Select Committee on European Scrutiny Fifth Report


3. RECOVERY OF COD AND HAKE STOCKS


(23079)

15245/01

COM(01) 724


Draft Council Regulation establishing measures for the recovery of cod and hake stocks.

Legal base:Article 37 EC; consultation; qualified majority voting
Department:Environment, Food and Rural Affairs
Basis of consideration:Minister's letter of 14 December 2002
Previous Committee Report:HC 152-xxii (2001-02), paragraph 13 (20 March 2002) and HC 152-xxxvii (2001-02), paragraph 2 (17 July 2002)
To be discussed in Council:16-19 December 2002
Committee's assessment:Politically important
Committee's decision:Not cleared


Background

  3.1  While the general state of the fish stocks in Community waters has given rise to concern, the International Council for the Exploration of the Sea (ICES) identified in November 2000 particular problems in respect of the cod stocks in the North Sea and West of Scotland and the Northern hake stock. The Fisheries Council therefore agreed in December 2000 that the Community should establish a recovery plan for these stocks.

  3.2  The Commission subsequently put forward in December 2001 proposals for the conservation of these stocks (and of cod in the Irish Sea and Kattegat) in the longer term. These would include:

  • the setting of quantitative targets for the adult populations of cod and hake;

  • the setting of multi-annual total allowable catches (TACs) at a level to assist biomass to increase annually by 30% in the case of cod and 15% in the case of hake;

  • all fishing vessels authorised to land cod and/or hake being restricted to fishing effort limits linked to their average catch of those species;

  • additional monitoring arrangements, including an extension of satellite monitoring systems to vessels over 15 metres in length;

  • a 20% increase in the maximum rate of Community financial assistance for scrapping vessels engaged in fishing these stocks, together with a relaxation of the rules for subsidising temporary laying-up and on the granting of aid for vessel renewal and modernisation.

  3.3  In his Explanatory Memorandum of 28 February 2002, the Parliamentary Under-Secretary of State (Commons) at the Department for Environment, Food and Rural Affairs (Mr Elliot Morley) said that the UK accepted the need to bring fishing effort into better balance with available fish stocks, but had some reservations about the extent to which the proposed measures would achieve this. In addition, he believed that the potential resource implications for both the administration and enforcement of the scheme nationally were likely to be significant. The Minister said that the Government was currently seeking the views of the industry, and would then provide a Regulatory Impact Assessment.

  3.4  This was enclosed with his Supplementary Explanatory Memorandum of 11 July 2002, but, as the Government intended to continue its dialogue with the industry, this was still in draft form. Nevertheless, the Assessment made it clear that, whilst the industry favoured taking no action until the impact of existing measures could be assessed, the Government's scientific advice — like that of the Commission — was that the impact of those measures would be significantly below the level needed to ensure the required recovery, and that failure to take any action at this stage would place the stocks at high risk of collapse.

  3.5  The Assessment went on to say that the proposal would require an overall cut in the time at sea for the approximately 1200 UK vessels over 10 metres targeting cod, and the further 1100 or so targeting hake, which (after fuel savings and any increase in fishing efficiency) would reduce net vessel revenue. The extent of any such reduction would, however, depend on a number of factors, including the alternative catching opportunities available. The Assessment added that, although vessels over 24 metres must already have satellite monitoring terminals, the proposal would require these to be fitted to the 1000 or so vessels between 15 and 24 metres which land cod and hake. The cost of a new terminal is put at about £3,000, with annual operating costs of about £1,000.

  3.6  In our Report of 17 July 2002, we noted the position, but said that it was clear that there were still a number of major uncertainties, which required further consultation between the Government and the industry. In view of this, we would hold the proposal under scrutiny and await information on that further consultation.

Minister's letter of 14 December 2002

  3.7  In his letter of 14 December 2002, the Minister says that the Commission has indicated that it intends to make a formal amendment to the proposal, but that this is still awaited. However, he understands that it will respond to the latest scientific view that stocks, especially of cod, are in a more depleted state than hitherto believed, and that a moratorium should be introduced on fishing for cod in the North Sea, West of Scotland and the Irish Sea, with fishing for species caught with cod substantially reduced. He adds that, in the light of this advice, the Commission intends to propose that the limits it has suggested on fishing effort (days at sea) should be tightened, with those on cod, haddock and whiting reduced by 80%, that on flatfish by 40%, those on megrim, anglerfish and industrial species by 10%, and that on nephrops by 5%. On the other hand, measures for northern hake would be somewhat relaxed in the light of the latest scientific opinion. Vessels would be allocated to segments depending on their catch composition over the period 1999-2001, with the overall effort for each segment being allocated among the relevant vessels by the Member States concerned.

  3.8  The Minister says that the UK catching sector has emphasized the "highly damaging" impact of 80% cuts in effort in the white fish sector of the fleet, and on the dependent shore industries, and that it therefore rejects the effort limitation approach. He adds that he has been closely consulting the industry, that he appreciates their alarm, especially at the latest Commission views, and that the Government fully accepts both that a moratorium would greatly damage the white fish fleet and that the effect of an 80% cut would be little different. He says that he has made clear in the House that neither course is a realistic option.

  3.9  On the other hand, the Minister states that "we cannot ignore the very depleted state of the stocks", and that, without these being viable, the industry has no future. He also points out that the Commission has stated that, in the absence of agreement by the Council on its proposed approach, it intended to use its own powers to make emergency regulations to impose a moratorium on cod fishing. He further points out that the issue is to be considered by the Council meeting on 16-19 December, where he hopes it will be possible to reach an agreement on a suitable way forward. He adds that he is anxious to avoid a situation where, in the absence of a decision, the Commission considers itself obliged to take emergency action, and he warns that he may be asked to agree to some sort of compromise.

Conclusion

  3.10  We are disturbed that not only is this proposal being amended in ways which seem likely to be highly damaging to the fishing industry, but also the Council is being put under pressure to agree this week a measure on which the Commission has yet to put forward a formal proposal. Whatever the merits or otherwise of such a proposal, an approach of this kind makes meaningful parliamentary scrutiny well nigh impossible, and, although we appreciate that the situation which has arisen is to an extent outside the Government's control, we are concerned that the Minister should only now have alerted us to it.

  3.11  In view of this, and notwithstanding the Minister's warning that he may need to consider agreeing to some sort of compromise in the Council, we do not feel able to clear this document. We therefore intend to return to it in the light of the outcome of the Council, and of the discussions on the Community's total allowable catches (TACs) and quotas for 2003, where we have also been told that a decision will need to be taken at the Council, even though we have yet to receive either a proposal or an Explanatory Memorandum from the Government.


 
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