Sunday, April 21, 2013

DAFF's Fishing Rights "Consultation Process": Some Q's that Need A's

As DAFF steamrolls along the coast and heads to the Western Cape for its long term fishing rights allocation "consultation process", we reckon that these questions need urgent answering:


1. How are interested and affected parties supposed to comment on and consider the draft general policy with no sector specific policies? The draft general policy repeatedly states that the reader must read the general policy together with the applicable sector specific policy but these are non-existent. 

2. When will the sector specific policies be gazetted for comment? When will all the policies be available in languages other than just English, especially given the overwhelming use of Afrikaans in the Western Cape? 

3. Why did DAFF start the "consultation process" without first gazetting each of the 8 sector policies first? If these sector policies are gazetted for comment, will DAFF commence a second consultation process?

4. Where are the draft application forms? When will these be gazetted for comment? 

5. How does DAFF foresee the application process unfolding and when will this be? How will cluster C and D applicants apply for rights? How will cluster A & B applicants apply? Will these processes mirror the 2005 processes and if so how far is DAFF with finalising its electronic web-based process for Cluster A and B applicants?

6. Will all applications have to be audited (or only Cluster A and B) and has DAFF come to an agreement with the Institute of Chartered Accountants on the rules and procedures for such an auditing and verification process? What are these?

7.     Who has been appointed to audit and verify the process of rights allocation. Who is auditing this present consultation process?

8. When will the formal QUESTIONS AND RESPONSES process commence and what will the email address be where we can submit these questions and how frequently will be answers be published and where will these published?

9. What will the application fee and grant of right fee be for each sector and how has the formula been devised? Please provide a copy of the formula. When will the fees formula be published for comment? Has the Minister of Finance approved any of the draft formulae?

10. What is the proposed duration of rights for each of the 8 fishing sectors?

11. Where will the rights application centres be for collecting and handing in applications for Clusters C and D fishery sectors? Will applications be available in Afrikaans (and other languages) as well or only English? 

12.  What is the present status of the proposed MLRA amendments? Why have these not been submitted to the Portfolio Committee on Fisheries yet? When are the proposed amendments going to be published for public comment?

13.   The draft general policy appears to exclude allocating any rights to individuals. Why and on what legal basis is this exclusion proposed given the right of individuals to apply for and hold such rights. The MLRA does not make provision for the allocation of fishing rights to co-operatives and community-based organisations unless these are incorporated companies registered as such under the Companies Act or established as Trust. (It must be noted that based on the medium term rights monitoring and evaluation process, it was decided in 2005 to not allocate fishing rights to trusts because of the massive abuse of trust structures as it allows for easy fronting and the abuse of beneficiaries).

14.    How will DAFF treat the applications of right holders whose section 21 application have not been finalised yet?

15.    How will DAFF treat the applications of right holders whose section 28 notices have yet to be finalised, including those currently facing criminal prosecution? In this latter regard, does DAFF have access to the NDPP's database of persons facing prosecution under the MLRA and its Regulations?

16.    Does the draft general policy of 2013 intend repealing the entire 2005 General Policy? If so, why does the draft not say this? 

17.    In so far as those sectors that require vehicular access to the coastal zone are concerned, how does   DAFF intend ensuring co-ordinated decision-making with the Department of Environmental Affairs? 

18.    Which internal databases does DAFF intend utilising and when will right holders be afforded the opportunity to first verify the veracity of the information contained in these databases? 

19.    Will the department be publishing its registered crew lists for the squid, linefish and hake handline fishery sectors and will these be published?

20.    What policies are being considered with respect to quantum and effort allocations?

Friday, April 19, 2013

Greta Apelgren-Nakardien to Depart DAFF

Feike has been informed by a number of sources that the "newly" appointed DDG of Fisheries, Greta Apelgren-Nakardien, will leave her controversially allocated post of DDG of Fisheries at the end of this month.

