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Mr. MacNeil: I am glad that the Minister mentioned and is agreeable in principle to the point about milestones for the CFP. However, he talks about the CFP being coherent, but I would argue that it has been far from coherent over the past few years.
I would like to raise two further points with the Minister. This may be an illustrative point on discards. There has been some evidence, or some argument, that the increase in bonxie numbers at sea has been due to discards, and that discards have been affecting the animal kingdom.
Finally, perhaps boats that catch less than 1.5 per cent. of cod should be exempted from the cod recovery scheme. My colleague in Scotland, Mr. Lochhead, has raised that with Mr. Borg.
Huw Irranca-Davies: The hon. Gentleman is suggesting a priority for the autumn negotiations. I hear what he says, and I will ensure that we take on board his point and others from throughout the UK, so that when we go into the negotiations, which are critical to the immediate future of the UK fleet, we adequately represent all parts of the UK.
I shall briefly remind the hon. Gentleman of where we were with the west coast of Scotland last year. When we argued against a proposal that would have shut down fishing off the west coast of Scotland, we did so for good reasons—for those communities. We will continue to focus on the viability of the fleet and the people who live in those coastal communities.
Mr. Robert Goodwill (Scarborough and Whitby) (Con): I was encouraged by the Minister’s opening comments. He referred to current failures in the system, and the document before us states that fisheries control has been generally weak. Does he accept that the UK, in complying with the elimination of landing black fish, has been efficient—some fishermen would say ruthlessly efficient—in interpreting and applying the rules? Is there any appetite among our colleagues in other member states for adopting the same approach? We hear stories about undersized fish being actively displayed in markets and so on. Will those states tackle the problem as we do?
Huw Irranca-Davies: I would say, as the Minister with responsibility for UK fisheries, that we are good at enforcing, monitoring and controlling, but we could always do better. The Department is sometimes criticised for the robustness with which it deals with infringements, but the corollary is that we are robust because we want to reward good, efficient, sustainable fisheries.
The hon. Gentleman raises a good point about other European member states, and I was pleased at the last meeting in October to be one of the 27 nations that signed off the control measures, which will mean, importantly, a level playing field across Europe on enforcement and penalties. There is willingness to underpin CFP reform by having effective monitoring and controls in place.
Mr. Goodwill: The Minister referred to a regionalised approach, which should be applauded, but much of the UK’s quota has been traded and is in the hands of foreign skippers. How will foreign skippers who hold English or Scottish quota engage in a regionalised system? Will they be involved?
Huw Irranca-Davies: Again, that is a good point. I draw the hon. Gentleman’s attention to a possible embryonic model of a regionalisation approach—the North sea regional advisory council. It includes not only English, Scottish and other EU member states, but Norway and other coastal nations. There are ways in which the regionalisation agenda can bind all those who have collective fishing rights and collective responsibility for looking after the sea. We must decide how that would work, investigate the legal issues, and persuade other member nations, but that is the right way forward.
Mr. Alistair Carmichael (Orkney and Shetland) (LD): May I probe the Minister on the Commission’s assertion, which he seemed to endorse, that the fundamental problem with the CFP is over-capacity? There are so many problems with the CFP that it is difficult to know that there is a fundamental problem. That assertion does not take sufficient account of the radical restructuring procedure that we went through with the Scottish whitefish fleet three or four years ago. Will he assure me that the massive efforts that have been undertaken by the Scottish whitefish fleet will not result in its operating at the same baseline as other parts of the industry in other parts of the EU that have not suffered similar pain?
Huw Irranca-Davies: I can honestly tell the hon. Gentleman that the part of the fleet to which he referred and other parts of the UK fleet that have been through painful restructuring will be firmly part of the debate on CFP reform. As I said in my opening comments, at this point we should rule nothing in and nothing out. It would be the end of negotiations if member nations started bolting down the hatches and saying, “We have done our bit. There is nothing more to do.” However, he is right to say that we must remind other member nations of the pain we have already been through to reduce capacity in the fleet.
Mr. Carmichael: I am mildly concerned by the Minister’s answer. It is difficult to know what further reductions there could be in the Scottish whitefish fleet without removing the economic base from fishing-dependent communities such as Shetland, which I represent.
On the use of structural funds, can the Minister expand his thoughts on the structural policy and public financial support? The assertion of the Commission is that financial support for fisheries at community and national level is substantial. Where is that support going in the UK? Not many fishermen in my constituency would recognise that description.
Huw Irranca-Davies: I concur with the Commission’s view that there is substantial support. However, it is not necessarily being given for decommissioning schemes any longer. It is being used to drive towards a more efficient and sustainable fleet. For example, it might involve the type of gear that is used.
The European fisheries fund provides in excess of £100 million to UK fisheries. As well as being the UK Minister, I am the England Minister and we lever in additional funding on the back of that. Coupled with match funding, the £40 million for England contributes to £67 million for English projects. The Scottish Executive take the same approach to levering in additional funding. There is money, but it is used to incentivise sustainable fisheries. Under the old approach of decommissioning, it was known that capacity was not being taken out, but would reappear elsewhere.
Mr. Carmichael: The major difference in many European countries is the use of structural funds to subsidise fuel for the fleet. What assurance can the Minister give that in future, the CFP will be common to all nations on such assistance?
