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Scotland Rural Development Programme 2007-2013

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OPTION 26ii: MANAGEMENT OF EXTENDED HEDGE (trimmed once in 2 years)

Income foregone:

Gross Margin

Non- NVZ

NVZ

Winter Barley

£385.00

Spring Barley

£282.00

Livestock' Gross Margin (average)

£494.23

Livestock' Gross Margin (average) NVZ adj

469.47

Gross Margin average:

£387.08

£375.75

Interest on Tenant's Capital saved

£35.53

100% loss:

351.54

£340.22

on 0.67 hectare:

A =

351.54

x

0.67

£235.53

£227.95

Income foregone:

Gross Margin

£

Winter Barley

£385.00

per ha

Spring Barley

£282.00

Livestock' Gross Margin (average)

£494.23

Livestock' Gross Margin (average) NVZ adj

0.00

Gross Margin average:

£387.08

220.531

Interest on Tenant's Capital saved

£35.53

100% loss

£351.54

£185.00

75% loss

£263.66

£138.75

on utilisable 75% of 0.33 hectare:

B =

263.66

x

0.33

£87.01

£45.79

Additional costs:

Additional hedge trimming costs

£0.00

£0.00

Annual restoration costs

£1,469.92

£1,469.92

Sub-total: Loss from A + Loss from B + Additional cost:

£1,792.47

£1,743.66

Overall cost:

£1,792.47

£1,743.66

per ha

Payment rate

£0.54

£0.52

pence per linear metre of hedge

norm rate

NVZ rate

assuming a 1 hectare managed strip will be 3 metres wide and 3,333.33 metres long

*Average Tenant's Capital
for Farm Types: Scotland General Cropping Farms & Mixed Farms

£564.00

forage area

NVZ Adj

£ NVZ

per cow

per ha

ha per cow

GM per ha

*Upland/Lowground Suckler Cows - mainly silage diets

Feb-Apr

0

0

0.52

-

May-June

17

30.36

0.56

-

Aug-Oct

26

40.63

0.64

-

Average =

23.66

23.66

Dairy Cow - silage ad lib

av. Annual yield 7,000 litres

1290.75

0.4975

0.94

1216.4914

per 100 ewes

Crossbred Breeding Ewes - Finished/store lamb

Upland

1601

128.08

0.125

-

Lowground

2293

208.45

0.11

-

Av. Upland/lowground

1947

168.27

0.12

-

168.27

Average 'Livestock' Gross Margin

494.23

469.47366

Additional costs

Assumption: 75% hedgerow restored (gapping up and coppicing or laying) over 5 years; 1.33 metres restored per hour and a labour cost of £7.82 per hour.

Cost of restoring hedge per running metre of hedge (£)

Cost over 5 years (£/ha)

75% of a 3,333 m long hedge with a 2 m wide base restored over 5 years, i.e. 2500 m

5.88

£14,699.25

Only one side restored under this option.

Therefore, additional cost equals 1/2 the calculated rate:

£7,349.62

Annual cost (£/ha)

Additional cost in each year

£1,469.92

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Page updated: Tuesday, April 1, 2008