EC/Denmark/Greenland Fisheries Partnership Agreement. Protocol from 1 January 2007 to 31 December 2012

2006/0262(CNS)

PURPOSE:  the conclusion of a Fisheries Partnership Agreement between the European Community, the Government of Denmark and the Home Rule Government of Greenland.

PROPOSED ACT: Council Regulation.

BACKGROUND:  the current Framework Agreement between the European Community and Greenland dates back to 1985, with the fourth Protocol to this Agreement expiring on 31 December 2006. The EU- Greenland Fisheries Agreement has acted as the main conduit for EU financing programmes – be they fisheries related or not. Recognising the indistinct nature of such an arrangement the Council, and acting upon advice from the Court of Auditors and the European Parliament, has urged the Commission to propose a new comprehensive partnership with Greenland upon the expiry of the  Fisheries Agreement on 31 December 2006. The future comprehensive strategy, a political agreement between the Community and the Home Rule Government of Greenland, will be based on a two pillar system:

-          A Fisheries Agreement, entailing a clear identification of the payment corresponding to effective fishing possibilities. The purpose of the present proposal.

-          A specific OCT Decision governing co-operation between the EU and Greenland which is not related to fisheries. (SeeINI/2006/2182).

CONTENT: the purpose of the proposed Regulation is the conclusion of a new Fisheries Partnership Agreement (FPA) between the European Community, the government of Denmark and the Home Rule Government of Greenland, for a period of six years. The Protocol will also be valid for a period of six years beginning on 1 January 2007. The Agreement is accompanied by a Protocol which sets out both the fishing opportunities and the financial contribution.

Main objectives:

The Agreement’s main objectives are to set out the principles and rules governing EU/Greenlandic fishery issues by:

-          encouraging economic, financial, technical and scientific co-operation in the fisheries sectors;

-          promoting responsible fishing in Greenlandic waters;

-          developing the fishing sector in Greenland;

-          allowing Community fishing vessels access to the Greenlandic Exclusive Economic Zone or EEZ;

-          setting out the arrangements for regulating Community vessels operating in the EEZ;

-          regulating measures aimed at conserving and managing fish stocks;

-          preventing illegal, undeclared and unregulated fishing; and

-          encouraging partnerships between companies the purpose of which is to encourage fishing activities of common interest.

Principles and objectives underlying the implementation of the Agreement:

Both Parties agree to promote responsible fishing in the Greenlandic EEZ based on the principle of non-discrimination between the different fleets fishing in those waters.

Scientific co-operation:

Together, the Community and Greenland will monitor the evolution of resources in the Greenlandic EEZ. Scientific discussions will take place via the Joint Committee.

Access and  licences:

Greenland will allow Community vessels access to its EEZ – on condition that they operate under licence issued in accordance with the terms and conditions of the Agreement and the Protocol.

Financial contribution:

As far as the financial contribution is concerned the Community proposes a financial contribution totalling EUR 15, 847 244, per year. This includes a financial reserve of EUR 1, 540 000 to be paid in case the Community receives fishing opportunities for cod and/or capelin in addition to the quotas already set out in the Annex. Of the EUR 15, 847 244 an annual financial support of EUR 3, 261 449 will be earmarked for defining and implementing a sectoral fisheries policy in Greenland. On top of the financial contribution form the Community budget, the ship owners’ fees, fixed for each species as 5% of the average reference prices paid to Greenland could amount to around EUR 2, 000 000.

The proposed new FPA differs from previous agreement in a number of ways. The changes can be summarised as:

-          following scientific advice the Commission proposes a reduced redfish, Greenland halibut East and snow crab quota;

-          increasing the Greenland halibut West quota by 1 000 tonnes and increasing the shrimp East quota by 1 325 tonnes;

-          following scientific advice, the Commission is proposing to prohibit direct fishing for roundnose grenadier and only allowing by-catches of this species; and

-          introducing a cod quota of 1 000 tonnes in 2007 to be increased to 3 500 tonnes from 2008 onward.

Thus, the minimum quantities for maintaining Greenlandic fishing activities are set, per year, as:

-          Snowcrab: Western stock: 4 000;

-          Cod: Western stock and Eastern stock: 30 000;

-          Redfish: Western stock: 2 500; Eastern stock: 5 000;

-          Greenland halibut: Western stock: 4 700; Eastern stock: 4 000; and

-          Shrimp: Western stock: 25 000; Eastern stock: 1 5000.

For further details on the financial aspect of this proposal please refer to the financial statement.