July 18, 2022
Ireland's aquaculture sector to get support from US$20.2 million scheme
A €20 million (US$20.2 million) scheme to support Ireland's aquaculture sector, which is affected by Brexit, has been approved by the European Commission under EU State aid rules.
The scheme is aimed at "mitigating the adverse impact on employment in the coastal communities, by supporting the development of an alternative source of raw material supply for seafood processors and by enhancing the viability of aquaculture companies", the European Commission has said in a statement.
It will be open to aquaculture producers who will "purchase and install new machinery and equipment, as well as construct new premises, with the aim of increasing the production, enhancing the quality of the aquaculture products or substantially increasing energy efficiency," the commission said.
It explained that the aid will take the form of direct grants, covering up to 50% of the actual investment costs. The scheme will run until December 31, 2023.
The plan is to finance it under the Brexit Adjustment Reserve (BAR), which was set up to mitigate the economic and social impact of Brexit, subject to approval under the specific provisions governing funding from that instrument.
The Irish government has already said that the Seafood Task Force recommendations relating to dealing with the negative impacts of Brexit in relation to substantial loss of fish quotas and market disruption after the United Kingdom withdrew from the European Union are due to be funded through the BAR.
The commission assessed the measures under relevant legislation and guidelines, and found that the scheme facilitates the development of an economic activity and does not adversely affect trading conditions to an extent contrary to the common interest.
On this basis, the commission said, it approved the Irish measure under EU State aid rules.
It said the non-confidential version of the decision will be made available under the case number SA.102229 in the state aid register on the commission's competition website, once any confidentiality issues have been resolved.
- Afloat Magazine