Rural Development Programme
Agriculture and Rural Development
2:45 pm

Michelle O'Neill (Sinn Féin)

The EU proposals for rural development were published in October 2011, and negotiations on the detail in Brussels are still at an early stage. I and my officials are working with Department for Environment, Food and Rural Affairs (DEFRA) and the other devolved Administrations to ensure the Commission’s proposals remain flexible enough to allow us to meet our future rural development needs.

In preparation for the new rural development programme, my Department is considering the six EU priorities in the proposals and the 23 measures proposed. My officials are initially considering the needs and opportunities for the agrifood industry and the development of our rural areas. Lessons learned from the current and previous programmes, along with examples of best practice, will also help to inform programme development.

The shape and size of a future rural development programme will largely be dependent on the available rural development budget, which will not be known for some time. Therefore, it is important to retain a flexible approach to programme development, as the content of the proposals are subject to change. An important part of the programme development will be engagement with stakeholders and partners. A consultative partnership will be set up later this year to provide an opportunity for stakeholders to provide their views on future programming proposals.

Michelle O'Neill (Sinn Féin)

I was in Brussels during the past two weeks, and I put the implications of delay to Georg Haeusler from the EU Commission. He assures me that things are moving on according to their timescale. Obviously, we have to be very mindful that that may not be the case. The Commission would obviously take that approach at this stage. However, their agreeing on the budget is key to moving forward because it will mean we can actually get into the detail of what will be on the table.

I am going to London on Wednesday for a meeting with the DEFRA, which will include representatives from Scotland and Wales, and we will be discussing CAP reform and contingency plans around all of this and where we will be if they do not agree a way forward in time for 2014.

Paul Frew (DUP)

How does the Minister respond to the criticism that local action groups (LAGs) are being excluded from opening calls in the present rural development programme, which means that they cannot spend the money that is badly needed on the ground?

Michelle O'Neill (Sinn Féin)

I am desperately trying to make sure that this money is spent. We have £100 million left that we need to spend by the end of the programme. Spend has been slow for various reasons that the Member will be aware of, not least the economic climate and the fact that banks are not lending. I have taken a number of measures throughout the course of the programme to encourage spending, and things are improving. The call that I made in December for strategic projects is something that areas have welcomed and constructively engaged with.

Numerous projects have come forward, and I have not closed calls for further applications. However, if we are sitting with a pile of unprocessed applications, our priority should be to send out letters of offer, get the money spent and ensure the continuation of the programme. The strategic projects have been very positive and very much welcomed by all the groups I have spoken to.

Michaela Boyle (Sinn Féin)

Go raibh maith agat, a LeasCheann Comhairle. What effect will the review of public administration have on the delivery of a future rural development programme?

Michelle O'Neill (Sinn Féin)

Over the coming months, my Department will work with local government and other Departments on the possibility of governmental involvement in a future rural development programme. Proposals for the next round of EU structural funds have also been published and include a requirement for all EU funds to have a complementary approach and common objectives. Officials from my Department and DFP are considering the EU funding proposals and the potential for a more joined-up approach across funds and Departments. These changes, required as a result of the review of public administration, will have to be taken into consideration at that stage.

Jim Allister (Traditional Unionist Voice)

What lessons will be learned from the high level of squandering on administration in the present programme when it comes to applications to the next? Will there be a more efficient process than under the present programme?

Michelle O'Neill (Sinn Féin)

The Member frequently raises the issue of administrative spend. It is fair to say that the percentage of administrative spend is higher when any programme is being set up. Unfortunately, when compared with the overall spend, the balance does not look right. As the programme goes on over the next 18 months, that will, in some ways, even out, and our position will look far better. It is also fair to say that the LAGs and joint council committees (JCCs) have done great work in trying to get out as much spend to the rural communities as possible. We must continue supporting them in doing that. Numerous lessons have been learned, and, in developing the new programme, it would be foolish not to learn from what did not work in the past. We must take good practice on board and make sure that we follow through on that. A consultative partnership will be established later this year, and it will include all those involved in the previous programme. They will work with the Department to ensure that the new programme is fit for purpose and that we deal with the, quite frankly, silly obstacles that the LAGs and JCCs had to overcome in the past.