Voluntary land deal secured for pipeline project
Uisce Éireann said only the permanent easement element was potentially subject to Vat. Picture: Stock.
A voluntary agreement has been reached with Uisce Éireann (UE) on a compensation package for farmers and landowners along the route of the €1.65bn Water Supply Project Eastern and Midlands region.
The deal negotiated by the IFA and ICMSA sets out four main payments: An early “sign-on” payment, a wayleave payment, crop loss and disturbance payments, and a "special goodwill payment".
Extra compensation will be made where ancillary apparatus such as valves, wash-out chambers or lay-bys are installed on farmland.
Farmers can either accept the package or pursue claims through statutory processes. The deadline for returning consent forms has been extended from September 23 to October 7 to allow more time for advice and consultation.
Questions over the tax treatment of the payments have been a sticking point. In an undertaking to the IFA and ICMSA, Uisce Éireann said only the permanent easement element was potentially subject to Vat. If it is later determined that Vat should apply more widely, Uisce Éireann has committed to refunding it in full once provided with a valid invoice.
The farm organisations said more clarity is still required — particularly for unregistered farmers — and this will be pursued in the weeks ahead.
Negotiations stretched over 25 meetings, with farm leaders warning that delays in planning or construction could leave landowners in limbo. The final package indexes crop loss and goodwill payments to the Consumer Price Index to protect value if payments are delayed, but the broader issue of safeguarding farmers during long project hold-ups remains unresolved.
During construction, a 50m-wide corridor will be subject to restrictions, though this will narrow to 20m once the pipeline is complete. Outside of the construction period, normal farming use will continue.
The IFA and ICMSA also pressed for measures to manage potential TB outbreaks caused by wildlife displacement during works. A working group involving both organisations and the Department of Agriculture will now be set up.
Crop loss and disturbance payments will be made in advance, with Uisce Éireann covering any additional losses once assessed by an independent agronomist.
Farmers will also have their legal costs covered when seeking independent advice on the deed of wayleave and easement.
While acknowledging that not all demands were met, the IFA and ICMSA said the deal represents a “reasonable package” and urged farmers to study it carefully with their advisers.
