EU Approves €700 Million Dutch Initiative to Support Livestock Farm Closures for Environmental Sustainability
The scheme targets key priority areas, including peatlands, sandy soils, stream valleys, and regions within or near Natura 2000 sites. It will be available to small and medium-sized livestock farmers in eligible areas until October 1, 2029.
Under this scheme, farmers will receive direct grants and subsidized advisory services, covering up to 100% of eligible costs. These include compensation for the loss of production rights, expenses related to dismantling and disposing of facilities, and other costs directly associated with site closure. The eligibility criteria require farms to have nitrogen emissions above certain thresholds to ensure significant environmental benefits from their closure.
This new scheme complements two existing Dutch programs—LBV and LBV-plus—approved in May 2023, which also aim to reduce excessive nitrogen emissions from livestock operations in nature conservation areas. Farmers can only enroll in one of these three initiatives.
Assessed under Article 107(3)(c) of the Treaty on the Functioning of the European Union and the 2022 Guidelines, the European Commission determined that the scheme is necessary and appropriate for promoting sustainable livestock farming in line with the European Green Deal. The Commission concluded that the program is proportionate, limited to the minimum required, and will have a minimal impact on competition and trade within the EU.
The official decision is recorded under case number SA.114339 in the State aid register on the Commission’s competition website.
In the context of broader environmental goals, this initiative aligns with global efforts to transition the food system within planetary boundaries. Reducing livestock numbers is critical to lowering emissions, minimizing pollution, and restoring biodiversity. A Harvard study highlighted the importance of reducing livestock product consumption and the number of farmed animals as a key solution to combating climate change.
Dr. Helen Harwatt, the study’s author, emphasized, “While much political attention has focused on the energy transition, a food transition is equally essential—especially for animal products with high emissions.”
Similarly, the Vegan Netherlands Project explored the feasibility of the Netherlands becoming self-sufficient in food production through a fully plant-based system. The findings suggest that such a transition would require a significant increase in the number of farmers, highlighting the profound changes needed in agricultural practices for environmental sustainability.