We have been informed that she will be "re-deployed" (as per the parlance of the "cadre") to a senior government post in KwaZulu-Natal. Let the countdown to month-end begin.

Port Elizabeth Consultation a Waste of Time

The Port Elizabeth consultation meeting held this morning has been described as a waste of time by those who attended. This was the same response of those who attended the Richards Bay and Durban meetings. 

The reasons for these meetings being described as a waste of time are essentially that the draft General Policy is too "general", that those presenting the policies simply cant answer basic questions on process and substance (such as what constitutes an SMME in the fishing industry) and most pertinently, the meeting did not provide copies of the sector specific policies. The meeting in PE was told that the department will be holding a second round of consultation meetings on the sector policies once these are ready! So how are they going to do conduct the second round of consultations and invite applications during May 2013 as they have stated? 

It is noted that the Gazetted draft General Policy and the posters advertising each consultative meeting are now available on the DAFF website - a week after the consultation process started. 

Wednesday, April 17, 2013

Draft General Fisheries Policy Gazetted

The 2013 draft General Fisheries Policy was gazetted on 17 April 2013. The gazette notice confirms a public consultation process that ends on 10 May 2013 and that calls for applications will be made in May 2013. 

We reiterate that this consultation process is problematic and unlawful for a number of reasons:

1. The public consultation process component has not included members of the public as no one other right holders have been invited to attend these meetings. Adverts have not been placed notifying members of the public of the impending public consultation process and what is the purpose of the consultation process. In addition large swathes of coastal communities are being ignored by this public consultation process, including huge chunks of the Eastern Cape and Western Cape coasts.

2. The public consultation process commenced BEFORE the actual draft policy was gazetted and this draft policy has been gazetted in only one language - English. It is therefore not accessible to the majority of quota holders or interested persons. The consultation process is improper and inadequate on this ground alone. 

3. The public consultation process has commenced without any sight of the sector specific fishery policies that are referred to regularly in the draft General Policy. The draft General Policy is substantively meaningless without the sector specific policies. 

4. The timeframe for the consultation process is less than 30 days. This is entirely unfair and unreasonable given the importance, scope and complexity of the subject matter being consulted on. Further, the department's assertions that it will call for applications within 2 weeks after the end of the consultation process on 10 May is a further indication that any comments submitted will be ignored as it is simply impossible for all comments to be considered, debated internally, the amendments effected and initial ministerial approval received for the finalisation of the final General Policy. The department appears to be undertaking the consultation process as a sham. 

5. BUT WHERE ARE THE DRAFT SECTOR SPECIFIC POLICIES? It is impossible to conclude a consultation process on the draft general policy without these critical sector policies! Given the fact that these policies have yet to be published, the department will have to commence an entirely fresh and new consultation process once these sector policies are gazetted AND these consultative processes will then have to include further consultation on the DRAFT general policy AGAIN as these policies are inherently connected! 

6. Only once the entire suite of draft general policy and sector specific policies are consulted on, can these be finalised. BUT once finalised by the Minister of Fisheries, these draft policies MUST THEN BE SUBMITTED TO CABINET for consideration and final approval in terms of section 85(2)(b) of the Constitution. By committing to an application process deadline of May 2013, is DAFF stating that they will simply ignore section 85(2)(b) and sidestep Cabinet? 

Will the portfolio committee step in and stop this unlawful madness or will it simply standby and witness this monumental waste of money, time and resources and the violation of the rule of law it is charged with protecting?

DAFF's "Strategic Plan" is Rubbished by Parliament

DAFF's strategic plan has been completely rubbished by Parliament's fisheries portfolio committee research unit. 

The research unit has this to say about the "strategic plan".

"The Strategic Plan of the MLRF is marred by numerous spelling mistakes, typographical errors, incorrect acronyms, inconsistent font type and colour, frequent word-spacing errors, incomplete sentences and factually incorrect information. These mistakes can be found from the Foreword (Page 1) to the last page. This Strategic Plan is expected to be guiding the management of the approximately R5 billion industry, however, the lack of seriousness among the officials who compiled it leaves much to be desired. This is a clear indication that this fisheries management responsibility is in the wrong hands."

