The availability of accessible and affordable bank finance will be key to delivering additional nutrient storage on dairy farms, according to the Irish Farmers’ Association (IFA).
The association’s dairy committee chair, Stephen Arthur was commenting following the publication this week of the government’s plan to support the retention of Ireland’s nitrates derogation post-2025.
The plan, which is titled ‘Water and agriculture – a collaborative approach’, includes a list of actions, some of which are already underway.
The document brings together work done to date by the Agriculture Water Quality Working Group (WQG); the additional measures under the Nitrates Action Programme (NAP); and on-going projects that will “help Ireland to improve water quality and secure the derogation”.
Nutrient storage
Minister McConalogue said that investments in nutrient storage will qualify for the Green Discounting Rate under the Strategic Banking Corporation of Ireland (SBCI) Growth and Sustainability Loan Scheme.
“Confirmation that loans for nutrient storage will qualify as green investments as part of SBCI funding is a positive development.
“But this will only be of use if farmers can actually get access to this money quickly without having to provide reams of paperwork to get approval,” Stephen Arthur said.
The IFA National Dairy Committee chair said that the minister “needs to make sure the banks give a commitment to supporting the sector in making these investments”.
“Otherwise, this plan has no chance of succeeding,” he added.
Minister McConalogue is also seeking permission from the European Commission to amend the Rural Development Programme and the Common Agricultural Policy (CAP) Strategic Plan to allow for a 60% grant rate and a dedicated €90,000 ceiling for nutrient storage investments.
“I am working to have this rate and ceiling in place for January 2025, subject to European Commission approval,” he said.