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CAP 2023: What to Expect
Environmental
CAP 2023 - What To Expect
By MICHAEL MORRISSEY
Agri-Environmental Specialist IRD Duhallow
The Department of Agriculture, food and the Marine (DAFM) submitted the Draft CAP Strategic Plan (CSP) to the European Commission on the 31st of December 2021. The new CAP commences on the January 1st 2023 with the DAFM expecting to receive approval of the CSP sometime in September this year. There will be a number of changes to the agricultural schemes commencing on January 1st 2023. One of the major changes is the introduction of the Basic Income Support for Sustainability (BISS) and Eco Schemes to replace the Basic Payment Scheme (BPS) and Greening respectively. As per the BPS application it will be mandatory to submit a BISS application annually to draw down eligible entitlements per hectare owned, leased or rented. The complimentary Redistributive Income Support for Sustainability (CRISS) will be introduced for all active famers with a valid BISS application submitted. This front loaded payment will be paid on the first 30 hectares at a value of €43 per hectare. With respect to the value or entitlements all values will change in 2023 The value of entitlements will change to match a funding celling with a new average expected to be between €155 -160. Once convergence of entitlements is reached by 2026 it is expected all entitlements values will fall between €130 - €285. There will be the introduction of a claw back mechanism around the sale and leasing of entitlements from 2023 onwards. An example of the claw back mechanism is the proposed imposition of a 10% clawback where a farmer leases out > 80% of their entitlements for less than 5 years. With regards capping there will be an 85% reduction in BISS payments between €60,000 and €100,000 on eligible entitlements. This will result in a maximum BISS payment of €66,000. The DAFM propose to introduce an active farmer check under the new CAP. This will include a check to ensure the applicant is carrying out an agricultural activity. To be deemed an active livestock farmer you must pass the stacking rate check of 0.10 Livestock Units per hectare. This stocking rate check will also be used to trigger the Areas of Natural Constraints payment for farmers in ANC designated areas. Tillage farmers to be deemed active must provide evidence such as receipts, and, non-livestock farmers must provide evidence of maintenance or receipts from the sale of silage or hay. One new proposal put forward by the DAFM in the CSP is the introduction that up to 30% of a parcel can be made up of features beneficial to the climate and the environment such as scrub and trees without the eligible area of the parcel being impacted. However, it must be noted that according to the DAFM if these features were deemed ineligible in 2022 they will remain ineligible in 2023. Conditionality under pins all Pillar 1 payments such as BISS, CRISS and the ANC. All eligible or active farmers must adhere to this conditionality through the Good Agricultural and Environmental Conditions (GAEC). For example, under GAEC 8 it will be a requirement for all active farmers to have 4% of lands declared made up of features beneficial to the climate and the environment. These features can include hedges, drains, field margins and scrub. This has been a brief overview of some of the changes expected in the new CAP subject to ratification from the EU commission. In the next edition we will outline some of the elements of the eco schemes and the new Agri-Environmental Climate Measures scheme to be introduced next year.
