Select Committee on Environmental Audit Written Evidence


Memorandum from The Crown Estate

1.  THE CROWN ESTATE

  1.1  The Crown Estate owns around 55% of the UK foreshore and virtually the entire seabed out to the 12 nautical mile (nm) territorial limit, including the rights to explore and utilize the natural resources of the UK Continental Shelf (excluding oil, gas and coal). The Crown Estate Act (1961) sets out the general duty to maintain The Crown Estate as an estate in land and "to maintain and enhance its value and the return obtained from it, but with due regard to the requirements of good management".

  1.2  The Crown Estate thus has a primary obligation to seek a financial return from the land under its management. But it also has to take account of non-financial issues which are relevant to good land management. Stemming from the statutory obligation as to good management, The Crown Estate sees itself as having a stewardship role as well as a purely commercial one. A particular focus of its stewardship today is on the conservation and sustainable development of the marine environment.

  1.3  Even though The Crown Estate's ownership ends at the territorial limit certain sovereign rights of the United Kingdom outside territorial waters are exercised through The Crown Estate:

    —  by section 1 of the Continental Shelf Act 1964, any rights exercisable by the UK outside territorial waters with respect to the seabed and subsoil and their natural resources [except for hydrocarbons]

    —  the Energy Act 2004 vested rights to The Crown Estate to licence the generation of renewable energy on the continental shelf within the Renewable Energy Zone out to 200nm.

  1.4  The Crown Estate has two main objectives: to benefit the taxpayer by paying the revenue from assets directly to the Exchequer; and to enhance the value of the estate and the income it generates. These activities are supported by the core values of commercialism, integrity and stewardship.

  1.5  As a landowner The Crown Estate issues leases, licences and consents for a range of activities. The Crown Estate is not a regulator; the planning and consenting process is the responsibility of Government.

  1.6  The coastal estate is varied and dealings include ports, marinas and moorings, wildfowling and fish farming. The general practice is to grant leases or licences for works and activities that affect these sites; there are currently over 2,000 legal agreements around the UK coast. Some 21% of foreshore is leased specifically for conservation purposes. A great deal more of the coastline is under protective leases to local authorities. Offshore, leases of easement for cables and pipelines and royalties from the extraction of minerals, principally marine aggregates, are the main sources of revenue (£22.9 million) from the marine estate (£36.9 million). In addition, intrusive activities on the seabed such as pre-construction ground investigation work, flood defence works, dumping of material inside the 12nm limit, deployment of navigation buoys and fixed oceanographic equipment, metal detecting on the foreshore, some environmental survey work, eg grab sampling, coring and boreholes all require The Crown Estate's permission.

2.  CONSULTATION DOCUMENT AND PROCESS

  2.1  The Crown Estate is a member of the Marine Bill Steering Group (established in September 2005) alongside Government Departments.

  2.2  This response presents our views on the general themes within the draft consultation paper and the consultation process.

  2.3  The Crown Estate believes that the 5 themes identified within the draft consultation for the Marine Bill are the key components required to deliver improvements to the UK regulatory framework and marine environmental protection. The commitment to sustainable development is welcomed. Even though we appreciate the level of work that has gone into producing the draft we consider that much more detail is required to support the principle options set out and to indicate how integration will be achieved. We feel the consultation is lacking in clarity as to whether the Marine Bill will provide high level enabling legislation or whether the intention is for some aspects to be delivered through secondary legislation; we expect to see an indication in the next round of consultation as to the elements of primary legislation and enabling powers. In addition issues surrounding devolved administrations remain. The areas we feel were lacking in detail are as follows:

    (i)  It would have been useful for consultees to have been provided with a schedule of all of the remaining stages of the entire Marine Bill consultation process, particularly now that the programme of work appears to have slipped from its original timetable.

    (ii)  A number of stakeholder meetings were convened and were well attended however the purpose of the electronic voting that was used to ascertain views on specific issues at the three Marine Bill Forums is unclear.

    (iii)  The Crown Estate has participated in the Marine Bill Steering Group but we feel that better use could have been made of the expertise within this group in keeping with the Terms of Reference, especially in relation to the consultation process. The details set out in the Programme Initiation Document included the option for the establishment of a stakeholder advisory group but it is not clear how this was taken forward (except for the stakeholder meetings that were held prior to, and during the consultation phase).

    (iv)  The Crown Estate is aware of considerable ongoing background work in connection with some of the policy themes within the consultation documentation and proposed Bill. However, it is not clear how the outcomes and deliverable from this additional work will be peer and quality reviewed, subjected to consultation and then incorporated into the next drafting of the Marine Bill.

    (v)  Whilst the underlying principles of sustainable development are very much welcomed by The Crown Estate (given its role), there is little evidence that the economic and social objectives are being addressed. There has obviously been concentrated effort on environmental protection and marine conservation issues (marine ecological objectives) but the associated sustainable development principles have received less attention.

    (vi)  The consultation excludes Fishing as an activity, despite its very significant role in and impact on the marine environment. Whilst cogent arguments for excluding Fishing from the consultation are presented in the documentation, it is clear that substantive changes in fisheries management reform require very extensive preparatory work and new legislation. It is not clear that this preparatory work can be achieved in the same timescale as that required for the other Marine Bill themes and hence gives rise to uncertainties as to whether Fisheries will actually be included in the draft Bill. A Marine Bill which did not address control of Fisheries, and its consideration within any spatial planning framework would be very incomplete.

    (vii)  As a UK-wide body, The Crown Estate recognizes the importance of a UK-wide approach to the use and protection of the marine environment. The current consultation document fails to address the complex devolution issues and the need for consistency in delivery. We recognize the complexities and the considerable amount of work necessary to determine how policy for the proposed Bill could operate in devolved administrations but consider that much more detailed work should have been carried out prior to publication of the consultation document.

3.  CONCLUSION

  We recognize that Government has set itself an extremely challenging task to deliver a Marine Bill and we welcome the opportunity to explore the potential to improve management of the UK's seas and coastal areas through integrated and streamlined planning. We welcome the indication that sustainable development should be the defining principle for the policy framework but overall, The Crown Estate believes that any Marine Bill requires much more background work across Government and the devolved administrations before "an effective and coherent Marine Bill" could be presented to Parliament. Addressing these fundamental issues is crucial to achieve the desired sustainable development outcomes and benefits of the Marine Bill.

June 2006





 
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