It is the most damning analysis of the plethora of failures by the fisheries department ever by Parliament. The Cape Times and Business Day have run articles on the report produced by the research unit. The fundamental conclusion is that fisheries management in South Africa is in the "wrong hands". 

The report also confirms each of the failings that Feike has identified to date. Most pertinently, the research report confirms that - 

  • The department's fisheries strategy is almost entirely contradicted by the National Development Plan particularly in so far as it has misdiagnosed the importance of the small scale fisheries sectors with respect to resource sustainability, economic growth and job creation. It must be noted that the draft General Policy also fails on this test as we have recently pointed out. The NDP is akin to a "super plan" and as such aspects of the draft General Fisheries Policy (particularly the purpose of and objectives clause) would require amendment and alignment with the NDP.
  • The department intends presenting a draft Marine Living Resources Act amendment bill to the Portfolio Committee this year despite the fact that the fishing right allocation process requires an amended MLRA in order to allocate fishing rights to, inter alia, co-operatives. Considering the public consultation and procedural obligations with respect to getting an amendment bill passed, we once again emphasise that the Department's proposed timetable and "roll-out plan" for the long term fishing rights allocation process is unattainable. 
  • The department's strategic plan fails to identify a single fisheries research objective or target and not a single new fishery is identified for development in 2013 or 2014. Does this mean that DAFF has decided that fisheries research is entirely unimportant and irrelevant! The Minister's conduct during the 2012 lobster TAC debacle is proof of this thinking. The research unit's report has this to say about this failure:
"The disturbing observation is that in the 2013/2014 Strategic Plan, the Department opted to remove the whole Fisheries Research and Development Chief Directorate from the Annual Performance Plan. This implies that there are no fisheries research targets. In the previous financial year, the targets under this Directorate included conducting research on fish stocks in the 22 fisheries sectors, research into potential new fisheries and aquaculture research. For some reason, the monitoring of vessels which has traditionally been in all Strategic Plans has not been included on the 2013/2014 Strategic Plans and APPs as well. It remains to be seen what the allocated budget will be spent on as there are no performance indicators on these core functions of the Branch."
  • There is no mention of the status of the fisheries observer programme, which remains in hiatus. The implementation of the observer programme was a key condition which was set by the Marine Stewardship Council last year for the continued certification of South Africa's hake trawl fisheries. Is the Minister and DAFF intentionally seeking to sabotage South Africa's MSC certification? How else can one explain such levels of utter belligerence and incompetence?
  • The research unit has identified a series of further problems and failings , including the admission by the DDG, Greta Apelgren-Narkedien, on Carte Blanche that her appointment as DDG was unlawful. 
The ball is now in the Portfolio Committee's court to hold Minister Tina Joemat-Pettersson to account for these mega failures. The Minister has already tried to avoid the committee meeting this morning at 10am. The portfolio committee has now rescheduled its meeting for 10am on 18 April 2013. 

Monday, April 15, 2013

DAFF's General Fisheries Policy: A Lazy Cut-and-Paste Job

On 12 April 2013, the department of fisheries unofficially published its Draft Revised General Policy on the Allocation and Management of Fishing Rights: 2013. The document was handed out to representatives of the registered fishing industry bodies that were invited to a meeting in Cape Town. 

The draft General Policy has not been gazetted and as we have pointed out in our previous BLOG on the adopted "roll-out plan", the process insisted upon by DAFF cannot be considered proper or lawful. 
On the morning of 15 February 2013, DAFF held a "consultation meeting" in Richards Bay at The Richards, Protea Hotel. Again, only specific people were invited to attend. The local and regional newspaper and journalists of the Zululand Observer were completely unaware of the meeting. So were representatives of the Richards Bay Ski-Boat Club and Coast Watch. There was no public advertisement of the meeting which was supposed to be a consultation meeting on the draft General Policy and the process of allocating long term fishing rights. Has DAFF already taken a decision to exclude any new entrants to the fishing industry by excluding them from the consultation process? 

