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The Forest Service of the Department of Communications, Marine and Natural Resources is the State body with overall responsibility for forestry in Ireland. The Forest Service oversees the spending of EU financial supports for forestry. It is also responsible for the promotion of private forestry, for forest protection, control of felling and the promotion of research in forestry and forest produce.
Since 1981, a number of financial support programmes for private forestry, mainly funded by EU support, have greatly increased the level of afforestation in the country. This support for forestry continues in the new CAP Afforestation Scheme 2000-2006 under the Rural Development Plan. The two most important financial incentives for forestry are the Afforestation Grant Scheme and the Forestry Premium Scheme. These schemes are part of the accompanying measures to the Common Agricultural Policy (CAP) and support the afforestation of agricultural land.
The Afforestation Grant Scheme
The Afforestation Grant is cost based and is designed to cover all the actual costs of establishing a plantation. As it normally takes four years to fully establish a plantation, this grant is paid in two instalments, up to 75% of the full grant after the initial work is completed, and the remaining 25% after four years, provided that the plantation is satisfactorily established. These two payments of the Afforestation Grant are referred to respectively as the First Instalment Grant and the Second Instalment Grant.
The Afforestation Grants are calculated to cover all the costs of establishing a plantation under normal circumstances, up to certain maximum levels according to species of tree and land types planted. The table showing these maximum grant rates is given below.
The First Instalment Grant is calculated to cover the following operations in the initial establishment of the plantation:
• Ground preparation and drainage.
• Scrub clearance (subject to Forest Service Biodiversity Guidelines).
• Cost of plants and planting.
• Cost of fertiliser and application.
• Fencing costs including gates and stiles.
• Fire protection.
• Initial weed control.
• Cost of supervision and overheads.
The Second Instalment Grant is paid when the plantation is adequately established. Maintenance operations normally include vegetation control, fertiliser, drain and fence repair, replacement of failures and formative shaping of broadleaves.
Anybody who plants agricultural land (subject to meeting the conditions of the scheme) is eligible for the Afforestation Grants. There is no difference in rates between farmers and non-farmers. There are differences in maximum grant rates according to species of tree planted and these reflect the higher costs involved in establishing broadleaves and some conifers.
Again, it is worth stating clearly that these Afforestation Grants, both the First and Second Instalments, will only be paid if all the work carried out is up to Forest Service standards and if all the conditions of the scheme are met.
The Forestry Premium Scheme
The forestry premium payments are annual, income-tax free payments to individuals who have planted land under the Afforestation Grant Scheme as described previously. There are two rates of payment under this scheme, a farmer rate and a non-farmer rate. The non-farmer rate is paid annually for 15 years and the farmer rate is paid annually for 20 years. The farmer rate is substantially higher than the non-farmer rate. The annual premium is due for payment following approval of the First Instalment of the Afforestation Grant. It is paid annually thereafter.
Once approved, the premium payments will continue on a plantation at the appropriate rate providing the plantation continues to be adequately maintained. Failure to maintain the plantation satisfactorily will result in premium payments being suspended until remedial work is completed. While inadequate maintenance normally becomes evident at inspection for the Second Instalment of the Afforestation Grant, the Forest Service can inspect a plantation at any stage, and premium payments may be suspended immediately if all is not in order. A schedule of premium payments is given in table 2.
There are seven different rates of payment for farmers and two for non-farmers, depending on trees planted and land quality. In addition, on enclosed land and for farmers only, there is a top-up payment of €12.70 per hectare if the plantation is 6 ha or over or an additional €25.40 per hectare if the plantation is 12 hectares or more.
For example, if a farmer plants 14 hectares with a mix of conifers, mainly Sitka spruce and 20% Japanese larch to include 10% broadleaves, then the annual premium payable for 20 years is €417 per hectare. The premium will be paid annually for 20 years provided that the applicant qualifies for the farmer rate of premium payment and that the plantation is satisfactorily established and maintained.
The Application Process
Anyone wishing to plant some land under the Afforestation grant scheme must have prior written approval from the Forest Service before proceeding. Any development that proceeds without such approval is ineligible for grant assistance.
All applications for approval for Afforestation grant and Forestry Premium payments must be accompanied by a planting proposal and plan prepared by an approved forester. A list of approved foresters is available from the Forest Service or Teagasc. The plan submitted by the approved forester must contain a completed application form, a site location map, proposed species maps and cultivation plan. All possible environmental considerations must also be addressed.
Environmental Considerations
All forestry development proposals must be both silviculturally desirable and compatible with the protection of the environment. All applications will be checked for environmental sensitivity and the approval process may include liasing with the fisheries boards, local authorities and Dúchas.
Approval
When the application is processed and approved, a letter issues from the Forest Service detailing the conditions of approval and the specifications for the proposed development. The applicant can then proceed with the work.
Summary
The two most important schemes which support private forestry are the Afforestation Grant Scheme and the Forestry Premium Scheme. Both these schemes are administered by the Forest Service of the Department of Communications, Marine and Natural Resources. The Forest Service Inspectors are responsible for setting the standards and monitoring these schemes on the ground.
Both these schemes have conditions which all applicant must meet. It is important that every applicant ensures that they are aware of these conditions and how they relate to their own situation before planting.
Payment of the Afforestation Grants and Premiums will be made only if a plantation has been carefully established and is being managed properly. It is the person applying for these payments who is responsible for this, not the contractor or forestry company.
There are also a range of other grant schemes administered by the Forest Service which may be available for private forestry, e.g., Roading , High Pruning, Woodland Improvement, Native Woodland Scheme, Neighbourwood Scheme, Reconstitution of Woodland and Harvesting grants.
Further information on all the schemes can be obtained from:
Forest Service
Department of Communications, Marine and Natural Resources
Johnstown Castle Estate
Wexford
LoCall 1890 200 223 |