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The Forestry Programme 2023-2027: Grants and Premium Rates

Commission Approves Forestry Funding

In what was a long-awaited development, the European Commission finally approved State Aid to the afforestation scheme under Ireland’s new Forestry Programme at the end of August. This came as welcome news to many landowners, farmers and non-farmers alike.

Perks for Farmers

However, the announcement will be of particular interest to farmers, since the new Forestry Programme grants additional benefits to farmers. In particular, payments for many of the available forestry grants will be provided to farmers for an extended period of time.  Under the new scheme, farmers will be paid grants over 20 years if they choose to plant portions of their land.

Forestry Options

The range of "forest type" options available to farmers who choose to pursue afforestation is undeniably impressive.

Under the new programme, farmers may receive grant aid to plant native and broadleaf trees as well as conifer and spruce plantations. There is also grant aid for farmers to plant smaller portions of their land to improve the farm’s environmental status. Under the Forests for Water initiative, for example, farmers may receive grant payments to plant trees along watercourses, thereby improving water quality. The Agroforestry scheme will allow farmers to plant approximately 400 trees per hectare while continuing to farm the same portion of ground for animal or crop production. However, payments on the Agroforestry scheme are for 10 years only, whereas other payments are for 20 years.  

What the Government said

News of the European Commission’s decision to greenlight the funds for the Forestry Programme was welcomed by the Department of Agriculture, Food and the Marine. Speaking of the development, Minister of State with responsibility for Forestry, Pippa Hackett, said:

“The Commission’s approval of our afforestation programme is a hugely significant milestone in our longer term vision out to 2050 to increase our forest cover as a critical part of the State’s Climate Action Plan. The new €1.3 billion Forestry Programme is the best-funded, most environmentally friendly programme in the history of the State. It has been designed so that planting trees can deliver for farm incomes, for climate, for biodiversity, for water quality, for recreation, for rural economies, and for the production of high quality timber for use in our homes and other buildings of the future.”

Minister Hackett’s reaction was echoed by that of Minister Charlie McConalogue, who said that the purpose of this scheme is “to attract and reward farmers ahead of any other landowners”.

The grant and premium payments available to farmers under the new scheme are shown in the table below:

 

Forest Type

Grant per hectare

Annual Premium per hectare

Duration of Premiums for farmers

FT1

Native Forests

€6,744

€1,103

20

FT2

Forests for water*

€6,744

€1,142

20

FT3

Forests on Public Lands**

€10,544

n/a

n/a

FT4

NeighbourWoods***

€10,200

€1,142

20

FT5

Emergent Forest

€2,500

€350

20

FT6

Broadleaf, mainly oak and beech

€6,744

€1,037

20

FT7

Diverse Broadleaf

€4,314

€973

20

FT8

Agroforestry

€8,555

€975

10

FT9

Seed Orchards

€10,000

€1,142

20

FT10

Continuous Cover Forestry

€5,421

€912

20

FT11

Mixed high forests: Conifer, 20% broadleaves

€4,452

€863

20

FT12

Mixed high forests with mainly spruce, 20% broadleaves

€3,858

€746

20

* Additional payment of €1,000 per ha will be paid to landowner on completion of planting

** Grant includes Trails, Seats & Signage Facilities payment

*** Grant includes Facilities payment