Subject to the provisions of this Scheme, the Scottish Ministers may make to an initial entrant or a successor, or executors of such an initial entrant or successor, grants for abating financial loss which has been or will be suffered in consequence of occupation of converted land by such person.

Subject to sub-paragraph (3) below, grants under sub-paragraph (1) above shall be made annually in relation to the categories of converted land specified in column 1 of Schedule 1 to this Scheme at the rate per hectare specified in the corresponding entry in column 2 of that Schedule and shall be made in respect of the area of such converted land remaining in the occupation of the claimant at the time the claim for payment is made.

Where an applicant, in the area aid application of that person submitted in relation to any period in respect of which payment is made under this Scheme, counts an area of converted land as set aside for the purposes of the set-aside requirement, the rate payable under this Scheme in relation to that area of converted land in respect of any period for which it is so counted, shall not exceed the set aside payment in relation to that land.