Jeremy Rockliff

Premier of Tasmania



10 August 2017

Jeremy Rockliff, Minister for Primary Industries and Water

Ministerial Statement - Draft Sustainable Industry Growth Plan for the Salmon Industry

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Release of the Draft Sustainable Industry Growth Plan for the Salmon Industry

Madam Speaker, I rise to inform the House that today I am releasing the Draft of the Government's Sustainable Industry Growth Plan for the Salmon Industry for public comment.

In February this year I announced that the Government would develop a sustainable industry growth plan for the salmon industry, to detail the Government’s vision and priorities for the industry and provide the community with surety on the way forward for an industry that is vitally important to Tasmania.

The report from the 2015 senate enquiry into the regulation of finfish farming in Tasmania stated, and I quote: “the success of the fin-fish aquaculture industry is inextricably linked to the future economic prosperity of Tasmania.”

The government wholeheartedly agrees with this statement, which is why the plan I’m releasing today is so important to ensuring the jobs, economic activity and contribution the industry makes to the social fabric of our communities is maintained and strengthened.

About the Industry

The industry has grown to be an industry Tasmanians can be proud of, with very good reason. It has become a vital part of our economy and our community. From nothing, less than 35 years ago, it has grown to become by far our largest fishing and agriculture industry. By way of example, the gross value of Salmon in Tasmania, is close to the equivalent of the beef sector and the dairy sector combined at around $730 Million in 2016/17.

It is sustaining around 5,200 jobs, many of which are in our regional areas where jobs are often scarce. Around 1600 of those jobs are full time equivalent jobs directly with the three major salmon companies. These jobs belong to more than 1600 people. From divers, to fin fish feeders, to hatchery technicians, farm hands, managers, administration staff and tradespeople.

Importantly for Tasmania, the industry is highly vertically integrated on-island, with farming, processing and value adding undertaken here, and significant Tasmanian based support industries, from fish-feed producers right through to boat manufacturers.

Consumers all over Australia, and around the world, rightly regard Tasmanian salmon as a premium product. It’s become integral to the strong food and beverage aspect of our Tasmanian brand. On a more personal local level, it’s a product, as Tasmanians, we are proud to serve to friends and family, and especially visitors to Tasmania.

The growth of the industry has created significant opportunity, particularly for those Tasmanians who are employed because of it. However, it has also created challenges.

Even though those challenges have been met well over the past decades, both industry and the Government recognise that it’s time to refresh our approach, including our regulatory systems, to take the industry to the next level.

Changes already made by the Government

Because of this, the Hodgman Liberal Government has, in the past 18 months, developed and introduced the most substantial reforms to the regulation of the industry in at least 15 years.

The changes have included:

  • Important reforms to penalty and infringement notice provisions in the Marine Farming Planning Amendment Act 2016, with demerit points consequently reformed by 2017 Regulations. This means if companies do the wrong thing they face heavy penalties, or even a loss of licence to farm fish.
  • From 1 July 2016, a transfer of responsibility for environmental regulation to the Environment Protection Authority (EPA) Director under delegation has increased the independence of regulation, appropriately placing it at arms length from both government and the industry.

This year, we have already:

  • Accepted all recommendations of the independent Marine Farm Planning Review Panel in response to their assessment of salmon farming at Okehampton Bay
  • Announced the decision to ban finfish farming in the Mercury Passage outside the existing Okehampton Bay zone
  • Developed the Finfish Farming Environmental Regulation Bill 2017 to formalise EPA’s role and other reforms, including the introduction of a new Environmental License and a process for creating finfish marine farming exclusion zones – and these will be introduced to parliament very soon
  • We have also given Marine and Safety Tasmania a formal role in marine safety enforcement around salmon farms, and;
  • Developed the major new Biosecurity Bill 2017, including provision to approve industry biosecurity programs; and
  • Announced the far North West and King Island as “grow zones” for potential expansion of the salmon industry

The Plan I am releasing today foreshadows further legislative change. But sustainable growth needs more than legislation. This Plan therefore includes a range of commitments that amount to a broad blueprint for growth, based not only on encouraging investment and innovation by the industry, but also on firm, well resourced, independent environmental regulation, clear policy directions, and transparency of information, including clear direction on where salmon farming can and cannot occur around the state.

A Vision for the industry

As a Government, we believe that there is overwhelming support for the further sustainable growth of the salmon industry so long as it continues to provide excellent product and to minimise its environmental impacts through continuous improvement. I believe this Plan underpins that sensible approach.

The Government is the custodian of the public natural resources that the industry relies on and we take that responsibility very seriously. This draft plan represents a practical way we can work with industry and the community to create the right environment for sustainable growth.

Our vision is for the industry to:

  • continue to deliver increased tangible benefits to Tasmania through sustainable growth – delivering more and better jobs and economic growth (especially in the regions), and acting as a driver of productivity and innovation in the State’s economy;
  • remain an industry Tasmanians are proud of and have confidence in, by increasing transparency and industry accountability for environmental management, and by the introduction of a clear and robust mechanism for expansion; and
  • be the most environmentally sustainable salmon industry in the world by continuing to improve environmental performance through industry driven innovation, coupled with appropriate environmental monitoring and regulation.

How the Plan achieves the Vision

In the Draft Plan, we have set out the three essential elements to achieving this vision:

  • Maintaining public confidence in the salmon industry
  • Improving the efficiency, effectiveness and transparency of the industry’s environmental regulation, and the effectiveness of its biosecurity systems, and;
  • Supporting industry growth

Beneath these three elements, 17 different actions are outlined in the Draft Plan and I would like to highlight them for the house now.

