The government created two schemes to entice farmers to stop raising livestock. Less livestock means less ammonia. Lower ammonia means less nitrogen in areas at risk in Natura 2000. Lower nitrogen in areas at risk in Natura 2000 means more space for housing, roads and non-agricultural economic activities.
Peak loaders get more
The National Breeding Livestock Finishing Scheme (LBV) is for farms that keep pigs, dairy cows, chickens or turkeys. The National Livestock Site Finishing Scheme Plus (LBV+) is for the same type of companies that also fall within the definition of top loaders.
These are farms that deposit relatively large amounts of nitrogen in Natura 2000 areas (which are often nearby). These farmers are eligible for higher compensation if they stop working compared to farmers who do not use maximum load equipment.
Betting on two horses
This means that 215 participants are betting on two horses. They are registered for both LBV and LBV+. So far, 358 farms have applied for the regular LBV, and 401 applicants were targeting the LBV+, according to an overview conducted by the Dutch Enterprise Agency (RVO).
A total of 974 applications have been submitted for both schemes in recent months.
Registration for the LBV scheme will close at the end of this week. And that is for LVB+ only on April 5, 2024. So it will take some time before it becomes conclusively clear how many farmers want to stop and, more importantly, how much smaller our nitrogen problem will become.
37 applications have already been evaluated for LBV+. These applications are dealt with on priority by the RVO. Applicants for LBV will have to be patient for a longer period. When the registration period ends, which will occur on Friday, December 1 at midnight, all applications will be evaluated “as soon as possible, but no later than June 1, 2024.”
Pot 500 million
The government has allocated €500 million for LBV, which will be divided between pig farmers (115 million), poultry farmers (115 million) and dairy farmers (270 million).
If there are more orders than budget, the orders placed will be ranked in order of cost effectiveness. The amount of nitrogen precipitation that is prevented is examined by the amount that would be paid. In the decision, applicants read how much they could get if they stopped.
Do farmers think it is enough or not?
This is also the moment when they will decide to make final use of the termination plan, meaning it is still not entirely certain how much nitrogen deposits the government can remove through this purchase plan.
€975 million available for cranes at peak times. LBV+ applicants know where they stand more quickly. The processing period for their applications is 16 weeks. They then have six months to accept or not accept the amount given to them. They are not obligated to do so.
It will be at least months before it becomes clear whether the “very attractive scheme” of outgoing Minister Christiane van der Waals (Nature and Nitrogen) will actually lead to business closures and whether the less attractive regular LBV is attractive enough to convince non-peak freight About drawing a line.