Payment and amount of grants3.

(1)

Subject to the following provisions of this Scheme, the Department may make to any person a grant representing F160 per cent of any expenditure –

(a)

to be incurred by him for the purposes of, or in connection with the carrying on of, an agricultural business;

(b)

to be incurred by him after 26th January 2005 but before 30th November 2006;

(c)

which is expenditure to which paragraph (2) refers;

(d)

which is approved by the Department for the purposes of a grant under this Scheme; and

(e)

which does not in aggregate exceed £85,000 for each applicant.

(2)

This paragraph refers to expenditure which is to be of a capital nature or to be incurred in connection with expenditure of a capital nature and is incurred in respect of –

(a)

the provision, replacement or improvement of –

(i)

facilities (including safety fencing) for the handling and storage of manure, slurry or silage effluent;

(ii)

fixed disposal facilities for slurry and silage effluent;

(iii)

facilities (other than roofing) for the separation of clean and dirty water, where those facilities reduce the need to store slurry; or

(b)

any work, facility or transaction (including conservation or amenity works) incidental to any matter referred to in sub-paragraph (a).

(3)

Where it appears to the Department that expenditure, in respect of which an application has been made, is to be incurred partly for the purposes of or in connection with the carrying on of an agricultural business and partly for other purposes it may treat as being incurred for the purposes of or in connection with the carrying on of an agricultural business so much of that expenditure as it appears may be referable to the carrying on of that agricultural business.

(4)

The Department shall not approve any expenditure unless the work, facility or transaction to which it refers complies with the requirements or prohibitions of the Schedule.