In the KZN region, the predominant commercial fisheries are the commercial prawn trawl fishery, the traditional line fishery and the beach seine fishery which targets sardines during the annual sardine run. So one can expect particular questions and demands for clarification pertaining to issues affecting these sectors. But DAFF has still not drafted - let alone published - sector specific policies. The draft General Policy was made available only in English to a predominantly rural, Zulu-speaking crowd who are not commercial fishers in any of the sectors listed above. Most, we are told, were bused in from Sodwana and other remote locations and appear to have been subsistence mussel harvesters. Commercial mussel harvesting is not permitted in KZN and the long term commercial fishing rights allocation process is accordingly not applicable to these subsistence folk. 

So procedurally, the process is shockingly flawed and should be stopped before more money, time and resources are squandered on this pointless road (holiday) trip around the coast. But what does the draft General Policy say? 

An initial glance at the draft General Policy confirms that it is just a poorly formatted cut-and-paste of the 2005 General Fisheries Policy that was drafted by, amongst others, Feike's Shaheen Moolla. The most substantial change is that the DAFF cut-and-pasters appear to have run out of cut-and-paste time and so failed to include a number of really important policy considerations such as the post-rights allocation management stuff (Part E of the 2005 Policy) in their "revised draft" version! The post-rights allocation fishery management policies are actually very important and address things like co-management of fisheries, charging and collection of fishing levies, implementation of observer programmes, the management of fishing right transfers, MPA's, port state measures, ecosystem approaches to fisheries management and so forth. So hopefully, the REVISED REVISED draft will include these important things. The cut-and-paster also jumbled up evaluation criteria with allocation process and methodology policy. So you suddenly start reading about "multi-sector involvement" immediately after having read about the "provisional list" process! Odd.  

And of course a number of key allocation process and methodological policies have been forgotten as well. 

What follows is our concise overview of the content of the draft General Fisheries Policy. 

The Cover Page: The cover page is a poor cut-and-paste of the 2005 General Fisheries Policy. It for example states that the draft General Policy "must be read with the applicable fishery specific policy" but of course there are no draft fishery policies as we have pointed out. In 2005 of course, the draft General Fisheries Policy was gazetted for comment together 19 sector policies. The 20th policy - for line fish - was published separately at the request of the linefish industry. 

Furthermore, although the document states that the policy is available on www.daff.gov.za and more importantly that the policy is available in a multiplicity of languages, this is simply not the case at present! In 2005, each of the draft policies was available in English, Afrikaans, isiZulu and isiXhosa. 

Part A is essentially another example of why one must not mindlessly cut-and-paste from previous documents! Again we are told to read the draft General Fisheries Policy with sector policies that do not exist. 

The draft Policy states that it applies to 20 commercial and small scale fisheries "and the small scale fisheries sector". What is the "small-scale fisheries sector" if not all the nearshore fisheries such as west coast rock lobster nearshore, the trek-net fisheries, mussels, oysters, KZN beach seining, hake handline and traditional line fish? This requires clarity as it may actually be a typo.

It is also apparent that the department has forgotten about the abalone and long line tuna and swordfish fisheries. This is understandable given the mindless cut-and-paste strategy adopted in drafting the Policy as both of these fisheries were excluded from the application of the 2005 General Fisheries Policy as long term rights were allocated in these two sectors during 2003 and 2004, respectively. 

The draft policy also states - bizarrely - that it applies to the non-consumptive sectors (whale watching and shark cage diving) when in fact these sectors are regulated by the Department of Environmental Affairs! 

The "purpose and objectives" clause has a notable bias toward small-scale fishery management. None of these objectives are objectionable or problematic save to note that this clause ought to instead address the purpose of the General Fisheries Policy vis-a-vis the allocation of fishing rights and how it ought to relate to the sector specific policies and the current Small Scale Fisheries Policy. 

