Latest news nitrogen regulation

The nitrogen problem had a significant impact on the real estate market last year. For example, many construction projects have come to a standstill and a lot of uncertainty has arisen about the new rules. This problem also affects the agricultural real estate market. Due to the nitrogen problem, fewer livestock farms and other agricultural real estate are sold. Below we inform you about the latest developments in the nitrogen regulation.

Internal netting
With internal balancing, the settlement of nitrogen takes place within a plan or project. The condition is that the component that ensures the reduction of nitrogen deposition is an inseparable part of the development. A good example of this is the expansion of production capacity within an establishment, whereby new 'clean' installations are netted with the simultaneous decommissioning of old 'dirty' installations. Although the production capacity is increasing, there may still be a net decrease in nitrogen emissions. Internal balancing can be used to prevent a (significant) effect on nature in advance, possibly eliminating the need for a so-called appropriate assessment.

External netting
External balancing means that the nitrogen increase by a plan or project is offset by a nitrogen decrease in a development that in principle is not directly related to this. An example of this is buying out a company with licensed nitrogen depositions for a company expansion with nitrogen consequences of a neighboring company. This form of netting is a form of mitigation and is therefore by definition part of an appropriate assessment to be drawn up. The external netting or leasing of nitrogen space has been permitted in some provinces since (end of 2020).

Selling & Leasing
As a buyer, you can only use 70% of the seller's nitrogen emissions. The provinces have determined that the other 30% will expire and should be used for the benefit of nature. Leasing means that an agricultural entrepreneur can make part of his unused nitrogen space in his permit available to another user on a temporary basis. This is particularly important for parties that have temporary nitrogen emissions, for example when constructing wind turbines or solar panels. By temporarily leasing nitrogen space from another party, they can use this (private, public) for (temporary) activities.

Subsidy Scheme for Remediation of Pig Farming
Participants in the subsidy scheme for the Remediation of Pig Farming or the Stopping Scheme for the Ammonia Action Plan cannot transfer nitrogen space. A large part of the solution to the nitrogen problem lies in strong nature. At the moment, this nature is overloaded with nitrogen. Reducing this tax requires commitment from every sector, including agriculture. There is an extra option to stop for agricultural companies with high nitrogen emissions that are located close to Natura-2000 areas. Provinces have been given the opportunity to purchase companies on a voluntary basis.

Subsidy for circular agriculture
For agriculture, there will be financial arrangements and subsidies next year for farmers who want to switch to more sustainable (circular) agriculture and farmers who want to stop.