7. Guest lecture - Market-based CPR management Flashcards
What are TURFs?
Territorial use rights for fishing: permit to fish in a particular location.
What is TACC and TARC?
TACC: total allowable commercial catch.
TARC: total allowable recreational/indigenous catch
Who can get ITQs? Name 2.
- Fishers
- Communities
- Cooperatives
- Vessels
- Anyone with interest in fishery
What are ITQs?
Permits that allow rightsholders to catch a share of the total allowable catch of a fish species.
True or false: you can’t have an ITQ without a TAC.
True.
What are the four characteristics of the ITQ system?
- Tradeable
- Durable
- Secure
- Exclusive
What is the problem of a non binding TAC?
Without binding TACs, fisheries revert to a regulated open access system in nature.
There can be declining economic performance during a period of non-binding TAC.
How much of global fish catch is taken under ITQs?
25%
What are the two reasons for introducing ITQs?
- Stock recovery
- Economic efficiency
What is the triple bottom line in ITQs?
- Sustainability success
- Economic succes
- Social success
What are the 2 effects on fish as an end product because of ITQs?
- Higher prices
- Better quality
What is the spill-over effect because of ITQs?
Fishers shift effort to catch other (non-ITQ) species, which may result in increased fishing pressure and overcapacity in these species.
What is “high-grading”?
Smaller fish (which generally attract a lower price) are discarded to save the quota for larger fish.
True or false: lease depedendent fishers are generally less satisfied with ITQs than fisher owners.
True.
Why may ITQs create barriers to entry? Name 1 reason.
- Because the 1st generation of ITQ owners may have received their ITQs for free.
- ITQs may not flow to most efficient but rather to those with most access to capital.
- High price of quota
Why has demand for employment generally fallen after ITQs introduction?
- Due to lower number of vessels.
- Selling of quota to non-fishers or outsiders
How have ITQs made fishing safer?
ITQs provide fishers more flexiblity in deciding when to fish.
Why may ITQs result in power assymetry? Name 1 reason.
- Because of a concentration of quota ownership.
- Not all stakeholders have a seat at the table in deciding next year’s TAC.
What is the risk of announcing new quotas too early?
The unintended consequence of overfishing.
What is a PES scheme?
A Payments for Environmental Services scheme is a mechanism that establishes and sustains a financial link between potential buyers and prospective suppliers of environmental services that markets fail to provide.
How can one determine the marginal cost of a PES scheme?
Through conservation auctions.
What groups may be buyers in a PES scheme in a low income country?
- Citizens living in the capital
- International tourists
What are the 2 categories of tools to manage CPRs?
- Punishment
- Rewards
What are the two ways to introduce an ITQ?
- Allocate rights
- Withdraw rights
What are the four steps in setting up an ITQ system?
- Stock assessment
- Set a TAC
- Divy up between TACC and TARC
- Allocate across ITQs
How may ITQs generate a higher level of discards?
Catch taken above the quota cannot be landed.
What is the danger of the social element in deciding a TAC?
Financial pressures can cause an emotionally based risk response towards higher TAC levels.
What is the issue with grandfathering?
Grandfathering may result in people to set a record to get a large “past activity”.
True or false: in most ITQ fisheries the fees collected are below actual management costs.
True.