Clause 4 of the draft Policy records "key government policies" that have informed the content of the draft General Fisheries Policy. It is worth noting that the draft Policy does not state to what extent each of the quoted government policies have influenced the content of the draft Policy. We do venture to state that this clause is meaningless for two obvious reasons. Firstly, the purpose and objectives clause (with its significant bias toward small-scale fisheries development) is contradicted by the fundamental tenets of the National Development Plan's policy with respect to fisheries development and management. Secondly, the draft General Fisheries Policy is essentially a cut-and-paste of the 2005 General Policy so these quoted government policies could not have possibly influenced the content of the draft Policy! 

It is worth noting that the Draft Policy has completely ignored important changes and developments in regional and international fisheries management since 2005. For example, the draft Policy is silent on the extent to which the recent Benguela Current Commission Treaty and programme will affect fisheries management in South Africa particularly with respect to shared stocks. The draft Policy is also silent on the changes required to management policies by the Port State Measures Treaty or the EU Fisheries Regulations (for example with respect to the hake handline fishery).

The remaining text of the draft Policy is generally a poor, lazy and jumbled cut-and-paste of the 2005 General Fisheries Policy. 

The draft Policy appears to have forgotten to cut-and-paste important process and methodological policy statements on a number of important issues such as what can be expected in terms of the process of applying, the structure of the application forms, distribution of application forms, application fees, grant of right fees, process verification and auditing, how applications may be submitted for each cluster, number of copies to be submitted etc. These issues are just not addressed...perhaps because DAFF still does not know? Another critical "process" aspect is how does DAFF intend dealing with applications where section 21 transfer of fishing right applications have still not been completed. DAFF continues to sit with section 21 applications dating back to 2007 and 2008! How will these applications be dealt with? The draft Policy is silent on this important policy aspect.

Finally, it is important to note that clause 7.2.2 of the draft Policy appears to make provision for the allocation of fishing rights under section 18 of the Marine Living Resources Act to, inter alia, co-operatives and communal property associations. Of course, such a provision is unlawful as section 18 of the MLRA does not permit fishing rights to be allocated to co-operatives or communal property associations! Fishing rights may only be allocated to South African citizens, close corporations and South African companies and registered trusts. 

The draft General Policy is a shocking indictment of the parlous and unprofessional state that DAFF finds itself in. The unashamed and lazy cut-and-paste of the 2005 Fisheries Policy is scandalous to say the least, yet not unexpected given that DAFF is led by a DDG and an Acting Chief Director of Fisheries who each have no knowledge of or experience in fisheries management. But with this draft Policy, DAFF is essentially saying that over the past 8 years absolutely nothing has changed in national, regional or international fisheries management that warrants a substantially amended fisheries policy. For DAFF, time has remained stuck in 2004. 

The draft General Policy should be binned.  







Sunday, April 14, 2013

DAFF "Issues' Draft General Policy & its Deeply Flawed Process

On Friday 12 April, the Department of Fisheries issued a draft General Fisheries Policy to invited representatives of fishing industry associations in Cape Town. The draft General Fisheries Policy is intended to be the overarching policy document for commercial fisheries management and the allocation of long term fishing rights during 2013. It appears that this draft General Fisheries Policy will replace the 2005 General Fisheries Policy but this is not apparent from the current draft. But we will be analysing the content of the draft General Fisheries Policy in the next 24 hours. 

At this initial stage it is important to immediately highlight some serious and fatal flaws in the Department's intended consultation process which is set to commence in Richards Bay on 15 April 2013 at 9am at the Richards Bay Protea Hotel. As we have repeatedly pointed out before, the Department cannot lawfully conclude a rights allocation process by September/October 2013 given its appallingly unprofessional conduct to date.

