The Single Payment Scheme(SPS), also commonly known as the Single Farm Payment, was introduced in 2005 and was calculated using the average number of animals for Livestock Premia Schemes, or hectares for Arable Aid Schemes, on which payment was made under each scheme in the reference years (2000, 2001 and 2002) multiplied by the 2002 payment rate for that scheme (€383.04 per hectare for Arable Aid Schemes).
In general, the Single Payment Scheme is applicable to farmers who actively farmed during the reference years 2000, 2001 and 2002, who were paid Livestock Premia and/or Arable Aid in one or more of those years and who continued to farm in 2005.
The gross Single Payment is based on the average number of animals and/or the average number of hectares (in the case of Arable Aid) on which payments were made in the three reference years