The first is - Maintaining public confidence in the salmon industry

This government has committed to clearly indicating where salmon farming will and will not be undertaken in Tasmania’s waterways. We have called these “Grow” and “No Grow” zones. The first of which have already been announced in the Mercury Passage “No Grow” zone and the far North West and King Island “Grow Zone”.

The Draft Plan includes a map that outlines the extension of these proposals around the State. It also demonstrates the commitment that expansion will be largely oceanic, rather than estuarine.

The plan extends a “no grow” zone from the bottom of the Tasman Peninsula, up the entire East Coast of Tasmania, and along the majority of the North Coast. So, other than the small number of pre-existing leases, the entire East Coast of Tasmania, will be salmon-farm free. This should reassure Tasmanians that the special nature of Tasmania's East Coast will not be changed by fish-farm expansion.

The proposed zones have been determined by weighing up three important considerations: the advice of industry and government on where salmon farming is and isn’t technically feasable; the advice of industry on where it sees opportunities for sustainable growth; and listening to public concerns about where salmon farming should and should not occur.

Importantly – “Grow Zones” are divided into 2 categories. Those we know where the industry is already actively exploring, and those we believe there may be future potential.

The plan also includes a predominantly industry led analysis of existing estuarine farming areas, with a view to strengthening biosecurity.

A key action of the plan is a competitive tender system to be applied to new water. It will allow the Government to set the expectation, through criteria for the access to a public resource. The successful tenderer will have the opportunity to test the suitability of the new water and then, if they find it viable to farm, will have a clear preference in the future application of the planning, leasing and licensing processes, which will largely be unchanged. Importantly, commitments made during a tender process, if successful, will be embedded into planning and operations.

The establishment, through legislation, of a Tender Advisory Committee, to advise the Minister on which areas of water to tender, and on setting of criteria and selection of successful tenderers is another key component of the Plan.

Macquarie Harbour, receives special attention in the plan, with a commitment by government to bring all parties together, to reach an agreement on sustainable farming in the Harbour by June 2018.

We are also committing to a new zero tolerance approach to marine debris, including greater compliance and accountability and a larger role for Marine and Safety Tasmania.

We will also, for the first time, undertake an industry benchmarking exercise that summarises Tasmania’s performance in salmon farming in comparison to international performance. We believe this is crucial in continuing to strive for and assess ourselves as “world’s best”.

The next element of the plan is around improving the efficiency, effectiveness and transparency of the industry’s environmental regulation, and the effectiveness of its biosecurity systems

This includes the establishment of a new Finfish Farming (Compliance and Monitoring) Unit in the Environment Protection Authority. It will be funded by the industry and ensure that the EPA is able to keep up with industry expansion, and to oversee the companies’ monitoring practices and environmental performance.

Importantly, this plan does not remove the onus from companies to undertake environmental monitoring. We recognise the significant investments in technology, people, and skills the industry has made in this regard and we want to maintain that, and add additional oversight through the new EPA unit. Officers in the new unit will observe and monitor the practices of industry, but they will also have a compliance role and be authorised to issue infringement notices, potentially resulting in demerit points, fines or loss of licence.

This is complemented by a second action, to require more environmental information and more real time monitoring and to make that information publicly accessible, to the greatest extent possible, through a portal independently hosted by the Institute for Marine and Antarctic Studies.

Importantly, these improvements will be on top of the actions already taken to tighten regulation

An important commitment is to update the Biosecurity Program that the industry and the Department of Primary Industries, Parks, Water and Environment jointly developed in 2014. It is due for review, and the need for constant vigilance and good practice in relation to biosecurity is recognised by all involved in the industry as a top priority.

Other actions under this heading refer to encouraging research and development into technologies to reduce the environmental impact of the industry; and a commitment to maintain, and upgrade as necessary, the State’s key fish health and biosecurity assets, such as the Aquatic Animal Health and Vaccines Centre of Excellence at Mt Pleasant.

The third key element is supporting industry growth

The Government cannot directly drive growth. Instead, the government role is to create the right environment for that growth to occur.

Quite simply, the Government supports the industry’s growth as long as it operates to the high standards and expectations outlined in the Draft Plan. The potential positive effects for Tasmania, particularly in our regional areas is the main reason why this Government is so keen to look beyond the current marine farming areas, to new water and new ways of farming.

The identified ways to encourage growth are, first, ongoing support for the industry’s research, development and innovation work, so it can keep up with overseas competitors as well as meet new operating challenges such as farming further offshore.

Second, Government can assist by supporting the link of the industry to the State brand, and by using its capacity to support and develop export markets in order to reinforce the industry’s growth opportunities, including in the expanding ancillary sector.

Third, the Government can continue its critical support for training and career development, including through the highly successful “Seafood Pledge” that delivers funding to Seafood Training Tasmania.  We also commit to implementation and review of the industry’s workforce development plan.

Conclusion

Madam Speaker, this Government knows it is time to act. We have already shown a willingness to make decisions and make changes in relation to salmon farming, and this plan represents the next step, which I believe is an urgent step.

In developing this exposure draft plan, the government has benefited from input from many in the broader industry, such as the many businesses that support the farming sector itself. I am very thankful for this contribution, and now it’s time to seek the views of the wider community on the plan which will now be available for comment for a month, until Friday 8th September.

The government looks forward to a lot of community discussion through this process and hope of course that the final Plan will be improved as a result of the feedback we receive over the next four weeks. But even now, we are confident it provides a secure blueprint for growth in terms of assurance for the community and the industry, and good regulation in the public interest and for the long-term benefit of Tasmania.



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