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SERAD announces postponement of Highlands and Islands grant approvals

31/01/2001

The Scottish Executive Rural Affairs Department announced today the postponement of the first meeting of the Project Assessment Committee, which will determine grants to farmers and crofters under the new Highlands and Islands Agricultural Business Development Scheme.

This will result in some delay in taking decisions on grants under the new Scheme.

The decision to postpone the meeting has been taken in the light of a Parliamentary Motion to annul the Scottish Statutory Instrument governing the Scheme. This followed a meeting on 30 January by the Scottish Parliament's Rural Development Committee. Following that meeting, Mr Fergus Ewing MSP has tabled the following Motion:-

"That the Rural Development Committee recommends that nothing further be done under the Agricultural Business Development Scheme (Scotland) Regulations 2000."

This Motion will be debated by the Rural Development Committee on Tuesday, 6 February.

Ross Finnie MSP, the Minister for Rural Development, commented:

"I am disappointed at this delay. The farming and crofting organisations in the Highlands and Islands have been part of the team which designed this Scheme and, with their help, we have been determined to have it up and running as soon as possible.

"Executive officials have met the Committee to discuss its concerns but I understand that Members would like further time to consider the legislation. I will attend next week's meeting of the Rural Development Committee and hope to allay any remaining concerns."

BACKGROUND

1. The Agricultural Business Development Scheme (ABDS) forms part of the EU Structural Funds Highlands and Islands Special Transitional Programme. The Scheme will provide grant assistance to farmers and crofters in the Highlands and Islands for a wide range of measures to assist farm and croft businesses to restructure or diversify. The Scheme has been designed by a partnership, including officials from the Scottish Executive, public sector bodies from the Highlands and Islands, and representatives of the main farming, crofting and landowning organisations.

2. Selection of projects for grant assistance will be undertaken by a Project Assessment Committee, which will include representatives from SERAD, public sector bodies and representatives from industry organisations (as observers). Final decisions are then taken by the Minister. The first meeting of the Project Assessment Committee was scheduled for Friday, 2 February and the meeting was to be held in Inverness.

3. The necessary domestic legislation, the Agricultural Business Development Scheme (Scotland) Regulations 2000, came into force on 29 January 2001. Under Parliamentary procedures, it can be annulled by a vote of the full Parliament.

News Release: SE0200/2001
31 Jan 2001

Page updated: Monday, July 30, 2007