Select Committee on European Scrutiny Twenty-First Report


MULTI-ANNUAL GUIDANCE PROGRAMMES FOR FISHERIES



(21280)
7426/00
COM(00) 272

Commission Report to the Council in preparation for a mid term review of the Multi-annual Guidance Programmes.


Legal base:
Document originated: 10 May 2000
Forwarded to the Council: 12 May 2000
Deposited in Parliament: 5 June 2000
Department: Agriculture, Fisheries and Food
Basis of consideration: EM of 7 June 2000
Previous Committee Report: None; but see (17255) 7833/96: HC 51-xxv (1995-96), paragraph 1 (10 July 1996)
To be discussed in Council: 16 June 2000
Committee's assessment: Politically important
Committee's decision: Cleared, but relevant to any debate on the revision of MAGP IV or the future of the Common Fisheries Policy

Background

  14.1  The arrangements governing Community structural assistance to the fishing industry include provisions for the restructuring of the fleets to be made in multi-annual guidance programmes (MAGPs), drawn up by the individual Member States and approved by the Commission. A series of such programmes has been adopted by the Community in recent years, with the guidelines for the most recent (MAGP IV), covering the period from 1 January 1997 to 31 December 2001, having been set out in a Commission Communication of 30 May 1996[31]. The actual national MAGPs, based on Council Decision No. 97/413/EC[32] of 26 June 1997, were adopted by the Commission in a series of Decisions in December 1997[33]. The relevant Council Decision also required the Commission to report to the Council by 31 March 1999 on the state of the stocks and the effect on them of the MAGPs; and the Council in turn was required to decide by 31 December 1999 on any necessary adjustments to the targets for fishing effort for the period 1 January 2000 to 31 December 2001. However, because of the delay in adopting the programmes which arose as a result of the protracted negotiations within the Council, and the need to evaluate them over a sufficient period, the Commission has only now been able to present its mid-term report.

The current document

  14.2  In introducing this report, the Commission first recalls earlier reports, which highlighted the very high rate of exploitation of many of the Community's stocks, and the consequent need to reduce fishing mortality significantly (typically by about 40%, and, in many cases, more). This in turn led the Commission to propose cuts in MAGP III of 20%-30% in targeted stocks, though it points out that most Member States considered these figures to be too high, and subsequently reduced them to 15%-20%, representing a reduction of approximately 10% of the overall Community fleet. The Commission goes on to point out that it proposed further substantial cuts during MAGP IV, and that, in order to better target these, it classified stocks according to whether they were depleted, over-fished, or fully exploited, with cuts of 30% and 20% respectively proposed for depleted or over-fished stocks. However, it says these proposals were, once again, rejected by most Member States, which instead proposed that the reduction rates should be weighted by the catch composition of the vessels in the segments concerned, with the reduction in fishing effort increasing according to the proportion of the most sensitive stocks. According to the Commission, the effect of this is that MAGP IV requires an overall reduction in fishing effort for the Community fleet of about 5% over the 5 year period of the programme, instead of about 15% under its own original proposal.

  14.3  As regards the current situation, the Commission says that the Scientific, Technical and Economic Committee for Fisheries (STECF) has found no evidence that stocks have in general deteriorated or improved since the adoption of MAGP IV. It also notes that the International Council for the Exploration of the Sea (ICES) now bases its advice on the precautionary approach, and has thus revised somewhat the earlier definitions of what comprise depleted, over-fished and fully exploited stocks. On that basis, it says that 67% of the stocks for which sufficient information is available are classified as over-fished, some 40% as depleted, and 37% as both over-fished and depleted, and that those which cannot be classified because of lack of information should be treated as at risk of depletion, with fishing effort being increased only if this can be demonstrated as being fully in line with the precautionary approach. All in all, the Commission concludes that these figures provide a clear demonstration that the state of the stocks in European waters is far from satisfactory, but it says that this cannot be used as evidence of a deterioration since the adoption of MAGP IV; indeed, it suggests that the problem of over-capacity is so large that MAGPs can provide only part of the solution, and that it would in any case be unreasonable to expect to observe the effects of MAGP IV over such a short period. For these reasons, this will be the subject of its next annual report to the Council.

