The European Commission has approved an €85m Irish State aid scheme to support agricultural companies facing increased fuel prices due to the Middle East crisis.
The Fuel Support Scheme was launched last month by Minister for Agriculture Martin Heydon.
The scheme aims to support farmers and contractors involved in the primary production of agricultural products by mitigating the effects of the increase in fuel prices for the peak fuel usage months from March to July 2026.
Eligible farmers will be able to receive direct grants based on the volume of fuel usage in 2025, where they can receive up to €0.20 per litre of fuel purchased during the eligible five-month period.
Ireland notified the Commission about the scheme, which has now been approved under the Middle East Crisis Temporary State Aid Framework (METSAF) adopted by the Commission on 29 April and which will run until 31 December 2026.
The METSAF is a targeted and temporary framework to address the effects of the crisis on some of the most exposed sectors of the economy including agriculture, fishery, transport and energy-intensive industries.
The Commission concluded that the scheme is necessary, appropriate and proportionate to facilitate the development of an economic activity and does not adversely affect trading conditions to an extent contrary to the common interest.
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