Time may be running out for the 20 year tree premia payments

THE influential European Court of Auditors has added its voice to those calling for an end to the 20 year premia payments which have made afforestation a money-spinner for Irish farmers.

The court, which is responsible for the sound financial management of the EU budget, has declared that afforestation contracts running for up to 20 years have taken up considerable amounts of funds which had been planned to be used for new afforestation measures.

The Court repeated an earlier suggestion from the Economic and Social Committee (which represents European interest groups) that a considerably bigger area of Europe could be afforested at lower cost by planting agricultural land owned by public authorities. Only the cost of establishment would be granted, whereas up to 20 years of income compensation or maintenance costs are paid when private land is afforested.