CHESHIRE GOES UNDERGROUND
A proposal for a major gas storage scheme which will increase UK capacity substantially, as well as reducing the likelihood of seasonal price hikes and helping prevent future domestic and industrial shortages has been passed. A Glasgow-based gas storage developer, has been given the green light to develop ten underground caverns in the extensive salt deposits of Northwich, Cheshire. Planning permission has also been granted for a twin pipeline from Cheshire to the Mersey Estuary which will enable sea water to be used to create the caverns more efficiently. This construction of the pipeline could also speed up the development of other gas storage facilities in the Cheshire basin. Until now, a lack of water, as well as a reduced demand for brine has restricted the development of gas storage sites. A spokesperson for the scheme, said: “We are delighted that this important project has been given the go-ahead. Increased gas storage capacity is urgently needed in this country and developments like ours will add to the UK’s diversity of supply and be vital to securing UK energy needs in the future.” The UK has been a net importer of gas since 2004 and currently has only enough storage capacity for 5 per cent of its annual consumption. This is compared with 21 per cent in Germany and more than 18 per cent in America. The recent big freeze left Britain with only four days of gas left in reserve at one stage. With the UK expected to be reliant on foreign gas imports for up to 80 per cent of its supplies by 2020, this initiative and others like it will play an important role in ensuring the UK is able to survive the international supply. It will also help to reduce the UK’s need to import gas when it as its most expensive in the peak winter months. Berrys are currently working with a number of landowners and tenants who have been affected, or are likely to be affected by these major works. With a pipeline running all the way from North Cheshire to the Mersey Estuary, the number of people affected could be huge, and each one of these could be entitled to compensation. In addition, an electric line is proposed to be built in 2010, running from Northwich to South Manchester. To ensure you receive the compensation you deserve and to find out more about the proposed plans, contact our utility department today.
DAIRY FARMERS TO RECEIVE £26 MILLION
Over £26 million from the EU Dairy Fund will soon be given to British dairy farmers. The £273 million EU Dairy Fund is designed to assist farmers who have been severely affected by the past 12 months’ changes in demand and pricing. While providing aid, it aims to keep administration costs to a minimum, and support the competitive British dairy sector.
Following consultation with industry leaders, Devolved Administrations and the UK Government have agreed to divide the UK share of the fund by paying a flat rate of roughly 0.2 pence per litre of the milk produced between October 2008 and September 2009.
Jim Fitzpatrick, farming minister said of the payout: “We’ve agreed that a flat rate is the fairest way to help dairy farmers most affected by the drop in global dairy prices. The UK has one of the most modern and efficient dairy sectors, and distributing funding in this way will give some additional security to farmers following a particularly challenging year.”
To ensure minimal administrative costs are maintained, the qualifying threshold will be 50,000 litres, which means that the minimum payment would be approximately £100 the Rural Payment Agency aims to begin making payments in April, with the final payment to be made in July. The overwhelming response from the consultation run earlier this year agreed unanimously that the flat rate was the most appropriate payment method.
Graham Bowcock, partner at Berrys Northwich office said of the scheme: “About time too! Finally funding has been developed to assist vulnerable dairy farmers. For a while, help has been needed to address the deficit between farmgate milk prices and the rising cost of production.”
In order to facilitate swift distribution of funding owed, any producers who request from the RPA should respond as soon as possible. This will ensure administration costs are kept to a minimum, retaining more funding for dairy farmers, as well as guaranteeing receipt of your deserved payment as soon as possible. In addition to this funding, low interest loans remain available from the AMC. As AMC agents, Berrys can assist in finance advice, valuation, funding support, business consultancy and a number of other issues within the agricultural field. Contact us today to hear how we can help you receive the funding you deserve.
NFU ELECTION SUCCESS
“NFU president Peter Kendall secured over three quarters of the vote from NFU Council Members to be re-elected during their Annual General Meeting in Birmingham. Another re-elected member was Meurig Raymond as Deputy President, while Gwyn Jones was chosen to fill the vacant Vice President position. These members of office will serve for two years. Acting NFU General Martin Haworth spoke after the elections: “This is a very important and challenging time for British Agriculture, and I look forward to working with our new team.” Meanwhile NFU President Peter Kendall said: “I am pleased to be working with Meurig for another term, and would like to welcome Gwyn to the team. He’s been a dairy board chairman for six years, and brings a vast amount of experience and a successful track record of working in Europe on dairy and welfare issues. We have a lot of work ahead, not least the CAP reform and dealing with bovine TB. As this year’s conference has proved that productive agriculture is at the heart of the political agenda, it will be our job to ensure that the government fully understands how farming can deliver both the food we need and protection the environment requires.”