Huw Irranca-Davies: The hon. Gentleman hits on a pertinent point about the use of the European fisheries fund and European Union funding for fisheries. We face challenging circumstances off coastal areas in his constituency such as issues with petrol from year to year, the abundance of landings that drive prices down and imports. The question is whether European funding should be used to pick up that shortfall, which occurs from season to season, or to drive towards a more sustainable and efficient fleet. I argue strongly for the latter so that we put the fleet on a long-term footing rather than respond to short-term market fluctuations or petrol variations. Difficult as such problems are, the long-term viability of the fleet is a bigger issue.
Mr. Benyon: I have three quick questions, the first of which leads on from what has been said. Does the Minister agree that we must learn from the difficulties facing the Scottish fleet? The law of unintended consequences seems to have kicked in. In order to stay in business, many skippers in Scotland have transferred from targeting fin fish stocks to targeting nephrops. That has created overcapacity, which, coupled with the recession, has caused a fall in the price of the product. How can we avoid similar problems in other parts of the UK and other fisheries?
Mr. Benyon: To what extent does the Minister believe that overcapacity exists in the UK fleet? Does he recognise the abject failure of the decommissioning scheme? Instead of effectively reducing capacity, the scheme has actually contributed to the problem as some skippers decommissioned old boats and reinvested in newer, more efficient ones. If just a fraction of the money—I think that out of the £5 million put into the scheme, £2.5 million or so was provided by his Department—had been put into addressing the imbalance that exists between the larger, more commercial fleets and the inshore fleet, it would have made a huge difference to their productivity.
Huw Irranca-Davies: I hate to do this, but I fundamentally disagree with the hon. Gentleman. The decommissioning scheme that we have just had was not a decommissioning scheme on its own; the scheme related to decommissioning and the capping of licences—I am assuming that he is referring to the under-10 fleet decommissioning. The scheme was over-subscribed and the vessels that participated in it were taken out because they were scrapped. Other vessels were not free to come into the pool because their licences were capped. I think that the hon. Gentleman had the interesting idea of using that £5 million to buy a quota off the over-10s to give to the under-10s.
Mr. Benyon: I just plucked that example out of the air but, with that sort of money around, there was an opportunity to rebalance the whole industry in a way that would have kept a few more people in business. The fact that 96 per cent. of the quota is held by the over-10 fleet and 3 per cent. is held by the under-10 fleet must surely mean there is something wrong, whatever way we look at it.
Huw Irranca-Davies: I think that when people read Hansard, they will be fascinated to see the proposal, if I understand it correctly, to have a long-term rebalancing—not a one-off waste of £5 million of taxpayers’ money to buy it for this year—of the quota between the under-10 and the over-10 sectors. The hon. Gentleman might think that that is a worthy use of taxpayers’ money—bearing in mind that there is a fixed quota pool and would be taking from one to give to the other—but the over-10 fleet will be fascinated by the idea that he proposes to take quota from them.
The Chairman: Order. We will have the debate shortly. We are on questions and answers at the moment.
The Chairman: I call the Minister—we will come to the debate shortly.
Huw Irranca-Davies: The result of the decommissioning, capping and testing of engine power was that 500 tonnes of fish were released into the under-10s pool permanently —for ever—because we capped the other licences. That is a good use of taxpayers’ money when we have also taken capacity out, because it means there are fewer ships fishing for a larger pool for the under-10s. However, I hesitate to follow the hon. Gentleman down the line of taking from the over-10s to give to the under-10s.
Andrew George: On the priorities that the Minister set out earlier, and that he believes are broadly contained in the green paper from the European Commission, will he give us his own expectations of objectives such as the broad prioritisation in the centre and micro-management at a more local level, the long-termism that is implicit in his approach, the idea of more state control of coastal areas, particularly within the 12-mile limit, and the retention of relative stability? Which objective is the most likely to succeed and which will he fight a battle to retain?
Huw Irranca-Davies: I think that I am being asked to look into a crystal ball. We are still at the early stages of this debate. I say quite honestly that our ambition is to deliver on all those aspects that we said, and that includes less micro-management and more regionalisation, melding the marine environment with fisheries and pursuing long-term science rather than annual haggling. All such ambitions can be achieved, but to do that we must—collectively as the UK, and as an industry—work with other European member nations to persuade them of the radical case that we are putting forward.
Andrew George: We would all benefit from further comment on the matter. In particular, will the Minister indicate which ambition will be the most difficult to achieve? To be specific, I am talking about within the 12-mile or even the six-mile zone. We have just completed all the work in the Commons on the Marine and Coastal Access Bill, which has cross-party support. I just wonder what ambitions the Minister has as far as such negotiations are concerned, and what he thinks are his chances of success of broadening the obvious limits under which the Marine and Coastal Access Bill can operate to the six-mile zone. Furthermore, does he believe that, under this reform package, he can extend that further to 12 miles or even to the median line?
Huw Irranca-Davies: Again, there is an element of speculation here. We would be arguing the case that we want to ensure that we have a coherent approach to the way in which we manage our fisheries from the nought-to-six zone, the six to 12, and out further. All I can say now is that that is what we are driving at. When we get down to the detail, we have to consider getting to the situation in which we also bind in other nations. Within the six-to-12 zone, we have historical fishing rights, but what will happen to those under CFP reform? Beyond 12 nautical miles, the situation gets more complex. At the moment, all options are on the table, but we have to try to achieve a coherent approach within our seas.
 
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