Farm investment boom puts squeeze on TAMS fund
Future applications may be subject to ranking in order stay within budget
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Farmers are being warned that future applications for TAMS grants may face tougher rules, as the Department scrambles to keep the scheme within budget.
Agriculture Minister Martin Heydon has confirmed that applications under the next tranche of TAMS may be subject to ranking and selection criteria for the first time due to 'prudent budget management'.
Over 42,000 applications have flooded in under the scheme since February 2023, with nearly 12,000 of those submitted in just the last three tranches, which closed between March and early June.
The surge comes off the back of strong beef and dairy prices, which have given many farmers the confidence to invest in sheds, safety equipment and renewables.
Extra demand also followed emergency supports introduced after Storm Éowyn.
The total TAMS budget under the current CAP is €370m, set to run until 2027. But with €70.5m already paid out to just 8,000 farmers, should the remaining 34,000 applicants invest in similarly sized projects, it could cost a further €300m if all are approved, nearly wiping out the scheme's budget with over two years still to go.
In a statement last weekend, Mr Heydon hailed the success of the scheme and said around €2m in payments are issuing to farmers on a weekly basis.
However, he warned TAMS is a demand-led scheme with a defined budgetary allocation.
'Given that we are now just halfway through the current CAP Strategic Plan (CSP), it is prudent that we are mindful of the budget available for the remaining TAMS tranches.
'In order to ensure that the available budget is distributed fairly over the remainder of the CSP, it may be necessary to limit the number of approved applications per tranche going forward by applying ranking and selection criteria, including for the upcoming Tranche 9, which opened on June 7 and will close on September 6,' he said.
Under TAMS, applications are ranked based on the age of the farmer, the size of their farm, previous grant aid payments, eligibility for ANC payments and their nitrates position.
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It is very disappointing to hear that the Government is signalling plans to restrict eligibility in future tranches of TAMS solar PV supports
The minister's comments are already causing concern, particularly around the popular solar PV grant, which gives up to 60pc support for installing panels on farm buildings.
Micro-Renewable Energy Federation chairman Kieran Kells criticised the Government for what he says is a backward step.
'It is very disappointing to hear that the Government is signalling plans to restrict eligibility in future tranches of TAMS solar PV supports,' Kells said.
He went on to say that the current criteria – where farmers are scored on factors like BISS or ANC status – makes little sense when applied to energy-saving investments.
'What has a farmer's ANC payment got to do with whether or not he should qualify for a solar grant?' he said.
'If you've high energy bills and want to cut costs and carbon, you should be supported.'
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