Some Thoughts on the “Feasibility,” “Appropriateness,” and Possible

Alternatives to TFCs in the Context of the CFP Reform

Seth MacinkoDept. of Marine Affairs

University of Rhode Islandmacinko@uri.edu

Considering feasiblity, appropriateness, and alternatives from the standpoint of:

the effect of TFCs (as proposed) on

Nations (i.e., MS)

Communities

Future Generations

Understanding TFCs as proposed:

consistent with the characteristic features of “rights-based” prescriptions:

given freely to select vessel ownersindefinite

transferrablewrapped in a rhetoric of deregulation

and property rights

The privatization model

The privatization model and the nation

Who captures the resource rent?—the meaning of leasing

Mandatory wealth forfeiture

The privatization model and communities

Unleashing Institutionalized Cannibalism

The privatization model and future generations

“Young people in New Zealand do not aspire to own quota, it is too expensive. Young people in NZ aspire to own boats and fish quota owned by the corporations (including Maori corporations).”

“Feasible”?

Mandatory wealth forfeiture in a time of imposed austerity measures??

(why not reverse this mandate by saying that IF MS elect to use TFCs, they must

do so in a way that preserves rather than forfeits wealth?)

Transforming Future Generations into Sharecroppers

“Feasible”?

“The Court of Auditors is questioning the use of taxpayer’s money to address

overcapacity.” [EU Commission “non-paper”--- CFP Reform, Transferable Fishing Concessions]

Is giving away resource wealth any more acceptable? “Feasible”?

A short digression on “overcapacity”

* Capacity as a quality, not merely a quantity, issue

* TFCs “managing” capacity?

* Vibrant fishing communities will require… boats/jobs

* Stop blaming boats for your inability to manage mortality…

Appropriate?

Proportionality?Subsidiarity?

EU Agenda for 2020?Human Rights?

Social and Environmental Goals?On the edge of irreversibility?

In Response?

“[MS] must therefore take care that the TFC system leaves no room for

speculations or situations that are detrimental to regions dependent on

fisheries…” [EU Commission “non-paper”--- CFP Reform, Transferable Fishing Concessions]

Transitioning to an Alternative(s)

1) Lease FCs directly from current public owners

2) Apply “multiplier” to actuate social and environmental criteria

1) Lease FCs directly from current public owners

We know that public leasing will work just fine---- fishers around the globe are

leasing now. The only question is to whom do/should the lease payments go?

Addresses deficiencies of the privatization approach while providing

flexibility for the futuresource of funds to facilitate the transition

2) Applying S&E Criteria Multiplierexample criteria:

Contribution to the local economySelectivity of gears and practices

Damage to the sea floor and habitatsFuel consumption and CO2 emissions

Quality of the fishEmployment

Fishing legally

Use Criteria to form a Multiplier

Standard Approach:annual fishing allotment =

TFCs(%) X TAC

Multiplier Approach:annual fishing allotment =

(FCs(%) X TAC) X Multiplier