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Long-term Fishing Rights Allocations

Long-term Fishing Rights Allocations. Presentation outline. State of the fish resources Socio – and economic context Rights allocations post 1994 Rights allocations – medium term (2001-2005) Rights allocations - Long term (8-15years) Summary Where to from here?.

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Long-term Fishing Rights Allocations

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  1. Long-term Fishing Rights Allocations

  2. Presentation outline • State of the fish resources • Socio – and economic context • Rights allocations post 1994 • Rights allocations – medium term (2001-2005) • Rights allocations - Long term (8-15years) • Summary • Where to from here?

  3. Context - environment Catches are at a historical low Increased demand and technological advances Shifts in distribution – environmental factors To show examples – 3 major fisheries

  4. Hake Deepwater hake (M.paradoxus)

  5. West Coast Rock Lobster West Coast rock lobster landed catch (tons whole mass) and area-aggregated standardized trap CPUE normalized to the mean, 1891-2004.

  6. West Coast Rock Lobster Approx. 70% caught 30 yrs ago Worse – traditional fishermen Now 90% caught- Dassen Is & Cape P

  7. Pilchard Namibia South Africa

  8. Pilchard

  9. Socio – and economic context • Lower catches – fewer jobs • Shifts in distribution – mismatch - infrastructure and catches • Trucking fish - extra cost - to R80m – R750m p/a • Industry sources – additional costs - profits • Factories relocated - WCRL and plans to relocate Pilchard • Economic activity due to fishing – diminished West Coast • Unemployment rife – last resort – fishing right • Large proportion of fish workers non-permanent

  10. Employment

  11. Allocations post 1994 The Marine Living Resources Act (1998) provides framework to change pre 1994 profile Few quota holders, one group dominant High expectations, and resistance to change by established industry

  12. Allocation post 1994 cont…

  13. Rights allocation post 1994 cont… Significant increase in number of participants 16-53 Rights allocations small < 1000 tons each Lead to complaints of non-viable allocations - 2500 -3000 tons – independent operation

  14. Medium-term rights - 2001 In 2001 first multiple-year rights allocation (4 years) The MTRA was a step towards the LTRA (15 years) Experiment with micro-business on high value species e.g. WCRL – 200kg – 1,5t Project management, legal advice and applications assessment – Rights Allocation Unit Verification – Rights Verification Unit Transparency – compliance with PAIA & PAJA

  15. Medium-term rights - outcomes Increase no. of rights holders 400- 3069, largely micro-business Redistribution of rights major commercial resources WCRL - 20% of TAC micro business Genuine micro businesses were created But - paper quota holders

  16. Long-term rights - 2005 Policy Objectives Job creation Investment Transformation Sustainability Build viable small businesses Reserve all inshore rights <40m for micro-businesses

  17. Process Policy Development process (2004-5) Lessons learnt from MTRA – policy adjustments Consultation Process Draft policies and application fees Public consultative meetings Comment period Final policies and application forms and fees Cabinet approval (May 2005)

  18. Process (cont) Distributing and Receipting Registration to obtain application forms and policies (distribution) Application period Receipting of Application forms Staggered (Cluster A, B. C & E; linefish) Allocations Criteria Performance (50%) – Investment and jobs (MLRA 2d) Transformation (50%) - BBBEE Framework-core components (MLRA 2j)

  19. Process (cont) Decision-making Receipting and verification of application forms (Consultancy: Deloitte) Data capturing and creation of database of applications (consultancy) Analysis of database (Delegated Authority) Development of Criteria and scoring (Delegated Authority) Consultancy 2 – Resolve; Consultancy 3 – F&A Establishment of Advisory Committee by DA and briefing criteria Assessment of applications by DA & Advisory Committee (DA; Committee 2 & 3 legal) Production of Assessment and Scoresheets (Consultancy 2)

  20. Process (cont) Decision-making (cont) Ranking of applications (DA/AdCom) Consultation of Quantum mechanisms (DA) Final decisions Publication of decisions and release of notification letters Development of GPR (DA; Consultancy 2 & 3)

  21. Process (cont) Appeals Access to Information requests from applicants Appeal period Assessment of Appeals (DA; Appeals Committee) & scoring Recommendations to Minister (from Da) (R5(3) Reports) Appeal Decisions by Minister Publication of decisions and release of notification letters Development of GPR (Minister; DA; Consultancy 2)

  22. Challenges Resource constraints – Hake, pilchards, WCRL Large no. of applications – 8000 - WCRL = 4000 Business vs. social considerations in WCRL - 200kg not viable – community support – 750-1t - 200kg became paper quota – 750kg – 4 to 5 employees - 2001 had 900 small scale – maximum 2005 = 600 - 600 rights – 4000 applicants (+3000 appellants)

  23. Preliminary results

  24. Where are we now? Concluded the appeals process Initiated criteria development for Performance Review Accelerate development of draft subsistence fisheries policy Currently conducting public consultation meetings Accelerated development of aquaculture policy Currently conducting public consultation meetings Initiated process of determining economic opportunities in fishing harbours

  25. Where to from here? Conduct analysis of Fishing Rights Allocation process Undertake a socio-economic study Accelerate development of draft subsistence fisheries policy Promote and explore expansion of Non-consumptive resource use Boat-based Whale Watching White Shark Cage Diving Facilitate inter-governmental interventions

  26. THANK YOU

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