Document 3-series Offi ce of the Auditor General of Norway The Offi ce of the Auditor General’s investigation into the management of aquaculture Document 3:9 (2011–2012) This document is available at www.riksrevisjonen.no Public offices can order this document from Government Administration Services Phone: + 47 22 24 20 00 E-mail: [email protected] www.publikasjoner.dep.no Others can order this document from Bestillinger offentlige publikasjoner Phone: + 47 55 38 66 00 Fax: + 47 55 38 66 01 E-mail: [email protected] Fagbokforlaget AS Postboks 6050 Postterminalen NO-5892 Bergen ISBN 978-82-8229-177-4 Illustration: 07 Oslo AS Document 3-series The Office of the Auditor General's investigation into the management of aquaculture Document 3:9 (2011–2012) To the Storting The Offi ce of the Auditor General hereby submits Document 3:9 (2011–2012) The Offi ce of the Auditor General's investigation into the management of aquaculture. The Offi ce of the Auditor General, 6 March 2012. For the Board of Auditors General Jørgen Kosmo Auditor General Contents 1 Introduction 7 2 Implementation of the investigation 8 3 Summary of the findings 8 4 The Office of the Auditor General's remarks 13 5 The Ministry of Fisheries and Coastal Affairs' response 14 6 The Office of the Auditor General's statement 16 Appendix: Report 1 Background 29 2 Methodological approach and implementation 31 3 Audit criteria 34 4 The facts: The development and status of the aquaculture industry seen in relation to the goal that it shall be sustainable and environmentally sound 46 5 The facts: The use of policy instruments to ensure a sustainable and environmentally sound aquaculture industry 82 6 Assessments 120 Appendices 126 The Ministry of Fisheries and Coastal Affairs The Office of the Auditor General's investigation into the management of aquaculture 1 Introduction Aquaculture has an impact on the environment in several areas, including through genetic interac- The aquaculture industry has grown considerably tion between escaped farmed fi sh and wild fi sh since its inception in the 1970s. The total produc- and through the presence of disease and lice. In tion of farmed fi sh and shellfi sh has doubled in addition to negative eff ects on the farmed fi sh, the last ten years alone, from approximately disease and lice can also be spread to wild fi sh 500,000 tonnes in 2000 to more than one million stocks. The cultivation of fi sh also entails tonnes in 2010. Salmon accounts for around 90 increased pollution through the discharge of per cent of the total production. The sales value nutrient salts, organic material and chemicals. of aquaculture production amounted to more than Furthermore, the industry needs raw materials for NOK 30 billion in 2010 (cf. Figure 1). Aqua- feed for the farmed fi sh, which involves the har- culture is therefore an important industry for vesting of wild marine resources. The aquaculture Norway. It creates jobs in rural areas, contributes industry also needs marine areas, which can give to maintaining the settlement pattern along the rise to confl icts with other interests. The location coast and generates large export revenues. of an aquaculture facility in the sea also infl uences the risk of infection spreading between fi sh farms The overall vision for Norway's fi sheries policy is and it aff ects the total discharges in a wider area. that the riches of the sea represent the country's future. Striking a balance between environmental The goal of the investigation was to assess the sustainability and further growth and develop- extent to which the development and status of the ment of the industry has been an important aqua- aquaculture industry are in line with the national culture policy goal for several years. Considera- goal that the aquaculture industry shall be sus- tion for the environment shall be a fundamental tainable and environmentally sound, and to assess premise for further development and growth, cf. whether the authorities' use of policy instruments for example, Report No 48 to the Storting and follow-up is effi cient and suffi cient. Based on (1994–1995) Havbruk – en drivkraft i norsk kyst- the goal for the investigation, the following næring ('Aquaculture – a driving force in Norway's primary lines of inquiry have been addressed: coastal economy'), Report No 19 to the Storting (2004–2005) and Recommendation No 192 to the 1 To what extent are the development and status Storting (2004–2005). of the aquaculture industry in Norway in line Figure 1 Production growth in the Norwegian aquaculture industry during the period 1985 to 2010 35 000 000 1 200 000 30 000 000 1 000 000 25 000 000 800 000 20 000 000 600 000 15 000 000 400 000 in tonnes Production 10 000 000 200 000 Sales value in NOK 1 000 5 000 000 0 0 1985 1987 1989 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 Sales value in NOK Production in tonnes Kilde: Statistisk sentralbyrå 