  14.4  In the meantime, the Commission highlights two features of the current MAGP guidelines. First, it points out that, whereas unweighted figures would for the Community as a whole have resulted in reductions of 15% in tonnage and 14% in engine power (26% and 21% respectively for the UK), the actual weighted reductions agreed by the Council amount in each case to no more than 5% (11% and 9% respectively, in the case of the UK). It further points out that, in the case of heavily depleted stocks, the weighting system has the perverse effect of giving less protection, since the more such stocks decline, the lower their representation and hence the smaller the reduction in effort required. Secondly, it points out that, for segments using active fishing gear, Member States can opt to achieve all or part of their objectives by reducing activity rather than capacity, and that six Member States — including the UK — have in fact taken up this option. As a result, the Commission says that the capacity reduction required by MAGP IV for the Community fleet as a whole has been reduced from about 5% to less than 3% (and, in the case of the UK, from 9-11% to around 1%). However, it also points out that, whilst a reduction in activity might in theory have a more immediate impact than a reduction in capacity, the effort management régimes in a number of Member States are unsatisfactory, and are not sufficient for the purposes of the MAGP, which calls for permanent, structural reductions in fishing effort. It therefore concludes that, for the limitation of activity to have the same effect as the limitation of capacity, the former must be permanent in the same way as the latter.

  14.5  Against this background, the Commission suggests:

  • that deeper cuts should be made for the remainder of MAGP IV;

  • that these should be made in capacity, not effort, and that the weighted reduction rates should be replaced by unweighted rates, and applied pro rata to the end of the programme;

  • that MAGP IV should be extended for a year until the end of 2002, so that these cuts can be applied for two full years, and that the Commission can undertake a further review of the structural policy for the fleet.

The Government's view

  

  14.6  In his Explanatory Memorandum of 7 June 2000, the Parliamentary Secretary (Commons) at the Ministry of Agriculture, Fisheries and Food (Mr Morley) says that, if adopted, the suggested measures would require a cut in the UK fishing fleet of 8% over the two years 2001-2002. This would require a reduction of up to 22,000 tonnes of capacity (including over 14,000 tonnes from the Scottish pelagic fleet, representing 30% of the pelagic fleet capacity). He goes on to say that the Government supports the principle of reducing the overcapacity in the fleet, and has taken effective steps to achieve its obligations under the existing programme. It does, however, have "severe" reservations about any sudden change in MAGP IV at this stage which would require large cuts in UK fleet capacity in the short term, both on the grounds of cost to the Exchequer and its disruptive effect on industry. It also has reservations about extending the duration of MAGP IV.

  14.7  The Minister goes on to say that the UK has used controls on activity rather than cuts in capacity for those segments of the fleet, such as pelagic and beam trawl, which have not found decommissioning grants attractive. He also points out that these are the most productive and modern parts of the fleet, that public decommissioning would be highly expensive, and that the pelagic industry plays an important rôle in the economies of local communities in Scotland which have few alternative employment opportunities. Likewise, the Minister says that the Government does not accept the contention in the report that effort control cannot be applied effectively, points out that the UK has managed the activity of the fleet responsibly, and wishes to retain the option of limiting by means of effort management. He also stresses that, should the suggestions in the report become proposals, the costs of removing capacity would be substantial.

Conclusion

  14.8  Although there is clearly still an over-capacity problem which the Community will presumably need to address, we note, and share, the Government's strong reservations over the suggestion that changes involving large cuts in the capacity of the UK fishing fleet should at this stage be made in MAGP IV. In particular, changes of this kind in the middle of a programme would make it well nigh impossible for sensible long-term decisions to be taken, thereby adding to the lack of stability to which the industry is already subject as a result of annual fluctuations in total allowable catches.

  14.9  We therefore regard this as a document of some potential importance, which should be drawn to the attention of the House. That said, we are also aware that it is simply a report from the Commission, whose immediate aim is to stimulate debate, and that, were there any question of the changes suggested being pursued, this would require a separate proposal for an amending Council Regulation, which would itself be subject to scrutiny in the normal way. In view of this, we do not believe it is necessary to have a free-standing debate on this document. We do, however, consider that it would be relevant to the consideration by the House either of any specific proposals put forward to amend MAGP IV, or of any more general proposals which the Commission may advance on the future development of the Common Fisheries Policy.


31   (17255) 7833/96; see headnote to this paragraph. Back

32   OJ No. L 175, 3.7.97, p.27. Back

33   Commission Decisions 98/119/EC to 98/131/EC (OJ No. L 39, 12.2.98, pp. 1-84). Back


 
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