FIS012-B: Economic analysis of quota allocation

Start Date: May 2016

End Date: Feb 2017 (Delayed)

Main Contractor(s): University of Portsmouth

Other Sponsor(s): European Maritime and Fisheries Fund

Extended Title: An economic analysis of quota allocation under a landing obligation: problems and solutions

Main Research Category: Discard Reduction - Quota

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Project Objectives

The introduction of the EU landing obligation and increasing concerns over the problem of “choke species” serve to highlight the deficiencies of existing systems of quota allocation and management under the CFP. There is now an even greater focus on the issue of international quota allocation and the difficulties of managing the uptake of single species quotas in mixed fisheries. Using a combination of qualitative analysis and numerical simulation, the aim of this short study is to analyse the economic implications of the current system of international quota allocation and national quota management for Scottish fleets and to consider the extent to which there are possible solutions to quota allocation problems at different levels.

Specific Objectives

The main objectives of the study are as follows.

  1. Describe/characterise the existing system of quota allocation at EU, UK/Scottish Government and industry levels.
  1. Analyse the existing system from an economic perspective in order to identify likely sources of inefficiency and regulatory failure, especially in the context of a landing obligation.
  1. Evaluate potential changes to international, national and sectoral systems of quota allocation and management in terms of their potential impacts on economic efficiency and the effectiveness of regulation.