7 with the national goal that the aquaculture Areas by Aquaculture 2011). The document industry shall be sustainable and environmen- review also included some reports produced by tally sound? the Food and Agriculture Organization of the United Nations (FAO) as well as governing 2 To what extent is the national goal of sustaina- documents for the Directorate of Fisheries, the ble aquaculture achieved through the use of Norwegian Food Safety Authority and the county policy instruments? governor offi ces. 3 Is the authorities' control suffi cient to ensure In order to shed light on the status and develop- that the development of the aquaculture ment of the aquaculture industry, statistical industry is sustainable? information was obtained from the Directorate of Fisheries, the Norwegian Food Safety Authority, The Offi ce of the Auditor General's report from the county governor offi ces, the Norwegian the investigation is enclosed as an appendix. A Institute of Marine Research, Statistics Norway, draft of the Offi ce of the Auditor General's report the Norwegian Veterinary Institute, the Norwegian with assessments was presented to the Ministry Institute for Nature Research and the Norwegian of Fisheries and Coastal Aff airs, the Ministry of Institute of Public Health. Figures have also been Agriculture and Food and the Ministry of the collected from a monitoring programme for dis- Environment in a letter of 16 September 2011. charges, from the International Council for the The ministries issued a joint statement concerning Exploration of the Sea (ICES) and FAO. the report in a letter of 21 October 2011. The comments are incorporated into the report and A vignette survey was carried out in order to this document. investigate how the Norwegian Food Safety Authority and the county governor offi ces process aquaculture cases, including taking the environ- 2 Implementation of the investigation ment and the principle of equal treatment into consideration. This type of survey is suitable for The audit criteria are derived from acts and regu- documenting how discretionary judgement is lations, reports to the Storting and propositions exercised in case processing, and how the regula- with pertaining recommendations. The investiga- tions are applied. However, in the vignette survey, tion is also based on Norway's commitments it was not possible for case offi cers to contact made in international agreements. The investiga- applicants to obtain supplementary information tion period was from 2007 to mid-2011. However, if they needed to. The vignette survey comprised in order to shed light on the development of the six authentic cases. Three of them were sent to aquaculture industry, it has been necessary to use 19 selected offi ces of the Norwegian Food Safety statistics covering a longer period in several of Authority, while the other three cases were sent to the audited areas. eight county governor offi ces. The investigation is based on document analysis, In order to pursue all the main lines of inquiry in statistics, case reviews, interviews, lists of ques- the investigation and to supplement the informa- tions and vignette surveys. In order to investigate tion from the document review, the vignette whether the aquaculture industry is sustainable surveys and the quantitative information, inter- and environmentally sound, and whether the use views were conducted with and lists of questions of policy instruments is eff ective, the following sent to relevant ministries, directorates and documents have been reviewed: studies and regional and local offi ces, as well as to relevant reports from the Directorate of Fisheries, the research institutes under the ministries. Norwegian Food Safety Authority, the Norwegian Climate and Pollution Agency, the Directorate for Nature Management, the Norwegian Institute of 3 Summary of the findings Marine Research, the Norwegian Veterinary Institute, the Norwegian Institute for Nature Several ministries and agencies, as well as munici- Research and the Norwegian Scientifi c Advisory palities and county authorities, are responsible for Committee for Atlantic Salmon Management, parts of the management of aquaculture. The and the recommendation from a committee that management regime is complex, but the roles and has evaluated the aquaculture industry's use of areas of responsibility of the various bodies marine areas (Committee on the Use of Marine generally appear to be clearly defi ned. It is also 8 positive that the Ministry of Fisheries and Coastal than 900,000 in 2006. The number decreased Aff airs and the Ministry of the Environment now from 2007 and there have been between 100,000 collaborate when decisions about production and 300,000 escaped farmed salmon per year growth are to be studied, and that environmental since then, including the fi rst three quarters of considerations have been increasingly empha- 2011.