EUROPEAN PARLIAMENTEUROPEAN PARLIAMENTCommittee on Fisheries Committee on Fisheries

Public HearingPublic Hearing

Are Transferable Fishing ConcessionsAre Transferable Fishing Concessions

appropriate tools for addressing appropriate tools for addressing overcapacity and fleet management?overcapacity and fleet management?

24 April 2012 - 15.30 to 18.30Room ASP 1G3, Brussels

Sean O Donoghue Killybegs Fishermen’s Organisation &

Federation Irish Fishermen

Are TFCs appropriate tools for Are TFCs appropriate tools for addressing overcapacity & addressing overcapacity & fleet management?fleet management?

Answer NOAnswer NO

WHY?

Socio Economic issuesMajor Problems Safeguard Measures

Definition Fishing OvercapacityFinancing Issues

Transferable Fishing ConcessionsReminder

Commission’s Proposal Key Elements

Mandatory obligation all Member States

Time limited 15 years

Applies vessels greater than 12 metres

Special Provisions regarding concessions

Transferable Fishing ConcessionsSocio-Economic Issues

Why is mandatory nature major Why is mandatory nature major problem?problem?

Concentration of ownership of quotasInternally within Member StateExternally across Member States

No longer economic benefit to local fishery dependant areas

Demise Fishing Communities Example Killybegs

Socio –Economic Issues

Fishing Effort All Countries Irish EEZ

Socio- Economic Issues

Killybegs Impact Assessment Killybegs Impact Assessment StudyStudy

Report commissioned by EC/DG Report commissioned by EC/DG MAREMARE

Fish / 2006 / 06 European Commission

Studies in the Field of the Common Fisheries Policy and Maritime Affairs

Lot 4: Impact Assessment Studies related to the CFP

Regional social and economic impacts of change in fisheries-dependent communities

March 2011

One of 24 case studies in 5 One of 24 case studies in 5 fisheries dependent areas.fisheries dependent areas.

Killybegs Turnover 82% Dependence on Killybegs Turnover 82% Dependence on Seafood Sector Seafood Sector EU average 11%EU average 11%

Killybegs Killybegs Employment 68% dependant Employment 68% dependant EU average 14%EU average 14%

Transferable Fishing ConcessionsSocio-Economic Issues

Why is mandatory nature major Why is mandatory nature major problem?problem?

Concentration of ownership of quotasInternally within Member StateExternally across Member States

No longer economic benefit to local fishery dependant areas

Demise Fishing Communities Example Killybegs

Social fabric of Fishing Community destroyed

Transferable Fishing ConcessionsMajor Problems Safeguard Measures

Ruling ECJ Factortame Cases 1991, C-213/89 & C-221/89

Cannot discriminate on nationally grounds

Provides possibility for economic link criteria

Transferable Fishing ConcessionsMajor Problems Safeguard Measures

Economic link criteria ineffective UK (Defra) review 2009 shows :

After implementation number economic link criteria over ten years

Benefit to the UK from foreign owned vessels 10% approx. turnover of foreign vessels

Once TFCs mandatory economic link criteria ineffective

Commission cannot guarantee otherwiseCourt Rulings & Treaty provisions exist

Definition Fishing Overcapacity

Not defined existing CFP or proposal Court of Auditors Special Report No 12. 2011“ Existing definitions of fishing capacity did not

adequately reflect the ability of vessels to catch fish; Fishing overcapacity had not been defined or quantified; Fleet capacity ceilings had little real effect on adapting fishing capacity of the fleet to fishing opportunities”

Definition Fishing Overcapacity

Equals economic overcapacityIs an individual fishing vessel economically viable with available fishing opportunities?

Complex & variableTFCs not solution

instead Targeted scrapping

Transferable Fishing ConcessionsFinancial Issues

Economic overcapacity Over capitalisation remaining

vesselsBank lending present climate Increased fishing pressure

Conclusion

Transferable Fishing Concessions are not appropriate tools for addressing overcapacity & fleet management

ENDEND.