IFA come to agree with ESB over powerlines
The IFA says the agreement provides farmers with an option other than the arbitration route, which can be time-consuming, costly and uncertain.
The IFA has negotiated two new agreements with ESB and EirGrid.
One covers compensation and goodwill payments to landowners for the refurbishment and uprate of existing 110kV and 220kV overhead electric lines on their lands.
The other covers compensation and goodwill payments to landowners in respect of the placing of new 110kV, 220kV, 400kV transmission underground electric cables on land.
The agreement for the refurbishment and uprate of existing lines replaces a previous agreement and takes effect from September 1, 2021.
The compensation payments will be contingent on landowner co-operation (and the co-operation of any occupiers) so that all necessary works can be carried out without delay.
IFA Infrastructure Project Team chairman Paul O Brien said: “It allows landowners the option of accepting what is on offer under this agreement, or pursuing their own claim through arbitration, which they are entitled to do under the relevant legislation”.
He said the agreement provides farmers with an option other than the arbitration route, which can be time-consuming, costly and uncertain.
The organisation said the farmer’s statutory rights are “fully protected”. “Even if they choose to accept the payments negotiated by IFA, they still have the option of going to arbitration if they think the payments are not sufficient to cover their damage/loss,” a spokesman said.
Under the package for new underground transmission cables, landowners will be compensated in an early and structured manner at agreed rates, subject to their co-operation, and provided they enter either a Settlement Agreement or Option Agreement and also grant a Deed of Cable easement to ESB.
This package provides for an early sign-on payment, as well as goodwill payments and also provides for the possibility of further compensation in the future under a loss of development clause, subject to certain conditions.
Landowners have two options available them under the package. Option 1 is where the landowner can accept the Cable Package (to include the LOD Clause) in satisfaction of their statutory entitlement to compensation or alternatively, if landowners prefer, they can instead submit a claim to ESB for consideration, with the option of Arbitration in default of agreement, as provided for under the ESB legislation.
ESB and EirGrid have also worked with the IFA to create a Code of Practice in relation to cables. This provides information for landowners on the various activities associated with the survey, construction, and maintenance of infrastructure.
The IFA’s negotiating team comprises four farmers and a lead negotiator appointed by the IFA President. These teams have access to the necessary advice, including legal advice, and it has been agreed that ESB/EirGrid will contribute towards the costs incurred by the IFA during the negotiations.
