DAERA has provided more clarity around the conditions and associated penalties that will apply to the new Farm Sustainability Payment (FSP).

Two future conditions for claiming the new area-based payment include participating in the Soil Nutrient Health Scheme (SNHS) and the upcoming Bovine Genetics Project.

DAERA guidance states that farmers who have not joined the SNHS by 15 May 2027 will have a 10% penalty applied to their FSP.

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This penalty then rises to 15% in 2028 and subsequent years until the requirement is met.

Similarly, failure to register and complete training under the Bovine Genetics Project by 15 May 2028 will see a 10% penalty applied, rising to 15% in 2029 and thereafter.

Responding to questions from the Irish Farmers Journal, DAERA confirmed that the two sets of conditions and penalties effectively operate independently of each other.

“If a farm business fails to meet one or both conditionalities by the specified dates, a reduction of the relevant percentage will be applied to the FSP for each of the conditionalities not met,” a DAERA spokesperson said.

In practice, it means that a deduction of up to 30% can apply to a farmer’s payment from 2029 if they do not meet the requirements for both the SNHS and the Bovine Genetics Project.

Standards

Another condition for the FSP, which applies from 1 January 2026, is the requirement to meet new Farm Sustainability Standards.

The new standards effectively replace the long-standing Cross Compliance rules and it has a separate system of penalties which depends on the severity and frequency of breaches.

DAERA guidance also states that participation in a proposed Carbon Footprinting Project will eventually become a condition for claiming the FSP.

“The proposed timeline for the introduction of the Carbon Footprinting Project as a conditionality is yet to be determined,” department guidance states.