The European Commission has today been asked to approve proposals for a new agri-environment scheme called Environmental Stewardship.

Proposals for the Scheme include an organic strand which will pay organic farmers £30 per ha for carrying out specific environmental management options on their farm, as well as an additional £30 per ha in recognition of the significant additional environmental benefits that organic farming provides.

Environmental Stewardship has been developed in response to recommendations made by the Policy Commission on the Future of Farming and Food and has involved a high level of public consultation and a significant contribution from stakeholder organisations. The scheme is made up of three elements (including the organic strand):

- Entry Level Stewardship (ELS)
- Organic Entry Level Stewardship (OELS)
- Higher Level Stewardship (HLS)

Entry Level Stewardship, which is currently being piloted, is the basic level of the Scheme and aims to tackle countrywide environmental problems such as diffuse pollution, loss of biodiversity and landscape character and damage to the historic environment. It is proposed that this will be open to all farmers in England and that they will be paid at a flat rate of £30 per ha in return for carrying out a certain amount of environmental management options across their whole farm.

Organic Entry Level Stewardship has the same design as the standard Entry Level Scheme but is tailored towards organic farming systems.
It is proposed that organic farmers will receive the higher payment rate of £60 per ha outlined above, in recognition of the contribution that organic farming systems make towards increases in soil health and fertility, benefits for biodiversity and wider landscape benefits. It is proposed that conversion aid should continue to be available but be paid as a top-up in addition to the standard Organic Entry Level payment.

Higher Level Stewardship is designed to build on the basic Entry Level in order to deliver significant environmental benefits in targeted high priority situations and areas. The proposals for Higher Level Stewardship build on the best elements of the Countryside Stewardship and Environmentally Sensitive Areas Schemes, but include a series of new features designed to help farmers deliver the right environmental management. A wide range of options and capital works will be available to farmers under the proposals.
These will be tailored to the individual situation and focussed on the outcomes that the farmer needs to achieve.

Speaking today Elliott Morley - Minister of State for Environment and Agri-environment - said: "Environmental Stewardship is good news for farmers and for the environment. Entry Level Stewardship, which will build on the successful pilot scheme, will mean that many more farmers have a chance to join the scheme, and that agri-environment schemes can start to make a real difference to the countryside as a whole. We expect the organic strand of Entry Level Stewardship to give many more farmers the confidence needed to stay in or enter organic farming, which will deliver further environmental gains.
Higher Level Stewardship builds on the solid foundation of our existing schemes to produce one of the most flexible and outcome-focused agri-environment schemes in Europe."

Final details of the new Scheme will be made available immediately prior to the launch in 2005. Application packs will not be available until the launch of the Scheme.

BACKGROUND

1. More information on the background behind the development of Environmental Stewardship can be found at http://www.defra.gov.uk/erdp/default.htm

2. Entry Level Stewardship implements one of the key recommendations of Sir Don Curry's Policy Commission on the Future of Farming and Food that a 'broad and shallow' agri-environment scheme should be introduced across England. It also recommended that ongoing support for organic farming, targeted on its environmental benefits, should be provided through the new scheme. http://www.defra.gov.uk/farm/sustain/policycom.htm

3. Aid for agri-environment measures is paid under the England Rural Development Programme (ERDP). Launching Environmental Stewardship requires the European Commission to approve a modification to the ERDP. The Commission's approval is now being sought but all the proposals above are subject to that approval. Defra's aim is for agreement to be reached in time for the Scheme to be introduced in 2005.

4. The Government announced in 2002 that it was setting aside up to £75 million per year for the ELS, subject to the success of the pilot, and that this money would be matched by EU funds. The Secretary of State confirmed in January that the ELS pilot had succeeded in meeting its objectives, and that money would be made available to fund its roll-out across England from 2005.

5. All farmers claiming direct payments including the new Single Payment will be required to meet cross compliance conditions. These set a new baseline of environmental and other conditions, in addition to any obligations required for entry to Environmental Stewardship.
News Release 114/04 of 29 March announced the launch of the public consultation on cross compliance, which can be found on line at http://www.defra.gov.uk/corporate/consult/capsingle-payment/index.htm.

6. The payment rate for Entry Level Stewardship will be £30 per ha except on areas of unenclosed upland where the rate will be lower and where the relationship with cross-compliance conditions still has to be finalised.

7. Organic conversion aid: A unified rate of aid is proposed for converting improved land (other than top fruit orchards) to organic production of £175/ha per year over the two year conversion period required. A rate of £600/ha per year is proposed for top fruit orchards (apples other than cider apples, pears, cherries and plums) over the three year conversion period required. Conversion aid will no longer be available on unimproved land.