaced?
TAMS II replaced TAMS I, which opened in 2007.
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
All applications are assessed and ranked in each tranche to keep the expenditure within RDP budget. Those applications ranked highest are sent for potential approval for the relevant scheme. Payment will issue within three weeks of approval for payment when it has been determined the work has been completed in accordance with the terms and conditions of the scheme.
In the case of the YFCIS, a successful individual applicant or company can expect a maximum grant amount of 60% on costs up to the ceiling of €80,000.
In the case of the DES, AWNSS, OCI and PPIS, for a successful individual applicant or company there is a maximum grant amount of 40% on costs up to the ceiling of €80,000.
And in the case of the LESS, a successful individual applicant or company can expect a maximum grant amount of 40% on costs up to the ceiling of €40,000.
Is there another chance to apply to the scheme?
Yes. Although the application periods for most of the schemes are either already closed or due to close soon, there will be further chances to apply to the six schemes in a series of tranches up until 31 December 2020.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 06/10/2015)
Farm Payments Glossary: YFS
The penultimate instalment of our farm payments glossary series puts the spotlight on the Young Farmer Scheme.
The Young Farmer Scheme is a new scheme introduced by EU as part of the 2014-2020 CAP reform
What is it?
The Young Farmer Scheme (YFS) provides a 25% top-up on the average Basic Payment for a young farmer for his/her first five years of farming. A fund of over €24m will be available to the YFS for each of the years 2015 to 2019.
Definition of a “Young Farmer”:
- A participant in the Basic Payment Scheme in the year in which s/he submits an application.
- Aged no more than 40 at any time during the calendar year in which she/he first submits an application under the Basic Payment Scheme.
- Setting up an agricultural holding for the first time or has set up such a holding in the five years preceding the first submission of the Basic Payment Scheme application.
- Successfully completed or is participating in a recognised course of education in agriculture giving rise to an award at FETAC level 6 or its equivalent. Alternatively the young farmer must commit to commencing such a course by 30 September 2016.
When did the scheme open and close for applications?
The scheme opened for applications on 5 January 2015 and the closing date for receipt of applications was 29 May 2015.
What scheme did it replace?
The Young Farmer Scheme is a new scheme introduced by EU as part of the 2014-2020 CAP reform.
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
The Department anticipates that notification of acceptance letters will be sent out to applicants to the Young Farmer Scheme from early November. Payments are due to start after 1 December.
Successful applicants can expect a 25% top-up of approximately €64 per entitlement per year regardless of the value of entitlements held. The maximum payment on each entitlement is up to 50ha and a five-year duration.
Will there be another chance to apply for the scheme?
Yes. Qualifying young farmers may join the scheme in 2015 or in any subsequent year during the lifetime of the current CAP (2015- 2019). The maximum number of years that a young farmer may receive YFS payment is five. Therefore, to gain maximum benefit from the scheme, the farmer should apply in 2015. However, EU funding will be allocated annually for the scheme up to 2019.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 20/10/2015)
Farm Payments Glossary: National Reserve
In the last part of our farm payment glossary series, we look at the National Reserve.
What is it?
Under the new CAP reform from 2013, a National Reserve was established using 3% of the Basic Payment ceiling, amounting to €25m for priority allocation to applicants. The scheme is open to both young farmers and new entrants. The criteria for a new entrant is the same as that for a young farmer without the age restriction.
When did the scheme open and close for applications?
The scheme opened for applications on 5 January 2015 and closed for applications on 31 March 2015. Applications had to be made online.
What scheme did it replace?
The National Reserve is a measure which was already in place under the previous 2005-2013 CAP.
When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?
Successful applicants can expect notification letters to be issued from early November with payments due to commence after 1 December. These applicants will receive an allocation of entitlements based on the eligible land declared on their 2015 Basic Payment Scheme application at a value equal to the national average value of entitlements in the year of application. Successful applicants who already hold entitlements which are below the national average value will receive a top-up whereby the value of those entitlements will be increased to the national average value.
N.B.An off-farm income limit of €40,000 will be applied to all applicants to the National Reserve, whether ‘young farmer’ or ‘new entrant’. The off-farm income limit will be applied to either of the 2013 or 2014 tax years at the applicant’s choosing.
Will there be another chance to apply for the scheme ?
The Department says there is no designated funding from the Basic Payment Scheme to fund a National Reserve next year. The only source of funding available to the 2016 National Reserve will be from any unused funds from the 2015 National Reserve and from claw back arising from the sale of entitlements without land in 2016. But if there is sufficient funding available to provide a National Reserve in 2016, application forms and terms and conditions governing the scheme will be available in early 2016 with a closing date of 15 May 2016.
(Source – Irish Farmers Journal – Amy Nora Fitzgibbon – 26/10/2015)