The roll-out plan handed out on Friday 12 April 2013 makes provision for a consultation process that commences on 15 April and ends on 26 April 2013 in Port Nolloth. Within these 13 days (which includes a Saturday consultative meeting in Mossel Bay on 20 April), the Department will be hosting meetings in Durban, Durban South, Port St Johns, East London, Port Elizabeth, Jeffrey's Bay, Mossel Bay, Hermanus, Cape Town, Saldanha, Lamberts Bay and Port Nolloth. 

Given that this allocation process includes marginal small-scale fisheries such oysters and mussels that involve the most rural of women folk and other rural outlaying communities, it is worrying that villages and towns such as Hamburg, Coffee Bay, St Francis Bay, Port Edward, Knysna, Stuisbaai, Arniston, Gansbaai, Kalk Bay, Kommetjie, Elandsbaai, Doringbaai, Ebenezer or Hondeklipbaai have been ignored. 

What is of greater and more substantial concern is that the consultation process commences tomorrow morning in the absence of a formally gazetted Draft General Fisheries Policy OR A SINGLE SECTOR SPECIFIC FISHERY POLICY

What is going to be consulted on? Where is the policy for the line fishery; for the mussels, oysters, KZN prawn trawl, tuna pole, demersal shark, squid or handline hake? What are the proposed evaluation criteria for each fishery? For how long will fishing rights be allocated in each? What are the key allocation objectives for each fishery? What is the proposed allocation and quantum formula for each fishery? ...

Without the sector specific fishing policies and formally gazetted draft General Fishing Policy, the consultation process is an monumental waste of resources, money and time. 

We repeat what we have stated tirelessly for a long time now. For there to be valid long term rights allocation process, the following key outputs are required (And in this order):

1. A thorough review of the Marine Living Resources Act, Fisheries Regulations, the General Fisheries Policy of 2005 and each of the relevant fishery sector policies ought to have been undertaken. This review should have occurred during 2011 or early 2012 with the direct involvement of fishing industry. Essentially we are talking about a gap analysis here. This process would have identified the amendments that are necessary to the MLRA, the fisheries regulations and the fishing policies. 

2. Amendments to the MLRA (and clearly from the draft General Fisheries Policy there are a number that are required but impossible to effect at this stage), would have then have to be processed and channelled via the Portfolio Committee on Fisheries and Parliament. Proposed amendments to the fisheries regulations and fishery policies would have been gazetted for public comment. This latter process should take about 3 months to conclude. By law and in terms of the Promotion of Administrative Justice Act, a proper public consultation process must endure for no less than 30 days. 

3. At this stage, consultation on the proposed application forms, quantum allocation formulae, rights allocation processes for each fishery sector and the proposed application fee and grant of right fee formulae ought to be put out for public comment and consultation. 

4. Once all of these consultative processes have been concluded and the final texts agreed on internally, the department ought to obtain formal and independent legal opinion on the validity of its policies and the rights allocation process. This is necessary given the financial value of the fishing rights allocation process.

5. The final draft fishing policies must then be submitted to Cabinet for approval. In terms of section 86 of the Constitution, Cabinet must approve each of the 8 fishing policies and the General Fishery Policy particularly since it was Cabinet that passed the 2005 fishing policies (and therefore only Cabinet can amend these policies) and more pertinently given the elevated status of the National Development Plan carries, it is our view that all executive policy must be aligned with the NDP and therefore, Cabinet approval for the fishing policies is all the more obligatory. The Cabinet approval process itself takes about 3 months. 

6. Once Cabinet approves each of the fishing policies, these must then be translated into at least Afrikaans, isiZulu and isiXhosa. The policies can then be gazetted and the Minister can at this stage invite applications for fishing rights in each of the 8 applicable fishing sectors. 

Accordingly, the most basic and obligatory statutory consultation and approval processes that are required to get fishing policies from draft to final gazette and then to be in a position to invite applications, cannot take less than 6 to 8 months. 

The Department of Fisheries appears committed to ignore these laws and remains insistent that it will call for fishing right applications by May 2013 - that is in two to three weeks' time!